E2OPEN PARENT HOLDINGS INC (ETWO) Stock Fundamental Analysis
NYSE:ETWO - New York Stock Exchange, Inc. - US29788T1034 - Common Stock - Currency: USD
ETWO gets a fundamental rating of 2 out of 10. The analysis compared the fundamentals against 282 industry peers in the Software industry. ETWO may be in some trouble as it scores bad on both profitability and health. ETWO has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year ETWO was profitable.
ETWO had a positive operating cash flow in the past year.
ETWO had negative earnings in each of the past 5 years.
ETWO had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of ETWO (-27.83%) is worse than 71.99% of its industry peers.
ETWO's Return On Equity of -78.11% is on the low side compared to the rest of the industry. ETWO is outperformed by 74.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -27.83% | ||
| ROE | -78.11% | ||
| ROIC | N/A |
ROA(3y)-25.54%
ROA(5y)-16.13%
ROE(3y)-58.69%
ROE(5y)-36.61%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With a Gross Margin value of 49.32%, ETWO is not doing good in the industry: 69.15% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of ETWO has declined.
ETWO does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 49.32% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.18%
GM growth 5Y-3.94%
2. Health
2.1 Basic Checks
ETWO does not have a ROIC to compare to the WACC, probably because it is not profitable.
ETWO has more shares outstanding than it did 1 year ago.
ETWO has more shares outstanding than it did 5 years ago.
The debt/assets ratio for ETWO is higher compared to a year ago.
2.2 Solvency
ETWO has an Altman-Z score of -0.84. This is a bad value and indicates that ETWO is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of -0.84, ETWO is doing worse than 74.82% of the companies in the same industry.
The Debt to FCF ratio of ETWO is 14.17, which is on the high side as it means it would take ETWO, 14.17 years of fcf income to pay off all of its debts.
ETWO's Debt to FCF ratio of 14.17 is in line compared to the rest of the industry. ETWO outperforms 48.94% of its industry peers.
ETWO has a Debt/Equity ratio of 1.22. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 1.22, ETWO is not doing good in the industry: 76.24% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.22 | ||
| Debt/FCF | 14.17 | ||
| Altman-Z | -0.84 |
ROIC/WACCN/A
WACC9.41%
2.3 Liquidity
ETWO has a Current Ratio of 1.14. This is a normal value and indicates that ETWO is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.14, ETWO is not doing good in the industry: 68.09% of the companies in the same industry are doing better.
A Quick Ratio of 1.14 indicates that ETWO should not have too much problems paying its short term obligations.
ETWO's Quick ratio of 1.14 is on the low side compared to the rest of the industry. ETWO is outperformed by 67.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.14 | ||
| Quick Ratio | 1.14 |
3. Growth
3.1 Past
ETWO shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 11.11%, which is quite good.
ETWO shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 5.57% yearly.
Looking at the last year, ETWO shows a decrease in Revenue. The Revenue has decreased by -4.23% in the last year.
ETWO shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 14.78% yearly.
EPS 1Y (TTM)11.11%
EPS 3Y5.57%
EPS 5YN/A
EPS Q2Q%20%
Revenue 1Y (TTM)-4.23%
Revenue growth 3Y12.61%
Revenue growth 5Y14.78%
Sales Q2Q%-3.64%
3.2 Future
Based on estimates for the next years, ETWO will show a small growth in Earnings Per Share. The EPS will grow by 7.37% on average per year.
ETWO is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.85% yearly.
EPS Next Y-3.1%
EPS Next 2Y5.12%
EPS Next 3Y7.37%
EPS Next 5YN/A
Revenue Next Year-0.88%
Revenue Next 2Y0.71%
Revenue Next 3Y1.85%
Revenue Next 5YN/A
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 16.25, which indicates a correct valuation of ETWO.
85.46% of the companies in the same industry are more expensive than ETWO, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 27.45, ETWO is valued a bit cheaper.
ETWO is valuated correctly with a Price/Forward Earnings ratio of 16.77.
Based on the Price/Forward Earnings ratio, ETWO is valued cheaply inside the industry as 83.69% of the companies are valued more expensively.
ETWO is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 21.90, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.25 | ||
| Fwd PE | 16.77 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ETWO is valued cheaper than 89.72% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of ETWO indicates a rather cheap valuation: ETWO is cheaper than 91.49% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.63 | ||
| EV/EBITDA | 11.15 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y5.12%
EPS Next 3Y7.37%
5. Dividend
5.1 Amount
No dividends for ETWO!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
3.25
0 (0%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners73.19%
Inst Owner Change-0.85%
Ins Owners1.51%
Ins Owner Change46.71%
Market Cap1.01B
Analysts47.5
Price Target3.18 (-2.15%)
Short Float %2.67%
Short Ratio0.82
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)7.84%
Min EPS beat(2)-1.96%
Max EPS beat(2)17.65%
EPS beat(4)2
Avg EPS beat(4)2.79%
Min EPS beat(4)-7.73%
Max EPS beat(4)17.65%
EPS beat(8)3
Avg EPS beat(8)-1.47%
EPS beat(12)4
Avg EPS beat(12)-1.63%
EPS beat(16)6
Avg EPS beat(16)-247.37%
Revenue beat(2)0
Avg Revenue beat(2)-2.38%
Min Revenue beat(2)-2.59%
Max Revenue beat(2)-2.17%
Revenue beat(4)0
Avg Revenue beat(4)-3.2%
Min Revenue beat(4)-4.41%
Max Revenue beat(4)-2.17%
Revenue beat(8)1
Avg Revenue beat(8)-2.21%
Revenue beat(12)1
Avg Revenue beat(12)-2.65%
Revenue beat(16)1
Avg Revenue beat(16)-5.08%
PT rev (1m)23.16%
PT rev (3m)-1.58%
EPS NQ rev (1m)-5.88%
EPS NQ rev (3m)-11.11%
EPS NY rev (1m)-2.56%
EPS NY rev (3m)-10.59%
Revenue NQ rev (1m)-0.18%
Revenue NQ rev (3m)0.79%
Revenue NY rev (1m)-0.14%
Revenue NY rev (3m)-2.02%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.25 | ||
| Fwd PE | 16.77 | ||
| P/S | 1.66 | ||
| P/FCF | 13.63 | ||
| P/OCF | 10.17 | ||
| P/B | 1.19 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.15 |
EPS(TTM)0.2
EY6.15%
EPS(NY)0.19
Fwd EY5.96%
FCF(TTM)0.24
FCFY7.33%
OCF(TTM)0.32
OCFY9.83%
SpS1.96
BVpS2.72
TBVpS-3.36
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -27.83% | ||
| ROE | -78.11% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 49.32% | ||
| FCFM | 12.17% |
ROA(3y)-25.54%
ROA(5y)-16.13%
ROE(3y)-58.69%
ROE(5y)-36.61%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
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 3Y1.18%
GM growth 5Y-3.94%
F-Score5
Asset Turnover0.26
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.22 | ||
| Debt/FCF | 14.17 | ||
| Debt/EBITDA | 6.2 | ||
| Cap/Depr | 13.85% | ||
| Cap/Sales | 4.15% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 59.45% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.14 | ||
| Quick Ratio | 1.14 | ||
| Altman-Z | -0.84 |
F-Score5
WACC9.41%
ROIC/WACCN/A
Cap/Depr(3y)16.67%
Cap/Depr(5y)18.9%
Cap/Sales(3y)5.38%
Cap/Sales(5y)5.66%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)11.11%
EPS 3Y5.57%
EPS 5YN/A
EPS Q2Q%20%
EPS Next Y-3.1%
EPS Next 2Y5.12%
EPS Next 3Y7.37%
EPS Next 5YN/A
Revenue 1Y (TTM)-4.23%
Revenue growth 3Y12.61%
Revenue growth 5Y14.78%
Sales Q2Q%-3.64%
Revenue Next Year-0.88%
Revenue Next 2Y0.71%
Revenue Next 3Y1.85%
Revenue Next 5YN/A
EBIT growth 1Y76.17%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year6.95%
EBIT Next 3Y4.71%
EBIT Next 5YN/A
FCF growth 1Y32.93%
FCF growth 3Y56.28%
FCF growth 5YN/A
OCF growth 1Y16.81%
OCF growth 3Y24.68%
OCF growth 5YN/A