PAGAYA TECHNOLOGIES LTD -A (PGY) Stock Fundamental Analysis
NASDAQ:PGY - Nasdaq - IL0011858912 - Common Stock - Currency: USD
Taking everything into account, PGY scores 3 out of 10 in our fundamental rating. PGY was compared to 283 industry peers in the Software industry. PGY may be in some trouble as it scores bad on both profitability and health. PGY scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
PGY had negative earnings in the past year.
In the past year PGY had a positive cash flow from operations.
In the past 5 years PGY reported 4 times negative net income.
PGY had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
PGY has a Return On Assets of -29.16%. This is in the lower half of the industry: PGY underperforms 73.14% of its industry peers.
PGY has a worse Return On Equity (-90.98%) than 75.27% of its industry peers.
The Return On Invested Capital of PGY (7.82%) is better than 80.92% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -29.16% | ||
| ROE | -90.98% | ||
| ROIC | 7.82% |
ROA(3y)-23.94%
ROA(5y)-18.43%
ROE(3y)-59.08%
ROE(5y)-43.26%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
PGY's Operating Margin of 9.92% is fine compared to the rest of the industry. PGY outperforms 76.33% of its industry peers.
PGY's Gross Margin of 42.44% is on the low side compared to the rest of the industry. PGY is outperformed by 73.85% of its industry peers.
PGY's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.92% | ||
| PM (TTM) | N/A | ||
| GM | 42.44% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-6.22%
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so PGY is destroying value.
Compared to 1 year ago, PGY has more shares outstanding
PGY has a worse debt/assets ratio than last year.
2.2 Solvency
PGY has an Altman-Z score of 1.10. This is a bad value and indicates that PGY is not financially healthy and even has some risk of bankruptcy.
PGY's Altman-Z score of 1.10 is on the low side compared to the rest of the industry. PGY is outperformed by 60.07% of its industry peers.
The Debt to FCF ratio of PGY is 10.98, which is on the high side as it means it would take PGY, 10.98 years of fcf income to pay off all of its debts.
PGY's Debt to FCF ratio of 10.98 is in line compared to the rest of the industry. PGY outperforms 50.18% of its industry peers.
PGY has a Debt/Equity ratio of 1.24. This is a high value indicating a heavy dependency on external financing.
PGY has a Debt to Equity ratio of 1.24. This is in the lower half of the industry: PGY underperforms 76.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.24 | ||
| Debt/FCF | 10.98 | ||
| Altman-Z | 1.1 |
ROIC/WACC0.86
WACC9.09%
2.3 Liquidity
A Current Ratio of 1.79 indicates that PGY should not have too much problems paying its short term obligations.
PGY has a Current ratio of 1.79. This is comparable to the rest of the industry: PGY outperforms 56.89% of its industry peers.
A Quick Ratio of 1.79 indicates that PGY should not have too much problems paying its short term obligations.
The Quick ratio of PGY (1.79) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.79 | ||
| Quick Ratio | 1.79 |
3. Growth
3.1 Past
The earnings per share for PGY have decreased strongly by -217.73% in the last year.
Looking at the last year, PGY shows a very strong growth in Revenue. The Revenue has grown by 23.69%.
PGY shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 29.57% yearly.
EPS 1Y (TTM)-217.73%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%309.09%
Revenue 1Y (TTM)23.69%
Revenue growth 3Y29.57%
Revenue growth 5YN/A
Sales Q2Q%18.23%
3.2 Future
PGY is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 32.88% yearly.
PGY is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 13.70% yearly.
EPS Next Y124.66%
EPS Next 2Y55.97%
EPS Next 3Y32.88%
EPS Next 5YN/A
Revenue Next Year20.33%
Revenue Next 2Y17.12%
Revenue Next 3Y13.7%
Revenue Next 5YN/A
3.3 Evolution
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
PGY reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
The Price/Forward Earnings ratio is 6.91, which indicates a rather cheap valuation of PGY.
Based on the Price/Forward Earnings ratio, PGY is valued cheaper than 95.05% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.15. PGY is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 6.91 |
4.2 Price Multiples
88.69% of the companies in the same industry are more expensive than PGY, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, PGY is valued cheaply inside the industry as 80.21% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.24 | ||
| EV/EBITDA | 12.42 |
4.3 Compensation for Growth
PGY's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as PGY's earnings are expected to grow with 32.88% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y55.97%
EPS Next 3Y32.88%
5. Dividend
5.1 Amount
PGY does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
16.44
-0.69 (-4.03%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners55.67%
Inst Owner Change-0.02%
Ins Owners2.24%
Ins Owner Change-11.11%
Market Cap1.24B
Analysts85
Price Target22.55 (37.17%)
Short Float %18.42%
Short Ratio4.92
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)1
Avg EPS beat(2)-386.85%
Min EPS beat(2)-985.45%
Max EPS beat(2)211.75%
EPS beat(4)1
Avg EPS beat(4)-2836.72%
Min EPS beat(4)-10197%
Max EPS beat(4)211.75%
EPS beat(8)1
Avg EPS beat(8)-1524.83%
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)2
Avg Revenue beat(2)1.84%
Min Revenue beat(2)0.72%
Max Revenue beat(2)2.96%
Revenue beat(4)4
Avg Revenue beat(4)1.97%
Min Revenue beat(4)0.58%
Max Revenue beat(4)3.6%
Revenue beat(8)7
Avg Revenue beat(8)1.91%
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)5.29%
PT rev (3m)5.29%
EPS NQ rev (1m)27.32%
EPS NQ rev (3m)-25.61%
EPS NY rev (1m)18.03%
EPS NY rev (3m)146.03%
Revenue NQ rev (1m)3.49%
Revenue NQ rev (3m)4.59%
Revenue NY rev (1m)2.49%
Revenue NY rev (3m)3%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 6.91 | ||
| P/S | 1.16 | ||
| P/FCF | 21.24 | ||
| P/OCF | 15.47 | ||
| P/B | 3.04 | ||
| P/tB | 3.32 | ||
| EV/EBITDA | 12.42 |
EPS(TTM)-4.48
EYN/A
EPS(NY)2.38
Fwd EY14.48%
FCF(TTM)0.77
FCFY4.71%
OCF(TTM)1.06
OCFY6.47%
SpS14.22
BVpS5.41
TBVpS4.96
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -29.16% | ||
| ROE | -90.98% | ||
| ROCE | 9.9% | ||
| ROIC | 7.82% | ||
| ROICexc | 9.45% | ||
| ROICexgc | 9.83% | ||
| OM | 9.92% | ||
| PM (TTM) | N/A | ||
| GM | 42.44% | ||
| FCFM | 5.44% |
ROA(3y)-23.94%
ROA(5y)-18.43%
ROE(3y)-59.08%
ROE(5y)-43.26%
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 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-6.22%
GM growth 5YN/A
F-Score4
Asset Turnover0.84
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.24 | ||
| Debt/FCF | 10.98 | ||
| Debt/EBITDA | 3.71 | ||
| Cap/Depr | 72.51% | ||
| Cap/Sales | 2.03% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 58.75% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.79 | ||
| Quick Ratio | 1.79 | ||
| Altman-Z | 1.1 |
F-Score4
WACC9.09%
ROIC/WACC0.86
Cap/Depr(3y)180.79%
Cap/Depr(5y)346.68%
Cap/Sales(3y)2.58%
Cap/Sales(5y)2.05%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-217.73%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%309.09%
EPS Next Y124.66%
EPS Next 2Y55.97%
EPS Next 3Y32.88%
EPS Next 5YN/A
Revenue 1Y (TTM)23.69%
Revenue growth 3Y29.57%
Revenue growth 5YN/A
Sales Q2Q%18.23%
Revenue Next Year20.33%
Revenue Next 2Y17.12%
Revenue Next 3Y13.7%
Revenue Next 5YN/A
EBIT growth 1Y1192.46%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year443.62%
EBIT Next 3Y80.94%
EBIT Next 5YN/A
FCF growth 1Y167.16%
FCF growth 3Y0.07%
FCF growth 5YN/A
OCF growth 1Y232.26%
OCF growth 3Y10.12%
OCF growth 5YN/A