QUALTRICS INTERNATIONAL-CL A (XM)
US7476012015 - Common Stock
We assign a fundamental rating of 4 out of 10 to XM. XM was compared to 276 industry peers in the Software industry. While XM seems to be doing ok healthwise, there are quite some concerns on its profitability. XM shows excellent growth, but is valued quite expensive already.
1. Profitability
1.1 Basic Checks
In the past year XM was profitable.
In the past year XM had a positive cash flow from operations.
XM had negative earnings in each of the past 5 years.
In multiple years XM reported negative operating cash flow during the last 5 years.
1.2 Ratios
XM has negative profitability rations, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | N/A | ||
| ROE | N/A | ||
| ROIC | N/A |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Gross Margin of XM (70.39%) is better than 62.76% of its industry peers.
In the last couple of years the Gross Margin of XM has remained more or less at the same level.
The Profit Margin and Operating Margin are not available for XM so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 70.39% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y0.91%
GM growth 5Y-0.61%
2. Health
2.1 Basic Checks
XM does not have a ROIC to compare to the WACC, probably because it is not profitable.
XM has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, XM has more shares outstanding
XM has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 2.52 indicates that XM is not a great score, but indicates only limited risk for bankruptcy at the moment.
XM has a Altman-Z score (2.52) which is in line with its industry peers.
XM has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 2.52 |
ROIC/WACCN/A
WACC10.98%
2.3 Liquidity
XM has a Current Ratio of 1.20. This is a normal value and indicates that XM is financially healthy and should not expect problems in meeting its short term obligations.
XM has a Current ratio of 1.20. This is in the lower half of the industry: XM underperforms 62.76% of its industry peers.
XM has a Quick Ratio of 1.20. This is a normal value and indicates that XM is financially healthy and should not expect problems in meeting its short term obligations.
XM has a worse Quick ratio (1.20) than 62.07% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.2 | ||
| Quick Ratio | 1.2 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 600.00% over the past year.
XM shows a strong growth in Revenue. In the last year, the Revenue has grown by 30.71%.
Measured over the past years, XM shows a very strong growth in Revenue. The Revenue has been growing by 38.15% on average per year.
EPS 1Y (TTM)600%
EPS 3YN/A
EPS 5YN/A
EPS growth Q2Q100%
Revenue 1Y (TTM)30.71%
Revenue growth 3Y35.13%
Revenue growth 5Y38.15%
Revenue growth Q2Q22.08%
3.2 Future
The Earnings Per Share is expected to grow by 133.59% on average over the next years. This is a very strong growth
Based on estimates for the next years, XM will show a quite strong growth in Revenue. The Revenue will grow by 14.59% on average per year.
EPS Next Y456.84%
EPS Next 2Y182.59%
EPS Next 3Y133.59%
EPS Next 5YN/A
Revenue Next Year15.27%
Revenue Next 2Y15.04%
Revenue Next 3Y15.61%
Revenue Next 5Y14.59%
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
A Price/Earnings ratio of 362.80 indicates a quite expensive valuation of XM.
XM's Price/Earnings is on the same level as the industry average.
XM is valuated expensively when we compare the Price/Earnings ratio to 25.20, which is the current average of the S&P500 Index.
XM is valuated quite expensively with a Price/Forward Earnings ratio of 56.79.
XM's Price/Forward Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.63, XM is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 362.8 | ||
| Fwd PE | 56.79 |
4.2 Price Multiples
XM's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 295.77 | ||
| EV/EBITDA | N/A |
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.
A more expensive valuation may be justified as XM's earnings are expected to grow with 133.59% in the coming years.
PEG (NY)0.79
PEG (5Y)N/A
EPS Next 2Y182.59%
EPS Next 3Y133.59%
5. Dividend
5.1 Amount
XM does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
QUALTRICS INTERNATIONAL-CL A
NASDAQ:XM (6/27/2023, 5:51:55 PM)
After market: 18.15 +0.01 (+0.06%)18.14
0 (0%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap11.00B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
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Min Revenue beat(2)
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Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 362.8 | ||
| Fwd PE | 56.79 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.79
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | N/A | ||
| ROE | N/A | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 70.39% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.46
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.2 | ||
| Quick Ratio | 1.2 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)600%
EPS 3YN/A
EPS 5Y
EPS growth Q2Q
EPS Next Y456.84%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)30.71%
Revenue growth 3Y35.13%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y