INSPIRED ENTERTAINMENT INC (INSE)
US45782N1081 - Common Stock
We assign a fundamental rating of 3 out of 10 to INSE. INSE was compared to 135 industry peers in the Hotels, Restaurants & Leisure industry. INSE has a medium profitability rating, but doesn't score so well on its financial health evaluation. INSE has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
INSE had positive earnings in the past year.
In the past year INSE had a positive cash flow from operations.
In multiple years INSE reported negative net income over the last 5 years.
Each year in the past 5 years INSE had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of 3.41%, INSE perfoms like the industry average, outperforming 53.73% of the companies in the same industry.
With an excellent Return On Invested Capital value of 16.73%, INSE belongs to the best of the industry, outperforming 88.81% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for INSE is below the industry average of 10.32%.
The 3 year average ROIC (7.97%) for INSE is below the current ROIC(16.73%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.41% | ||
| ROE | N/A | ||
| ROIC | 16.73% |
ROA(3y)-4.62%
ROA(5y)-7.26%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)7.97%
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 3.22%, INSE is in line with its industry, outperforming 45.52% of the companies in the same industry.
The Operating Margin of INSE (13.46%) is better than 62.69% of its industry peers.
INSE has a Gross Margin of 65.49%. This is in the better half of the industry: INSE outperforms 76.12% of its industry peers.
INSE's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.46% | ||
| PM (TTM) | 3.22% | ||
| GM | 65.49% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.65%
GM growth 5Y-0.86%
2. Health
2.1 Basic Checks
INSE has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for INSE has been increased compared to 1 year ago.
The number of shares outstanding for INSE has been increased compared to 5 years ago.
The debt/assets ratio for INSE is higher compared to a year ago.
2.2 Solvency
INSE has an Altman-Z score of -0.22. This is a bad value and indicates that INSE is not financially healthy and even has some risk of bankruptcy.
INSE's Altman-Z score of -0.22 is on the low side compared to the rest of the industry. INSE is outperformed by 85.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | N/A | ||
| Altman-Z | -0.22 |
ROIC/WACC1.72
WACC9.7%
2.3 Liquidity
INSE has a Current Ratio of 1.71. This is a normal value and indicates that INSE is financially healthy and should not expect problems in meeting its short term obligations.
INSE has a Current ratio of 1.71. This is amongst the best in the industry. INSE outperforms 81.34% of its industry peers.
INSE has a Quick Ratio of 1.20. This is a normal value and indicates that INSE is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of INSE (1.20) is better than 64.18% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.71 | ||
| Quick Ratio | 1.2 |
3. Growth
3.1 Past
The earnings per share for INSE have decreased strongly by -40.98% in the last year.
INSE shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 17.79%.
INSE shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 18.43% yearly.
EPS 1Y (TTM)-40.98%
EPS 3YN/A
EPS 5YN/A
EPS growth Q2Q-65.71%
Revenue 1Y (TTM)17.79%
Revenue growth 3Y22.99%
Revenue growth 5Y18.43%
Revenue growth Q2Q30.17%
3.2 Future
Based on estimates for the next years, INSE will show a quite strong growth in Earnings Per Share. The EPS will grow by 15.73% on average per year.
The Revenue is expected to grow by 4.05% on average over the next years.
EPS Next Y-49.66%
EPS Next 2Y-0.99%
EPS Next 3Y15.73%
EPS Next 5YN/A
Revenue Next Year12.97%
Revenue Next 2Y3.97%
Revenue Next 3Y4.05%
Revenue Next 5YN/A
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 24.69, which indicates a rather expensive current valuation of INSE.
The rest of the industry has a similar Price/Earnings ratio as INSE.
When comparing the Price/Earnings ratio of INSE to the average of the S&P500 Index (24.76), we can say INSE is valued inline with the index average.
The Price/Forward Earnings ratio is 11.78, which indicates a very decent valuation of INSE.
85.07% of the companies in the same industry are more expensive than INSE, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of INSE to the average of the S&P500 Index (21.26), we can say INSE is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.69 | ||
| Fwd PE | 11.78 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, INSE is valued cheaply inside the industry as 86.57% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 5.95 |
4.3 Compensation for Growth
A more expensive valuation may be justified as INSE's earnings are expected to grow with 15.73% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-0.99%
EPS Next 3Y15.73%
5. Dividend
5.1 Amount
INSE does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
INSPIRED ENTERTAINMENT INC
NASDAQ:INSE (4/19/2024, 7:00:02 PM)
After market: 8.89 0 (0%)8.89
+0.11 (+1.25%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap233.10M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.69 | ||
| Fwd PE | 11.78 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.41% | ||
| ROE | N/A | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 13.46% | ||
| PM (TTM) | 3.22% | ||
| GM | 65.49% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.06
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.71 | ||
| Quick Ratio | 1.2 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-40.98%
EPS 3YN/A
EPS 5Y
EPS growth Q2Q
EPS Next Y-49.66%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)17.79%
Revenue growth 3Y22.99%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y