SYNCHRONOSS TECHNOLOGIES INC (SNCR) Stock Fundamental Analysis
NASDAQ:SNCR - US87157B4005 - Common Stock
6.02 USD
-0.08 (-1.31%)
6.02 USD
0 (0%)
Taking everything into account, SNCR scores 4 out of 10 in our fundamental rating. SNCR was compared to 280 industry peers in the Software industry. There are concerns on the financial health of SNCR while its profitability can be described as average. SNCR is valued quite cheap, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
SNCR had positive earnings in the past year.
In the past year SNCR had a positive cash flow from operations.
In the past 5 years SNCR reported 4 times negative net income.
SNCR had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
SNCR's Return On Assets of -7.29% is on the low side compared to the rest of the industry. SNCR is outperformed by 60.00% of its industry peers.
SNCR has a Return On Equity of -42.95%. This is in the lower half of the industry: SNCR underperforms 67.14% of its industry peers.
Looking at the Return On Invested Capital, with a value of 9.22%, SNCR belongs to the top of the industry, outperforming 82.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -7.29% | ||
| ROE | -42.95% | ||
| ROIC | 9.22% |
ROA(3y)-7.88%
ROA(5y)-9.34%
ROE(3y)-24.3%
ROE(5y)-25.21%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With an excellent Operating Margin value of 16.91%, SNCR belongs to the best of the industry, outperforming 83.57% of the companies in the same industry.
SNCR has a Gross Margin of 79.02%. This is in the better half of the industry: SNCR outperforms 78.21% of its industry peers.
In the last couple of years the Gross Margin of SNCR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.91% | ||
| PM (TTM) | N/A | ||
| GM | 79.02% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y8.22%
GM growth 5Y8.61%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), SNCR is destroying value.
Compared to 1 year ago, SNCR has more shares outstanding
SNCR has less shares outstanding than it did 5 years ago.
The debt/assets ratio for SNCR is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of -0.94, we must say that SNCR is in the distress zone and has some risk of bankruptcy.
SNCR's Altman-Z score of -0.94 is on the low side compared to the rest of the industry. SNCR is outperformed by 74.29% of its industry peers.
SNCR has a debt to FCF ratio of 38.11. This is a negative value and a sign of low solvency as SNCR would need 38.11 years to pay back of all of its debts.
The Debt to FCF ratio of SNCR (38.11) is comparable to the rest of the industry.
A Debt/Equity ratio of 3.68 is on the high side and indicates that SNCR has dependencies on debt financing.
SNCR has a worse Debt to Equity ratio (3.68) than 84.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.68 | ||
| Debt/FCF | 38.11 | ||
| Altman-Z | -0.94 |
ROIC/WACC0.93
WACC9.88%
2.3 Liquidity
SNCR has a Current Ratio of 1.72. This is a normal value and indicates that SNCR is financially healthy and should not expect problems in meeting its short term obligations.
SNCR's Current ratio of 1.72 is in line compared to the rest of the industry. SNCR outperforms 54.29% of its industry peers.
SNCR has a Quick Ratio of 1.72. This is a normal value and indicates that SNCR is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of SNCR (1.72) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.72 | ||
| Quick Ratio | 1.72 |
3. Growth
3.1 Past
The earnings per share for SNCR have decreased by -7.69% in the last year.
SNCR shows a decrease in Revenue. In the last year, the revenue decreased by -6.30%.
Measured over the past years, SNCR shows a very negative growth in Revenue. The Revenue has been decreasing by -10.87% on average per year.
EPS 1Y (TTM)-7.69%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-79.17%
Revenue 1Y (TTM)-6.3%
Revenue growth 3Y-14.79%
Revenue growth 5Y-10.87%
Sales Q2Q%-2.24%
3.2 Future
SNCR is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 28.37% yearly.
SNCR is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.56% yearly.
EPS Next Y97.18%
EPS Next 2Y28.37%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-0.23%
Revenue Next 2Y2.56%
Revenue Next 3YN/A
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.
4. Valuation
4.1 Price/Earnings Ratio
SNCR is valuated correctly with a Price/Earnings ratio of 12.54.
Based on the Price/Earnings ratio, SNCR is valued cheaply inside the industry as 86.43% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 27.13, SNCR is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 2.28, the valuation of SNCR can be described as very cheap.
SNCR's Price/Forward Earnings ratio is rather cheap when compared to the industry. SNCR is cheaper than 99.64% of the companies in the same industry.
SNCR's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.76.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.54 | ||
| Fwd PE | 2.28 |
4.2 Price Multiples
SNCR's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. SNCR is cheaper than 96.43% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, SNCR is valued cheaply inside the industry as 91.43% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.07 | ||
| EV/EBITDA | 5.02 |
4.3 Compensation for Growth
SNCR'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 SNCR's earnings are expected to grow with 28.37% in the coming years.
PEG (NY)0.13
PEG (5Y)N/A
EPS Next 2Y28.37%
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for SNCR!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
6.02
-0.08 (-1.31%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners47.76%
Inst Owner Change10.9%
Ins Owners10.12%
Ins Owner Change-0.77%
Market Cap69.23M
Analysts85
Price Target27.03 (349%)
Short Float %4.13%
Short Ratio3.88
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0.4
Dividend Growth(5Y)19.58%
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-129.49%
Min EPS beat(2)-178.78%
Max EPS beat(2)-80.19%
EPS beat(4)1
Avg EPS beat(4)141.15%
Min EPS beat(4)-178.78%
Max EPS beat(4)984.2%
EPS beat(8)4
Avg EPS beat(8)220.2%
EPS beat(12)6
Avg EPS beat(12)104.91%
EPS beat(16)9
Avg EPS beat(16)139.7%
Revenue beat(2)0
Avg Revenue beat(2)-2.25%
Min Revenue beat(2)-2.67%
Max Revenue beat(2)-1.82%
Revenue beat(4)0
Avg Revenue beat(4)-2.03%
Min Revenue beat(4)-2.69%
Max Revenue beat(4)-0.96%
Revenue beat(8)1
Avg Revenue beat(8)-3.1%
Revenue beat(12)1
Avg Revenue beat(12)-3.74%
Revenue beat(16)2
Avg Revenue beat(16)-3.13%
PT rev (1m)0%
PT rev (3m)8.9%
EPS NQ rev (1m)2.61%
EPS NQ rev (3m)110.74%
EPS NY rev (1m)166.64%
EPS NY rev (3m)95.76%
Revenue NQ rev (1m)-0.86%
Revenue NQ rev (3m)-4.74%
Revenue NY rev (1m)-0.55%
Revenue NY rev (3m)-0.47%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.54 | ||
| Fwd PE | 2.28 | ||
| P/S | 0.4 | ||
| P/FCF | 14.07 | ||
| P/OCF | 3.64 | ||
| P/B | 1.4 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.02 |
EPS(TTM)0.48
EY7.97%
EPS(NY)2.64
Fwd EY43.8%
FCF(TTM)0.43
FCFY7.11%
OCF(TTM)1.65
OCFY27.47%
SpS14.95
BVpS4.3
TBVpS-13.82
PEG (NY)0.13
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -7.29% | ||
| ROE | -42.95% | ||
| ROCE | 11.67% | ||
| ROIC | 9.22% | ||
| ROICexc | 10.23% | ||
| ROICexgc | 142.88% | ||
| OM | 16.91% | ||
| PM (TTM) | N/A | ||
| GM | 79.02% | ||
| FCFM | 2.86% |
ROA(3y)-7.88%
ROA(5y)-9.34%
ROE(3y)-24.3%
ROE(5y)-25.21%
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 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 3Y8.22%
GM growth 5Y8.61%
F-Score5
Asset Turnover0.59
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.68 | ||
| Debt/FCF | 38.11 | ||
| Debt/EBITDA | 3.93 | ||
| Cap/Depr | 82.04% | ||
| Cap/Sales | 8.2% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 41.12% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.72 | ||
| Quick Ratio | 1.72 | ||
| Altman-Z | -0.94 |
F-Score5
WACC9.88%
ROIC/WACC0.93
Cap/Depr(3y)75.55%
Cap/Depr(5y)67.84%
Cap/Sales(3y)9.7%
Cap/Sales(5y)8.8%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-7.69%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-79.17%
EPS Next Y97.18%
EPS Next 2Y28.37%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-6.3%
Revenue growth 3Y-14.79%
Revenue growth 5Y-10.87%
Sales Q2Q%-2.24%
Revenue Next Year-0.23%
Revenue Next 2Y2.56%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y189.36%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year177.79%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y58.71%
FCF growth 3YN/A
FCF growth 5Y3.22%
OCF growth 1Y-18.38%
OCF growth 3Y79.37%
OCF growth 5Y-2.8%