New Relic Inc (NEWR) Stock Fundamental Analysis

NYSE:NEWR • US64829B1008

86.99 USD
+0.02 (+0.02%)
At close: Nov 7, 2023
87 USD
+0.01 (+0.01%)
After Hours: 11/7/2023, 8:12:48 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

5

NEWR gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 275 industry peers in the Software industry. NEWR scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. NEWR is growing strongly while it is still valued neutral. This is a good combination!


Dividend Valuation Growth Profitability Health

2

1. Profitability

1.1 Basic Checks

  • NEWR had positive earnings in the past year.
  • NEWR had a positive operating cash flow in the past year.
  • In the past 5 years NEWR always reported negative net income.
  • In the past 5 years NEWR always reported a positive cash flow from operatings.
NEWR Yearly Net Income VS EBIT VS OCF VS FCFNEWR Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 0 100M -100M -200M

1.2 Ratios

  • Looking at the Return On Assets, with a value of -16.14%, NEWR is in line with its industry, outperforming 40.14% of the companies in the same industry.
  • NEWR has a Return On Equity (-37.27%) which is in line with its industry peers.
Industry RankSector Rank
ROA -16.14%
ROE -37.27%
ROIC N/A
ROA(3y)-14.67%
ROA(5y)-10.97%
ROE(3y)-59.02%
ROE(5y)-42.3%
ROIC(3y)N/A
ROIC(5y)N/A
NEWR Yearly ROA, ROE, ROICNEWR Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 -20 -40 -60

1.3 Margins

  • Looking at the Gross Margin, with a value of 76.88%, NEWR is in the better half of the industry, outperforming 74.19% of the companies in the same industry.
  • NEWR's Gross Margin has declined in the last couple of years.
  • NEWR does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
Industry RankSector Rank
OM N/A
PM (TTM) N/A
GM 76.88%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-3.86%
GM growth 5Y-2.22%
NEWR Yearly Profit, Operating, Gross MarginsNEWR Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 0 20 -20 40 60 80

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ROAROEROICOperating and Profit MarginShow most profitable peers

6

2. Health

2.1 Basic Checks

  • NEWR does not have a ROIC to compare to the WACC, probably because it is not profitable.
  • The number of shares outstanding for NEWR has been increased compared to 1 year ago.
  • NEWR has a worse debt/assets ratio than last year.
NEWR Yearly Shares OutstandingNEWR Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 20M 40M 60M
NEWR Yearly Total Debt VS Total AssetsNEWR Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 500M 1B

2.2 Solvency

  • An Altman-Z score of 6.66 indicates that NEWR is not in any danger for bankruptcy at the moment.
  • With a decent Altman-Z score value of 6.66, NEWR is doing good in the industry, outperforming 79.93% of the companies in the same industry.
  • There is no outstanding debt for NEWR. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0
Altman-Z 6.66
ROIC/WACCN/A
WACC10.72%
NEWR Yearly LT Debt VS Equity VS FCFNEWR Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 0 100M 200M 300M 400M

2.3 Liquidity

  • A Current Ratio of 1.58 indicates that NEWR should not have too much problems paying its short term obligations.
  • The Current ratio of NEWR (1.58) is comparable to the rest of the industry.
  • A Quick Ratio of 1.58 indicates that NEWR should not have too much problems paying its short term obligations.
  • Looking at the Quick ratio, with a value of 1.58, NEWR is in line with its industry, outperforming 47.31% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 1.58
Quick Ratio 1.58
NEWR Yearly Current Assets VS Current LiabilitesNEWR Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 200M 400M 600M 800M 1B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

8

3. Growth

3.1 Past

  • The Earnings Per Share has grown by an impressive 405.45% over the past year.
  • The Earnings Per Share has been decreasing by -2.59% on average over the past years.
  • The Revenue has grown by 13.48% in the past year. This is quite good.
  • Measured over the past years, NEWR shows a very strong growth in Revenue. The Revenue has been growing by 21.12% on average per year.
EPS 1Y (TTM)405.45%
EPS 3Y-2.59%
EPS 5YN/A
EPS Q2Q%292.31%
Revenue 1Y (TTM)13.48%
Revenue growth 3Y15.58%
Revenue growth 5Y21.12%
Sales Q2Q%6.98%

3.2 Future

  • The Earnings Per Share is expected to grow by 42.30% on average over the next years. This is a very strong growth
  • Based on estimates for the next years, NEWR will show a quite strong growth in Revenue. The Revenue will grow by 14.84% on average per year.
EPS Next Y186.08%
EPS Next 2Y85.65%
EPS Next 3Y56.67%
EPS Next 5Y42.3%
Revenue Next Year11.06%
Revenue Next 2Y12.49%
Revenue Next 3Y15.41%
Revenue Next 5Y14.84%

3.3 Evolution

  • The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
  • Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
NEWR Yearly Revenue VS EstimatesNEWR Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 500M 1B 1.5B
NEWR Yearly EPS VS EstimatesNEWR Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 0 1 -1 2 3

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Find the best growth stocksShow best growing peers

4

4. Valuation

4.1 Price/Earnings Ratio

  • Based on the Price/Earnings ratio of 51.78, the valuation of NEWR can be described as expensive.
  • Based on the Price/Earnings ratio, NEWR is valued a bit cheaper than the industry average as 66.31% of the companies are valued more expensively.
  • NEWR's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 27.10.
  • NEWR is valuated quite expensively with a Price/Forward Earnings ratio of 41.38.
  • Based on the Price/Forward Earnings ratio, NEWR is valued a bit cheaper than 63.80% of the companies in the same industry.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 28.06, NEWR is valued a bit more expensive.
Industry RankSector Rank
PE 51.78
Fwd PE 41.38
NEWR Price Earnings VS Forward Price EarningsNEWR Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40 50

4.2 Price Multiples

  • NEWR's Price/Free Cash Flow ratio is in line with the industry average.
Industry RankSector Rank
P/FCF 80.66
EV/EBITDA N/A
NEWR Per share dataNEWR EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 2 4 6 8 10

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.
  • NEWR's earnings are expected to grow with 56.67% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.28
PEG (5Y)N/A
EPS Next 2Y85.65%
EPS Next 3Y56.67%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. Dividend

5.1 Amount

  • No dividends for NEWR!.
Industry RankSector Rank
Dividend Yield N/A

More info and screens

Find the best dividend stocksShow peers with best dividend

New Relic Inc

NYSE:NEWR (11/7/2023, 8:12:48 PM)

After market: 87 +0.01 (+0.01%)

86.99

+0.02 (+0.02%)

Chartmill FA Rating
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)10-27
Earnings (Next)02-05
Inst Owners0%
Inst Owner Change200%
Ins Owners5.84%
Ins Owner Change0%
Market Cap6.18B
Revenue(TTM)967.64M
Net Income(TTM)-144.41M
Analysts68.18
Price Target88.03 (1.2%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector 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)30.94%
Min EPS beat(2)26.69%
Max EPS beat(2)35.2%
EPS beat(4)4
Avg EPS beat(4)64.29%
Min EPS beat(4)26.69%
Max EPS beat(4)107.31%
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)-2.83%
Min Revenue beat(2)-5.11%
Max Revenue beat(2)-0.54%
Revenue beat(4)1
Avg Revenue beat(4)-1.51%
Min Revenue beat(4)-5.11%
Max Revenue beat(4)1.01%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)-0.61%
EPS NQ rev (1m)1.98%
EPS NQ rev (3m)0.86%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.01%
Revenue NQ rev (1m)-1.56%
Revenue NQ rev (3m)-1.53%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
Industry RankSector Rank
PE 51.78
Fwd PE 41.38
P/S 6.38
P/FCF 80.66
P/OCF 65.45
P/B 15.95
P/tB 29.92
EV/EBITDA N/A
EPS(TTM)1.68
EY1.93%
EPS(NY)2.1
Fwd EY2.42%
FCF(TTM)1.08
FCFY1.24%
OCF(TTM)1.33
OCFY1.53%
SpS13.62
BVpS5.46
TBVpS2.91
PEG (NY)0.28
PEG (5Y)N/A
Graham NumberN/A
Profitability
Industry RankSector Rank
ROA -16.14%
ROE -37.27%
ROCE N/A
ROIC N/A
ROICexc N/A
ROICexgc N/A
OM N/A
PM (TTM) N/A
GM 76.88%
FCFM 7.92%
ROA(3y)-14.67%
ROA(5y)-10.97%
ROE(3y)-59.02%
ROE(5y)-42.3%
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 3Y-3.86%
GM growth 5Y-2.22%
F-Score7
Asset Turnover1.08
Health
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0
Debt/EBITDA N/A
Cap/Depr 42.97%
Cap/Sales 1.84%
Interest Coverage N/A
Cash Conversion N/A
Profit Quality N/A
Current Ratio 1.58
Quick Ratio 1.58
Altman-Z 6.66
F-Score7
WACC10.72%
ROIC/WACCN/A
Cap/Depr(3y)29.68%
Cap/Depr(5y)52.98%
Cap/Sales(3y)3.11%
Cap/Sales(5y)6.06%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)405.45%
EPS 3Y-2.59%
EPS 5YN/A
EPS Q2Q%292.31%
EPS Next Y186.08%
EPS Next 2Y85.65%
EPS Next 3Y56.67%
EPS Next 5Y42.3%
Revenue 1Y (TTM)13.48%
Revenue growth 3Y15.58%
Revenue growth 5Y21.12%
Sales Q2Q%6.98%
Revenue Next Year11.06%
Revenue Next 2Y12.49%
Revenue Next 3Y15.41%
Revenue Next 5Y14.84%
EBIT growth 1Y45.05%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year861.55%
EBIT Next 3Y144.5%
EBIT Next 5YN/A
FCF growth 1Y384.71%
FCF growth 3Y5.83%
FCF growth 5Y28.88%
OCF growth 1Y1870.61%
OCF growth 3Y-16.81%
OCF growth 5Y8.54%

New Relic Inc / NEWR FAQ

What is the fundamental rating for NEWR stock?

ChartMill assigns a fundamental rating of 5 / 10 to NEWR.


What is the valuation status of New Relic Inc (NEWR) stock?

ChartMill assigns a valuation rating of 4 / 10 to New Relic Inc (NEWR). This can be considered as Fairly Valued.


What is the profitability of NEWR stock?

New Relic Inc (NEWR) has a profitability rating of 2 / 10.


Can you provide the PE and PB ratios for NEWR stock?

The Price/Earnings (PE) ratio for New Relic Inc (NEWR) is 51.78 and the Price/Book (PB) ratio is 15.95.


Can you provide the expected EPS growth for NEWR stock?

The Earnings per Share (EPS) of New Relic Inc (NEWR) is expected to grow by 186.08% in the next year.