ITERA ASA (ITERA.OL) Stock Fundamental Analysis
OSL:ITERA - Euronext Oslo - NO0010001118 - Common Stock - Currency: NOK
Taking everything into account, ITERA scores 6 out of 10 in our fundamental rating. ITERA was compared to 76 industry peers in the IT Services industry. ITERA scores excellent on profitability, but there are some minor concerns on its financial health. ITERA may be a bit undervalued, certainly considering the very reasonable score on growth ITERA also has an excellent dividend rating. These ratings would make ITERA suitable for value and 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.
ITERA had positive earnings in each of the past 5 years.
In the past 5 years ITERA always reported a positive cash flow from operatings.
1.2 Ratios
ITERA has a better Return On Assets (12.00%) than 97.37% of its industry peers.
ITERA has a better Return On Equity (59.78%) than 96.05% of its industry peers.
ITERA has a Return On Invested Capital of 37.80%. This is amongst the best in the industry. ITERA outperforms 98.68% of its industry peers.
ITERA had an Average Return On Invested Capital over the past 3 years of 57.82%. This is significantly above the industry average of 10.85%.
The last Return On Invested Capital (37.80%) for ITERA is well below the 3 year average (57.82%), which needs to be investigated, but indicates that ITERA had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12% | ||
| ROE | 59.78% | ||
| ROIC | 37.8% |
ROA(3y)17.81%
ROA(5y)19.01%
ROE(3y)98.78%
ROE(5y)109.93%
ROIC(3y)57.82%
ROIC(5y)69.74%
1.3 Margins
ITERA has a Profit Margin (4.21%) which is comparable to the rest of the industry.
ITERA's Profit Margin has declined in the last couple of years.
The Operating Margin of ITERA (6.35%) is comparable to the rest of the industry.
ITERA's Operating Margin has declined in the last couple of years.
ITERA's Gross Margin of 92.14% is amongst the best of the industry. ITERA outperforms 89.47% of its industry peers.
In the last couple of years the Gross Margin of ITERA has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.35% | ||
| PM (TTM) | 4.21% | ||
| GM | 92.14% |
OM growth 3Y-21.97%
OM growth 5Y-9.26%
PM growth 3Y-17.88%
PM growth 5Y-11.1%
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.
The number of shares outstanding for ITERA has been increased compared to 1 year ago.
ITERA has more shares outstanding than it did 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 5.47. This indicates that ITERA is financially healthy and has little risk of bankruptcy at the moment.
ITERA's Altman-Z score of 5.47 is amongst the best of the industry. ITERA outperforms 97.37% of its industry peers.
ITERA has a debt to FCF ratio of 0.97. This is a very positive value and a sign of high solvency as it would only need 0.97 years to pay back of all of its debts.
ITERA has a Debt to FCF ratio of 0.97. This is amongst the best in the industry. ITERA outperforms 89.47% of its industry peers.
A Debt/Equity ratio of 0.82 indicates that ITERA is somewhat dependend on debt financing.
ITERA has a Debt to Equity ratio of 0.82. This is in the lower half of the industry: ITERA underperforms 63.16% of its industry peers.
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 | 0.97 | ||
| Altman-Z | 5.47 |
ROIC/WACC4.79
WACC7.89%
2.3 Liquidity
A Current Ratio of 1.03 indicates that ITERA should not have too much problems paying its short term obligations.
ITERA has a worse Current ratio (1.03) than 68.42% of its industry peers.
ITERA has a Quick 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.
The Quick ratio of ITERA (1.03) is worse than 63.16% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.03 | ||
| Quick Ratio | 1.03 |
3. Growth
3.1 Past
ITERA shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -21.88%.
Measured over the past years, ITERA shows a decrease in Earnings Per Share. The EPS has been decreasing by -3.24% on average per year.
The Revenue has decreased by -2.05% in the past year.
ITERA shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.66% yearly.
EPS 1Y (TTM)-21.88%
EPS 3Y-7.31%
EPS 5Y-3.24%
EPS Q2Q%5.88%
Revenue 1Y (TTM)-2.05%
Revenue growth 3Y12.7%
Revenue growth 5Y8.66%
Sales Q2Q%1.37%
3.2 Future
Based on estimates for the next years, ITERA will show a very strong growth in Earnings Per Share. The EPS will grow by 38.54% on average per year.
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
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.
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
Based on the Price/Earnings ratio of 22.23, the valuation of ITERA can be described as rather expensive.
60.53% of the companies in the same industry are more expensive than ITERA, based on the Price/Earnings ratio.
ITERA's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.25.
The Price/Forward Earnings ratio is 10.55, which indicates a very decent valuation of ITERA.
ITERA's Price/Forward Earnings ratio is rather cheap when compared to the industry. ITERA is cheaper than 86.84% of the companies in the same industry.
ITERA is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.15, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.23 | ||
| Fwd PE | 10.55 |
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 indicates a somewhat cheap valuation: ITERA is cheaper than 60.53% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.23 | ||
| EV/EBITDA | 9.21 |
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.
The decent profitability rating of ITERA 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)0.46
PEG (5Y)N/A
EPS Next 2Y46.83%
EPS Next 3Y38.54%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.17%, ITERA is a good candidate for dividend investing.
ITERA's Dividend Yield is rather good when compared to the industry average which is at 6.98. ITERA pays more dividend than 81.58% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.40, ITERA pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.17% |
5.2 History
The dividend of ITERA has a limited annual growth rate of 1.79%.
Dividend Growth(5Y)1.79%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
136.60% of the earnings are spent on dividend by ITERA. This is not a sustainable payout ratio.
The dividend of ITERA is growing, but earnings are growing more, so the dividend growth is sustainable.
DP136.6%
EPS Next 2Y46.83%
EPS Next 3Y38.54%
OSL:ITERA (5/30/2025, 7:00:00 PM)
9.78
+0.26 (+2.73%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners2.46%
Inst Owner ChangeN/A
Ins Owners5.37%
Ins Owner ChangeN/A
Market Cap803.82M
Analysts40
Price TargetN/A
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.17% |
Yearly Dividend0.6
Dividend Growth(5Y)1.79%
DP136.6%
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)-26.92%
EPS NY rev (1m)0%
EPS NY rev (3m)-15.07%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.77%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.23 | ||
| Fwd PE | 10.55 | ||
| P/S | 0.94 | ||
| P/FCF | 12.23 | ||
| P/OCF | 10.61 | ||
| P/B | 13.62 | ||
| P/tB | 29.77 | ||
| EV/EBITDA | 9.21 |
EPS(TTM)0.44
EY4.5%
EPS(NY)0.93
Fwd EY9.48%
FCF(TTM)0.8
FCFY8.17%
OCF(TTM)0.92
OCFY9.43%
SpS10.37
BVpS0.72
TBVpS0.33
PEG (NY)0.46
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12% | ||
| ROE | 59.78% | ||
| ROCE | 49.6% | ||
| ROIC | 37.8% | ||
| ROICexc | 58.96% | ||
| ROICexgc | 108.77% | ||
| OM | 6.35% | ||
| PM (TTM) | 4.21% | ||
| GM | 92.14% | ||
| FCFM | 7.71% |
ROA(3y)17.81%
ROA(5y)19.01%
ROE(3y)98.78%
ROE(5y)109.93%
ROIC(3y)57.82%
ROIC(5y)69.74%
ROICexc(3y)104.95%
ROICexc(5y)157.14%
ROICexgc(3y)386.46%
ROICexgc(5y)N/A
ROCE(3y)75.85%
ROCE(5y)91.5%
ROICexcg growth 3YN/A
ROICexcg growth 5Y0.52%
ROICexc growth 3Y-20.98%
ROICexc growth 5Y-5.39%
OM growth 3Y-21.97%
OM growth 5Y-9.26%
PM growth 3Y-17.88%
PM growth 5Y-11.1%
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 | 0.97 | ||
| Debt/EBITDA | 0.57 | ||
| Cap/Depr | 30.92% | ||
| Cap/Sales | 1.18% | ||
| Interest Coverage | 47.01 | ||
| Cash Conversion | 87.46% | ||
| Profit Quality | 183.16% | ||
| Current Ratio | 1.03 | ||
| Quick Ratio | 1.03 | ||
| Altman-Z | 5.47 |
F-Score5
WACC7.89%
ROIC/WACC4.79
Cap/Depr(3y)47.62%
Cap/Depr(5y)59.61%
Cap/Sales(3y)1.89%
Cap/Sales(5y)2.8%
Profit Quality(3y)144.46%
Profit Quality(5y)137.21%
High Growth Momentum
Growth
EPS 1Y (TTM)-21.88%
EPS 3Y-7.31%
EPS 5Y-3.24%
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-15.7%
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-3.15%
FCF growth 3Y20.09%
FCF growth 5Y0.9%
OCF growth 1Y-10.12%
OCF growth 3Y2%
OCF growth 5Y-1.55%