The following is a summary of our recent research.

New Portfolio Addition: Swedish SaaS Microcap at a Steep Discount

We are adding our first position to the public portfolio, a Swedish-listed SaaS microcap whose share price has fallen 46% from its 6-month high. We believe that the sell-off is driven by the company's strategic decision to shed unprofitable revenue streams, which temporarily distorts reported numbers, rather than any fundamental deterioration. Below, we see a SaaS product with minimal churn, ~15% annual pricing power growth, strong profitability, and increasing cash flows, trading well below intrinsic value. Multiple catalysts are expected in 2026, including potential breakthrough orders in the USA and further cash flow improvements. Read more.

Sleep Cycle (SLEEP): Exits After Aggressive Investment Pivot

Sleep Cycle released its 2025 year-end report, outlining plans for substantial investment in 2026 that will compress EBIT margin to approximately 5% (down from ~25%), with revenue expected to be slightly lower year over year. The company frames 2026 as an "investment-intensive year" focused on technology licensing (Powered by Sleep Cycle) and sleep apnea screening, with growth expected to ramp gradually from 2027 onward. We have sold our position and view the company's move as aggressive for a microcap that lacks the market's trust. Read more.

New Data Source Spotlight: Ramp Rate for Tracking Software Spending Trends

We highlight a newly released, publicly available data source called Ramp Rate, which provides anonymized billing data on adoption rates and market shares of major software vendors, conceptually similar to the credit card data used by hedge funds, but free. We show practical use cases for investors: tracking CRM adoption trends, monitoring OpenAI vs. Anthropic competitive dynamics, and analyzing public companies such as Figma (declining adoption on the margin, down 78% from IPO) and Snowflake (adoption data suggesting continued revenue re-acceleration in Q4). We see Ramp Rate as a valuable addition to the investor’s mosaic of alternative data, but note that it covers only Ramp’s customer base and should be interpreted accordingly. Read more.

Heavy Insider Buying in Coffee Stain

Coffee Stain (COFFEEB) made its first public filing as a standalone company during the week, following the spin-off from Embracer (EMBRACB). The share has seen a significant drop since the first trading day, which we expected given institutional selling pressure, as many index funds that previously held Embracer shares could not continue holding them on Coffee Station due to the listing on Nasdaq First North (an MTF). However, there is limited visibility into the roadmap, and Welcome to Bloxburg (which significantly affects Cash EBIT) remains in a maturity state.

We want to highlight the significant insider buying following the report released by Lars Wingefors, majority owner, board member, and co-founder of Embracer. He bought a total of 825k shares over two days for approx. SEK 15m. We like Coffee Stain and believe it is unique among gaming companies due to its capital efficiency and strong ROI. When there is significant insider buying after a share price decline, one should always investigate further.

Two companies down, due to temporary issues?

Swedencare (SECARE) and CTT Systems (CTT) both took a heavy beating during the week. SECARE is issuing a profit warning ahead of the Q4 report, and CTT is following a Q4 that showed a steep decline in profit and revenue.

Both have something in common: management teams state that the businesses are affected by temporary headwinds that will normalize over the coming quarters. We aim to take a closer look at both to determine whether this is an opportunity or an indication of future operational headwinds.

Disclaimer

This analysis represents the independent views of Lind Research and is based on publicly available information believed to be reliable, but no warranty is given as to its accuracy or completeness. Nothing herein is investment advice or a recommendation. We publish openly, and companies do not influence our conclusions. Lind Research may hold positions in securities discussed.

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