GFT Technologies - IT service provider for the banking sector has an important growth driver with its new AI product. $GFT (-1.22%)
AI is establishing itself everywhere in both business and private life. According to Focus Money (issue 51/2024), it is a technology that is here to stay and will now also find its way into the banking sector. GFT Technologies [WKN: 580060, ISIN: DE0005800601] is the IT service provider for the banking sector that will make this possible in the coming years.
Founded in 1987, the company has always been the point of contact for banks when it comes to digitalization issues. In recent years, the SDAX-listed group has also adapted its software solutions for insurers and industrial customers.
Now the aim is to leverage the AI potential of banks with the "GFT AI Impact" solution. The AI-based product is designed to accelerate the software development process for clients. It is easy to integrate into existing software structures and can be used in a variety of ways.
According to GFT, the use of "GFT AI Impact" should lead to productivity increases of between 50% and 90% for clients. GFT was already able to acquire 10 new customers in the 3rd quarter of the current financial year. A total of over 170 license agreements have been concluded.
The AI product has the potential to become an important growth driver for the SDAX company. GFT can expect positive effects from the de-regulation plans of the new US government under Donald Trump. After all, the Trump administration wants to enable banks to earn more from 2025 onwards and will thus create financial leeway for generous investments in the company's own IT systems.
Due to GFT's strong presence in Latin America, the company could also increasingly act as an important contact for banks in the USA in the future. With a P/E ratio of 10 for 2025, the stock is valued favorably. Focus Money recommends buying with a target price of 39 euros (61% potential).
