N-ABLE INC (NABL) Stock Fundamental Analysis
NYSE:NABL - New York Stock Exchange, Inc. - US62878D1000 - Common Stock - Currency: USD
We assign a fundamental rating of 5 out of 10 to NABL. NABL was compared to 283 industry peers in the Software industry. NABL scores excellent on profitability, but there are some minor concerns on its financial health. NABL is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
NABL had positive earnings in the past year.
NABL had a positive operating cash flow in the past year.
Of the past 5 years NABL 4 years were profitable.
NABL had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
NABL has a Return On Assets of 1.21%. This is in the better half of the industry: NABL outperforms 65.49% of its industry peers.
The Return On Equity of NABL (2.11%) is better than 66.90% of its industry peers.
NABL's Return On Invested Capital of 4.20% is fine compared to the rest of the industry. NABL outperforms 72.18% of its industry peers.
The Average Return On Invested Capital over the past 3 years for NABL is significantly below the industry average of 12.03%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.21% | ||
| ROE | 2.11% | ||
| ROIC | 4.2% |
ROA(3y)1.96%
ROA(5y)1.04%
ROE(3y)3.32%
ROE(5y)1.77%
ROIC(3y)4.76%
ROIC(5y)3.91%
1.3 Margins
NABL has a Profit Margin of 3.47%. This is in the better half of the industry: NABL outperforms 69.01% of its industry peers.
In the last couple of years the Profit Margin of NABL has grown nicely.
With a decent Operating Margin value of 13.54%, NABL is doing good in the industry, outperforming 79.23% of the companies in the same industry.
NABL's Operating Margin has improved in the last couple of years.
With an excellent Gross Margin value of 80.86%, NABL belongs to the best of the industry, outperforming 83.45% of the companies in the same industry.
In the last couple of years the Gross Margin of NABL has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.54% | ||
| PM (TTM) | 3.47% | ||
| GM | 80.86% |
OM growth 3Y22.51%
OM growth 5Y4.93%
PM growth 3Y512.8%
PM growth 5YN/A
GM growth 3Y-0.85%
GM growth 5Y1.11%
2. Health
2.1 Basic Checks
NABL has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for NABL has been increased compared to 1 year ago.
The number of shares outstanding for NABL has been increased compared to 5 years ago.
The debt/assets ratio for NABL has been reduced compared to a year ago.
2.2 Solvency
NABL has an Altman-Z score of 2.07. This is not the best score and indicates that NABL is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of NABL (2.07) is comparable to the rest of the industry.
NABL has a debt to FCF ratio of 4.29. This is a neutral value as NABL would need 4.29 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 4.29, NABL is in the better half of the industry, outperforming 60.21% of the companies in the same industry.
A Debt/Equity ratio of 0.42 indicates that NABL is not too dependend on debt financing.
With a Debt to Equity ratio value of 0.42, NABL is not doing good in the industry: 63.03% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 4.29 | ||
| Altman-Z | 2.07 |
ROIC/WACC0.39
WACC10.88%
2.3 Liquidity
NABL has a Current Ratio of 1.20. This is a normal value and indicates that NABL is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of NABL (1.20) is worse than 64.08% of its industry peers.
A Quick Ratio of 1.20 indicates that NABL should not have too much problems paying its short term obligations.
NABL's Quick ratio of 1.20 is on the low side compared to the rest of the industry. NABL is outperformed by 64.08% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.2 | ||
| Quick Ratio | 1.2 |
3. Growth
3.1 Past
NABL shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -6.67%.
NABL shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 10.49%.
The Revenue has been growing by 12.09% on average over the past years. This is quite good.
EPS 1Y (TTM)-6.67%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-21.43%
Revenue 1Y (TTM)10.49%
Revenue growth 3Y10.39%
Revenue growth 5Y12.09%
Sales Q2Q%9.88%
3.2 Future
NABL is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.38% yearly.
NABL is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.13% yearly.
EPS Next Y-22.99%
EPS Next 2Y-2.19%
EPS Next 3Y3.38%
EPS Next 5YN/A
Revenue Next Year6.82%
Revenue Next 2Y7.83%
Revenue Next 3Y8.13%
Revenue Next 5YN/A
3.3 Evolution
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
NABL is valuated rather expensively with a Price/Earnings ratio of 17.81.
Based on the Price/Earnings ratio, NABL is valued cheaply inside the industry as 80.63% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 26.48. NABL is valued slightly cheaper when compared to this.
Based on the Price/Forward Earnings ratio of 16.29, the valuation of NABL can be described as correct.
Compared to the rest of the industry, the Price/Forward Earnings ratio of NABL indicates a rather cheap valuation: NABL is cheaper than 83.45% of the companies listed in the same industry.
NABL is valuated cheaply when we compare the Price/Forward Earnings ratio to 34.04, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.81 | ||
| Fwd PE | 16.29 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of NABL indicates a rather cheap valuation: NABL is cheaper than 81.69% of the companies listed in the same industry.
81.69% of the companies in the same industry are more expensive than NABL, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.24 | ||
| EV/EBITDA | 17.58 |
4.3 Compensation for Growth
The decent profitability rating of NABL may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-2.19%
EPS Next 3Y3.38%
5. Dividend
5.1 Amount
NABL does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
7.48
-0.72 (-8.78%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners36.33%
Inst Owner Change0.8%
Ins Owners1.4%
Ins Owner Change4.97%
Market Cap1.41B
Analysts80
Price Target9.13 (22.06%)
Short Float %3.7%
Short Ratio2.53
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)21.26%
Min EPS beat(2)17.36%
Max EPS beat(2)25.16%
EPS beat(4)4
Avg EPS beat(4)26.34%
Min EPS beat(4)17.36%
Max EPS beat(4)31.98%
EPS beat(8)8
Avg EPS beat(8)22.45%
EPS beat(12)11
Avg EPS beat(12)21.2%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)0.3%
Min Revenue beat(2)0.19%
Max Revenue beat(2)0.4%
Revenue beat(4)3
Avg Revenue beat(4)0.05%
Min Revenue beat(4)-0.61%
Max Revenue beat(4)0.4%
Revenue beat(8)5
Avg Revenue beat(8)-0.05%
Revenue beat(12)7
Avg Revenue beat(12)-0.23%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)-4.53%
EPS NQ rev (1m)0%
EPS NQ rev (3m)4.24%
EPS NY rev (1m)0%
EPS NY rev (3m)3.4%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.79%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.9%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.81 | ||
| Fwd PE | 16.29 | ||
| P/S | 3.01 | ||
| P/FCF | 18.24 | ||
| P/OCF | 14.9 | ||
| P/B | 1.82 | ||
| P/tB | N/A | ||
| EV/EBITDA | 17.58 |
EPS(TTM)0.42
EY5.61%
EPS(NY)0.46
Fwd EY6.14%
FCF(TTM)0.41
FCFY5.48%
OCF(TTM)0.5
OCFY6.71%
SpS2.49
BVpS4.1
TBVpS-1.56
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.21% | ||
| ROE | 2.11% | ||
| ROCE | 5.32% | ||
| ROIC | 4.2% | ||
| ROICexc | 4.56% | ||
| ROICexgc | 146.64% | ||
| OM | 13.54% | ||
| PM (TTM) | 3.47% | ||
| GM | 80.86% | ||
| FCFM | 16.47% |
ROA(3y)1.96%
ROA(5y)1.04%
ROE(3y)3.32%
ROE(5y)1.77%
ROIC(3y)4.76%
ROIC(5y)3.91%
ROICexc(3y)5.32%
ROICexc(5y)4.34%
ROICexgc(3y)87.84%
ROICexgc(5y)81.98%
ROCE(3y)6.03%
ROCE(5y)4.95%
ROICexcg growth 3Y65.21%
ROICexcg growth 5Y9.46%
ROICexc growth 3Y27.66%
ROICexc growth 5Y13.94%
OM growth 3Y22.51%
OM growth 5Y4.93%
PM growth 3Y512.8%
PM growth 5YN/A
GM growth 3Y-0.85%
GM growth 5Y1.11%
F-Score4
Asset Turnover0.35
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 4.29 | ||
| Debt/EBITDA | 3.5 | ||
| Cap/Depr | 57.45% | ||
| Cap/Sales | 3.7% | ||
| Interest Coverage | 2.29 | ||
| Cash Conversion | 100.96% | ||
| Profit Quality | 474.36% | ||
| Current Ratio | 1.2 | ||
| Quick Ratio | 1.2 | ||
| Altman-Z | 2.07 |
F-Score4
WACC10.88%
ROIC/WACC0.39
Cap/Depr(3y)61.51%
Cap/Depr(5y)59.29%
Cap/Sales(3y)3.5%
Cap/Sales(5y)4.65%
Profit Quality(3y)292.19%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-6.67%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-21.43%
EPS Next Y-22.99%
EPS Next 2Y-2.19%
EPS Next 3Y3.38%
EPS Next 5YN/A
Revenue 1Y (TTM)10.49%
Revenue growth 3Y10.39%
Revenue growth 5Y12.09%
Sales Q2Q%9.88%
Revenue Next Year6.82%
Revenue Next 2Y7.83%
Revenue Next 3Y8.13%
Revenue Next 5YN/A
EBIT growth 1Y-16.73%
EBIT growth 3Y35.24%
EBIT growth 5Y17.61%
EBIT Next Year-2.55%
EBIT Next 3Y9.12%
EBIT Next 5YN/A
FCF growth 1Y39.96%
FCF growth 3Y61.53%
FCF growth 5Y25.65%
OCF growth 1Y37.76%
OCF growth 3Y20.55%
OCF growth 5Y25.48%