ANSYS INC (ANSS)
US03662Q1058 - Common Stock
Overall ANSS gets a fundamental rating of 6 out of 10. We evaluated ANSS against 276 industry peers in the Software industry. ANSS scores excellent points on both the profitability and health parts. This is a solid base for a good stock. ANSS is not valued too expensively and it also shows a decent growth rate. These ratings could make ANSS a good candidate for quality investing.
1. Profitability
1.1 Basic Checks
In the past year ANSS was profitable.
ANSS had a positive operating cash flow in the past year.
Each year in the past 5 years ANSS has been profitable.
In the past 5 years ANSS always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of ANSS (6.83%) is better than 85.77% of its industry peers.
With an excellent Return On Equity value of 9.28%, ANSS belongs to the best of the industry, outperforming 82.85% of the companies in the same industry.
ANSS has a Return On Invested Capital of 8.59%. This is amongst the best in the industry. ANSS outperforms 86.86% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for ANSS is in line with the industry average of 10.44%.
The last Return On Invested Capital (8.59%) for ANSS is above the 3 year average (8.54%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.83% | ||
| ROE | 9.28% | ||
| ROIC | 8.59% |
ROA(3y)7.28%
ROA(5y)7.7%
ROE(3y)10.06%
ROE(5y)10.77%
ROIC(3y)8.54%
ROIC(5y)8.98%
1.3 Margins
With an excellent Profit Margin value of 22.04%, ANSS belongs to the best of the industry, outperforming 91.61% of the companies in the same industry.
ANSS's Profit Margin has declined in the last couple of years.
ANSS's Operating Margin of 27.74% is amongst the best of the industry. ANSS outperforms 95.26% of its industry peers.
ANSS's Operating Margin has declined in the last couple of years.
ANSS's Gross Margin of 88.05% is amongst the best of the industry. ANSS outperforms 94.53% of its industry peers.
ANSS's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.74% | ||
| PM (TTM) | 22.04% | ||
| GM | 88.05% |
OM growth 3Y-1.75%
OM growth 5Y-5.34%
PM growth 3Y-5.12%
PM growth 5Y-7.42%
GM growth 3Y0.55%
GM growth 5Y0.02%
2. Health
2.1 Basic Checks
ANSS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for ANSS remains at a similar level compared to 1 year ago.
ANSS has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, ANSS has an improved debt to assets ratio.
2.2 Solvency
ANSS has an Altman-Z score of 10.32. This indicates that ANSS is financially healthy and has little risk of bankruptcy at the moment.
ANSS's Altman-Z score of 10.32 is amongst the best of the industry. ANSS outperforms 89.42% of its industry peers.
ANSS has a debt to FCF ratio of 1.09. This is a very positive value and a sign of high solvency as it would only need 1.09 years to pay back of all of its debts.
ANSS has a Debt to FCF ratio of 1.09. This is in the better half of the industry: ANSS outperforms 75.91% of its industry peers.
A Debt/Equity ratio of 0.14 indicates that ANSS is not too dependend on debt financing.
ANSS's Debt to Equity ratio of 0.14 is in line compared to the rest of the industry. ANSS outperforms 51.09% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.14 | ||
| Debt/FCF | 1.09 | ||
| Altman-Z | 10.32 |
ROIC/WACC0.87
WACC9.92%
2.3 Liquidity
ANSS has a Current Ratio of 2.30. This indicates that ANSS is financially healthy and has no problem in meeting its short term obligations.
ANSS's Current ratio of 2.30 is fine compared to the rest of the industry. ANSS outperforms 68.25% of its industry peers.
A Quick Ratio of 2.30 indicates that ANSS has no problem at all paying its short term obligations.
ANSS has a better Quick ratio (2.30) than 68.98% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.3 | ||
| Quick Ratio | 2.3 |
3. Growth
3.1 Past
ANSS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 10.14%, which is quite good.
The Earnings Per Share has been growing slightly by 8.00% on average over the past years.
Looking at the last year, ANSS shows a quite strong growth in Revenue. The Revenue has grown by 9.89% in the last year.
The Revenue has been growing by 11.90% on average over the past years. This is quite good.
EPS 1Y (TTM)10.14%
EPS 3Y9.51%
EPS 5Y8%
EPS growth Q2Q27.51%
Revenue 1Y (TTM)9.89%
Revenue growth 3Y10.52%
Revenue growth 5Y11.9%
Revenue growth Q2Q15.99%
3.2 Future
ANSS is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.51% yearly.
ANSS is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.45% yearly.
EPS Next Y12.79%
EPS Next 2Y11.68%
EPS Next 3Y12.73%
EPS Next 5Y13.51%
Revenue Next Year10.24%
Revenue Next 2Y9.86%
Revenue Next 3Y9.6%
Revenue Next 5Y9.45%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
ANSS is valuated quite expensively with a Price/Earnings ratio of 36.21.
Compared to the rest of the industry, the Price/Earnings ratio of ANSS indicates a somewhat cheap valuation: ANSS is cheaper than 70.44% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of ANSS to the average of the S&P500 Index (28.06), we can say ANSS is valued slightly more expensively.
With a Price/Forward Earnings ratio of 32.10, ANSS can be considered very expensive at the moment.
ANSS's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. ANSS is cheaper than 68.98% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of ANSS to the average of the S&P500 Index (20.72), we can say ANSS is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.21 | ||
| Fwd PE | 32.1 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ANSS is valued a bit cheaper than 75.55% of the companies in the same industry.
ANSS's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. ANSS is cheaper than 67.15% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 40.21 | ||
| EV/EBITDA | 35.88 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates ANSS does not grow enough to justify the current Price/Earnings ratio.
ANSS has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as ANSS's earnings are expected to grow with 12.73% in the coming years.
PEG (NY)2.83
PEG (5Y)4.53
EPS Next 2Y11.68%
EPS Next 3Y12.73%
5. Dividend
5.1 Amount
No dividends for ANSS!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
ANSYS INC
NASDAQ:ANSS (5/3/2024, 8:50:22 AM)
318.605
+4.08 (+1.3%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap27.81B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
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PT rev (1m)
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EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
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Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.21 | ||
| Fwd PE | 32.1 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)2.83
PEG (5Y)4.53
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.83% | ||
| ROE | 9.28% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 27.74% | ||
| PM (TTM) | 22.04% | ||
| GM | 88.05% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.31
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.14 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 2.3 | ||
| Quick Ratio | 2.3 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)10.14%
EPS 3Y9.51%
EPS 5Y
EPS growth Q2Q
EPS Next Y12.79%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)9.89%
Revenue growth 3Y10.52%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y