ONESPAN INC (OSPN) Stock Fundamental Analysis
USA - NASDAQ:OSPN - US68287N1000 - Common Stock
12.24 USD
+0.04 (+0.33%)
12.24 USD
0 (0%)
We assign a fundamental rating of 6 out of 10 to OSPN. OSPN was compared to 284 industry peers in the Software industry. OSPN gets an excellent profitability rating and is at the same time showing great financial health properties. OSPN is cheap, but on the other hand it scores bad on growth. This makes OSPN very considerable for value investing!
1. Profitability
1.1 Basic Checks
In the past year OSPN was profitable.
OSPN had a positive operating cash flow in the past year.
OSPN had negative earnings in 4 of the past 5 years.
The reported operating cash flow has been mixed in the past 5 years: OSPN reported negative operating cash flow in multiple years.
1.2 Ratios
With an excellent Return On Assets value of 16.78%, OSPN belongs to the best of the industry, outperforming 91.55% of the companies in the same industry.
OSPN has a better Return On Equity (24.70%) than 88.38% of its industry peers.
Looking at the Return On Invested Capital, with a value of 15.84%, OSPN belongs to the top of the industry, outperforming 92.25% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.78% | ||
| ROE | 24.7% | ||
| ROIC | 15.84% |
ROA(3y)0.75%
ROA(5y)-1.63%
ROE(3y)0.35%
ROE(5y)-3%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Profit Margin of OSPN (24.90%) is better than 88.03% of its industry peers.
OSPN's Profit Margin has improved in the last couple of years.
OSPN has a Operating Margin of 21.80%. This is amongst the best in the industry. OSPN outperforms 88.03% of its industry peers.
In the last couple of years the Operating Margin of OSPN has grown nicely.
OSPN has a Gross Margin of 73.93%. This is in the better half of the industry: OSPN outperforms 62.32% of its industry peers.
In the last couple of years the Gross Margin of OSPN has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.8% | ||
| PM (TTM) | 24.9% | ||
| GM | 73.93% |
OM growth 3YN/A
OM growth 5Y29.31%
PM growth 3YN/A
PM growth 5Y49.76%
GM growth 3Y2.52%
GM growth 5Y1.64%
2. Health
2.1 Basic Checks
OSPN has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for OSPN has been increased compared to 1 year ago.
Compared to 5 years ago, OSPN has less shares outstanding
There is no outstanding debt for OSPN. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
OSPN has an Altman-Z score of 4.52. This indicates that OSPN is financially healthy and has little risk of bankruptcy at the moment.
With a decent Altman-Z score value of 4.52, OSPN is doing good in the industry, outperforming 68.31% of the companies in the same industry.
OSPN has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 4.52 |
ROIC/WACC1.44
WACC10.99%
2.3 Liquidity
OSPN has a Current Ratio of 1.77. This is a normal value and indicates that OSPN is financially healthy and should not expect problems in meeting its short term obligations.
OSPN's Current ratio of 1.77 is in line compared to the rest of the industry. OSPN outperforms 55.99% of its industry peers.
A Quick Ratio of 1.65 indicates that OSPN should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.65, OSPN is in line with its industry, outperforming 53.87% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.77 | ||
| Quick Ratio | 1.65 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 7.94% over the past year.
OSPN shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 19.39% yearly.
OSPN shows a small growth in Revenue. In the last year, the Revenue has grown by 3.43%.
The Revenue has been decreasing by -0.83% on average over the past years.
EPS 1Y (TTM)7.94%
EPS 3YN/A
EPS 5Y19.39%
EPS Q2Q%0%
Revenue 1Y (TTM)3.43%
Revenue growth 3Y4.27%
Revenue growth 5Y-0.83%
Sales Q2Q%1.45%
3.2 Future
Based on estimates for the next years, OSPN will show a small growth in Earnings Per Share. The EPS will grow by 5.08% on average per year.
Based on estimates for the next years, OSPN will show a small growth in Revenue. The Revenue will grow by 1.74% on average per year.
EPS Next Y11.06%
EPS Next 2Y6.68%
EPS Next 3Y5.08%
EPS Next 5YN/A
Revenue Next Year1.08%
Revenue Next 2Y2.28%
Revenue Next 3Y1.74%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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
Based on the Price/Earnings ratio of 9.00, the valuation of OSPN can be described as reasonable.
91.20% of the companies in the same industry are more expensive than OSPN, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 25.83. OSPN is valued rather cheaply when compared to this.
A Price/Forward Earnings ratio of 8.21 indicates a reasonable valuation of OSPN.
92.25% of the companies in the same industry are more expensive than OSPN, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 32.68, OSPN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9 | ||
| Fwd PE | 8.21 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, OSPN is valued cheaper than 94.72% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, OSPN is valued cheaper than 95.42% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.6 | ||
| EV/EBITDA | 6.12 |
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 OSPN may justify a higher PE ratio.
PEG (NY)0.81
PEG (5Y)0.46
EPS Next 2Y6.68%
EPS Next 3Y5.08%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.93%, OSPN has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 36.34, OSPN pays a better dividend. On top of this OSPN pays more dividend than 96.83% of the companies listed in the same industry.
OSPN's Dividend Yield is rather good when compared to the S&P500 average which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.93% |
5.2 History
OSPN does not have a reliable dividend history as it only pays dividend since a couple or years.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DPN/A
EPS Next 2Y6.68%
EPS Next 3Y5.08%
12.24
+0.04 (+0.33%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners97.76%
Inst Owner Change-0.19%
Ins Owners1.55%
Ins Owner Change2.1%
Market Cap469.04M
Revenue(TTM)243.18M
Net Income(TTM)59.91M
Analysts80
Price Target19.89 (62.5%)
Short Float %6.07%
Short Ratio5.83
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.93% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)24.6%
Min EPS beat(2)13.86%
Max EPS beat(2)35.33%
EPS beat(4)3
Avg EPS beat(4)27.94%
Min EPS beat(4)-7.73%
Max EPS beat(4)70.28%
EPS beat(8)7
Avg EPS beat(8)143.03%
EPS beat(12)9
Avg EPS beat(12)92.39%
EPS beat(16)11
Avg EPS beat(16)69.4%
Revenue beat(2)0
Avg Revenue beat(2)-0.66%
Min Revenue beat(2)-0.68%
Max Revenue beat(2)-0.64%
Revenue beat(4)2
Avg Revenue beat(4)0.54%
Min Revenue beat(4)-0.68%
Max Revenue beat(4)2.75%
Revenue beat(8)6
Avg Revenue beat(8)3.91%
Revenue beat(12)9
Avg Revenue beat(12)3.62%
Revenue beat(16)11
Avg Revenue beat(16)2.98%
PT rev (1m)0%
PT rev (3m)0.86%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-13%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.07%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-5.48%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9 | ||
| Fwd PE | 8.21 | ||
| P/S | 1.95 | ||
| P/FCF | 8.6 | ||
| P/OCF | 7.57 | ||
| P/B | 1.93 | ||
| P/tB | 3.65 | ||
| EV/EBITDA | 6.12 |
EPS(TTM)1.36
EY11.11%
EPS(NY)1.49
Fwd EY12.18%
FCF(TTM)1.42
FCFY11.63%
OCF(TTM)1.62
OCFY13.22%
SpS6.28
BVpS6.33
TBVpS3.36
PEG (NY)0.81
PEG (5Y)0.46
Graham Number13.92
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 16.78% | ||
| ROE | 24.7% | ||
| ROCE | 20.06% | ||
| ROIC | 15.84% | ||
| ROICexc | 24.57% | ||
| ROICexgc | 75.75% | ||
| OM | 21.8% | ||
| PM (TTM) | 24.9% | ||
| GM | 73.93% | ||
| FCFM | 22.67% |
ROA(3y)0.75%
ROA(5y)-1.63%
ROE(3y)0.35%
ROE(5y)-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 5Y39.04%
ROICexc growth 3YN/A
ROICexc growth 5Y36.55%
OM growth 3YN/A
OM growth 5Y29.31%
PM growth 3YN/A
PM growth 5Y49.76%
GM growth 3Y2.52%
GM growth 5Y1.64%
F-Score7
Asset Turnover0.67
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 84.43% | ||
| Cap/Sales | 3.09% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 101.2% | ||
| Profit Quality | 91.06% | ||
| Current Ratio | 1.77 | ||
| Quick Ratio | 1.65 | ||
| Altman-Z | 4.52 |
F-Score7
WACC10.99%
ROIC/WACC1.44
Cap/Depr(3y)125.33%
Cap/Depr(5y)85.22%
Cap/Sales(3y)3.82%
Cap/Sales(5y)2.78%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)7.94%
EPS 3YN/A
EPS 5Y19.39%
EPS Q2Q%0%
EPS Next Y11.06%
EPS Next 2Y6.68%
EPS Next 3Y5.08%
EPS Next 5YN/A
Revenue 1Y (TTM)3.43%
Revenue growth 3Y4.27%
Revenue growth 5Y-0.83%
Sales Q2Q%1.45%
Revenue Next Year1.08%
Revenue Next 2Y2.28%
Revenue Next 3Y1.74%
Revenue Next 5YN/A
EBIT growth 1Y60.22%
EBIT growth 3YN/A
EBIT growth 5Y28.24%
EBIT Next Year27.01%
EBIT Next 3Y12.41%
EBIT Next 5YN/A
FCF growth 1Y578.97%
FCF growth 3YN/A
FCF growth 5Y33.85%
OCF growth 1Y6987.56%
OCF growth 3YN/A
OCF growth 5Y25%
ONESPAN INC / OSPN FAQ
What is the ChartMill fundamental rating of ONESPAN INC (OSPN) stock?
ChartMill assigns a fundamental rating of 6 / 10 to OSPN.
What is the valuation status for OSPN stock?
ChartMill assigns a valuation rating of 8 / 10 to ONESPAN INC (OSPN). This can be considered as Undervalued.
How profitable is ONESPAN INC (OSPN) stock?
ONESPAN INC (OSPN) has a profitability rating of 7 / 10.
What is the valuation of ONESPAN INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for ONESPAN INC (OSPN) is 9 and the Price/Book (PB) ratio is 1.93.
What is the earnings growth outlook for ONESPAN INC?
The Earnings per Share (EPS) of ONESPAN INC (OSPN) is expected to grow by 11.06% in the next year.