PAYMENTUS HOLDINGS INC-A (PAY) Stock Fundamental Analysis
NYSE:PAY - New York Stock Exchange, Inc. - US70439P1084 - Common Stock - Currency: USD
We assign a fundamental rating of 5 out of 10 to PAY. PAY was compared to 100 industry peers in the Financial Services industry. While PAY has a great health rating, its profitability is only average at the moment. PAY is valued quite expensive, but it does show an excellent growth.
1. Profitability
1.1 Basic Checks
In the past year PAY was profitable.
In the past year PAY had a positive cash flow from operations.
PAY had positive earnings in 4 of the past 5 years.
In the past 5 years PAY always reported a positive cash flow from operatings.
1.2 Ratios
PAY has a Return On Assets of 8.59%. This is amongst the best in the industry. PAY outperforms 87.00% of its industry peers.
PAY's Return On Equity of 10.14% is in line compared to the rest of the industry. PAY outperforms 51.00% of its industry peers.
PAY has a better Return On Invested Capital (8.74%) than 79.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.59% | ||
| ROE | 10.14% | ||
| ROIC | 8.74% |
ROA(3y)3.99%
ROA(5y)4.05%
ROE(3y)4.72%
ROE(5y)5.21%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 5.28%, PAY is doing worse than 61.00% of the companies in the same industry.
In the last couple of years the Profit Margin of PAY has grown nicely.
The Operating Margin of PAY (5.43%) is worse than 68.00% of its industry peers.
In the last couple of years the Operating Margin of PAY has declined.
The Gross Margin of PAY (26.14%) is comparable to the rest of the industry.
In the last couple of years the Gross Margin of PAY has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.43% | ||
| PM (TTM) | 5.28% | ||
| GM | 26.14% |
OM growth 3Y18.92%
OM growth 5Y-7.99%
PM growth 3Y41.99%
PM growth 5Y5.83%
GM growth 3Y-3.81%
GM growth 5Y-2.84%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), PAY is destroying value.
Compared to 1 year ago, PAY has more shares outstanding
The number of shares outstanding for PAY has been increased compared to 5 years ago.
There is no outstanding debt for PAY. 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
An Altman-Z score of 34.43 indicates that PAY is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 34.43, PAY belongs to the top of the industry, outperforming 98.00% of the companies in the same industry.
There is no outstanding debt for PAY. 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 | 34.43 |
ROIC/WACC0.97
WACC9.05%
2.3 Liquidity
PAY has a Current Ratio of 4.46. This indicates that PAY is financially healthy and has no problem in meeting its short term obligations.
PAY has a better Current ratio (4.46) than 89.00% of its industry peers.
A Quick Ratio of 4.46 indicates that PAY has no problem at all paying its short term obligations.
With an excellent Quick ratio value of 4.46, PAY belongs to the best of the industry, outperforming 89.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.46 | ||
| Quick Ratio | 4.46 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 42.11% over the past year.
Measured over the past years, PAY shows a very strong growth in Earnings Per Share. The EPS has been growing by 34.01% on average per year.
The Revenue has grown by 47.79% in the past year. This is a very strong growth!
Measured over the past years, PAY shows a very strong growth in Revenue. The Revenue has been growing by 29.89% on average per year.
EPS 1Y (TTM)42.11%
EPS 3Y79.29%
EPS 5Y34.01%
EPS Q2Q%40%
Revenue 1Y (TTM)47.79%
Revenue growth 3Y30.14%
Revenue growth 5Y29.89%
Sales Q2Q%48.88%
3.2 Future
PAY is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 16.88% yearly.
Based on estimates for the next years, PAY will show a quite strong growth in Revenue. The Revenue will grow by 12.00% on average per year.
EPS Next Y14.85%
EPS Next 2Y21.55%
EPS Next 3Y23.39%
EPS Next 5Y16.88%
Revenue Next Year31.35%
Revenue Next 2Y25.6%
Revenue Next 3Y24.44%
Revenue Next 5Y12%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past 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.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 70.72 indicates a quite expensive valuation of PAY.
Based on the Price/Earnings ratio, PAY is valued a bit more expensive than the industry average as 79.00% of the companies are valued more cheaply.
PAY's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 26.25.
With a Price/Forward Earnings ratio of 51.70, PAY can be considered very expensive at the moment.
PAY's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. PAY is more expensive than 76.00% of the companies in the same industry.
PAY's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 22.15.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 70.72 | ||
| Fwd PE | 51.7 |
4.2 Price Multiples
64.00% of the companies in the same industry are cheaper than PAY, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of PAY is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 71.75 | ||
| EV/EBITDA | 49.87 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates PAY does not grow enough to justify the current Price/Earnings ratio.
PAY's earnings are expected to grow with 23.39% in the coming years. This may justify a more expensive valuation.
PEG (NY)4.76
PEG (5Y)2.08
EPS Next 2Y21.55%
EPS Next 3Y23.39%
5. Dividend
5.1 Amount
PAY does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
38.19
-0.04 (-0.1%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners88.73%
Inst Owner Change23.49%
Ins Owners2.52%
Ins Owner Change1.1%
Market Cap4.78B
Analysts74.55
Price Target35.19 (-7.86%)
Short Float %4.05%
Short Ratio2.37
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.39%
Min EPS beat(2)7.26%
Max EPS beat(2)9.52%
EPS beat(4)4
Avg EPS beat(4)28.97%
Min EPS beat(4)7.26%
Max EPS beat(4)62.01%
EPS beat(8)8
Avg EPS beat(8)115.7%
EPS beat(12)11
Avg EPS beat(12)184.68%
EPS beat(16)14
Avg EPS beat(16)167%
Revenue beat(2)2
Avg Revenue beat(2)11.79%
Min Revenue beat(2)8.6%
Max Revenue beat(2)14.98%
Revenue beat(4)4
Avg Revenue beat(4)13.03%
Min Revenue beat(4)8.25%
Max Revenue beat(4)20.28%
Revenue beat(8)7
Avg Revenue beat(8)7.81%
Revenue beat(12)11
Avg Revenue beat(12)6.45%
Revenue beat(16)15
Avg Revenue beat(16)5.67%
PT rev (1m)9.52%
PT rev (3m)-2.54%
EPS NQ rev (1m)-3.03%
EPS NQ rev (3m)-0.62%
EPS NY rev (1m)-0.62%
EPS NY rev (3m)-0.25%
Revenue NQ rev (1m)2.81%
Revenue NQ rev (3m)4.44%
Revenue NY rev (1m)2.59%
Revenue NY rev (3m)7.36%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 70.72 | ||
| Fwd PE | 51.7 | ||
| P/S | 4.97 | ||
| P/FCF | 71.75 | ||
| P/OCF | 46.34 | ||
| P/B | 9.55 | ||
| P/tB | 16.87 | ||
| EV/EBITDA | 49.87 |
EPS(TTM)0.54
EY1.41%
EPS(NY)0.74
Fwd EY1.93%
FCF(TTM)0.53
FCFY1.39%
OCF(TTM)0.82
OCFY2.16%
SpS7.69
BVpS4
TBVpS2.26
PEG (NY)4.76
PEG (5Y)2.08
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.59% | ||
| ROE | 10.14% | ||
| ROCE | 10.24% | ||
| ROIC | 8.74% | ||
| ROICexc | 16.88% | ||
| ROICexgc | 94.82% | ||
| OM | 5.43% | ||
| PM (TTM) | 5.28% | ||
| GM | 26.14% | ||
| FCFM | 6.92% |
ROA(3y)3.99%
ROA(5y)4.05%
ROE(3y)4.72%
ROE(5y)5.21%
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 3Y13.34%
ROICexcg growth 5Y-11.06%
ROICexc growth 3Y43.48%
ROICexc growth 5Y-18.27%
OM growth 3Y18.92%
OM growth 5Y-7.99%
PM growth 3Y41.99%
PM growth 5Y5.83%
GM growth 3Y-3.81%
GM growth 5Y-2.84%
F-Score6
Asset Turnover1.63
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 94.4% | ||
| Cap/Sales | 3.8% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 113.46% | ||
| Profit Quality | 131.21% | ||
| Current Ratio | 4.46 | ||
| Quick Ratio | 4.46 | ||
| Altman-Z | 34.43 |
F-Score6
WACC9.05%
ROIC/WACC0.97
Cap/Depr(3y)114.14%
Cap/Depr(5y)135.98%
Cap/Sales(3y)5.36%
Cap/Sales(5y)5.23%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)42.11%
EPS 3Y79.29%
EPS 5Y34.01%
EPS Q2Q%40%
EPS Next Y14.85%
EPS Next 2Y21.55%
EPS Next 3Y23.39%
EPS Next 5Y16.88%
Revenue 1Y (TTM)47.79%
Revenue growth 3Y30.14%
Revenue growth 5Y29.89%
Sales Q2Q%48.88%
Revenue Next Year31.35%
Revenue Next 2Y25.6%
Revenue Next 3Y24.44%
Revenue Next 5Y12%
EBIT growth 1Y90.64%
EBIT growth 3Y54.77%
EBIT growth 5Y19.51%
EBIT Next Year189.28%
EBIT Next 3Y64.92%
EBIT Next 5Y39.13%
FCF growth 1Y709.32%
FCF growth 3YN/A
FCF growth 5Y40.29%
OCF growth 1Y382.33%
OCF growth 3Y48.35%
OCF growth 5Y29.44%