E2OPEN PARENT HOLDINGS INC (ETWO) Stock Fundamental Analysis
USA - NYSE:ETWO - US29788T1034 - Common Stock
3.3 USD
0 (0%)
3.3 USD
0 (0%)
ETWO gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 284 industry peers in the Software industry. Both the profitability and financial health of ETWO have multiple concerns. ETWO is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
ETWO had positive earnings in the past year.
ETWO had a positive operating cash flow in the past year.
In the past 5 years ETWO always reported negative net income.
ETWO had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
ETWO has a worse Return On Assets (-26.71%) than 71.48% of its industry peers.
The Return On Equity of ETWO (-73.01%) is worse than 74.30% of its industry peers.
ETWO has a Return On Invested Capital of 0.17%. This is in the better half of the industry: ETWO outperforms 60.92% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -26.71% | ||
| ROE | -73.01% | ||
| ROIC | 0.17% |
ROA(3y)-25.54%
ROA(5y)-16.13%
ROE(3y)-58.69%
ROE(5y)-36.61%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With a decent Operating Margin value of 0.72%, ETWO is doing good in the industry, outperforming 61.62% of the companies in the same industry.
ETWO has a Gross Margin of 49.35%. This is in the lower half of the industry: ETWO underperforms 69.01% of its industry peers.
In the last couple of years the Gross Margin of ETWO has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.72% | ||
| PM (TTM) | N/A | ||
| GM | 49.35% |
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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so ETWO is destroying value.
ETWO has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, ETWO has more shares outstanding
Compared to 1 year ago, ETWO has a worse debt to assets ratio.
2.2 Solvency
ETWO has an Altman-Z score of -0.82. This is a bad value and indicates that ETWO is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of -0.82, ETWO is not doing good in the industry: 73.59% of the companies in the same industry are doing better.
The Debt to FCF ratio of ETWO is 13.31, which is on the high side as it means it would take ETWO, 13.31 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 13.31, ETWO perfoms like the industry average, outperforming 49.65% of the companies in the same industry.
A Debt/Equity ratio of 1.19 is on the high side and indicates that ETWO has dependencies on debt financing.
ETWO has a Debt to Equity ratio of 1.19. This is in the lower half of the industry: ETWO underperforms 76.41% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.19 | ||
| Debt/FCF | 13.31 | ||
| Altman-Z | -0.82 |
ROIC/WACC0.02
WACC11.35%
2.3 Liquidity
A Current Ratio of 1.05 indicates that ETWO should not have too much problems paying its short term obligations.
The Current ratio of ETWO (1.05) is worse than 71.13% of its industry peers.
ETWO has a Quick Ratio of 1.05. 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 Quick ratio value of 1.05, ETWO is not doing good in the industry: 69.72% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.05 | ||
| Quick Ratio | 1.05 |
3. Growth
3.1 Past
ETWO shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 23.53%, which is quite impressive.
The Earnings Per Share has been growing slightly by 5.57% on average over the past years.
The Revenue has decreased by -2.63% in the past year.
The Revenue has been growing by 14.78% on average over the past years. This is quite good.
EPS 1Y (TTM)23.53%
EPS 3Y5.57%
EPS 5YN/A
EPS Q2Q%25%
Revenue 1Y (TTM)-2.63%
Revenue growth 3Y12.61%
Revenue growth 5Y14.78%
Sales Q2Q%0.96%
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 7.46% on average per year.
The Revenue is expected to grow by 2.03% on average over the next years.
EPS Next Y-3.1%
EPS Next 2Y5.12%
EPS Next 3Y7.46%
EPS Next 5YN/A
Revenue Next Year-0.24%
Revenue Next 2Y1.02%
Revenue Next 3Y2.03%
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
With a Price/Earnings ratio of 15.71, ETWO is valued correctly.
Based on the Price/Earnings ratio, ETWO is valued cheaper than 83.10% of the companies in the same industry.
When comparing the Price/Earnings ratio of ETWO to the average of the S&P500 Index (26.13), we can say ETWO is valued slightly cheaper.
A Price/Forward Earnings ratio of 14.93 indicates a correct valuation of ETWO.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ETWO indicates a rather cheap valuation: ETWO is cheaper than 85.21% of the companies listed in the same industry.
ETWO is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.35, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.71 | ||
| Fwd PE | 14.93 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ETWO is valued cheaper than 89.08% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, ETWO is valued cheaply inside the industry as 90.85% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.14 | ||
| EV/EBITDA | 10.91 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y5.12%
EPS Next 3Y7.46%
5. Dividend
5.1 Amount
ETWO does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
3.3
0 (0%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners76.6%
Inst Owner Change-0.18%
Ins Owners4.15%
Ins Owner Change-322.72%
Market Cap1.03B
Revenue(TTM)609.13M
Net Income(TTM)-635094000
Analysts47.5
Price Target3.54 (7.27%)
Short Float %N/A
Short RatioN/A
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)20.1%
Min EPS beat(2)17.65%
Max EPS beat(2)22.55%
EPS beat(4)3
Avg EPS beat(4)10.36%
Min EPS beat(4)-1.96%
Max EPS beat(4)22.55%
EPS beat(8)4
Avg EPS beat(8)1.98%
EPS beat(12)4
Avg EPS beat(12)-2.86%
EPS beat(16)6
Avg EPS beat(16)-294.84%
Revenue beat(2)1
Avg Revenue beat(2)-0.85%
Min Revenue beat(2)-2.17%
Max Revenue beat(2)0.47%
Revenue beat(4)1
Avg Revenue beat(4)-1.98%
Min Revenue beat(4)-3.62%
Max Revenue beat(4)0.47%
Revenue beat(8)2
Avg Revenue beat(8)-1.87%
Revenue beat(12)2
Avg Revenue beat(12)-2.45%
Revenue beat(16)2
Avg Revenue beat(16)-3.4%
PT rev (1m)11.38%
PT rev (3m)37.17%
EPS NQ rev (1m)-10%
EPS NQ rev (3m)-10%
EPS NY rev (1m)0%
EPS NY rev (3m)-7.77%
Revenue NQ rev (1m)-0.01%
Revenue NQ rev (3m)-0.96%
Revenue NY rev (1m)0.65%
Revenue NY rev (3m)0.51%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.71 | ||
| Fwd PE | 14.93 | ||
| P/S | 1.69 | ||
| P/FCF | 13.14 | ||
| P/OCF | 9.83 | ||
| P/B | 1.19 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.91 |
EPS(TTM)0.21
EY6.36%
EPS(NY)0.22
Fwd EY6.7%
FCF(TTM)0.25
FCFY7.61%
OCF(TTM)0.34
OCFY10.17%
SpS1.95
BVpS2.78
TBVpS-3.27
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -26.71% | ||
| ROE | -73.01% | ||
| ROCE | 0.22% | ||
| ROIC | 0.17% | ||
| ROICexc | 0.19% | ||
| ROICexgc | N/A | ||
| OM | 0.72% | ||
| PM (TTM) | N/A | ||
| GM | 49.35% | ||
| FCFM | 12.9% |
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
ROICexgc growth 3YN/A
ROICexgc 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-Score4
Asset Turnover0.26
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.19 | ||
| Debt/FCF | 13.31 | ||
| Debt/EBITDA | 6.09 | ||
| Cap/Depr | 16.02% | ||
| Cap/Sales | 4.34% | ||
| Interest Coverage | 0.05 | ||
| Cash Conversion | 61.98% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.05 | ||
| Quick Ratio | 1.05 | ||
| Altman-Z | -0.82 |
F-Score4
WACC11.35%
ROIC/WACC0.02
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)23.53%
EPS 3Y5.57%
EPS 5YN/A
EPS Q2Q%25%
EPS Next Y-3.1%
EPS Next 2Y5.12%
EPS Next 3Y7.46%
EPS Next 5YN/A
Revenue 1Y (TTM)-2.63%
Revenue growth 3Y12.61%
Revenue growth 5Y14.78%
Sales Q2Q%0.96%
Revenue Next Year-0.24%
Revenue Next 2Y1.02%
Revenue Next 3Y2.03%
Revenue Next 5YN/A
EBIT growth 1Y106.43%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year7.56%
EBIT Next 3Y5.21%
EBIT Next 5YN/A
FCF growth 1Y77.17%
FCF growth 3Y56.28%
FCF growth 5YN/A
OCF growth 1Y31.8%
OCF growth 3Y24.68%
OCF growth 5YN/A
E2OPEN PARENT HOLDINGS INC / ETWO FAQ
What is the fundamental rating for ETWO stock?
ChartMill assigns a fundamental rating of 3 / 10 to ETWO.
What is the valuation status of E2OPEN PARENT HOLDINGS INC (ETWO) stock?
ChartMill assigns a valuation rating of 6 / 10 to E2OPEN PARENT HOLDINGS INC (ETWO). This can be considered as Fairly Valued.
Can you provide the profitability details for E2OPEN PARENT HOLDINGS INC?
E2OPEN PARENT HOLDINGS INC (ETWO) has a profitability rating of 2 / 10.
What are the PE and PB ratios of E2OPEN PARENT HOLDINGS INC (ETWO) stock?
The Price/Earnings (PE) ratio for E2OPEN PARENT HOLDINGS INC (ETWO) is 15.71 and the Price/Book (PB) ratio is 1.19.
What is the expected EPS growth for E2OPEN PARENT HOLDINGS INC (ETWO) stock?
The Earnings per Share (EPS) of E2OPEN PARENT HOLDINGS INC (ETWO) is expected to decline by -3.1% in the next year.