Mips AB (0RNQ · LSE)
A Head Start
A Swedish safety specialist whose low-friction helmet technology is used in a growing share of the world's bike, snow and motorcycle helmets. Through a pivotal acquisition it is now expanding into workplace saftety, firefighting and body protection.
Bull case for Mips AB
A Badge Buyers Look For
A globally recognised safety mark brands fit to show shoppers their helmets protect better.
A Licensing Model Creating High Margins
Licensing rather than manufacturing keeps costs low and gross margin above 70%.
Expanding From Bike Shops to Building Sites
Acquired technology opens new markets in workplace safety, firefighting and body protection.
Bear case for Mips AB
Someone Else Controls the Sale
Mips only earns when its customers sell helmets and so it is dependent on their performance.
Paid in Dollars, Reports in Kronor
Most invoices are in US dollars while accounts are in Swedish kronor, so currency swings can impact profits.
Copycats and Patent Fights
Rivals develop their own anti-rotation systems, and defending patents can be costly.