Fragbite Group AB (FRAG) AI Stock Analysis

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Fragbite Group AB

(Nasdaq OMX AB:FRAG)

Select Model

Rating:53Neutral

Price Target:SEK 5.50▼(-7.41% Downside)

Action:reiterated

Date:08/28/26

The score is held down primarily by weak financial performance—sharp revenue decline, persistently negative operating margins, and significant ongoing cash burn—despite the benefit of a low-leverage balance sheet. Technicals are moderately supportive with positive MACD and price above shorter-term moving averages, and valuation looks inexpensive based on the very low P/E, but these are secondary to the cash flow and operating profitability risks.

Positive Factors

Debt-free balance sheetZero debt and positive equity provide a meaningful financial cushion while the company works through operating losses. This reduces leverage-related pressure, preserves flexibility for restructuring or investment, and lowers refinancing risk over the next several quarters.

Negative Factors

Sharp revenue contractionA sharp and repeated decline in revenue signals weakening commercial scale rather than a temporary fluctuation. Persistent contraction can reduce the company’s ability to cover fixed costs, limit investment capacity, and make a durable return to profitability more difficult.

Fragbite Group AB (FRAG) vs. iShares MSCI Sweden ETF (EWD)

Market Cap: SEK 47.98M
Dividend Yield: ―
Average Volume (3M): 3,434
Price to Earnings (P/E): 0.8
Beta (1Y): 0.97
Revenue Growth: -66.04%
EPS Growth: ―
Country: Sweden
Employees: 46
Sector: Communication Services
Sector Strength: 60
Industry: Electronic Gaming & Multimedia

Fragbite Group AB Business Overview & Revenue Model

Company Description

Operating from its Stockholm, Sweden headquarters since its inception in 2002, Fragbite Group AB (publ) is a digital entertainment company focused on gaming activities across the Nordic region. The company undertakes the development, publishing, dist...

How the Company Makes Money

Fragbite Group AB generates revenue through its activities in the esports and gaming ecosystem, typically monetizing via commercial partnerships and sponsorships, advertising and media-related income, and event/competition-related revenue streams. Ad...

Fragbite Group AB Financial Statement Overview

Summary

Overall financial quality is weak: revenue is shrinking sharply (TTM -36.34%), operating profitability is deeply negative (TTM EBIT margin -38.0%), and cash generation is poor with negative operating cash flow (-11.0M) and deeply negative free cash flow (-47.1M). The main offset is a conservative balance sheet with zero debt and positive equity, but earnings quality looks volatile given strong reported net margin alongside negative operating results.

Income Statement

32Negative

Balance Sheet

64Positive

Cash Flow

24Negative

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	67.51M	143.85M	213.23M	237.20M	254.06M	124.04M
Gross Profit	9.51M	-81.76M	118.36M	103.94M	72.70M	42.78M
EBITDA	-5.31M	941.00K	7.79M	16.19M	1.48M	-10.48M
Net Income	60.70M	7.62M	-128.98M	-53.15M	-103.11M	-50.40M
Balance Sheet
Total Assets	84.15M	94.88M	193.06M	984.52M	383.00M	304.26M
Cash, Cash Equivalents and Short-Term Investments	13.76M	38.13M	9.41M	25.05M	40.99M	87.46M
Total Debt	0	0	29.18M	40.40M	56.85M	46.49M
Total Liabilities	27.39M	28.04M	112.17M	838.45M	221.49M	101.00M
Stockholders Equity	56.76M	66.84M	80.89M	146.07M	161.51M	203.25M
Cash Flow
Free Cash Flow	-47.07M	-41.04M	-19.36M	-35.27M	7.18M	-3.42M
Operating Cash Flow	-11.01M	-1.31M	-9.01M	-1.42M	43.10M	3.93M
Investing Cash Flow	43.02M	43.69M	-44.04M	-55.08M	-141.24M	-73.01M
Financing Cash Flow	-22.89M	-12.38M	37.28M	40.27M	47.73M	151.56M

Fragbite Group AB Technical Analysis

Technical Analysis SentimentNegative

Last Price5.94

Price Trends

50DMA5.86Positive

100DMA5.53Positive

200DMA6.18Negative

Market Momentum

MACD0.04Positive

RSI49.15Neutral

STOCH68.27Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:FRAG, the sentiment is Negative. The current price of 5.94 is below the 20-day moving average (MA) of 6.00, above the 50-day MA of 5.86, and below the 200-day MA of 6.18, indicating a neutral trend. The MACD of 0.04 indicates Positive momentum. The RSI at 49.15 is Neutral, neither overbought nor oversold. The STOCH value of 68.27 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SE:FRAG.

Fragbite Group AB Peers Comparison

Overall Rating

UnderperformOutperform

Sector (60)

Financial Indicators

SE:FRAG against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SE:MAGI	66Neutral	SEK 238.45M	268.66	0.31%	―	-4.32%	―
Sector *	60Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
SE:MTG.B	60Neutral	SEK 14.35B	85.21	1.54%	―	42.27%	―
SE:EG7	58Neutral	SEK 1.25B	-0.67	―	―	-11.07%	-734.06%
SE:G5EN	57Neutral	SEK 482.21M	20.87	5.13%	3.08%	-19.67%	-68.42%
SE:FRAG	53Neutral	SEK 47.98M	0.78	142.30%	―	-66.04%	―
SE:SF	45Neutral	SEK 3.20B	-1.60	―	―	-11.82%	73.35%

* Communication Services Sector Average

Performance Comparison

SE:FRAG and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
SE:FRAG	Fragbite Group AB	5.94	-4.16	-41.19%
SE:MTG.B	Modern Times Group AB (0GXJ)	121.00	-7.10	-5.54%
SE:G5EN	G5 Entertainment AB	64.90	-25.64	-28.32%
SE:MAGI	MAG Interactive AB	9.00	0.10	1.12%
SE:SF	Stillfront Group AB	6.17	-0.26	-4.04%
SE:EG7	Enad Global 7 AB	14.12	-2.22	-13.59%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Aug 28, 2026

Fragbite Group AB AI Stock Analysis

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