BOX INC - CLASS A (BOX)
US10316T1043 - Common Stock
BOX gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 276 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 correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year BOX was profitable.
BOX had a positive operating cash flow in the past year.
In multiple years BOX reported negative net income over the last 5 years.
In the past 5 years BOX always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of BOX (7.99%) is better than 87.59% of its industry peers.
BOX's Return On Equity of 162.42% is amongst the best of the industry. BOX outperforms 98.91% of its industry peers.
BOX has a Return On Invested Capital of 7.04%. This is amongst the best in the industry. BOX outperforms 85.04% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.99% | ||
| ROE | 162.42% | ||
| ROIC | 7.04% |
ROA(3y)1.61%
ROA(5y)-2.68%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
BOX's Profit Margin of 9.55% is amongst the best of the industry. BOX outperforms 81.39% of its industry peers.
With a decent Operating Margin value of 4.89%, BOX is doing good in the industry, outperforming 74.82% of the companies in the same industry.
Looking at the Gross Margin, with a value of 74.88%, BOX is in the better half of the industry, outperforming 68.25% of the companies in the same industry.
BOX's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.89% | ||
| PM (TTM) | 9.55% | ||
| GM | 74.88% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.87%
GM growth 5Y0.94%
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 less shares outstanding
BOX has less shares outstanding than it did 5 years ago.
The debt/assets ratio for BOX has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.77, we must say that BOX is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of BOX (1.77) is comparable to the rest of the industry.
BOX has a debt to FCF ratio of 1.23. This is a very positive value and a sign of high solvency as it would only need 1.23 years to pay back of all of its debts.
BOX's Debt to FCF ratio of 1.23 is fine compared to the rest of the industry. BOX outperforms 75.18% of its industry peers.
BOX has a Debt/Equity ratio of 6.08. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 6.08, BOX is doing worse than 85.40% of the companies in the same industry.
Even though the debt/equity ratio score it not favorable for BOX, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 6.08 | ||
| Debt/FCF | 1.23 | ||
| Altman-Z | 1.77 |
ROIC/WACC0.72
WACC9.78%
2.3 Liquidity
A Current Ratio of 1.24 indicates that BOX should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.24, BOX is doing worse than 66.06% of the companies in the same industry.
BOX has a Quick Ratio of 1.24. This is a normal value and indicates that BOX is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of BOX (1.24) is worse than 63.87% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.24 | ||
| Quick Ratio | 1.24 |
3. Growth
3.1 Past
BOX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 19.67%, which is quite good.
BOX shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 27.77% yearly.
BOX shows a small growth in Revenue. In the last year, the Revenue has grown by 4.72%.
BOX shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.27% yearly.
EPS 1Y (TTM)19.67%
EPS 3Y27.77%
EPS 5YN/A
EPS growth Q2Q13.51%
Revenue 1Y (TTM)4.72%
Revenue growth 3Y10.42%
Revenue growth 5Y11.27%
Revenue growth Q2Q2.49%
3.2 Future
Based on estimates for the next years, BOX will show a quite strong growth in Earnings Per Share. The EPS will grow by 15.10% on average per year.
The Revenue is expected to grow by 7.02% on average over the next years.
EPS Next Y9.23%
EPS Next 2Y12.89%
EPS Next 3Y16.97%
EPS Next 5Y15.1%
Revenue Next Year4.39%
Revenue Next 2Y5.57%
Revenue Next 3Y7.12%
Revenue Next 5Y7.02%
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
BOX is valuated rather expensively with a Price/Earnings ratio of 18.49.
87.23% of the companies in the same industry are more expensive than BOX, based on the Price/Earnings ratio.
BOX's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 25.25.
Based on the Price/Forward Earnings ratio of 16.93, the valuation of BOX can be described as correct.
Based on the Price/Forward Earnings ratio, BOX is valued cheaply inside the industry as 87.96% of the companies are valued more expensively.
BOX is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 21.67, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.49 | ||
| Fwd PE | 16.93 |
4.2 Price Multiples
BOX's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. BOX is cheaper than 76.28% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, BOX is valued cheaply inside the industry as 92.70% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.98 | ||
| EV/EBITDA | 36.58 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of BOX may justify a higher PE ratio.
A more expensive valuation may be justified as BOX's earnings are expected to grow with 16.97% in the coming years.
PEG (NY)2
PEG (5Y)N/A
EPS Next 2Y12.89%
EPS Next 3Y16.97%
5. Dividend
5.1 Amount
BOX does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
BOX INC - CLASS A
NYSE:BOX (4/25/2024, 1:09:09 PM)
27
-0.28 (-1.03%)
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 Cap3.90B
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)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
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Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.49 | ||
| Fwd PE | 16.93 | ||
| 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
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.99% | ||
| ROE | 162.42% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 4.89% | ||
| PM (TTM) | 9.55% | ||
| GM | 74.88% | ||
| 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 Turnover0.84
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 6.08 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.24 | ||
| Quick Ratio | 1.24 | ||
| 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)19.67%
EPS 3Y27.77%
EPS 5Y
EPS growth Q2Q
EPS Next Y9.23%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)4.72%
Revenue growth 3Y10.42%
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