Why Peter Lynch may take an interest in ONESPAN INC (NASDAQ:OSPN)

Lynch preferred companies with low P/E ratios relative to growth, manageable debt, and strong profitability. In this analysis, we see if ONESPAN INC (NASDAQ:OSPN) fits his winning formula.

How does ONESPAN INC (NASDAQ:OSPN) stack up against Peter Lynch’s investment principles?

• OSPN showcases a robust Return on Equity (ROE) of 26.86%, indicating its ability to generate favorable returns for shareholders. This metric underscores the company's efficiency in utilizing its equity capital to generate profits.
• A Debt/Equity ratio of 0.0 indicates that OSPN is leveraging debt effectively without excessive risk.
• The 5-year EPS growth of OSPN (19.39) highlights the company's ability to consistently improve its earnings performance and suggests a positive outlook for future profitability.
• With a PEG ratio at 0.63, OSPN is priced attractively relative to its earnings expansion.
• With a Current Ratio of 1.59, OSPN shows a stable financial footing with enough assets to cover short-term debts.

What else is there to say on the fundamentals of OSPN?

Every day, ChartMill assigns a Fundamental Rating to each stock, providing a score ranging from 0 to 10. This rating is determined by evaluating various fundamental indicators and properties.

Taking everything into account, OSPN scores 6 out of 10 in our fundamental rating. OSPN was compared to 281 industry peers in the Software industry. OSPN gets an excellent profitability rating and is at the same time showing great financial health properties. OSPN scores decently on growth, while it is valued quite cheap. This could make an interesting combination. With these ratings, OSPN could be worth investigating further for value investing!.

Our latest full fundamental report of OSPN contains the most current fundamental analsysis.

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Keep in mind

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.