Instructure Holdings Inc (INST) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:INST - US4577901030 - Common Stock
23.6 USD
+0.02 (+0.08%)
25 USD
+1.4 (+5.93%)
INST gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 276 industry peers in the Software industry. Both the profitability and financial health of INST have multiple concerns. INST is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
INST had positive earnings in the past year.
In the past year INST had a positive cash flow from operations.
In the past 5 years INST always reported negative net income.
INST had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
INST's Return On Assets of -1.80% is in line compared to the rest of the industry. INST outperforms 57.14% of its industry peers.
INST has a Return On Equity (-4.19%) which is in line with its industry peers.
INST has a Return On Invested Capital of 1.27%. This is in the better half of the industry: INST outperforms 66.07% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.8% | ||
| ROE | -4.19% | ||
| ROIC | 1.27% |
ROA(3y)-2.44%
ROA(5y)-7.63%
ROE(3y)-4.1%
ROE(5y)-17.24%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
INST has a Operating Margin of 6.68%. This is in the better half of the industry: INST outperforms 73.57% of its industry peers.
INST's Gross Margin of 66.28% is in line compared to the rest of the industry. INST outperforms 47.14% of its industry peers.
INST's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.68% | ||
| PM (TTM) | N/A | ||
| GM | 66.28% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y8.8%
GM growth 5Y-1.48%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so INST is destroying value.
INST has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, INST has more shares outstanding
INST has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.28, we must say that INST is in the distress zone and has some risk of bankruptcy.
INST has a worse Altman-Z score (1.28) than 62.50% of its industry peers.
INST has a debt to FCF ratio of 10.83. This is a negative value and a sign of low solvency as INST would need 10.83 years to pay back of all of its debts.
INST has a Debt to FCF ratio (10.83) which is comparable to the rest of the industry.
A Debt/Equity ratio of 0.90 indicates that INST is somewhat dependend on debt financing.
The Debt to Equity ratio of INST (0.90) is worse than 74.64% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.9 | ||
| Debt/FCF | 10.83 | ||
| Altman-Z | 1.28 |
ROIC/WACC0.11
WACC12.02%
2.3 Liquidity
A Current Ratio of 0.92 indicates that INST may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.92, INST is doing worse than 77.86% of the companies in the same industry.
INST has a Quick Ratio of 0.92. This is a bad value and indicates that INST is not financially healthy enough and could expect problems in meeting its short term obligations.
INST has a worse Quick ratio (0.92) than 77.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.92 | ||
| Quick Ratio | 0.92 |
3. Growth
3.1 Past
INST shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 9.64%, which is quite good.
The Revenue has grown by 11.58% in the past year. This is quite good.
The Revenue has been growing by 20.41% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)9.64%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-8%
Revenue 1Y (TTM)11.58%
Revenue growth 3Y20.62%
Revenue growth 5Y20.41%
Sales Q2Q%28.34%
3.2 Future
Based on estimates for the next years, INST will show a small growth in Earnings Per Share. The EPS will grow by 7.25% on average per year.
The Revenue is expected to grow by 14.05% on average over the next years. This is quite good.
EPS Next Y0.86%
EPS Next 2Y4.72%
EPS Next 3Y7.25%
EPS Next 5YN/A
Revenue Next Year25.44%
Revenue Next 2Y17.22%
Revenue Next 3Y14.05%
Revenue Next 5YN/A
3.3 Evolution
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 25.93, INST can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of INST indicates a somewhat cheap valuation: INST is cheaper than 77.50% of the companies listed in the same industry.
INST is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.92, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 25.02, INST can be considered very expensive at the moment.
Based on the Price/Forward Earnings ratio, INST is valued a bit cheaper than 74.64% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of INST to the average of the S&P500 Index (23.46), we can say INST is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.93 | ||
| Fwd PE | 25.02 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of INST indicates a somewhat cheap valuation: INST is cheaper than 80.00% of the companies listed in the same industry.
77.14% of the companies in the same industry are more expensive than INST, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 30.89 | ||
| EV/EBITDA | 22.44 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)30.19
PEG (5Y)N/A
EPS Next 2Y4.72%
EPS Next 3Y7.25%
5. Dividend
5.1 Amount
No dividends for INST!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
23.6
+0.02 (+0.08%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners98.16%
Inst Owner Change0%
Ins Owners6.07%
Ins Owner Change0%
Market Cap3.47B
Revenue(TTM)530.21M
Net Income(TTM)-53.34M
Analysts52.31
Price Target24.21 (2.58%)
Short Float %N/A
Short RatioN/A
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)30.76%
Min EPS beat(2)15.15%
Max EPS beat(2)46.37%
EPS beat(4)3
Avg EPS beat(4)20.51%
Min EPS beat(4)-0.74%
Max EPS beat(4)46.37%
EPS beat(8)5
Avg EPS beat(8)9.19%
EPS beat(12)9
Avg EPS beat(12)20.77%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-0.65%
Min Revenue beat(2)-1.3%
Max Revenue beat(2)0%
Revenue beat(4)0
Avg Revenue beat(4)-0.74%
Min Revenue beat(4)-1.37%
Max Revenue beat(4)0%
Revenue beat(8)2
Avg Revenue beat(8)-0.31%
Revenue beat(12)6
Avg Revenue beat(12)0.42%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)0.56%
EPS NQ rev (1m)0.1%
EPS NQ rev (3m)0.19%
EPS NY rev (1m)-0.11%
EPS NY rev (3m)-0.11%
Revenue NQ rev (1m)-0.03%
Revenue NQ rev (3m)-0.03%
Revenue NY rev (1m)-0.04%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.93 | ||
| Fwd PE | 25.02 | ||
| P/S | 5.82 | ||
| P/FCF | 30.89 | ||
| P/OCF | 29.13 | ||
| P/B | 2.73 | ||
| P/tB | N/A | ||
| EV/EBITDA | 22.44 |
EPS(TTM)0.91
EY3.86%
EPS(NY)0.94
Fwd EY4%
FCF(TTM)0.76
FCFY3.24%
OCF(TTM)0.81
OCFY3.43%
SpS4.05
BVpS8.65
TBVpS-8.15
PEG (NY)30.19
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.8% | ||
| ROE | -4.19% | ||
| ROCE | 1.6% | ||
| ROIC | 1.27% | ||
| ROICexc | 1.34% | ||
| ROICexgc | N/A | ||
| OM | 6.68% | ||
| PM (TTM) | N/A | ||
| GM | 66.28% | ||
| FCFM | 18.85% |
ROA(3y)-2.44%
ROA(5y)-7.63%
ROE(3y)-4.1%
ROE(5y)-17.24%
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 3Y8.8%
GM growth 5Y-1.48%
F-Score4
Asset Turnover0.2
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.9 | ||
| Debt/FCF | 10.83 | ||
| Debt/EBITDA | 5.62 | ||
| Cap/Depr | 4.17% | ||
| Cap/Sales | 1.14% | ||
| Interest Coverage | 0.61 | ||
| Cash Conversion | 58.77% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.92 | ||
| Quick Ratio | 0.92 | ||
| Altman-Z | 1.28 |
F-Score4
WACC12.02%
ROIC/WACC0.11
Cap/Depr(3y)3.87%
Cap/Depr(5y)13.03%
Cap/Sales(3y)1.17%
Cap/Sales(5y)1.65%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)9.64%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-8%
EPS Next Y0.86%
EPS Next 2Y4.72%
EPS Next 3Y7.25%
EPS Next 5YN/A
Revenue 1Y (TTM)11.58%
Revenue growth 3Y20.62%
Revenue growth 5Y20.41%
Sales Q2Q%28.34%
Revenue Next Year25.44%
Revenue Next 2Y17.22%
Revenue Next 3Y14.05%
Revenue Next 5YN/A
EBIT growth 1Y477.41%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year32.52%
EBIT Next 3Y16.91%
EBIT Next 5YN/A
FCF growth 1Y19.67%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y19.16%
OCF growth 3YN/A
OCF growth 5Y339.52%
Instructure Holdings Inc / INST FAQ
What is the ChartMill fundamental rating of Instructure Holdings Inc (INST) stock?
ChartMill assigns a fundamental rating of 3 / 10 to INST.
What is the valuation status for INST stock?
ChartMill assigns a valuation rating of 3 / 10 to Instructure Holdings Inc (INST). This can be considered as Overvalued.
What is the profitability of INST stock?
Instructure Holdings Inc (INST) has a profitability rating of 3 / 10.
How financially healthy is Instructure Holdings Inc?
The financial health rating of Instructure Holdings Inc (INST) is 1 / 10.
How sustainable is the dividend of Instructure Holdings Inc (INST) stock?
The dividend rating of Instructure Holdings Inc (INST) is 0 / 10 and the dividend payout ratio is 0%.