Hello everyone,

My current portfolio was completely reorganized after the takeover of $COP (-0,63%) at the end/beginning of the year. I have reinvested almost all of the liquidity freed up as a result in small-mid caps. I also see further potential here in the coming years due to more flexible adaptability (with regard to the USA) and financing costs. At the beginning of the year $SESG (-0,78%)
$NA9 (-0,29%)
$TNIE (+0,95%)
$KTN (-1,29%)
$ALCRB (-0,25%)
$DSFIR (-0,42%) made it into my portfolio. Today, I swapped the pipe burner $P911 (+0,35%) in $MUM (+0,16%) . My next idea would be $SIX2 (-0,48%) I would like to hear what else you have on your watchlist in this segment.

Greetings

Micha

Hello everyone, with Donald Trump and Elon Musk in office, I'm expecting volatile times ahead. I have therefore carried out a check on my portfolio to determine how solid my foundation (core) still is.

The following criteria were used for the check

Quality check

The quality check examines shares for the quality of the business model and the stability of the balance sheet

Enduring qualities

The long-term indicator checks whether share prices are constantly rising.

Outperformer check

Every investor is confronted with the question of whether to invest money passively in ETFs or in individual shares. A share should rise by more than 10% per year for an investment to be worthwhile.

KUV monster

When companies are hyped and everyone knows about the quality of a company, the return potential is usually low. The top 5% of the most highly valued shares according to the KUV criterion are problematic.

The following companies from my portfolio stood out in this regard

buy and leave.

Alphabet $GOOG (-2,32%) Modine Manuf. $MOD (-7,19%) Chipotle $CMG (-2,73%)

Microsoft $MSFT (-1,57%) Copart $CPRT (-2,4%) Vertex $VRTX (+0,82%)

Constellation Software $CSU (-0,46%) Man and machine $MUM (+0,16%)

Corcept Therap. $CORT (-2%) Tetra Tech $TTI (-5,41%) TransDigm Group $TDG (-1,3%)

IES Holding $IES ASML $ASML (-0,72%)

Interview with Clemens Fuest - Germany on the brink? Ifo President finds: "Elon Musk is talking nonsense"

The German economy is stagnating and economic output is not rising above the 2019 level. That is the bitter outcome of a lost half-decade, as Clemens Fuest, President of the Ifo Institute, makes clear in an interview with the FAZ.

"We have real problems," says Fuest, adding that it is not just external circumstances that are weighing on Germany's economy, but also home-grown problems. In this tense economic environment, Fuest voices fierce criticism of Elon Muskthe CEO of Tesla. Musk, known for his sometimes controversial statements and visions, hatte zuletzt Vorschläge gemacht which Fuest describes as "gross nonsense". These proposals relate in particular to Musk's ideas on the industry of the future.

"Germany is not on the brink"

Musk has repeatedly emphasized that Germany must fundamentally change its industrial policy in order to remain competitive. Fuest replied: "Germany is not on the brink, wie er behauptet . Our country is stuck in stagnation, that's something completely different."

Fuest emphasizes in the interview that German economic policy should aim to further promote its strengths. "Depending on the count, there are between 1,000 and 1,500 companies in Germany that are world market leaders in a niche. No other country has this in this form. And that leads to the export strength that continues to characterize Germany."

The Ifo Director calls for political decision-makers in Germany and Europe to rethink and adapt their strategies. "The approach of relying heavily on subsidies to transform the economy" was wrong, he emphasizes. The "traffic light coalition has also failed to find an answer to the decline in investment in companies and housing construction".

"Depending on the count, there are between 1,000 and 1,500 companies in Germany that are world market leaders in a niche. No other country has this in this form. And that leads to the export strength that continues to characterize Germany."

My dears, which world market leaders can you think of here? And which German niche companies are you counting on?

$SIE (-0,45%)
$MUM (+0,16%)
$SAP (-1,87%)
$AIXA (-2,09%)
$ADS (-0,81%)
$RR. (-1,27%)
$FRE (+0,18%)

Interview mit Clemens Fuest - Deutschland am Abgrund? Ifo-Präsident findet: „Elon Musk redet groben Unfug“

Which shares do you have on your watchlist for 2025? 🚀

I'll start right away: $LIN (-0,84%)
$8001 (+0,66%)
$ZTS (+2,45%)
$FANG (-2,87%)
$MUM (+0,16%)
$HOOD (-7,16%)
$INOD (+3,73%)
$UBER (-2,45%)
$MDLZ (+4,45%)

Mensch und Maschine Software SE

Company presentation

Mensch und Maschine Software SE ($MUM (+0,16%) ) is a leading provider of CAD/CAM software headquartered in Weßling, Germany. Founded in 1984, the company has developed into a major player in the field of digitization solutions for industry, construction and infrastructure. M+M employs over 1,000 people at around 75 international locations.

M+M's core business is divided into two main segments:

M+M SoftwareThis segment develops and distributes standard software solutions for CAM, BIM and CAE.

M+M Digitization This segment offers customized digitization solutions, training and consulting services.

M+M's mission is to support companies in their digital transformation and provide innovative software solutions for complex technical challenges. The company's vision is to remain the leading provider of CAD/CAM solutions in Europe and to continuously expand into new technologies and markets.

Historical development

Since its foundation, M+M has reached several important milestones:

• 1997: Stock market debut on the Neuer Markt as the eighth company.
• 2002Acquisition of the CAM specialist Open Mind AG, which expanded the expertise in the field of manufacturing software. In the same year, M+M acquired a majority stake in Dataflor AG, a developer of software for gardening and landscaping.
• 2019Acquisition of the software manufacturer Sofistik, which specializes in the calculation, dimensioning and design of construction projects.

These strategic acquisitions have helped M+M to diversify its portfolio and strengthen its market position in various industries.

Business model & core competencies

M+M's core competencies lie in its deep technical expertise in CAD/CAM software and its ability to translate complex customer needs into individual digitization solutions. The company benefits from long-standing customer relationships and a strong partner network.

Future prospects & strategic initiatives

M+M is committed to continuous innovation and expansion into new technology areas. Current growth initiatives include:

• Increased investment in BIM technologies for the construction industry.
• Expanding the range of CAM solutions for advanced manufacturing.
• Developing solutions for the digital factory and Industry 4.0.

In the medium term, M+M aims to further strengthen its market position in Europe and expand into new geographic markets.

Market position & competition

M+M has established itself as one of the leading providers of CAD/CAM solutions in Europe. The company competes with large international software companies as well as specialized niche suppliers. The main competitors include:

• $ADSK (-0,56%) (USA)
• $DSY (-0,77%) Systèmes (France)
• Siemens Digital Industries Software (Germany)

M+M differentiates itself through its strong local presence in Europe, customized solutions and comprehensive consulting and training services.

Total Addressable Market (TAM)

The global market for CAD/CAM software is expected to reach a volume of over 25 billion US dollars by 2028, with an annual growth rate of around 7%. Important growth drivers are:

• Increasing digitalization in the manufacturing industry.
• The increasing demand for BIM solutions in the construction sector.
• The growing importance of Industry 4.0 and IoT.

M+M is well positioned to benefit from these trends and further expand its market share in Europe.

Development

Sales have grown at an annual growth rate of 6%, which is acceptable. In contrast, however, net profit has grown at a 14 % CAGR, which is very positive.

In terms of turnover, the digitalization sector is significantly larger than the software sector, but contributes less to gross profit. Nevertheless, despite the lower absolute amount, the digitization sector has a better margin than software.

The gross margin is just under 54%, while the operating margin is 15% and net profit is approaching the 10% mark with an annual growth rate of 7%.

The shareholder yield is 2.6%, while the ratio of enterprise value to EBITDA is average. In addition, the ratio of net debt to EBITDA is negative.

The payout ratio is very high and could remain at around 90% for the time being, or possibly even lower. The dividend per share is rising continuously and should maintain this trend.

The capital efficiency is very good and a larger part of the distributions could be retained in order to invest in the business to gain even more market share.

Conclusion

The picture speaks for itself: with an insider share of 48% and a promising history, I am convinced that the company can achieve its goals. Earnings per share (EPS) should double in the next 4 to 5 years. The share is performing well, but is still undervalued. There is also an attractive dividend, which has been rising steadily for some time. The business case is convincing and the company's name is simply cool. The only thing that could really hinder the company is Germany, as most of its sales come from this market and the tax burden here is very high.

They could work on the presentation, as it seems a bit strange for a digital company, but ultimately it's going well.

Mensch und Maschine reports record figures - dividend to rise.

$MUM (+0,16%)

Mensch und Maschine Software SE (M+M) has reported record results for the first nine months of 2024, driven by sales ahead of the launch of the new Autodesk partner model. Sales increased by 11.5 percent to 270.1 million euros, with a third quarter that saw an increase of 39 percent. Gross profit also reached a record level of 135.1 million euros, an increase of 7.2 percent compared to the previous year.

The operating result (EBIT) amounted to 38.1 million euros, exceeding the previous year's figure by 11%. Growth accelerated to 25% in the third quarter, following an increase of 6.3% in the first half of the year. Net profit after minority interests reached 24.4 million euros, an increase of 14.6 percent, while the third quarter alone grew by 31.5 percent. The operating cash flow continued its upward trend and reached 52.8 million euros.

The Management Board and Supervisory Board of Mensch und Maschine confirmed the annual targets for 2024 with planned gross profit growth of 8 to 10% and an increase in earnings per share of 10 to 20% to between EUR 1.89 and EUR 2.06. The dividend is expected to be between EUR 1.85 and EUR 1.95 per share. For 2025, M+M expects even stronger earnings growth of 12 to 25 percent and plans to increase the dividend by 25 to 35 cents.

https://www.4investors.de/nachrichten/boerse.php?sektion=stock&ID=179665

After finally disposing of $9888 (+1,94%) with a 30% loss, I invested the money in a more promising share. Sometimes you have to admit your mistakes and look for new opportunities. 🚀 Have a nice sunny day!

What do you think of $MUM (+0,16%)