20.51 USD
+0.27 (+1.33%)
20.51 USD
0 (0%)
Taking everything into account, VRNT scores 6 out of 10 in our fundamental rating. VRNT was compared to 277 industry peers in the Software industry. While VRNT belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. VRNT scores decently on growth, while it is valued quite cheap. This could make an interesting combination. With these ratings, VRNT could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
- VRNT had positive earnings in the past year.
- VRNT had a positive operating cash flow in the past year.
- In multiple years VRNT reported negative net income over the last 5 years.
- Each year in the past 5 years VRNT had a positive operating cash flow.
1.2 Ratios
- Looking at the Return On Assets, with a value of 2.04%, VRNT is in the better half of the industry, outperforming 63.12% of the companies in the same industry.
- VRNT has a better Return On Equity (3.41%) than 64.89% of its industry peers.
- VRNT's Return On Invested Capital of 4.02% is fine compared to the rest of the industry. VRNT outperforms 70.92% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for VRNT is significantly below the industry average of 10.78%.
- The last Return On Invested Capital (4.02%) for VRNT is above the 3 year average (3.56%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.04% | ||
| ROE | 3.41% | ||
| ROIC | 4.02% |
ROA(3y)1.13%
ROA(5y)0.55%
ROE(3y)1.95%
ROE(5y)0.91%
ROIC(3y)3.56%
ROIC(5y)2.96%
1.3 Margins
- VRNT's Profit Margin of 5.08% is fine compared to the rest of the industry. VRNT outperforms 64.54% of its industry peers.
- In the last couple of years the Profit Margin of VRNT has grown nicely.
- VRNT has a better Operating Margin (8.80%) than 73.76% of its industry peers.
- VRNT's Operating Margin has improved in the last couple of years.
- VRNT has a Gross Margin (69.91%) which is in line with its industry peers.
- VRNT's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.8% | ||
| PM (TTM) | 5.08% | ||
| GM | 69.91% |
OM growth 3Y27.59%
OM growth 5Y97.41%
PM growth 3YN/A
PM growth 5Y16.09%
GM growth 3Y2.67%
GM growth 5Y2.15%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), VRNT is destroying value.
- Compared to 1 year ago, VRNT has less shares outstanding
- The number of shares outstanding for VRNT has been reduced compared to 5 years ago.
- Compared to 1 year ago, VRNT has an improved debt to assets ratio.
2.2 Solvency
- Based on the Altman-Z score of 1.23, we must say that VRNT is in the distress zone and has some risk of bankruptcy.
- VRNT has a worse Altman-Z score (1.23) than 61.35% of its industry peers.
- There is no outstanding debt for VRNT. 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 | 3.67 | ||
| Altman-Z | 1.23 |
ROIC/WACC0.41
WACC9.79%
2.3 Liquidity
- A Current Ratio of 0.65 indicates that VRNT may have some problems paying its short term obligations.
- Looking at the Current ratio, with a value of 0.65, VRNT is doing worse than 90.07% of the companies in the same industry.
- VRNT has a Quick Ratio of 0.65. This is a bad value and indicates that VRNT is not financially healthy enough and could expect problems in meeting its short term obligations.
- VRNT's Quick ratio of 0.63 is on the low side compared to the rest of the industry. VRNT is outperformed by 90.07% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.65 | ||
| Quick Ratio | 0.63 |
3. Growth
3.1 Past
- The earnings per share for VRNT have decreased strongly by -23.21% in the last year.
- The Earnings Per Share has been decreasing by -6.23% on average over the past years.
- Looking at the last year, VRNT shows a decrease in Revenue. The Revenue has decreased by -2.32% in the last year.
- VRNT shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.44% yearly.
EPS 1Y (TTM)-23.21%
EPS 3Y4.61%
EPS 5Y-6.23%
EPS Q2Q%-32.65%
Revenue 1Y (TTM)-2.32%
Revenue growth 3Y1.31%
Revenue growth 5Y1.44%
Sales Q2Q%-1.03%
3.2 Future
- Based on estimates for the next years, VRNT will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.05% on average per year.
- The Revenue is expected to grow by 6.30% on average over the next years.
EPS Next Y14.4%
EPS Next 2Y12.11%
EPS Next 3Y10.74%
EPS Next 5Y12.05%
Revenue Next Year2.95%
Revenue Next 2Y4.2%
Revenue Next 3Y3.93%
Revenue Next 5Y6.3%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 9.54, the valuation of VRNT can be described as reasonable.
- Based on the Price/Earnings ratio, VRNT is valued cheaper than 88.30% of the companies in the same industry.
- When comparing the Price/Earnings ratio of VRNT to the average of the S&P500 Index (26.94), we can say VRNT is valued rather cheaply.
- A Price/Forward Earnings ratio of 6.25 indicates a rather cheap valuation of VRNT.
- Based on the Price/Forward Earnings ratio, VRNT is valued cheaply inside the industry as 93.26% of the companies are valued more expensively.
- When comparing the Price/Forward Earnings ratio of VRNT to the average of the S&P500 Index (23.94), we can say VRNT is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.54 | ||
| Fwd PE | 6.25 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, VRNT is valued cheaper than 86.52% of the companies in the same industry.
- VRNT's Price/Free Cash Flow ratio is rather cheap when compared to the industry. VRNT is cheaper than 91.84% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.03 | ||
| EV/EBITDA | 11.48 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- VRNT has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.66
PEG (5Y)N/A
EPS Next 2Y12.11%
EPS Next 3Y10.74%
5. Dividend
5.1 Amount
- VRNT does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
20.51
+0.27 (+1.33%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)12-03 2025-12-03/amc
Earnings (Next)03-24 2026-03-24/amc
Inst Owners103.34%
Inst Owner Change-0.12%
Ins OwnersN/A
Ins Owner Change-144.62%
Market Cap1.24B
Revenue(TTM)893.84M
Net Income(TTM)45.43M
Analysts75
Price Target23.95 (16.77%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0.32
Dividend Growth(5Y)N/A
DP35.22%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)25.67%
Min EPS beat(2)23.69%
Max EPS beat(2)27.66%
EPS beat(4)3
Avg EPS beat(4)12.63%
Min EPS beat(4)-23.66%
Max EPS beat(4)27.66%
EPS beat(8)6
Avg EPS beat(8)8.42%
EPS beat(12)9
Avg EPS beat(12)6.45%
EPS beat(16)13
Avg EPS beat(16)7.28%
Revenue beat(2)2
Avg Revenue beat(2)3.26%
Min Revenue beat(2)1.7%
Max Revenue beat(2)4.81%
Revenue beat(4)3
Avg Revenue beat(4)0.21%
Min Revenue beat(4)-10.26%
Max Revenue beat(4)4.81%
Revenue beat(8)4
Avg Revenue beat(8)-0.39%
Revenue beat(12)4
Avg Revenue beat(12)-1.39%
Revenue beat(16)5
Avg Revenue beat(16)-1.27%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-0.68%
EPS NY rev (1m)-0.02%
EPS NY rev (3m)-0.03%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.1%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.01%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.54 | ||
| Fwd PE | 6.25 | ||
| P/S | 1.39 | ||
| P/FCF | 11.03 | ||
| P/OCF | 8.99 | ||
| P/B | 0.93 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.48 |
EPS(TTM)2.15
EY10.48%
EPS(NY)3.28
Fwd EY15.99%
FCF(TTM)1.86
FCFY9.06%
OCF(TTM)2.28
OCFY11.13%
SpS14.75
BVpS21.99
TBVpS-2.5
PEG (NY)0.66
PEG (5Y)N/A
Graham Number32.62
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.04% | ||
| ROE | 3.41% | ||
| ROCE | 5.39% | ||
| ROIC | 4.02% | ||
| ROICexc | 4.57% | ||
| ROICexgc | N/A | ||
| OM | 8.8% | ||
| PM (TTM) | 5.08% | ||
| GM | 69.91% | ||
| FCFM | 12.6% |
ROA(3y)1.13%
ROA(5y)0.55%
ROE(3y)1.95%
ROE(5y)0.91%
ROIC(3y)3.56%
ROIC(5y)2.96%
ROICexc(3y)4.12%
ROICexc(5y)3.6%
ROICexgc(3y)78.15%
ROICexgc(5y)N/A
ROCE(3y)4.77%
ROCE(5y)3.96%
ROICexgc growth 3Y0.75%
ROICexgc growth 5Y160.59%
ROICexc growth 3Y28.35%
ROICexc growth 5Y108.76%
OM growth 3Y27.59%
OM growth 5Y97.41%
PM growth 3YN/A
PM growth 5Y16.09%
GM growth 3Y2.67%
GM growth 5Y2.15%
F-Score6
Asset Turnover0.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 3.67 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 51.05% | ||
| Cap/Sales | 2.87% | ||
| Interest Coverage | 11.19 | ||
| Cash Conversion | 107.26% | ||
| Profit Quality | 247.96% | ||
| Current Ratio | 0.65 | ||
| Quick Ratio | 0.63 | ||
| Altman-Z | 1.23 |
F-Score6
WACC9.79%
ROIC/WACC0.41
Cap/Depr(3y)48.9%
Cap/Depr(5y)43.87%
Cap/Sales(3y)3.26%
Cap/Sales(5y)3.49%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-23.21%
EPS 3Y4.61%
EPS 5Y-6.23%
EPS Q2Q%-32.65%
EPS Next Y14.4%
EPS Next 2Y12.11%
EPS Next 3Y10.74%
EPS Next 5Y12.05%
Revenue 1Y (TTM)-2.32%
Revenue growth 3Y1.31%
Revenue growth 5Y1.44%
Sales Q2Q%-1.03%
Revenue Next Year2.95%
Revenue Next 2Y4.2%
Revenue Next 3Y3.93%
Revenue Next 5Y6.3%
EBIT growth 1Y-25.15%
EBIT growth 3Y29.26%
EBIT growth 5Y100.25%
EBIT Next Year8.22%
EBIT Next 3Y6.03%
EBIT Next 5Y7.52%
FCF growth 1Y-7.67%
FCF growth 3Y8.71%
FCF growth 5Y-6.89%
OCF growth 1Y-11.57%
OCF growth 3Y7.82%
OCF growth 5Y-7.92%
VERINT SYSTEMS INC / VRNT FAQ
What is the fundamental rating for VRNT stock?
ChartMill assigns a fundamental rating of 6 / 10 to VRNT.
Can you provide the valuation status for VERINT SYSTEMS INC?
ChartMill assigns a valuation rating of 9 / 10 to VERINT SYSTEMS INC (VRNT). This can be considered as Undervalued.
Can you provide the profitability details for VERINT SYSTEMS INC?
VERINT SYSTEMS INC (VRNT) has a profitability rating of 7 / 10.
What is the earnings growth outlook for VERINT SYSTEMS INC?
The Earnings per Share (EPS) of VERINT SYSTEMS INC (VRNT) is expected to grow by 14.4% in the next year.
Is the dividend of VERINT SYSTEMS INC sustainable?
The dividend rating of VERINT SYSTEMS INC (VRNT) is 0 / 10 and the dividend payout ratio is 35.22%.