ITERA ASA (ITERA.OL) Stock Fundamental Analysis
OSL:ITERA - Euronext Oslo - NO0010001118 - Common Stock - Currency: NOK
ITERA gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 71 industry peers in the IT Services industry. While ITERA has a great profitability rating, there are some minor concerns on its financial health. ITERA has a decent growth rate and is not valued too expensively. ITERA also has an excellent dividend rating. With these ratings, ITERA could be worth investigating further for dividend investing!.
1. Profitability
1.1 Basic Checks
In the past year ITERA was profitable.
In the past year ITERA had a positive cash flow from operations.
In the past 5 years ITERA has always been profitable.
ITERA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
ITERA has a better Return On Assets (11.83%) than 95.77% of its industry peers.
Looking at the Return On Equity, with a value of 59.27%, ITERA belongs to the top of the industry, outperforming 95.77% of the companies in the same industry.
The Return On Invested Capital of ITERA (37.57%) is better than 98.59% of its industry peers.
ITERA had an Average Return On Invested Capital over the past 3 years of 57.88%. This is significantly above the industry average of 10.64%.
The last Return On Invested Capital (37.57%) for ITERA is well below the 3 year average (57.88%), which needs to be investigated, but indicates that ITERA had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.83% | ||
| ROE | 59.27% | ||
| ROIC | 37.57% |
ROA(3y)17.77%
ROA(5y)18.99%
ROE(3y)98.8%
ROE(5y)109.94%
ROIC(3y)57.88%
ROIC(5y)69.79%
1.3 Margins
ITERA's Profit Margin of 4.16% is in line compared to the rest of the industry. ITERA outperforms 53.52% of its industry peers.
In the last couple of years the Profit Margin of ITERA has declined.
ITERA has a Operating Margin (6.35%) which is comparable to the rest of the industry.
In the last couple of years the Operating Margin of ITERA has declined.
ITERA's Gross Margin of 92.14% is amongst the best of the industry. ITERA outperforms 87.32% of its industry peers.
ITERA's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.35% | ||
| PM (TTM) | 4.16% | ||
| GM | 92.14% |
OM growth 3Y-21.97%
OM growth 5Y-9.26%
PM growth 3Y-17.89%
PM growth 5Y-11.11%
GM growth 3Y-0.01%
GM growth 5Y1.37%
2. Health
2.1 Basic Checks
ITERA has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
ITERA has more shares outstanding than it did 1 year ago.
The number of shares outstanding for ITERA remains at a similar level compared to 5 years ago.
The debt/assets ratio for ITERA has been reduced compared to a year ago.
2.2 Solvency
ITERA has an Altman-Z score of 5.49. This indicates that ITERA is financially healthy and has little risk of bankruptcy at the moment.
ITERA has a Altman-Z score of 5.49. This is amongst the best in the industry. ITERA outperforms 94.37% of its industry peers.
ITERA has a debt to FCF ratio of 0.99. This is a very positive value and a sign of high solvency as it would only need 0.99 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 0.99, ITERA is in the better half of the industry, outperforming 78.87% of the companies in the same industry.
A Debt/Equity ratio of 0.82 indicates that ITERA is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.82, ITERA is not doing good in the industry: 66.20% of the companies in the same industry are doing better.
Even though the debt/equity ratio score it not favorable for ITERA, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.82 | ||
| Debt/FCF | 0.99 | ||
| Altman-Z | 5.49 |
ROIC/WACC2.63
WACC14.29%
2.3 Liquidity
ITERA has a Current Ratio of 1.03. This is a normal value and indicates that ITERA is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.03, ITERA is doing worse than 71.83% of the companies in the same industry.
A Quick Ratio of 1.03 indicates that ITERA should not have too much problems paying its short term obligations.
ITERA's Quick ratio of 1.03 is on the low side compared to the rest of the industry. ITERA is outperformed by 66.20% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.03 | ||
| Quick Ratio | 1.03 |
3. Growth
3.1 Past
The earnings per share for ITERA have decreased strongly by -22.21% in the last year.
ITERA shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -3.14% yearly.
The Revenue has decreased by -2.05% in the past year.
The Revenue has been growing by 8.66% on average over the past years. This is quite good.
EPS 1Y (TTM)-22.21%
EPS 3Y-7.14%
EPS 5Y-3.14%
EPS Q2Q%5.88%
Revenue 1Y (TTM)-2.05%
Revenue growth 3Y12.7%
Revenue growth 5Y8.66%
Sales Q2Q%1.37%
3.2 Future
The Earnings Per Share is expected to grow by 38.54% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 10.84% on average over the next years. This is quite good.
EPS Next Y48.51%
EPS Next 2Y46.83%
EPS Next 3Y38.54%
EPS Next 5YN/A
Revenue Next Year5.75%
Revenue Next 2Y9.64%
Revenue Next 3Y10.84%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last 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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 22.68, ITERA is valued on the expensive side.
Compared to the rest of the industry, the Price/Earnings ratio of ITERA is on the same level as its industry peers.
The average S&P500 Price/Earnings ratio is at 27.28. ITERA is around the same levels.
With a Price/Forward Earnings ratio of 10.77, the valuation of ITERA can be described as very reasonable.
ITERA's Price/Forward Earnings ratio is rather cheap when compared to the industry. ITERA is cheaper than 85.92% of the companies in the same industry.
ITERA's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 21.76.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.68 | ||
| Fwd PE | 10.77 |
4.2 Price Multiples
ITERA's Enterprise Value to EBITDA ratio is in line with the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of ITERA is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.62 | ||
| EV/EBITDA | 9.3 |
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.
ITERA has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as ITERA's earnings are expected to grow with 38.54% in the coming years.
PEG (NY)0.47
PEG (5Y)N/A
EPS Next 2Y46.83%
EPS Next 3Y38.54%
5. Dividend
5.1 Amount
ITERA has a Yearly Dividend Yield of 4.29%, which is a nice return.
Compared to an average industry Dividend Yield of 6.93, ITERA pays a better dividend. On top of this ITERA pays more dividend than 81.69% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.42, ITERA pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.29% |
5.2 History
The dividend of ITERA has a limited annual growth rate of 1.80%.
Dividend Growth(5Y)1.8%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
ITERA pays out 137.57% of its income as dividend. This is not a sustainable payout ratio.
ITERA's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP137.57%
EPS Next 2Y46.83%
EPS Next 3Y38.54%
OSL:ITERA (7/3/2025, 11:12:59 AM)
9.98
+0.48 (+5.05%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners2.43%
Inst Owner ChangeN/A
Ins Owners5.37%
Ins Owner ChangeN/A
Market Cap820.26M
Analysts40
Price TargetN/A
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.29% |
Yearly Dividend0.6
Dividend Growth(5Y)1.8%
DP137.57%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-29.74%
Min EPS beat(2)-51.46%
Max EPS beat(2)-8.02%
EPS beat(4)0
Avg EPS beat(4)-44.45%
Min EPS beat(4)-110.79%
Max EPS beat(4)-7.54%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-3.63%
Min Revenue beat(2)-4.62%
Max Revenue beat(2)-2.65%
Revenue beat(4)0
Avg Revenue beat(4)-5.42%
Min Revenue beat(4)-7.79%
Max Revenue beat(4)-2.65%
Revenue beat(8)1
Avg Revenue beat(8)-3.37%
Revenue beat(12)4
Avg Revenue beat(12)-1.9%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)N/A
PT rev (3m)N/A
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.68 | ||
| Fwd PE | 10.77 | ||
| P/S | 0.96 | ||
| P/FCF | 12.62 | ||
| P/OCF | 10.86 | ||
| P/B | 13.73 | ||
| P/tB | 29.5 | ||
| EV/EBITDA | 9.3 |
EPS(TTM)0.44
EY4.41%
EPS(NY)0.93
Fwd EY9.29%
FCF(TTM)0.79
FCFY7.93%
OCF(TTM)0.92
OCFY9.21%
SpS10.37
BVpS0.73
TBVpS0.34
PEG (NY)0.47
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.83% | ||
| ROE | 59.27% | ||
| ROCE | 49.27% | ||
| ROIC | 37.57% | ||
| ROICexc | 58.36% | ||
| ROICexgc | 106.5% | ||
| OM | 6.35% | ||
| PM (TTM) | 4.16% | ||
| GM | 92.14% | ||
| FCFM | 7.63% |
ROA(3y)17.77%
ROA(5y)18.99%
ROE(3y)98.8%
ROE(5y)109.94%
ROIC(3y)57.88%
ROIC(5y)69.79%
ROICexc(3y)105%
ROICexc(5y)157.2%
ROICexgc(3y)388.72%
ROICexgc(5y)N/A
ROCE(3y)75.92%
ROCE(5y)91.54%
ROICexcg growth 3YN/A
ROICexcg growth 5Y0.92%
ROICexc growth 3Y-21.08%
ROICexc growth 5Y-5.46%
OM growth 3Y-21.97%
OM growth 5Y-9.26%
PM growth 3Y-17.89%
PM growth 5Y-11.11%
GM growth 3Y-0.01%
GM growth 5Y1.37%
F-Score5
Asset Turnover2.85
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.82 | ||
| Debt/FCF | 0.99 | ||
| Debt/EBITDA | 0.57 | ||
| Cap/Depr | 32.2% | ||
| Cap/Sales | 1.23% | ||
| Interest Coverage | 47 | ||
| Cash Conversion | 87.12% | ||
| Profit Quality | 183.61% | ||
| Current Ratio | 1.03 | ||
| Quick Ratio | 1.03 | ||
| Altman-Z | 5.49 |
F-Score5
WACC14.29%
ROIC/WACC2.63
Cap/Depr(3y)47.63%
Cap/Depr(5y)59.62%
Cap/Sales(3y)1.9%
Cap/Sales(5y)2.8%
Profit Quality(3y)144.04%
Profit Quality(5y)136.95%
High Growth Momentum
Growth
EPS 1Y (TTM)-22.21%
EPS 3Y-7.14%
EPS 5Y-3.14%
EPS Q2Q%5.88%
EPS Next Y48.51%
EPS Next 2Y46.83%
EPS Next 3Y38.54%
EPS Next 5YN/A
Revenue 1Y (TTM)-2.05%
Revenue growth 3Y12.7%
Revenue growth 5Y8.66%
Sales Q2Q%1.37%
Revenue Next Year5.75%
Revenue Next 2Y9.64%
Revenue Next 3Y10.84%
Revenue Next 5YN/A
EBIT growth 1Y-15.65%
EBIT growth 3Y-12.06%
EBIT growth 5Y-1.4%
EBIT Next Year78.18%
EBIT Next 3Y40.02%
EBIT Next 5YN/A
FCF growth 1Y-4.15%
FCF growth 3Y19.66%
FCF growth 5Y0.68%
OCF growth 1Y-10.43%
OCF growth 3Y1.88%
OCF growth 5Y-1.62%