ENDAVA PLC- SPON ADR (DAVA) Stock Fundamental Analysis
NYSE:DAVA - New York Stock Exchange, Inc. - US29260V1052 - ADR - Currency: USD
DAVA gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 83 industry peers in the IT Services industry. Both the profitability and the financial health of DAVA get a neutral evaluation. Nothing too spectacular is happening here. DAVA is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
In the past year DAVA was profitable.
DAVA had a positive operating cash flow in the past year.
DAVA had positive earnings in each of the past 5 years.
In the past 5 years DAVA always reported a positive cash flow from operatings.
1.2 Ratios
DAVA has a Return On Assets of 1.89%. This is comparable to the rest of the industry: DAVA outperforms 53.01% of its industry peers.
DAVA's Return On Equity of 2.82% is in line compared to the rest of the industry. DAVA outperforms 54.22% of its industry peers.
DAVA's Return On Invested Capital of 2.10% is in line compared to the rest of the industry. DAVA outperforms 50.60% of its industry peers.
The Average Return On Invested Capital over the past 3 years for DAVA is significantly below the industry average of 22.74%.
The last Return On Invested Capital (2.10%) for DAVA is well below the 3 year average (9.56%), which needs to be investigated, but indicates that DAVA had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.89% | ||
| ROE | 2.82% | ||
| ROIC | 2.1% |
ROA(3y)9.09%
ROA(5y)8.43%
ROE(3y)12.79%
ROE(5y)12.33%
ROIC(3y)9.56%
ROIC(5y)9.48%
1.3 Margins
DAVA has a Profit Margin (2.33%) which is comparable to the rest of the industry.
DAVA's Profit Margin has declined in the last couple of years.
The Operating Margin of DAVA (3.09%) is comparable to the rest of the industry.
In the last couple of years the Operating Margin of DAVA has declined.
DAVA's Gross Margin of 24.42% is on the low side compared to the rest of the industry. DAVA is outperformed by 72.29% of its industry peers.
In the last couple of years the Gross Margin of DAVA has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.09% | ||
| PM (TTM) | 2.33% | ||
| GM | 24.42% |
OM growth 3Y-42.43%
OM growth 5Y-25.01%
PM growth 3Y-38.1%
PM growth 5Y-22.63%
GM growth 3Y-12.29%
GM growth 5Y-7.83%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so DAVA is still creating some value.
The number of shares outstanding for DAVA has been increased compared to 1 year ago.
Compared to 5 years ago, DAVA has more shares outstanding
The debt/assets ratio for DAVA is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.08 indicates that DAVA is not in any danger for bankruptcy at the moment.
DAVA has a Altman-Z score (3.08) which is in line with its industry peers.
DAVA has a debt to FCF ratio of 3.73. This is a good value and a sign of high solvency as DAVA would need 3.73 years to pay back of all of its debts.
With a Debt to FCF ratio value of 3.73, DAVA perfoms like the industry average, outperforming 59.04% of the companies in the same industry.
DAVA has a Debt/Equity ratio of 0.27. This is a healthy value indicating a solid balance between debt and equity.
DAVA has a Debt to Equity ratio (0.27) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 3.73 | ||
| Altman-Z | 3.08 |
ROIC/WACC0.26
WACC8.11%
2.3 Liquidity
DAVA has a Current Ratio of 2.18. This indicates that DAVA is financially healthy and has no problem in meeting its short term obligations.
With a decent Current ratio value of 2.18, DAVA is doing good in the industry, outperforming 65.06% of the companies in the same industry.
DAVA has a Quick Ratio of 2.18. This indicates that DAVA is financially healthy and has no problem in meeting its short term obligations.
DAVA has a Quick ratio of 2.18. This is in the better half of the industry: DAVA outperforms 68.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.18 | ||
| Quick Ratio | 2.18 |
3. Growth
3.1 Past
DAVA shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -24.75%.
DAVA shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 8.26% yearly.
Looking at the last year, DAVA shows a small growth in Revenue. The Revenue has grown by 5.95% in the last year.
Measured over the past years, DAVA shows a very strong growth in Revenue. The Revenue has been growing by 20.81% on average per year.
EPS 1Y (TTM)-24.75%
EPS 3Y-4.56%
EPS 5Y8.26%
EPS Q2Q%54.55%
Revenue 1Y (TTM)5.95%
Revenue growth 3Y18.4%
Revenue growth 5Y20.81%
Sales Q2Q%11.74%
3.2 Future
DAVA is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 15.92% yearly.
DAVA is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.86% yearly.
EPS Next Y0.87%
EPS Next 2Y2.79%
EPS Next 3Y7.73%
EPS Next 5Y15.92%
Revenue Next Year4.06%
Revenue Next 2Y1.8%
Revenue Next 3Y2.97%
Revenue Next 5Y5.86%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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
The Price/Earnings ratio is 8.49, which indicates a very decent valuation of DAVA.
DAVA's Price/Earnings ratio is rather cheap when compared to the industry. DAVA is cheaper than 92.77% of the companies in the same industry.
DAVA is valuated cheaply when we compare the Price/Earnings ratio to 26.82, which is the current average of the S&P500 Index.
DAVA is valuated cheaply with a Price/Forward Earnings ratio of 7.93.
DAVA's Price/Forward Earnings ratio is rather cheap when compared to the industry. DAVA is cheaper than 93.98% of the companies in the same industry.
DAVA is valuated cheaply when we compare the Price/Forward Earnings ratio to 35.24, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.49 | ||
| Fwd PE | 7.93 |
4.2 Price Multiples
DAVA's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. DAVA is cheaper than 71.08% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, DAVA is valued cheaply inside the industry as 91.57% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.31 | ||
| EV/EBITDA | 10.82 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)9.79
PEG (5Y)1.03
EPS Next 2Y2.79%
EPS Next 3Y7.73%
5. Dividend
5.1 Amount
No dividends for DAVA!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
12.82
+0.23 (+1.83%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners89.22%
Inst Owner Change-8.04%
Ins Owners0.61%
Ins Owner ChangeN/A
Market Cap762.21M
Analysts76.47
Price Target22.65 (76.68%)
Short Float %5.11%
Short Ratio2.98
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)11.73%
Min EPS beat(2)4.93%
Max EPS beat(2)18.52%
EPS beat(4)3
Avg EPS beat(4)8.75%
Min EPS beat(4)-4.63%
Max EPS beat(4)18.52%
EPS beat(8)7
Avg EPS beat(8)11.02%
EPS beat(12)10
Avg EPS beat(12)8.55%
EPS beat(16)14
Avg EPS beat(16)8.9%
Revenue beat(2)0
Avg Revenue beat(2)-3.07%
Min Revenue beat(2)-3.81%
Max Revenue beat(2)-2.32%
Revenue beat(4)0
Avg Revenue beat(4)-2.61%
Min Revenue beat(4)-3.81%
Max Revenue beat(4)-1.71%
Revenue beat(8)0
Avg Revenue beat(8)-2.15%
Revenue beat(12)0
Avg Revenue beat(12)-1.72%
Revenue beat(16)2
Avg Revenue beat(16)-1.03%
PT rev (1m)-4.82%
PT rev (3m)-28.66%
EPS NQ rev (1m)6.91%
EPS NQ rev (3m)-30.27%
EPS NY rev (1m)0%
EPS NY rev (3m)-7.29%
Revenue NQ rev (1m)-0.54%
Revenue NQ rev (3m)-10.12%
Revenue NY rev (1m)-0.01%
Revenue NY rev (3m)-2.64%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.49 | ||
| Fwd PE | 7.93 | ||
| P/S | 0.72 | ||
| P/FCF | 11.31 | ||
| P/OCF | 10.33 | ||
| P/B | 0.87 | ||
| P/tB | 12.61 | ||
| EV/EBITDA | 10.82 |
EPS(TTM)1.51
EY11.78%
EPS(NY)1.62
Fwd EY12.61%
FCF(TTM)1.13
FCFY8.84%
OCF(TTM)1.24
OCFY9.68%
SpS17.76
BVpS14.7
TBVpS1.02
PEG (NY)9.79
PEG (5Y)1.03
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.89% | ||
| ROE | 2.82% | ||
| ROCE | 2.87% | ||
| ROIC | 2.1% | ||
| ROICexc | 2.28% | ||
| ROICexgc | 10.46% | ||
| OM | 3.09% | ||
| PM (TTM) | 2.33% | ||
| GM | 24.42% | ||
| FCFM | 6.38% |
ROA(3y)9.09%
ROA(5y)8.43%
ROE(3y)12.79%
ROE(5y)12.33%
ROIC(3y)9.56%
ROIC(5y)9.48%
ROICexc(3y)13.4%
ROICexc(5y)13.08%
ROICexgc(3y)36.98%
ROICexgc(5y)34.67%
ROCE(3y)13.11%
ROCE(5y)12.99%
ROICexcg growth 3Y-39.57%
ROICexcg growth 5Y-33.59%
ROICexc growth 3Y-51.03%
ROICexc growth 5Y-40.4%
OM growth 3Y-42.43%
OM growth 5Y-25.01%
PM growth 3Y-38.1%
PM growth 5Y-22.63%
GM growth 3Y-12.29%
GM growth 5Y-7.83%
F-Score4
Asset Turnover0.81
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.27 | ||
| Debt/FCF | 3.73 | ||
| Debt/EBITDA | 2.73 | ||
| Cap/Depr | 12.16% | ||
| Cap/Sales | 0.6% | ||
| Interest Coverage | 2.9 | ||
| Cash Conversion | 86.64% | ||
| Profit Quality | 273.53% | ||
| Current Ratio | 2.18 | ||
| Quick Ratio | 2.18 | ||
| Altman-Z | 3.08 |
F-Score4
WACC8.11%
ROIC/WACC0.26
Cap/Depr(3y)34.71%
Cap/Depr(5y)33.76%
Cap/Sales(3y)1.53%
Cap/Sales(5y)1.59%
Profit Quality(3y)177.22%
Profit Quality(5y)174.57%
High Growth Momentum
Growth
EPS 1Y (TTM)-24.75%
EPS 3Y-4.56%
EPS 5Y8.26%
EPS Q2Q%54.55%
EPS Next Y0.87%
EPS Next 2Y2.79%
EPS Next 3Y7.73%
EPS Next 5Y15.92%
Revenue 1Y (TTM)5.95%
Revenue growth 3Y18.4%
Revenue growth 5Y20.81%
Sales Q2Q%11.74%
Revenue Next Year4.06%
Revenue Next 2Y1.8%
Revenue Next 3Y2.97%
Revenue Next 5Y5.86%
EBIT growth 1Y-43.1%
EBIT growth 3Y-31.84%
EBIT growth 5Y-9.4%
EBIT Next Year47.64%
EBIT Next 3Y21.48%
EBIT Next 5Y19.56%
FCF growth 1Y-59.45%
FCF growth 3Y-15.93%
FCF growth 5Y11.88%
OCF growth 1Y-60.61%
OCF growth 3Y-14.72%
OCF growth 5Y9.03%