EGAIN CORP (EGAN) Stock Fundamental Analysis
USA - NASDAQ:EGAN - US28225C8064 - Common Stock
12.14 USD
+0.79 (+6.96%)
12.35 USD
+0.21 (+1.73%)
We assign a fundamental rating of 4 out of 10 to EGAN. EGAN was compared to 281 industry peers in the Software industry. EGAN has an average financial health and profitability rating. EGAN has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
EGAN had positive earnings in the past year.
In the past year EGAN had a positive cash flow from operations.
EGAN had positive earnings in 4 of the past 5 years.
In the past 5 years EGAN always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 21.79%, EGAN belongs to the top of the industry, outperforming 96.09% of the companies in the same industry.
EGAN has a better Return On Equity (39.95%) than 94.66% of its industry peers.
EGAN has a better Return On Invested Capital (4.13%) than 71.89% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for EGAN is significantly below the industry average of 11.92%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 21.79% | ||
| ROE | 39.95% | ||
| ROIC | 4.13% |
ROA(3y)9.83%
ROA(5y)6.73%
ROE(3y)18.89%
ROE(5y)13.5%
ROIC(3y)4.38%
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 36.47%, EGAN belongs to the top of the industry, outperforming 92.88% of the companies in the same industry.
In the last couple of years the Profit Margin of EGAN has grown nicely.
EGAN has a better Operating Margin (5.01%) than 67.62% of its industry peers.
EGAN's Operating Margin has declined in the last couple of years.
EGAN has a Gross Margin (70.12%) which is comparable to the rest of the industry.
EGAN's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.01% | ||
| PM (TTM) | 36.47% | ||
| GM | 70.12% |
OM growth 3YN/A
OM growth 5Y-13.22%
PM growth 3YN/A
PM growth 5Y29.76%
GM growth 3Y-1.47%
GM growth 5Y-0.25%
2. Health
2.1 Basic Checks
EGAN has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
EGAN has less shares outstanding than it did 1 year ago.
The number of shares outstanding for EGAN has been reduced compared to 5 years ago.
There is no outstanding debt for EGAN. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
EGAN has an Altman-Z score of 0.99. This is a bad value and indicates that EGAN is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.99, EGAN is doing worse than 61.92% of the companies in the same industry.
There is no outstanding debt for EGAN. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 0.99 |
ROIC/WACC0.38
WACC10.94%
2.3 Liquidity
A Current Ratio of 1.62 indicates that EGAN should not have too much problems paying its short term obligations.
EGAN's Current ratio of 1.62 is in line compared to the rest of the industry. EGAN outperforms 51.25% of its industry peers.
EGAN has a Quick Ratio of 1.62. This is a normal value and indicates that EGAN is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of EGAN (1.62) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.62 | ||
| Quick Ratio | 1.62 |
3. Growth
3.1 Past
EGAN shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.45%.
Measured over the past years, EGAN shows a decrease in Earnings Per Share. The EPS has been decreasing by -6.51% on average per year.
EGAN shows a decrease in Revenue. In the last year, the revenue decreased by -4.71%.
The Revenue has been growing slightly by 3.99% on average over the past years.
EPS 1Y (TTM)6.45%
EPS 3Y-11.65%
EPS 5Y-6.51%
EPS Q2Q%325%
Revenue 1Y (TTM)-4.71%
Revenue growth 3Y-1.29%
Revenue growth 5Y3.99%
Sales Q2Q%7.85%
3.2 Future
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
EPS Next Y75.95%
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year3.58%
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 36.79 indicates a quite expensive valuation of EGAN.
61.21% of the companies in the same industry are more expensive than EGAN, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of EGAN to the average of the S&P500 Index (25.89), we can say EGAN is valued slightly more expensively.
With a Price/Forward Earnings ratio of 34.50, EGAN can be considered very expensive at the moment.
EGAN's Price/Forward Earnings is on the same level as the industry average.
When comparing the Price/Forward Earnings ratio of EGAN to the average of the S&P500 Index (34.59), we can say EGAN is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.79 | ||
| Fwd PE | 34.5 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of EGAN indicates a somewhat cheap valuation: EGAN is cheaper than 63.35% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of EGAN is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 69.82 | ||
| EV/EBITDA | 51.07 |
4.3 Compensation for Growth
EGAN's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
EGAN has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.48
PEG (5Y)N/A
EPS Next 2YN/A
EPS Next 3YN/A
5. Dividend
5.1 Amount
EGAN does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
12.14
+0.79 (+6.96%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners56.25%
Inst Owner Change-2.19%
Ins Owners36.24%
Ins Owner Change0.01%
Market Cap328.02M
Revenue(TTM)88.43M
Net Income(TTM)32.25M
Analysts80
Price Target8.41 (-30.72%)
Short Float %4.13%
Short Ratio2.46
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)1
Avg EPS beat(2)0.55%
Min EPS beat(2)-34.64%
Max EPS beat(2)35.75%
EPS beat(4)3
Avg EPS beat(4)195.38%
Min EPS beat(4)-34.64%
Max EPS beat(4)684.31%
EPS beat(8)7
Avg EPS beat(8)139.85%
EPS beat(12)11
Avg EPS beat(12)161.44%
EPS beat(16)15
Avg EPS beat(16)264.93%
Revenue beat(2)0
Avg Revenue beat(2)-2.08%
Min Revenue beat(2)-3.04%
Max Revenue beat(2)-1.13%
Revenue beat(4)0
Avg Revenue beat(4)-2.04%
Min Revenue beat(4)-3.04%
Max Revenue beat(4)-1.13%
Revenue beat(8)1
Avg Revenue beat(8)-1.32%
Revenue beat(12)4
Avg Revenue beat(12)-1.01%
Revenue beat(16)6
Avg Revenue beat(16)-0.59%
PT rev (1m)0%
PT rev (3m)3.13%
EPS NQ rev (1m)0%
EPS NQ rev (3m)133.33%
EPS NY rev (1m)0%
EPS NY rev (3m)68.29%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.05%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-4.42%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.79 | ||
| Fwd PE | 34.5 | ||
| P/S | 3.71 | ||
| P/FCF | 69.82 | ||
| P/OCF | 62.33 | ||
| P/B | 4.06 | ||
| P/tB | 4.86 | ||
| EV/EBITDA | 51.07 |
EPS(TTM)0.33
EY2.72%
EPS(NY)0.35
Fwd EY2.9%
FCF(TTM)0.17
FCFY1.43%
OCF(TTM)0.19
OCFY1.6%
SpS3.27
BVpS2.99
TBVpS2.5
PEG (NY)0.48
PEG (5Y)N/A
Graham Number4.71
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 21.79% | ||
| ROE | 39.95% | ||
| ROCE | 5.16% | ||
| ROIC | 4.13% | ||
| ROICexc | 15.47% | ||
| ROICexgc | 36.37% | ||
| OM | 5.01% | ||
| PM (TTM) | 36.47% | ||
| GM | 70.12% | ||
| FCFM | 5.31% |
ROA(3y)9.83%
ROA(5y)6.73%
ROE(3y)18.89%
ROE(5y)13.5%
ROIC(3y)4.38%
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)5.47%
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5Y-13.22%
PM growth 3YN/A
PM growth 5Y29.76%
GM growth 3Y-1.47%
GM growth 5Y-0.25%
F-Score5
Asset Turnover0.6
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 166.18% | ||
| Cap/Sales | 0.64% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 110.27% | ||
| Profit Quality | 14.57% | ||
| Current Ratio | 1.62 | ||
| Quick Ratio | 1.62 | ||
| Altman-Z | 0.99 |
F-Score5
WACC10.94%
ROIC/WACC0.38
Cap/Depr(3y)92.17%
Cap/Depr(5y)98.95%
Cap/Sales(3y)0.38%
Cap/Sales(5y)0.47%
Profit Quality(3y)125.77%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)6.45%
EPS 3Y-11.65%
EPS 5Y-6.51%
EPS Q2Q%325%
EPS Next Y75.95%
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-4.71%
Revenue growth 3Y-1.29%
Revenue growth 5Y3.99%
Sales Q2Q%7.85%
Revenue Next Year3.58%
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-25.81%
EBIT growth 3YN/A
EBIT growth 5Y-9.76%
EBIT Next Year101.41%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-61.67%
FCF growth 3Y-14.4%
FCF growth 5Y-19.09%
OCF growth 1Y-57.74%
OCF growth 3Y-13.46%
OCF growth 5Y-17.84%
EGAIN CORP / EGAN FAQ
What is the ChartMill fundamental rating of EGAIN CORP (EGAN) stock?
ChartMill assigns a fundamental rating of 4 / 10 to EGAN.
What is the valuation status of EGAIN CORP (EGAN) stock?
ChartMill assigns a valuation rating of 4 / 10 to EGAIN CORP (EGAN). This can be considered as Fairly Valued.
What is the profitability of EGAN stock?
EGAIN CORP (EGAN) has a profitability rating of 6 / 10.
How financially healthy is EGAIN CORP?
The financial health rating of EGAIN CORP (EGAN) is 6 / 10.