VASTA PLATFORM LTD (VSTA) Stock Fundamental Analysis
NASDAQ:VSTA - Nasdaq - KYG9440A1094 - Common Stock - Currency: USD
VSTA gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 72 industry peers in the Diversified Consumer Services industry. VSTA has only an average score on both its financial health and profitability. VSTA scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
VSTA had positive earnings in the past year.
In the past year VSTA had a positive cash flow from operations.
In the past 5 years VSTA reported 4 times negative net income.
Of the past 5 years VSTA 4 years had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 6.39%, VSTA is doing good in the industry, outperforming 72.22% of the companies in the same industry.
With a decent Return On Equity value of 9.24%, VSTA is doing good in the industry, outperforming 66.67% of the companies in the same industry.
VSTA has a Return On Invested Capital of 3.48%. This is in the better half of the industry: VSTA outperforms 61.11% of its industry peers.
The Average Return On Invested Capital over the past 3 years for VSTA is significantly below the industry average of 10.64%.
The last Return On Invested Capital (3.48%) for VSTA is above the 3 year average (2.29%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.39% | ||
| ROE | 9.24% | ||
| ROIC | 3.48% |
ROA(3y)1.63%
ROA(5y)0.52%
ROE(3y)2.24%
ROE(5y)0.64%
ROIC(3y)2.29%
ROIC(5y)N/A
1.3 Margins
With an excellent Profit Margin value of 28.05%, VSTA belongs to the best of the industry, outperforming 95.83% of the companies in the same industry.
VSTA's Operating Margin of 16.00% is fine compared to the rest of the industry. VSTA outperforms 79.17% of its industry peers.
VSTA's Operating Margin has improved in the last couple of years.
VSTA's Gross Margin of 60.18% is fine compared to the rest of the industry. VSTA outperforms 75.00% of its industry peers.
VSTA's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16% | ||
| PM (TTM) | 28.05% | ||
| GM | 60.18% |
OM growth 3YN/A
OM growth 5Y17.51%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.61%
GM growth 5Y2.15%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so VSTA is destroying value.
The number of shares outstanding for VSTA has been reduced compared to 1 year ago.
Compared to 5 years ago, VSTA has less shares outstanding
Compared to 1 year ago, VSTA has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.94, we must say that VSTA is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of VSTA (0.94) is comparable to the rest of the industry.
The Debt to FCF ratio of VSTA is 8.02, which is on the high side as it means it would take VSTA, 8.02 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of VSTA (8.02) is better than 63.89% of its industry peers.
A Debt/Equity ratio of 0.12 indicates that VSTA is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.12, VSTA is in the better half of the industry, outperforming 61.11% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 8.02 | ||
| Altman-Z | 0.94 |
ROIC/WACC0.17
WACC20.18%
2.3 Liquidity
VSTA has a Current Ratio of 1.21. This is a normal value and indicates that VSTA is financially healthy and should not expect problems in meeting its short term obligations.
VSTA has a Current ratio (1.21) which is in line with its industry peers.
A Quick Ratio of 1.00 indicates that VSTA should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.00, VSTA is in line with its industry, outperforming 41.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.21 | ||
| Quick Ratio | 1 |
3. Growth
3.1 Past
The earnings per share for VSTA have decreased strongly by -27.72% in the last year.
The Revenue has been growing slightly by 6.46% in the past year.
Measured over the past years, VSTA shows a quite strong growth in Revenue. The Revenue has been growing by 11.09% on average per year.
EPS 1Y (TTM)-27.72%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-46.67%
Revenue 1Y (TTM)6.46%
Revenue growth 3Y20.9%
Revenue growth 5Y11.09%
Sales Q2Q%-6.58%
3.2 Future
VSTA is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 44.54% yearly.
Based on estimates for the next years, VSTA will show a quite strong growth in Revenue. The Revenue will grow by 12.48% on average per year.
EPS Next Y69.66%
EPS Next 2Y59.11%
EPS Next 3Y44.54%
EPS Next 5YN/A
Revenue Next Year14.16%
Revenue Next 2Y12.49%
Revenue Next 3Y12.48%
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 stable.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 32.00, VSTA can be considered very expensive at the moment.
The rest of the industry has a similar Price/Earnings ratio as VSTA.
VSTA's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.48.
VSTA is valuated reasonably with a Price/Forward Earnings ratio of 9.05.
Compared to the rest of the industry, the Price/Forward Earnings ratio of VSTA indicates a rather cheap valuation: VSTA is cheaper than 94.44% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 36.52. VSTA is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32 | ||
| Fwd PE | 9.05 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, VSTA is valued cheaply inside the industry as 95.83% of the companies are valued more expensively.
VSTA's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. VSTA is cheaper than 79.17% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.88 | ||
| EV/EBITDA | 3.93 |
4.3 Compensation for Growth
VSTA's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
VSTA has a very decent profitability rating, which may justify a higher PE ratio.
VSTA's earnings are expected to grow with 44.54% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.46
PEG (5Y)N/A
EPS Next 2Y59.11%
EPS Next 3Y44.54%
5. Dividend
5.1 Amount
VSTA does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
4.16
+0.02 (+0.48%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryDiversified Consumer Services
Earnings (Last)
Earnings (Next)
Inst Owners30.17%
Inst Owner Change0%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap333.63M
Analysts42.22
Price Target3.26 (-21.63%)
Short Float %0.48%
Short Ratio1.08
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)0
Avg EPS beat(2)-9.98%
Min EPS beat(2)-10.36%
Max EPS beat(2)-9.6%
EPS beat(4)2
Avg EPS beat(4)6.28%
Min EPS beat(4)-10.36%
Max EPS beat(4)26.47%
EPS beat(8)6
Avg EPS beat(8)18.82%
EPS beat(12)9
Avg EPS beat(12)15.14%
EPS beat(16)10
Avg EPS beat(16)-58.66%
Revenue beat(2)2
Avg Revenue beat(2)3.31%
Min Revenue beat(2)1.92%
Max Revenue beat(2)4.69%
Revenue beat(4)2
Avg Revenue beat(4)0.48%
Min Revenue beat(4)-3.19%
Max Revenue beat(4)4.69%
Revenue beat(8)4
Avg Revenue beat(8)1.43%
Revenue beat(12)6
Avg Revenue beat(12)1.76%
Revenue beat(16)9
Avg Revenue beat(16)1.33%
PT rev (1m)2.13%
PT rev (3m)20%
EPS NQ rev (1m)104.17%
EPS NQ rev (3m)N/A
EPS NY rev (1m)-6.32%
EPS NY rev (3m)20.86%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0.58%
Revenue NY rev (3m)1.48%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32 | ||
| Fwd PE | 9.05 | ||
| P/S | 1.13 | ||
| P/FCF | 16.88 | ||
| P/OCF | 8.4 | ||
| P/B | 0.37 | ||
| P/tB | N/A | ||
| EV/EBITDA | 3.93 |
EPS(TTM)0.13
EY3.13%
EPS(NY)0.46
Fwd EY11.05%
FCF(TTM)0.25
FCFY5.92%
OCF(TTM)0.49
OCFY11.9%
SpS3.68
BVpS11.18
TBVpS-0.3
PEG (NY)0.46
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.39% | ||
| ROE | 9.24% | ||
| ROCE | 4.41% | ||
| ROIC | 3.48% | ||
| ROICexc | 3.64% | ||
| ROICexgc | 35.72% | ||
| OM | 16% | ||
| PM (TTM) | 28.05% | ||
| GM | 60.18% | ||
| FCFM | 6.69% |
ROA(3y)1.63%
ROA(5y)0.52%
ROE(3y)2.24%
ROE(5y)0.64%
ROIC(3y)2.29%
ROIC(5y)N/A
ROICexc(3y)2.4%
ROICexc(5y)N/A
ROICexgc(3y)32.59%
ROICexgc(5y)N/A
ROCE(3y)2.9%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y-14.13%
ROICexc growth 3YN/A
ROICexc growth 5Y27.17%
OM growth 3YN/A
OM growth 5Y17.51%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.61%
GM growth 5Y2.15%
F-Score5
Asset Turnover0.23
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 8.02 | ||
| Debt/EBITDA | 1.04 | ||
| Cap/Depr | 36.86% | ||
| Cap/Sales | 6.75% | ||
| Interest Coverage | 1.61 | ||
| Cash Conversion | 39.16% | ||
| Profit Quality | 23.84% | ||
| Current Ratio | 1.21 | ||
| Quick Ratio | 1 | ||
| Altman-Z | 0.94 |
F-Score5
WACC20.18%
ROIC/WACC0.17
Cap/Depr(3y)48.05%
Cap/Depr(5y)41.2%
Cap/Sales(3y)9.4%
Cap/Sales(5y)8.15%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-27.72%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-46.67%
EPS Next Y69.66%
EPS Next 2Y59.11%
EPS Next 3Y44.54%
EPS Next 5YN/A
Revenue 1Y (TTM)6.46%
Revenue growth 3Y20.9%
Revenue growth 5Y11.09%
Sales Q2Q%-6.58%
Revenue Next Year14.16%
Revenue Next 2Y12.49%
Revenue Next 3Y12.48%
Revenue Next 5YN/A
EBIT growth 1Y55.05%
EBIT growth 3YN/A
EBIT growth 5Y30.54%
EBIT Next Year121.17%
EBIT Next 3Y40.14%
EBIT Next 5YN/A
FCF growth 1Y618.54%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y40.95%
OCF growth 3YN/A
OCF growth 5Y89.39%