Logo image of SCWX

SECUREWORKS CORP - A (SCWX) Stock Fundamental Analysis

USA - NASDAQ:SCWX - US81374A1051 - Common Stock

8.51 USD
+0.02 (+0.24%)
Last: 1/31/2025, 8:00:02 PM
8.5002 USD
-0.01 (-0.12%)
After Hours: 1/31/2025, 8:00:02 PM
Fundamental Rating

3

Overall SCWX gets a fundamental rating of 3 out of 10. We evaluated SCWX against 285 industry peers in the Software industry. The financial health of SCWX is average, but there are quite some concerns on its profitability. SCWX does not seem to be growing, but still is valued expensively.


Dividend Valuation Growth Profitability Health

Quickly go to:

2

1. Profitability

1.1 Basic Checks

SCWX had positive earnings in the past year.
In the past year SCWX had a positive cash flow from operations.
SCWX had negative earnings in each of the past 5 years.
In multiple years SCWX reported negative operating cash flow during the last 5 years.
SCWX Yearly Net Income VS EBIT VS OCF VS FCFSCWX Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 50M -50M -100M

1.2 Ratios

Looking at the Return On Assets, with a value of -13.02%, SCWX is doing worse than 64.39% of the companies in the same industry.
SCWX's Return On Equity of -19.49% is in line compared to the rest of the industry. SCWX outperforms 43.53% of its industry peers.
Industry RankSector Rank
ROA -13.02%
ROE -19.49%
ROIC N/A
ROA(3y)-9.84%
ROA(5y)-6.93%
ROE(3y)-14.61%
ROE(5y)-10.37%
ROIC(3y)N/A
ROIC(5y)N/A
SCWX Yearly ROA, ROE, ROICSCWX Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 -5 -10 -15 -20

1.3 Margins

SCWX has a Gross Margin of 66.84%. This is comparable to the rest of the industry: SCWX outperforms 49.28% of its industry peers.
In the last couple of years the Gross Margin of SCWX has grown nicely.
The Profit Margin and Operating Margin are not available for SCWX so they could not be analyzed.
Industry RankSector Rank
OM N/A
PM (TTM) N/A
GM 66.84%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.54%
GM growth 5Y2.52%
SCWX Yearly Profit, Operating, Gross MarginsSCWX Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 20 -20 40

More info and screens

4

2. Health

2.1 Basic Checks

SCWX does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, SCWX has more shares outstanding
The number of shares outstanding for SCWX has been increased compared to 5 years ago.
There is no outstanding debt for SCWX. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
SCWX Yearly Shares OutstandingSCWX Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 20M 40M 60M 80M
SCWX Yearly Total Debt VS Total AssetsSCWX Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M 1B

2.2 Solvency

SCWX has an Altman-Z score of 1.03. This is a bad value and indicates that SCWX is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.03, SCWX is doing worse than 65.11% of the companies in the same industry.
There is no outstanding debt for SCWX. 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 RankSector Rank
Debt/Equity 0
Debt/FCF 0
Altman-Z 1.03
ROIC/WACCN/A
WACC11.03%
SCWX Yearly LT Debt VS Equity VS FCFSCWX Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200M 400M 600M

2.3 Liquidity

A Current Ratio of 0.62 indicates that SCWX may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.62, SCWX is doing worse than 89.93% of the companies in the same industry.
SCWX has a Quick Ratio of 0.62. This is a bad value and indicates that SCWX is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.62, SCWX is doing worse than 89.57% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 0.62
Quick Ratio 0.62
SCWX Yearly Current Assets VS Current LiabilitesSCWX Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 100M 200M 300M

More info and screens

3

3. Growth

3.1 Past

SCWX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 127.66%, which is quite impressive.
SCWX shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -13.35%.
SCWX shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -6.74% yearly.
EPS 1Y (TTM)127.66%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-85.18%
Revenue 1Y (TTM)-13.35%
Revenue growth 3Y-13.28%
Revenue growth 5Y-6.74%
Sales Q2Q%-7.42%

3.2 Future

SCWX is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 43.80% yearly.
Based on estimates for the next years, SCWX will show a decrease in Revenue. The Revenue will decrease by -0.69% on average per year.
EPS Next Y121.56%
EPS Next 2Y58.43%
EPS Next 3Y43.8%
EPS Next 5YN/A
Revenue Next Year-9.39%
Revenue Next 2Y-2.8%
Revenue Next 3Y-0.69%
Revenue Next 5YN/A

3.3 Evolution

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.
SCWX Yearly Revenue VS EstimatesSCWX Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 100M 200M 300M 400M 500M
SCWX Yearly EPS VS EstimatesSCWX Yearly EPS VS EstimatesYearly EPS VS Estimates 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 0 0.2 -0.2 -0.4 -0.6

More info and screens

3

4. Valuation

4.1 Price/Earnings Ratio

A Price/Earnings ratio of 65.46 indicates a quite expensive valuation of SCWX.
The rest of the industry has a similar Price/Earnings ratio as SCWX.
When comparing the Price/Earnings ratio of SCWX to the average of the S&P500 Index (27.69), we can say SCWX is valued expensively.
With a Price/Forward Earnings ratio of 75.85, SCWX can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SCWX is on the same level as its industry peers.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.18, SCWX is valued quite expensively.
Industry RankSector Rank
PE 65.46
Fwd PE 75.85
SCWX Price Earnings VS Forward Price EarningsSCWX Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60

4.2 Price Multiples

SCWX's Price/Free Cash Flow is on the same level as the industry average.
Industry RankSector Rank
P/FCF 108.39
EV/EBITDA N/A
SCWX Per share dataSCWX EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 1 2 3 4

4.3 Compensation for Growth

SCWX'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 SCWX's earnings are expected to grow with 43.80% in the coming years.
PEG (NY)0.54
PEG (5Y)N/A
EPS Next 2Y58.43%
EPS Next 3Y43.8%

More info and screens

0

5. Dividend

5.1 Amount

No dividends for SCWX!.
Industry RankSector Rank
Dividend Yield N/A

More info and screens

SECUREWORKS CORP - A

NASDAQ:SCWX (1/31/2025, 8:00:02 PM)

After market: 8.5002 -0.01 (-0.12%)

8.51

+0.02 (+0.24%)

Chartmill FA Rating
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)12-04 2024-12-04/bmo
Earnings (Next)N/A N/A
Inst Owners52.98%
Inst Owner Change0%
Ins Owners16.07%
Ins Owner Change0%
Market Cap756.45M
Analysts45.71
Price Target9.62 (13.04%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector 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)0%
Min EPS beat(2)-100%
Max EPS beat(2)100%
EPS beat(4)3
Avg EPS beat(4)318.75%
Min EPS beat(4)-100%
Max EPS beat(4)952.52%
EPS beat(8)6
Avg EPS beat(8)177.53%
EPS beat(12)10
Avg EPS beat(12)136.88%
EPS beat(16)13
Avg EPS beat(16)131.74%
Revenue beat(2)0
Avg Revenue beat(2)-0.29%
Min Revenue beat(2)-0.34%
Max Revenue beat(2)-0.24%
Revenue beat(4)1
Avg Revenue beat(4)-0.15%
Min Revenue beat(4)-0.34%
Max Revenue beat(4)0.26%
Revenue beat(8)2
Avg Revenue beat(8)-0.53%
Revenue beat(12)2
Avg Revenue beat(12)-1.16%
Revenue beat(16)3
Avg Revenue beat(16)-1.04%
PT rev (1m)0%
PT rev (3m)32.63%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)-100%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.23%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
Industry RankSector Rank
PE 65.46
Fwd PE 75.85
P/S 2.23
P/FCF 108.39
P/OCF 50.83
P/B 1.7
P/tB N/A
EV/EBITDA N/A
EPS(TTM)0.13
EY1.53%
EPS(NY)0.11
Fwd EY1.32%
FCF(TTM)0.08
FCFY0.92%
OCF(TTM)0.17
OCFY1.97%
SpS3.82
BVpS5
TBVpS-0.61
PEG (NY)0.54
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA -13.02%
ROE -19.49%
ROCE N/A
ROIC N/A
ROICexc N/A
ROICexgc N/A
OM N/A
PM (TTM) N/A
GM 66.84%
FCFM 2.05%
ROA(3y)-9.84%
ROA(5y)-6.93%
ROE(3y)-14.61%
ROE(5y)-10.37%
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 3Y1.54%
GM growth 5Y2.52%
F-Score5
Asset Turnover0.51
Health
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0
Debt/EBITDA N/A
Cap/Depr 34.47%
Cap/Sales 2.33%
Interest Coverage N/A
Cash Conversion N/A
Profit Quality N/A
Current Ratio 0.62
Quick Ratio 0.62
Altman-Z 1.03
F-Score5
WACC11.03%
ROIC/WACCN/A
Cap/Depr(3y)18.44%
Cap/Depr(5y)18.38%
Cap/Sales(3y)1.49%
Cap/Sales(5y)1.46%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)127.66%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-85.18%
EPS Next Y121.56%
EPS Next 2Y58.43%
EPS Next 3Y43.8%
EPS Next 5YN/A
Revenue 1Y (TTM)-13.35%
Revenue growth 3Y-13.28%
Revenue growth 5Y-6.74%
Sales Q2Q%-7.42%
Revenue Next Year-9.39%
Revenue Next 2Y-2.8%
Revenue Next 3Y-0.69%
Revenue Next 5YN/A
EBIT growth 1Y58.29%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year130.2%
EBIT Next 3Y45.02%
EBIT Next 5YN/A
FCF growth 1Y112.28%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y129.96%
OCF growth 3YN/A
OCF growth 5YN/A