BENTLEY SYSTEMS INC-CLASS B (BSY) Stock Fundamental Analysis
USA - NASDAQ:BSY - US08265T2087 - Common Stock
51.48 USD
-0.5 (-0.96%)
51.48 USD
0 (0%)
Taking everything into account, BSY scores 5 out of 10 in our fundamental rating. BSY was compared to 281 industry peers in the Software industry. BSY scores excellent on profitability, but there are concerns on its financial health. BSY is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year BSY was profitable.
In the past year BSY had a positive cash flow from operations.
In the past 5 years BSY has always been profitable.
BSY had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of BSY (7.43%) is better than 80.43% of its industry peers.
BSY has a Return On Equity of 21.88%. This is amongst the best in the industry. BSY outperforms 88.26% of its industry peers.
BSY has a Return On Invested Capital of 10.54%. This is amongst the best in the industry. BSY outperforms 86.12% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for BSY is below the industry average of 11.95%.
The last Return On Invested Capital (10.54%) for BSY is above the 3 year average (8.00%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.43% | ||
| ROE | 21.88% | ||
| ROIC | 10.54% |
ROA(3y)7.42%
ROA(5y)7.4%
ROE(3y)30.01%
ROE(5y)29.96%
ROIC(3y)8%
ROIC(5y)10.54%
1.3 Margins
BSY has a Profit Margin of 17.91%. This is amongst the best in the industry. BSY outperforms 81.85% of its industry peers.
In the last couple of years the Profit Margin of BSY has grown nicely.
The Operating Margin of BSY (23.82%) is better than 89.32% of its industry peers.
BSY's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 81.18%, BSY belongs to the top of the industry, outperforming 83.99% of the companies in the same industry.
BSY's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.82% | ||
| PM (TTM) | 17.91% | ||
| GM | 81.18% |
OM growth 3Y5.52%
OM growth 5Y3.69%
PM growth 3Y21.55%
PM growth 5Y4.39%
GM growth 3Y1.43%
GM growth 5Y0.13%
2. Health
2.1 Basic Checks
BSY 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 BSY has been increased compared to 1 year ago.
Compared to 5 years ago, BSY has more shares outstanding
The debt/assets ratio for BSY has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 4.77 indicates that BSY is not in any danger for bankruptcy at the moment.
BSY has a better Altman-Z score (4.77) than 67.26% of its industry peers.
The Debt to FCF ratio of BSY is 2.87, which is a good value as it means it would take BSY, 2.87 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 2.87, BSY is in the better half of the industry, outperforming 64.06% of the companies in the same industry.
A Debt/Equity ratio of 1.07 is on the high side and indicates that BSY has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 1.07, BSY is doing worse than 75.44% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.07 | ||
| Debt/FCF | 2.87 | ||
| Altman-Z | 4.77 |
ROIC/WACC0.96
WACC10.95%
2.3 Liquidity
BSY has a Current Ratio of 0.51. This is a bad value and indicates that BSY is not financially healthy enough and could expect problems in meeting its short term obligations.
BSY's Current ratio of 0.51 is on the low side compared to the rest of the industry. BSY is outperformed by 88.61% of its industry peers.
A Quick Ratio of 0.51 indicates that BSY may have some problems paying its short term obligations.
With a Quick ratio value of 0.51, BSY is not doing good in the industry: 88.61% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.51 | ||
| Quick Ratio | 0.51 |
3. Growth
3.1 Past
BSY shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 7.69%.
BSY shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 12.41% yearly.
BSY shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 10.45%.
Measured over the past years, BSY shows a quite strong growth in Revenue. The Revenue has been growing by 12.93% on average per year.
EPS 1Y (TTM)7.69%
EPS 3Y8.4%
EPS 5Y12.41%
EPS Q2Q%3.23%
Revenue 1Y (TTM)10.45%
Revenue growth 3Y11.93%
Revenue growth 5Y12.93%
Sales Q2Q%10.22%
3.2 Future
BSY is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 14.99% yearly.
Based on estimates for the next years, BSY will show a quite strong growth in Revenue. The Revenue will grow by 9.16% on average per year.
EPS Next Y13.74%
EPS Next 2Y12.77%
EPS Next 3Y14.01%
EPS Next 5Y14.99%
Revenue Next Year10.02%
Revenue Next 2Y10.2%
Revenue Next 3Y10.37%
Revenue Next 5Y9.16%
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
Based on the Price/Earnings ratio of 45.96, the valuation of BSY can be described as expensive.
BSY's Price/Earnings is on the same level as the industry average.
BSY is valuated expensively when we compare the Price/Earnings ratio to 27.76, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 37.84, which means the current valuation is very expensive for BSY.
BSY's Price/Forward Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.18, BSY is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 45.96 | ||
| Fwd PE | 37.84 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, BSY is valued a bit cheaper than 67.26% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of BSY indicates a somewhat cheap valuation: BSY is cheaper than 67.62% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 36.04 | ||
| EV/EBITDA | 42.16 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates BSY does not grow enough to justify the current Price/Earnings ratio.
The excellent profitability rating of BSY may justify a higher PE ratio.
A more expensive valuation may be justified as BSY's earnings are expected to grow with 14.01% in the coming years.
PEG (NY)3.34
PEG (5Y)3.7
EPS Next 2Y12.77%
EPS Next 3Y14.01%
5. Dividend
5.1 Amount
With a yearly dividend of 0.54%, BSY is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 39.95, BSY pays a better dividend. On top of this BSY pays more dividend than 89.68% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.41, BSY's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.54% |
5.2 History
BSY has been paying a dividend for over 5 years, so it has already some track record.
BSY has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years2
Div Non Decr Years4
5.3 Sustainability
BSY pays out 30.98% of its income as dividend. This is a sustainable payout ratio.
DP30.98%
EPS Next 2Y12.77%
EPS Next 3Y14.01%
51.48
-0.5 (-0.96%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners45.02%
Inst Owner Change3.87%
Ins Owners40.36%
Ins Owner Change-2.03%
Market Cap15.63B
Analysts76.84
Price Target60.57 (17.66%)
Short Float %5.6%
Short Ratio5.98
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.54% |
Yearly Dividend0.24
Dividend Growth(5Y)N/A
DP30.98%
Div Incr Years2
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)12.63%
Min EPS beat(2)11.45%
Max EPS beat(2)13.82%
EPS beat(4)2
Avg EPS beat(4)4.8%
Min EPS beat(4)-4.04%
Max EPS beat(4)13.82%
EPS beat(8)6
Avg EPS beat(8)11.84%
EPS beat(12)10
Avg EPS beat(12)12.54%
EPS beat(16)14
Avg EPS beat(16)14.49%
Revenue beat(2)1
Avg Revenue beat(2)-0.42%
Min Revenue beat(2)-0.85%
Max Revenue beat(2)0.02%
Revenue beat(4)1
Avg Revenue beat(4)-1.15%
Min Revenue beat(4)-2.61%
Max Revenue beat(4)0.02%
Revenue beat(8)3
Avg Revenue beat(8)-0.77%
Revenue beat(12)5
Avg Revenue beat(12)-0.29%
Revenue beat(16)8
Avg Revenue beat(16)0.07%
PT rev (1m)0.01%
PT rev (3m)13.73%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-2.25%
EPS NY rev (1m)-0.22%
EPS NY rev (3m)2.09%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.37%
Revenue NY rev (1m)0.07%
Revenue NY rev (3m)0.2%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 45.96 | ||
| Fwd PE | 37.84 | ||
| P/S | 11.01 | ||
| P/FCF | 36.04 | ||
| P/OCF | 34.87 | ||
| P/B | 13.45 | ||
| P/tB | N/A | ||
| EV/EBITDA | 42.16 |
EPS(TTM)1.12
EY2.18%
EPS(NY)1.36
Fwd EY2.64%
FCF(TTM)1.43
FCFY2.77%
OCF(TTM)1.48
OCFY2.87%
SpS4.68
BVpS3.83
TBVpS-4.77
PEG (NY)3.34
PEG (5Y)3.7
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.43% | ||
| ROE | 21.88% | ||
| ROCE | 13.19% | ||
| ROIC | 10.54% | ||
| ROICexc | 10.92% | ||
| ROICexgc | N/A | ||
| OM | 23.82% | ||
| PM (TTM) | 17.91% | ||
| GM | 81.18% | ||
| FCFM | 30.55% |
ROA(3y)7.42%
ROA(5y)7.4%
ROE(3y)30.01%
ROE(5y)29.96%
ROIC(3y)8%
ROIC(5y)10.54%
ROICexc(3y)8.22%
ROICexc(5y)11.91%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)10%
ROCE(5y)13.18%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y4.29%
ROICexc growth 5Y-15.93%
OM growth 3Y5.52%
OM growth 5Y3.69%
PM growth 3Y21.55%
PM growth 5Y4.39%
GM growth 3Y1.43%
GM growth 5Y0.13%
F-Score8
Asset Turnover0.41
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.07 | ||
| Debt/FCF | 2.87 | ||
| Debt/EBITDA | 3.1 | ||
| Cap/Depr | 22.78% | ||
| Cap/Sales | 1.02% | ||
| Interest Coverage | 28.61 | ||
| Cash Conversion | 111.55% | ||
| Profit Quality | 170.63% | ||
| Current Ratio | 0.51 | ||
| Quick Ratio | 0.51 | ||
| Altman-Z | 4.77 |
F-Score8
WACC10.95%
ROIC/WACC0.96
Cap/Depr(3y)27.47%
Cap/Depr(5y)32.2%
Cap/Sales(3y)1.59%
Cap/Sales(5y)1.72%
Profit Quality(3y)148.6%
Profit Quality(5y)185.51%
High Growth Momentum
Growth
EPS 1Y (TTM)7.69%
EPS 3Y8.4%
EPS 5Y12.41%
EPS Q2Q%3.23%
EPS Next Y13.74%
EPS Next 2Y12.77%
EPS Next 3Y14.01%
EPS Next 5Y14.99%
Revenue 1Y (TTM)10.45%
Revenue growth 3Y11.93%
Revenue growth 5Y12.93%
Sales Q2Q%10.22%
Revenue Next Year10.02%
Revenue Next 2Y10.2%
Revenue Next 3Y10.37%
Revenue Next 5Y9.16%
EBIT growth 1Y15.23%
EBIT growth 3Y18.11%
EBIT growth 5Y17.09%
EBIT Next Year15.98%
EBIT Next 3Y15.8%
EBIT Next 5Y10.9%
FCF growth 1Y27.87%
FCF growth 3Y15.91%
FCF growth 5Y22.26%
OCF growth 1Y23.69%
OCF growth 3Y14.76%
OCF growth 5Y20.58%