BOX INC - CLASS A (BOX) Stock Fundamental Analysis
NYSE:BOX - US10316T1043 - Common Stock
32.83 USD
+0.37 (+1.14%)
32.76 USD
-0.07 (-0.21%)
BOX gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 282 industry peers in the Software industry. Both the profitability and the financial health of BOX get a neutral evaluation. Nothing too spectacular is happening here. BOX has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
BOX had positive earnings in the past year.
BOX had a positive operating cash flow in the past year.
In multiple years BOX reported negative net income over the last 5 years.
Each year in the past 5 years BOX had a positive operating cash flow.
1.2 Ratios
BOX has a better Return On Assets (11.79%) than 89.01% of its industry peers.
The Return On Equity of BOX (90.21%) is better than 98.23% of its industry peers.
BOX has a better Return On Invested Capital (7.02%) than 76.24% of its industry peers.
The Average Return On Invested Capital over the past 3 years for BOX is below the industry average of 11.98%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.79% | ||
| ROE | 90.21% | ||
| ROIC | 7.02% |
ROA(3y)6.93%
ROA(5y)2.74%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)7.16%
ROIC(5y)N/A
1.3 Margins
With an excellent Profit Margin value of 17.57%, BOX belongs to the best of the industry, outperforming 81.56% of the companies in the same industry.
With a decent Operating Margin value of 6.17%, BOX is doing good in the industry, outperforming 70.57% of the companies in the same industry.
BOX has a Gross Margin of 79.08%. This is in the better half of the industry: BOX outperforms 77.31% of its industry peers.
BOX's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.17% | ||
| PM (TTM) | 17.57% | ||
| GM | 79.08% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.43%
GM growth 5Y2.75%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), BOX is destroying value.
Compared to 1 year ago, BOX has about the same amount of shares outstanding.
BOX has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, BOX has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.10 indicates that BOX is not a great score, but indicates only limited risk for bankruptcy at the moment.
BOX has a Altman-Z score of 2.10. This is comparable to the rest of the industry: BOX outperforms 50.35% of its industry peers.
BOX has a debt to FCF ratio of 2.21. This is a good value and a sign of high solvency as BOX would need 2.21 years to pay back of all of its debts.
The Debt to FCF ratio of BOX (2.21) is better than 67.02% of its industry peers.
BOX has a Debt/Equity ratio of 2.09. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 2.09, BOX is doing worse than 80.14% of the companies in the same industry.
Although BOX does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.09 | ||
| Debt/FCF | 2.21 | ||
| Altman-Z | 2.1 |
ROIC/WACC0.63
WACC11.07%
2.3 Liquidity
BOX has a Current Ratio of 1.20. This is a normal value and indicates that BOX is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of BOX (1.20) is worse than 63.48% of its industry peers.
BOX has a Quick Ratio of 1.20. This is a normal value and indicates that BOX is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.20, BOX is doing worse than 63.12% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.2 | ||
| Quick Ratio | 1.2 |
3. Growth
3.1 Past
BOX shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -6.83%.
Measured over the past years, BOX shows a very strong growth in Earnings Per Share. The EPS has been growing by 124.22% on average per year.
BOX shows a small growth in Revenue. In the last year, the Revenue has grown by 5.05%.
Measured over the past years, BOX shows a quite strong growth in Revenue. The Revenue has been growing by 9.38% on average per year.
EPS 1Y (TTM)-6.83%
EPS 3Y25.99%
EPS 5Y124.22%
EPS Q2Q%-25%
Revenue 1Y (TTM)5.05%
Revenue growth 3Y7.63%
Revenue growth 5Y9.38%
Sales Q2Q%8.87%
3.2 Future
BOX is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 16.29% yearly.
BOX is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.19% yearly.
EPS Next Y-20.61%
EPS Next 2Y-5.41%
EPS Next 3Y8.33%
EPS Next 5Y16.29%
Revenue Next Year7.45%
Revenue Next 2Y7.53%
Revenue Next 3Y8.29%
Revenue Next 5Y9.19%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 21.89 indicates a rather expensive valuation of BOX.
Based on the Price/Earnings ratio, BOX is valued a bit cheaper than 75.18% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.17, BOX is valued at the same level.
With a Price/Forward Earnings ratio of 21.59, BOX is valued on the expensive side.
Based on the Price/Forward Earnings ratio, BOX is valued a bit cheaper than 73.76% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of BOX to the average of the S&P500 Index (22.78), we can say BOX is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.89 | ||
| Fwd PE | 21.59 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, BOX is valued a bit cheaper than 63.12% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, BOX is valued cheaper than 88.30% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.06 | ||
| EV/EBITDA | 48.36 |
4.3 Compensation for Growth
The decent profitability rating of BOX may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.18
EPS Next 2Y-5.41%
EPS Next 3Y8.33%
5. Dividend
5.1 Amount
BOX does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
32.83
+0.37 (+1.14%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners105.03%
Inst Owner Change4.99%
Ins Owners3.25%
Ins Owner Change0.01%
Market Cap4.75B
Analysts77.14
Price Target37.21 (13.34%)
Short Float %10.28%
Short Ratio8.13
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0.1
Dividend Growth(5Y)N/A
DP7.75%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)7.33%
Min EPS beat(2)-0.06%
Max EPS beat(2)14.73%
EPS beat(4)3
Avg EPS beat(4)7.12%
Min EPS beat(4)-0.06%
Max EPS beat(4)14.73%
EPS beat(8)6
Avg EPS beat(8)5.12%
EPS beat(12)10
Avg EPS beat(12)5.64%
EPS beat(16)14
Avg EPS beat(16)5.57%
Revenue beat(2)0
Avg Revenue beat(2)-0.71%
Min Revenue beat(2)-0.96%
Max Revenue beat(2)-0.46%
Revenue beat(4)0
Avg Revenue beat(4)-0.73%
Min Revenue beat(4)-0.96%
Max Revenue beat(4)-0.46%
Revenue beat(8)0
Avg Revenue beat(8)-0.83%
Revenue beat(12)1
Avg Revenue beat(12)-0.78%
Revenue beat(16)4
Avg Revenue beat(16)-0.39%
PT rev (1m)0%
PT rev (3m)-0.02%
EPS NQ rev (1m)0%
EPS NQ rev (3m)10.53%
EPS NY rev (1m)0%
EPS NY rev (3m)4.67%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.99%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.28%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.89 | ||
| Fwd PE | 21.59 | ||
| P/S | 4.32 | ||
| P/FCF | 16.06 | ||
| P/OCF | 14.49 | ||
| P/B | 22.16 | ||
| P/tB | 35.46 | ||
| EV/EBITDA | 48.36 |
EPS(TTM)1.5
EY4.57%
EPS(NY)1.52
Fwd EY4.63%
FCF(TTM)2.04
FCFY6.23%
OCF(TTM)2.27
OCFY6.9%
SpS7.61
BVpS1.48
TBVpS0.93
PEG (NY)N/A
PEG (5Y)0.18
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.79% | ||
| ROE | 90.21% | ||
| ROCE | 8.89% | ||
| ROIC | 7.02% | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | 6.17% | ||
| PM (TTM) | 17.57% | ||
| GM | 79.08% | ||
| FCFM | 26.87% |
ROA(3y)6.93%
ROA(5y)2.74%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)7.16%
ROIC(5y)N/A
ROICexc(3y)141.33%
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)9.07%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.43%
GM growth 5Y2.75%
F-Score7
Asset Turnover0.67
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.09 | ||
| Debt/FCF | 2.21 | ||
| Debt/EBITDA | 4.87 | ||
| Cap/Depr | 132.15% | ||
| Cap/Sales | 2.92% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 355.58% | ||
| Profit Quality | 152.91% | ||
| Current Ratio | 1.2 | ||
| Quick Ratio | 1.2 | ||
| Altman-Z | 2.1 |
F-Score7
WACC11.07%
ROIC/WACC0.63
Cap/Depr(3y)65.86%
Cap/Depr(5y)46.57%
Cap/Sales(3y)2.07%
Cap/Sales(5y)1.91%
Profit Quality(3y)1242%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-6.83%
EPS 3Y25.99%
EPS 5Y124.22%
EPS Q2Q%-25%
EPS Next Y-20.61%
EPS Next 2Y-5.41%
EPS Next 3Y8.33%
EPS Next 5Y16.29%
Revenue 1Y (TTM)5.05%
Revenue growth 3Y7.63%
Revenue growth 5Y9.38%
Sales Q2Q%8.87%
Revenue Next Year7.45%
Revenue Next 2Y7.53%
Revenue Next 3Y8.29%
Revenue Next 5Y9.19%
EBIT growth 1Y12.43%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year16.29%
EBIT Next 3Y15.3%
EBIT Next 5Y1.46%
FCF growth 1Y0.13%
FCF growth 3Y10.43%
FCF growth 5Y57.36%
OCF growth 1Y4.1%
OCF growth 3Y12.27%
OCF growth 5Y49.36%