ONESPAN INC (OSPN) Stock Fundamental Analysis
USA - NASDAQ:OSPN - US68287N1000 - Common Stock
15.78 USD
+0.2 (+1.28%)
15.69 USD
-0.09 (-0.57%)
We assign a fundamental rating of 6 out of 10 to OSPN. OSPN was compared to 281 industry peers in the Software industry. OSPN has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. OSPN is valued quite cheap, while showing a decent growth score. This is a good combination! These ratings would make OSPN suitable for value investing!
1. Profitability
1.1 Basic Checks
OSPN had positive earnings in the past year.
In the past year OSPN had a positive cash flow from operations.
In the past 5 years OSPN reported 4 times negative net income.
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 92.88% of the companies in the same industry.
OSPN's Return On Equity of 24.70% is amongst the best of the industry. OSPN outperforms 89.32% of its industry peers.
OSPN has a Return On Invested Capital of 15.84%. This is amongst the best in the industry. OSPN outperforms 92.17% of its industry peers.
| 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
With an excellent Profit Margin value of 24.90%, OSPN belongs to the best of the industry, outperforming 89.68% of the companies in the same industry.
OSPN's Profit Margin has improved in the last couple of years.
OSPN's Operating Margin of 21.80% is amongst the best of the industry. OSPN outperforms 88.26% of its industry peers.
OSPN's Operating Margin has improved in the last couple of years.
OSPN has a Gross Margin of 73.93%. This is in the better half of the industry: OSPN outperforms 62.63% of its industry peers.
OSPN's Gross Margin has improved in the last couple of years.
| 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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), OSPN is creating some value.
OSPN has more shares outstanding than it did 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 5.20. This indicates that OSPN is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of OSPN (5.20) is better than 71.17% of its industry peers.
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.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 5.2 |
ROIC/WACC1.4
WACC11.34%
2.3 Liquidity
A Current Ratio of 1.77 indicates that OSPN should not have too much problems paying its short term obligations.
OSPN has a Current ratio (1.77) which is in line with its industry peers.
A Quick Ratio of 1.65 indicates that OSPN should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.65, OSPN perfoms like the industry average, outperforming 53.02% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.77 | ||
| Quick Ratio | 1.65 |
3. Growth
3.1 Past
OSPN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 33.33%, which is quite impressive.
Measured over the past years, OSPN shows a quite strong growth in Earnings Per Share. The EPS has been growing by 19.39% on average per year.
OSPN shows a decrease in Revenue. In the last year, the revenue decreased by -2.79%.
The Revenue has been decreasing by -0.83% on average over the past years.
EPS 1Y (TTM)33.33%
EPS 3YN/A
EPS 5Y19.39%
EPS Q2Q%9.68%
Revenue 1Y (TTM)-2.79%
Revenue growth 3Y4.27%
Revenue growth 5Y-0.83%
Sales Q2Q%-1.77%
3.2 Future
The Earnings Per Share is expected to grow by 6.24% on average over the next years.
The Revenue is expected to grow by 4.37% on average over the next years.
EPS Next Y11.41%
EPS Next 2Y7.43%
EPS Next 3Y6.24%
EPS Next 5YN/A
Revenue Next Year3.12%
Revenue Next 2Y4.27%
Revenue Next 3Y4.37%
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 11.60, which indicates a very decent valuation of OSPN.
Compared to the rest of the industry, the Price/Earnings ratio of OSPN indicates a rather cheap valuation: OSPN is cheaper than 88.26% of the companies listed in the same industry.
OSPN's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.86.
OSPN is valuated reasonably with a Price/Forward Earnings ratio of 10.44.
Based on the Price/Forward Earnings ratio, OSPN is valued cheaper than 89.68% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of OSPN to the average of the S&P500 Index (23.32), we can say OSPN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.6 | ||
| Fwd PE | 10.44 |
4.2 Price Multiples
OSPN's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. OSPN is cheaper than 92.17% of the companies in the same industry.
OSPN's Price/Free Cash Flow ratio is rather cheap when compared to the industry. OSPN is cheaper than 93.95% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.08 | ||
| EV/EBITDA | 8.23 |
4.3 Compensation for Growth
OSPN's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
OSPN has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.02
PEG (5Y)0.6
EPS Next 2Y7.43%
EPS Next 3Y6.24%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.08%, OSPN has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 39.95, OSPN pays a better dividend. On top of this OSPN pays more dividend than 97.15% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.41, OSPN pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.08% |
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 2Y7.43%
EPS Next 3Y6.24%
15.78
+0.2 (+1.28%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners97.76%
Inst Owner Change0.26%
Ins Owners1.55%
Ins Owner Change2.1%
Market Cap604.69M
Analysts80
Price Target19.89 (26.05%)
Short Float %6.35%
Short Ratio5.09
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.08% |
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)6.36%
PT rev (3m)0.86%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-13%
EPS NY rev (1m)0.34%
EPS NY rev (3m)-0.07%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-5.48%
Revenue NY rev (1m)-0.25%
Revenue NY rev (3m)-0.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.6 | ||
| Fwd PE | 10.44 | ||
| P/S | 2.51 | ||
| P/FCF | 11.08 | ||
| P/OCF | 9.75 | ||
| P/B | 2.49 | ||
| P/tB | 4.7 | ||
| EV/EBITDA | 8.23 |
EPS(TTM)1.36
EY8.62%
EPS(NY)1.51
Fwd EY9.58%
FCF(TTM)1.42
FCFY9.02%
OCF(TTM)1.62
OCFY10.25%
SpS6.28
BVpS6.33
TBVpS3.36
PEG (NY)1.02
PEG (5Y)0.6
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
ROICexcg growth 3YN/A
ROICexcg 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 | 5.2 |
F-Score7
WACC11.34%
ROIC/WACC1.4
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)33.33%
EPS 3YN/A
EPS 5Y19.39%
EPS Q2Q%9.68%
EPS Next Y11.41%
EPS Next 2Y7.43%
EPS Next 3Y6.24%
EPS Next 5YN/A
Revenue 1Y (TTM)-2.79%
Revenue growth 3Y4.27%
Revenue growth 5Y-0.83%
Sales Q2Q%-1.77%
Revenue Next Year3.12%
Revenue Next 2Y4.27%
Revenue Next 3Y4.37%
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%