PORCH GROUP INC (PRCH) Stock Fundamental Analysis
NASDAQ:PRCH - US7332451043 - Common Stock
16.97 USD
+0.88 (+5.47%)
16.94 USD
-0.03 (-0.18%)
Overall PRCH gets a fundamental rating of 3 out of 10. We evaluated PRCH against 280 industry peers in the Software industry. Both the profitability and financial health of PRCH have multiple concerns. PRCH has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year PRCH was profitable.
PRCH had a positive operating cash flow in the past year.
PRCH had negative earnings in each of the past 5 years.
PRCH had negative operating cash flow in 4 of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 7.24%, PRCH is doing good in the industry, outperforming 76.87% of the companies in the same industry.
The Return On Invested Capital of PRCH (2.96%) is better than 69.75% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.24% | ||
| ROE | N/A | ||
| ROIC | 2.96% |
ROA(3y)-11.28%
ROA(5y)-14.14%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 12.82%, PRCH is in the better half of the industry, outperforming 75.09% of the companies in the same industry.
Looking at the Operating Margin, with a value of 6.05%, PRCH is in the better half of the industry, outperforming 69.75% of the companies in the same industry.
The Gross Margin of PRCH (67.66%) is comparable to the rest of the industry.
PRCH's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.05% | ||
| PM (TTM) | 12.82% | ||
| GM | 67.66% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-11.32%
GM growth 5YN/A
2. Health
2.1 Basic Checks
PRCH has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, PRCH has more shares outstanding
The number of shares outstanding for PRCH has been increased compared to 5 years ago.
PRCH has a worse debt/assets ratio than last year.
2.2 Solvency
PRCH has an Altman-Z score of 1.16. This is a bad value and indicates that PRCH is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.16, PRCH is doing worse than 62.28% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.16 |
ROIC/WACC0.27
WACC10.94%
2.3 Liquidity
PRCH has a Current Ratio of 1.72. This is a normal value and indicates that PRCH is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.72, PRCH perfoms like the industry average, outperforming 54.09% of the companies in the same industry.
PRCH has a Quick Ratio of 1.72. This is a normal value and indicates that PRCH is financially healthy and should not expect problems in meeting its short term obligations.
PRCH has a Quick ratio (1.72) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.72 | ||
| Quick Ratio | 1.72 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 157.45% over the past year.
The Revenue has decreased by -7.42% in the past year.
PRCH shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 31.53% yearly.
EPS 1Y (TTM)157.45%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%104.62%
Revenue 1Y (TTM)-7.42%
Revenue growth 3Y31.53%
Revenue growth 5YN/A
Sales Q2Q%-3.45%
3.2 Future
The Earnings Per Share is expected to grow by 56.89% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 5.13% on average over the next years.
EPS Next Y112.95%
EPS Next 2Y56.89%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-6.78%
Revenue Next 2Y5.13%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 31.43, which means the current valuation is very expensive for PRCH.
PRCH's Price/Earnings ratio is a bit cheaper when compared to the industry. PRCH is cheaper than 64.77% of the companies in the same industry.
PRCH is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.13, which is the current average of the S&P500 Index.
PRCH is valuated quite expensively with a Price/Forward Earnings ratio of 87.56.
PRCH's Price/Forward Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.76, PRCH is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.43 | ||
| Fwd PE | 87.56 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, PRCH is valued a bit cheaper than the industry average as 64.41% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 47.09 |
4.3 Compensation for Growth
PRCH'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 PRCH's earnings are expected to grow with 56.89% in the coming years.
PEG (NY)0.28
PEG (5Y)N/A
EPS Next 2Y56.89%
EPS Next 3YN/A
5. Dividend
5.1 Amount
PRCH does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
16.97
+0.88 (+5.47%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners55.89%
Inst Owner Change10.9%
Ins Owners18.37%
Ins Owner Change1.92%
Market Cap2.08B
Analysts81.67
Price Target17.17 (1.18%)
Short Float %11.76%
Short Ratio5.63
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)2
Avg EPS beat(2)153.1%
Min EPS beat(2)132.68%
Max EPS beat(2)173.53%
EPS beat(4)4
Avg EPS beat(4)206.46%
Min EPS beat(4)132.68%
Max EPS beat(4)379.9%
EPS beat(8)7
Avg EPS beat(8)126.46%
EPS beat(12)7
Avg EPS beat(12)49.95%
EPS beat(16)9
Avg EPS beat(16)44.02%
Revenue beat(2)2
Avg Revenue beat(2)5.85%
Min Revenue beat(2)4.34%
Max Revenue beat(2)7.36%
Revenue beat(4)2
Avg Revenue beat(4)-1.32%
Min Revenue beat(4)-10.79%
Max Revenue beat(4)7.36%
Revenue beat(8)5
Avg Revenue beat(8)7.3%
Revenue beat(12)7
Avg Revenue beat(12)7.23%
Revenue beat(16)9
Avg Revenue beat(16)5.06%
PT rev (1m)27.85%
PT rev (3m)110.42%
EPS NQ rev (1m)-1150%
EPS NQ rev (3m)70%
EPS NY rev (1m)196.28%
EPS NY rev (3m)164%
Revenue NQ rev (1m)-1.23%
Revenue NQ rev (3m)0.12%
Revenue NY rev (1m)1.6%
Revenue NY rev (3m)-2.25%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.43 | ||
| Fwd PE | 87.56 | ||
| P/S | 4.78 | ||
| P/FCF | N/A | ||
| P/OCF | 203.66 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 47.09 |
EPS(TTM)0.54
EY3.18%
EPS(NY)0.19
Fwd EY1.14%
FCF(TTM)-0.03
FCFYN/A
OCF(TTM)0.08
OCFY0.49%
SpS3.55
BVpS-0.24
TBVpS-2.3
PEG (NY)0.28
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.24% | ||
| ROE | N/A | ||
| ROCE | 3.74% | ||
| ROIC | 2.96% | ||
| ROICexc | 3.33% | ||
| ROICexgc | 5.59% | ||
| OM | 6.05% | ||
| PM (TTM) | 12.82% | ||
| GM | 67.66% | ||
| FCFM | N/A |
ROA(3y)-11.28%
ROA(5y)-14.14%
ROE(3y)N/A
ROE(5y)N/A
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-11.32%
GM growth 5YN/A
F-Score6
Asset Turnover0.57
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 7.76 | ||
| Cap/Depr | 58.48% | ||
| Cap/Sales | 3.28% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 20.12% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.72 | ||
| Quick Ratio | 1.72 | ||
| Altman-Z | 1.16 |
F-Score6
WACC10.94%
ROIC/WACC0.27
Cap/Depr(3y)42.97%
Cap/Depr(5y)40.18%
Cap/Sales(3y)3.02%
Cap/Sales(5y)3.1%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)157.45%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%104.62%
EPS Next Y112.95%
EPS Next 2Y56.89%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-7.42%
Revenue growth 3Y31.53%
Revenue growth 5YN/A
Sales Q2Q%-3.45%
Revenue Next Year-6.78%
Revenue Next 2Y5.13%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y133.13%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year188.21%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y87.75%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y145.68%
OCF growth 3YN/A
OCF growth 5YN/A