IBEX LTD (IBEX) Stock Fundamental Analysis
NASDAQ:IBEX - Nasdaq - BMG4690M1010 - Common Stock - Currency: USD
Overall IBEX gets a fundamental rating of 7 out of 10. We evaluated IBEX against 82 industry peers in the IT Services industry. IBEX has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. IBEX may be a bit undervalued, certainly considering the very reasonable score on growth With these ratings, IBEX could be worth investigating further for value and quality investing!.
1. Profitability
1.1 Basic Checks
In the past year IBEX was profitable.
In the past year IBEX had a positive cash flow from operations.
IBEX had positive earnings in each of the past 5 years.
Each year in the past 5 years IBEX had a positive operating cash flow.
1.2 Ratios
The Return On Assets of IBEX (13.51%) is better than 95.12% of its industry peers.
IBEX has a Return On Equity of 29.89%. This is amongst the best in the industry. IBEX outperforms 93.90% of its industry peers.
IBEX has a better Return On Invested Capital (18.65%) than 91.46% of its industry peers.
The Average Return On Invested Capital over the past 3 years for IBEX is significantly below the industry average of 21.64%.
The last Return On Invested Capital (18.65%) for IBEX is above the 3 year average (12.81%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.51% | ||
| ROE | 29.89% | ||
| ROIC | 18.65% |
ROA(3y)9.84%
ROA(5y)7.66%
ROE(3y)20.09%
ROE(5y)24.99%
ROIC(3y)12.81%
ROIC(5y)12.8%
1.3 Margins
IBEX has a better Profit Margin (6.93%) than 67.07% of its industry peers.
IBEX's Profit Margin has improved in the last couple of years.
IBEX has a Operating Margin of 8.88%. This is in the better half of the industry: IBEX outperforms 63.41% of its industry peers.
IBEX's Operating Margin has improved in the last couple of years.
IBEX has a Gross Margin of 30.89%. This is comparable to the rest of the industry: IBEX outperforms 42.68% of its industry peers.
IBEX's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.88% | ||
| PM (TTM) | 6.93% | ||
| GM | 30.89% |
OM growth 3Y29.52%
OM growth 5Y35.17%
PM growth 3Y30.84%
PM growth 5Y17.25%
GM growth 3Y17.46%
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so IBEX is creating value.
Compared to 1 year ago, IBEX has less shares outstanding
Compared to 5 years ago, IBEX has less shares outstanding
The debt/assets ratio for IBEX is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 4.43 indicates that IBEX is not in any danger for bankruptcy at the moment.
The Altman-Z score of IBEX (4.43) is better than 67.07% of its industry peers.
The Debt to FCF ratio of IBEX is 1.04, which is an excellent value as it means it would take IBEX, only 1.04 years of fcf income to pay off all of its debts.
IBEX has a better Debt to FCF ratio (1.04) than 82.93% of its industry peers.
A Debt/Equity ratio of 0.16 indicates that IBEX is not too dependend on debt financing.
The Debt to Equity ratio of IBEX (0.16) is better than 65.85% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 1.04 | ||
| Altman-Z | 4.43 |
ROIC/WACC1.94
WACC9.59%
2.3 Liquidity
IBEX has a Current Ratio of 1.67. This is a normal value and indicates that IBEX is financially healthy and should not expect problems in meeting its short term obligations.
IBEX's Current ratio of 1.67 is in line compared to the rest of the industry. IBEX outperforms 53.66% of its industry peers.
IBEX has a Quick Ratio of 1.67. This is a normal value and indicates that IBEX is financially healthy and should not expect problems in meeting its short term obligations.
IBEX has a Quick ratio of 1.67. This is comparable to the rest of the industry: IBEX outperforms 56.10% of its industry peers.
The current and quick ratio evaluation for IBEX is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.67 | ||
| Quick Ratio | 1.67 |
3. Growth
3.1 Past
IBEX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 34.22%, which is quite impressive.
The Earnings Per Share has been growing by 25.59% on average over the past years. This is a very strong growth
The Revenue has been growing slightly by 5.38% in the past year.
The Revenue has been growing slightly by 6.66% on average over the past years.
EPS 1Y (TTM)34.22%
EPS 3Y18.32%
EPS 5Y25.59%
EPS Q2Q%17.14%
Revenue 1Y (TTM)5.38%
Revenue growth 3Y4.68%
Revenue growth 5Y6.66%
Sales Q2Q%10.99%
3.2 Future
IBEX is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 17.83% yearly.
Based on estimates for the next years, IBEX will show a small growth in Revenue. The Revenue will grow by 6.63% on average per year.
EPS Next Y22.69%
EPS Next 2Y21.44%
EPS Next 3Y17.83%
EPS Next 5YN/A
Revenue Next Year7.46%
Revenue Next 2Y6.63%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 11.73 indicates a reasonable valuation of IBEX.
Based on the Price/Earnings ratio, IBEX is valued cheaply inside the industry as 91.46% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 26.59. IBEX is valued rather cheaply when compared to this.
IBEX is valuated reasonably with a Price/Forward Earnings ratio of 9.42.
Based on the Price/Forward Earnings ratio, IBEX is valued cheaper than 91.46% of the companies in the same industry.
IBEX's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.73 | ||
| Fwd PE | 9.42 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, IBEX is valued cheaply inside the industry as 91.46% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, IBEX is valued a bit cheaper than the industry average as 70.73% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.96 | ||
| EV/EBITDA | 5.86 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
IBEX has an outstanding profitability rating, which may justify a higher PE ratio.
IBEX's earnings are expected to grow with 17.83% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.52
PEG (5Y)0.46
EPS Next 2Y21.44%
EPS Next 3Y17.83%
5. Dividend
5.1 Amount
No dividends for IBEX!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
29.44
+0.01 (+0.03%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners83.79%
Inst Owner Change21.67%
Ins Owners10.11%
Ins Owner Change-6.51%
Market Cap393.61M
Analysts45.71
Price Target31.11 (5.67%)
Short Float %1.29%
Short Ratio0.91
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)12.71%
Min EPS beat(2)10.89%
Max EPS beat(2)14.54%
EPS beat(4)4
Avg EPS beat(4)10.27%
Min EPS beat(4)7.33%
Max EPS beat(4)14.54%
EPS beat(8)6
Avg EPS beat(8)4.12%
EPS beat(12)9
Avg EPS beat(12)12.36%
EPS beat(16)11
Avg EPS beat(16)11.12%
Revenue beat(2)2
Avg Revenue beat(2)3.78%
Min Revenue beat(2)2.45%
Max Revenue beat(2)5.12%
Revenue beat(4)3
Avg Revenue beat(4)2.25%
Min Revenue beat(4)-0.14%
Max Revenue beat(4)5.12%
Revenue beat(8)3
Avg Revenue beat(8)-0.13%
Revenue beat(12)3
Avg Revenue beat(12)-1.53%
Revenue beat(16)5
Avg Revenue beat(16)-1.36%
PT rev (1m)17.31%
PT rev (3m)17.31%
EPS NQ rev (1m)-2.7%
EPS NQ rev (3m)-2.7%
EPS NY rev (1m)0.79%
EPS NY rev (3m)0.79%
Revenue NQ rev (1m)2.88%
Revenue NQ rev (3m)2.88%
Revenue NY rev (1m)1.29%
Revenue NY rev (3m)2.49%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.73 | ||
| Fwd PE | 9.42 | ||
| P/S | 0.73 | ||
| P/FCF | 19.96 | ||
| P/OCF | 11.2 | ||
| P/B | 3.17 | ||
| P/tB | 3.5 | ||
| EV/EBITDA | 5.86 |
EPS(TTM)2.51
EY8.53%
EPS(NY)3.13
Fwd EY10.62%
FCF(TTM)1.47
FCFY5.01%
OCF(TTM)2.63
OCFY8.93%
SpS40.06
BVpS9.29
TBVpS8.4
PEG (NY)0.52
PEG (5Y)0.46
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.51% | ||
| ROE | 29.89% | ||
| ROCE | 25.63% | ||
| ROIC | 18.65% | ||
| ROICexc | 19.91% | ||
| ROICexgc | 21.22% | ||
| OM | 8.88% | ||
| PM (TTM) | 6.93% | ||
| GM | 30.89% | ||
| FCFM | 3.68% |
ROA(3y)9.84%
ROA(5y)7.66%
ROE(3y)20.09%
ROE(5y)24.99%
ROIC(3y)12.81%
ROIC(5y)12.8%
ROICexc(3y)17.21%
ROICexc(5y)17.42%
ROICexgc(3y)18.84%
ROICexgc(5y)20.06%
ROCE(3y)15.96%
ROCE(5y)15.95%
ROICexcg growth 3Y4.28%
ROICexcg growth 5Y9.56%
ROICexc growth 3Y7.35%
ROICexc growth 5Y13.69%
OM growth 3Y29.52%
OM growth 5Y35.17%
PM growth 3Y30.84%
PM growth 5Y17.25%
GM growth 3Y17.46%
GM growth 5YN/A
F-Score6
Asset Turnover1.95
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.16 | ||
| Debt/FCF | 1.04 | ||
| Debt/EBITDA | 0.3 | ||
| Cap/Depr | 87.74% | ||
| Cap/Sales | 2.88% | ||
| Interest Coverage | 34.97 | ||
| Cash Conversion | 53.93% | ||
| Profit Quality | 53.13% | ||
| Current Ratio | 1.67 | ||
| Quick Ratio | 1.67 | ||
| Altman-Z | 4.43 |
F-Score6
WACC9.59%
ROIC/WACC1.94
Cap/Depr(3y)96.17%
Cap/Depr(5y)91.5%
Cap/Sales(3y)3.54%
Cap/Sales(5y)3.32%
Profit Quality(3y)72.8%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)34.22%
EPS 3Y18.32%
EPS 5Y25.59%
EPS Q2Q%17.14%
EPS Next Y22.69%
EPS Next 2Y21.44%
EPS Next 3Y17.83%
EPS Next 5YN/A
Revenue 1Y (TTM)5.38%
Revenue growth 3Y4.68%
Revenue growth 5Y6.66%
Sales Q2Q%10.99%
Revenue Next Year7.46%
Revenue Next 2Y6.63%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y17.55%
EBIT growth 3Y35.57%
EBIT growth 5Y44.18%
EBIT Next Year91.11%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-42.03%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-32.37%
OCF growth 3Y30.7%
OCF growth 5Y74.8%