VTEX -CLASS A (VTEX) Stock Fundamental Analysis
NYSE:VTEX - New York Stock Exchange, Inc. - KYG9470A1022 - Common Stock - Currency: USD
We assign a fundamental rating of 5 out of 10 to VTEX. VTEX was compared to 70 industry peers in the Interactive Media & Services industry. While VTEX has a great health rating, its profitability is only average at the moment. VTEX shows excellent growth, but is valued quite expensive already.
1. Profitability
1.1 Basic Checks
In the past year VTEX was profitable.
In the past year VTEX had a positive cash flow from operations.
In the past 5 years VTEX reported 4 times negative net income.
In multiple years VTEX reported negative operating cash flow during the last 5 years.
1.2 Ratios
VTEX's Return On Assets of 3.27% is fine compared to the rest of the industry. VTEX outperforms 67.14% of its industry peers.
VTEX has a Return On Equity of 4.69%. This is in the better half of the industry: VTEX outperforms 65.71% of its industry peers.
VTEX has a better Return On Invested Capital (2.79%) than 64.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.27% | ||
| ROE | 4.69% | ||
| ROIC | 2.79% |
ROA(3y)-5.13%
ROA(5y)-6.12%
ROE(3y)-6.69%
ROE(5y)-7.95%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 5.29%, VTEX is in the better half of the industry, outperforming 71.43% of the companies in the same industry.
The Operating Margin of VTEX (4.46%) is comparable to the rest of the industry.
Looking at the Gross Margin, with a value of 73.79%, VTEX is in the better half of the industry, outperforming 64.29% of the companies in the same industry.
In the last couple of years the Gross Margin of VTEX has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.46% | ||
| PM (TTM) | 5.29% | ||
| GM | 73.79% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y6.8%
GM growth 5Y1.94%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so VTEX is destroying value.
VTEX has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, VTEX has less shares outstanding
VTEX has a better debt/assets ratio than last year.
2.2 Solvency
VTEX has an Altman-Z score of 8.78. This indicates that VTEX is financially healthy and has little risk of bankruptcy at the moment.
VTEX's Altman-Z score of 8.78 is amongst the best of the industry. VTEX outperforms 87.14% of its industry peers.
VTEX has a debt to FCF ratio of 0.13. This is a very positive value and a sign of high solvency as it would only need 0.13 years to pay back of all of its debts.
The Debt to FCF ratio of VTEX (0.13) is better than 78.57% of its industry peers.
A Debt/Equity ratio of 0.01 indicates that VTEX is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.01, VTEX is in the better half of the industry, outperforming 64.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.13 | ||
| Altman-Z | 8.78 |
ROIC/WACC0.19
WACC14.73%
2.3 Liquidity
A Current Ratio of 3.51 indicates that VTEX has no problem at all paying its short term obligations.
The Current ratio of VTEX (3.51) is better than 75.71% of its industry peers.
VTEX has a Quick Ratio of 3.51. This indicates that VTEX is financially healthy and has no problem in meeting its short term obligations.
With a decent Quick ratio value of 3.51, VTEX is doing good in the industry, outperforming 75.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.51 | ||
| Quick Ratio | 3.51 |
3. Growth
3.1 Past
VTEX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 291.11%, which is quite impressive.
VTEX shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 12.50%.
VTEX shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 29.90% yearly.
EPS 1Y (TTM)291.11%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%176.92%
Revenue 1Y (TTM)12.5%
Revenue growth 3Y21.69%
Revenue growth 5Y29.9%
Sales Q2Q%2.89%
3.2 Future
The Earnings Per Share is expected to grow by 47.94% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 13.51% on average over the next years. This is quite good.
EPS Next Y53.81%
EPS Next 2Y63.45%
EPS Next 3Y47.94%
EPS Next 5YN/A
Revenue Next Year10.75%
Revenue Next 2Y13.66%
Revenue Next 3Y13.51%
Revenue Next 5YN/A
3.3 Evolution
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 72.33, VTEX can be considered very expensive at the moment.
VTEX's Price/Earnings ratio is in line with the industry average.
VTEX is valuated expensively when we compare the Price/Earnings ratio to 24.95, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 38.68, VTEX can be considered very expensive at the moment.
VTEX's Price/Forward Earnings ratio is in line with the industry average.
VTEX's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 20.99.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 72.33 | ||
| Fwd PE | 38.68 |
4.2 Price Multiples
VTEX's Enterprise Value to EBITDA is on the same level as the industry average.
VTEX's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 47.25 | ||
| EV/EBITDA | 53.74 |
4.3 Compensation for Growth
VTEX's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
VTEX's earnings are expected to grow with 47.94% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.34
PEG (5Y)N/A
EPS Next 2Y63.45%
EPS Next 3Y47.94%
5. Dividend
5.1 Amount
No dividends for VTEX!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
6.51
+0.36 (+5.85%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners48.97%
Inst Owner Change-1.96%
Ins Owners1.66%
Ins Owner ChangeN/A
Market Cap1.19B
Analysts81.54
Price Target9.95 (52.84%)
Short Float %3.08%
Short Ratio2.05
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)-12.11%
Min EPS beat(2)-16.67%
Max EPS beat(2)-7.56%
EPS beat(4)1
Avg EPS beat(4)-6.06%
Min EPS beat(4)-154.9%
Max EPS beat(4)154.9%
EPS beat(8)3
Avg EPS beat(8)17.58%
EPS beat(12)5
Avg EPS beat(12)13.8%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-4.31%
Min Revenue beat(2)-4.44%
Max Revenue beat(2)-4.19%
Revenue beat(4)0
Avg Revenue beat(4)-3.1%
Min Revenue beat(4)-4.44%
Max Revenue beat(4)-0.31%
Revenue beat(8)4
Avg Revenue beat(8)-0.49%
Revenue beat(12)7
Avg Revenue beat(12)-0.42%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)2.2%
EPS NQ rev (1m)-200%
EPS NQ rev (3m)-146.86%
EPS NY rev (1m)-15.56%
EPS NY rev (3m)-36.24%
Revenue NQ rev (1m)0.12%
Revenue NQ rev (3m)-7.61%
Revenue NY rev (1m)0.34%
Revenue NY rev (3m)-5.84%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 72.33 | ||
| Fwd PE | 38.68 | ||
| P/S | 5.25 | ||
| P/FCF | 47.25 | ||
| P/OCF | 43.66 | ||
| P/B | 4.65 | ||
| P/tB | 5.25 | ||
| EV/EBITDA | 53.74 |
EPS(TTM)0.09
EY1.38%
EPS(NY)0.17
Fwd EY2.59%
FCF(TTM)0.14
FCFY2.12%
OCF(TTM)0.15
OCFY2.29%
SpS1.24
BVpS1.4
TBVpS1.24
PEG (NY)1.34
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.27% | ||
| ROE | 4.69% | ||
| ROCE | 3.53% | ||
| ROIC | 2.79% | ||
| ROICexc | 11.24% | ||
| ROICexgc | 19% | ||
| OM | 4.46% | ||
| PM (TTM) | 5.29% | ||
| GM | 73.79% | ||
| FCFM | 11.11% |
ROA(3y)-5.13%
ROA(5y)-6.12%
ROE(3y)-6.69%
ROE(5y)-7.95%
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 3Y6.8%
GM growth 5Y1.94%
F-Score9
Asset Turnover0.62
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.13 | ||
| Debt/EBITDA | 0.12 | ||
| Cap/Depr | 47.42% | ||
| Cap/Sales | 0.91% | ||
| Interest Coverage | 27.38 | ||
| Cash Conversion | 188.41% | ||
| Profit Quality | 209.93% | ||
| Current Ratio | 3.51 | ||
| Quick Ratio | 3.51 | ||
| Altman-Z | 8.78 |
F-Score9
WACC14.73%
ROIC/WACC0.19
Cap/Depr(3y)21.4%
Cap/Depr(5y)35.19%
Cap/Sales(3y)0.45%
Cap/Sales(5y)0.89%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)291.11%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%176.92%
EPS Next Y53.81%
EPS Next 2Y63.45%
EPS Next 3Y47.94%
EPS Next 5YN/A
Revenue 1Y (TTM)12.5%
Revenue growth 3Y21.69%
Revenue growth 5Y29.9%
Sales Q2Q%2.89%
Revenue Next Year10.75%
Revenue Next 2Y13.66%
Revenue Next 3Y13.51%
Revenue Next 5YN/A
EBIT growth 1Y169.19%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year65.4%
EBIT Next 3Y62.87%
EBIT Next 5YN/A
FCF growth 1Y565.09%
FCF growth 3YN/A
FCF growth 5Y153.63%
OCF growth 1Y539.96%
OCF growth 3YN/A
OCF growth 5Y67.46%