ZEDGE INC-CL B (ZDGE) Stock Fundamental Analysis
NYSEARCA:ZDGE - NYSE Arca - US98923T1043 - Common Stock - Currency: USD
Taking everything into account, ZDGE scores 5 out of 10 in our fundamental rating. ZDGE was compared to 71 industry peers in the Interactive Media & Services industry. No worries on liquidiy or solvency for ZDGE as it has an excellent financial health rating, but there are worries on the profitability. ZDGE is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
ZDGE had positive earnings in the past year.
ZDGE had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: ZDGE reported negative net income in multiple years.
In the past 5 years ZDGE always reported a positive cash flow from operatings.
1.2 Ratios
ZDGE has a worse Return On Assets (-5.24%) than 60.56% of its industry peers.
With a Return On Equity value of -6.89%, ZDGE perfoms like the industry average, outperforming 50.70% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -5.24% | ||
| ROE | -6.89% | ||
| ROIC | N/A |
ROA(3y)-6.42%
ROA(5y)-0.38%
ROE(3y)-7.8%
ROE(5y)-0.96%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
ZDGE's Operating Margin has declined in the last couple of years.
ZDGE has a better Gross Margin (93.80%) than 95.77% of its industry peers.
ZDGE's Gross Margin has improved in the last couple of years.
The Profit Margin and Operating Margin are not available for ZDGE so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 93.8% |
OM growth 3Y-76.64%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.03%
GM growth 5Y2.15%
2. Health
2.1 Basic Checks
ZDGE does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, ZDGE has about the same amount of shares outstanding.
Compared to 5 years ago, ZDGE has more shares outstanding
There is no outstanding debt for ZDGE. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
ZDGE has an Altman-Z score of 3.23. This indicates that ZDGE is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.23, ZDGE is in the better half of the industry, outperforming 73.24% of the companies in the same industry.
There is no outstanding debt for ZDGE. 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 | 0 | ||
| Altman-Z | 3.23 |
ROIC/WACCN/A
WACC8.95%
2.3 Liquidity
ZDGE has a Current Ratio of 3.35. This indicates that ZDGE is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 3.35, ZDGE is in the better half of the industry, outperforming 71.83% of the companies in the same industry.
ZDGE has a Quick Ratio of 3.35. This indicates that ZDGE is financially healthy and has no problem in meeting its short term obligations.
ZDGE's Quick ratio of 3.35 is fine compared to the rest of the industry. ZDGE outperforms 71.83% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.35 | ||
| Quick Ratio | 3.35 |
3. Growth
3.1 Past
ZDGE shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by 0.00%.
Measured over the past years, ZDGE shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -47.41% on average per year.
Looking at the last year, ZDGE shows a quite strong growth in Revenue. The Revenue has grown by 10.46% in the last year.
Measured over the past years, ZDGE shows a very strong growth in Revenue. The Revenue has been growing by 27.83% on average per year.
EPS 1Y (TTM)0%
EPS 3Y-47.41%
EPS 5YN/A
EPS Q2Q%100%
Revenue 1Y (TTM)10.46%
Revenue growth 3Y15.42%
Revenue growth 5Y27.83%
Sales Q2Q%1.33%
3.2 Future
ZDGE is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 31.90% yearly.
Based on estimates for the next years, ZDGE will show a decrease in Revenue. The Revenue will decrease by -1.39% on average per year.
EPS Next Y-36.25%
EPS Next 2Y18.43%
EPS Next 3Y31.9%
EPS Next 5YN/A
Revenue Next Year-9.4%
Revenue Next 2Y-4.31%
Revenue Next 3Y-1.39%
Revenue Next 5YN/A
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 39.71, which means the current valuation is very expensive for ZDGE.
The rest of the industry has a similar Price/Earnings ratio as ZDGE.
Compared to an average S&P500 Price/Earnings ratio of 26.32, ZDGE is valued quite expensively.
Based on the Price/Forward Earnings ratio of 24.78, the valuation of ZDGE can be described as rather expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ZDGE is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 22.13. ZDGE is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 39.71 | ||
| Fwd PE | 24.78 |
4.2 Price Multiples
ZDGE's Enterprise Value to EBITDA ratio is in line with the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of ZDGE indicates a rather cheap valuation: ZDGE is cheaper than 84.51% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.06 | ||
| EV/EBITDA | 370.09 |
4.3 Compensation for Growth
A more expensive valuation may be justified as ZDGE's earnings are expected to grow with 31.90% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y18.43%
EPS Next 3Y31.9%
5. Dividend
5.1 Amount
ZDGE does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
2.78
-0.02 (-0.71%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners14.74%
Inst Owner Change-4.7%
Ins Owners16.24%
Ins Owner Change5.91%
Market Cap38.56M
Analysts82.86
Price Target3.57 (28.42%)
Short Float %0.12%
Short Ratio0.38
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)-112.25%
Min EPS beat(2)-124.51%
Max EPS beat(2)-100%
EPS beat(4)1
Avg EPS beat(4)-7.11%
Min EPS beat(4)-124.51%
Max EPS beat(4)247.06%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-7.16%
Min Revenue beat(2)-11.3%
Max Revenue beat(2)-3.03%
Revenue beat(4)1
Avg Revenue beat(4)-3.75%
Min Revenue beat(4)-11.3%
Max Revenue beat(4)4.5%
Revenue beat(8)5
Avg Revenue beat(8)0.47%
Revenue beat(12)7
Avg Revenue beat(12)1.22%
Revenue beat(16)10
Avg Revenue beat(16)4.48%
PT rev (1m)0%
PT rev (3m)-12.5%
EPS NQ rev (1m)0%
EPS NQ rev (3m)100%
EPS NY rev (1m)0%
EPS NY rev (3m)-28.57%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-7.09%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 39.71 | ||
| Fwd PE | 24.78 | ||
| P/S | 1.31 | ||
| P/FCF | 9.06 | ||
| P/OCF | 7.84 | ||
| P/B | 1.37 | ||
| P/tB | 1.81 | ||
| EV/EBITDA | 370.09 |
EPS(TTM)0.07
EY2.52%
EPS(NY)0.11
Fwd EY4.04%
FCF(TTM)0.31
FCFY11.04%
OCF(TTM)0.35
OCFY12.75%
SpS2.12
BVpS2.03
TBVpS1.54
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -5.24% | ||
| ROE | -6.89% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 93.8% | ||
| FCFM | 14.47% |
ROA(3y)-6.42%
ROA(5y)-0.38%
ROE(3y)-7.8%
ROE(5y)-0.96%
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 3Y-76.64%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.03%
GM growth 5Y2.15%
F-Score7
Asset Turnover0.79
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 40.87% | ||
| Cap/Sales | 2.24% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 9832% | ||
| Profit Quality | N/A | ||
| Current Ratio | 3.35 | ||
| Quick Ratio | 3.35 | ||
| Altman-Z | 3.23 |
F-Score7
WACC8.95%
ROIC/WACCN/A
Cap/Depr(3y)66.82%
Cap/Depr(5y)60.13%
Cap/Sales(3y)6.21%
Cap/Sales(5y)5.99%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)0%
EPS 3Y-47.41%
EPS 5YN/A
EPS Q2Q%100%
EPS Next Y-36.25%
EPS Next 2Y18.43%
EPS Next 3Y31.9%
EPS Next 5YN/A
Revenue 1Y (TTM)10.46%
Revenue growth 3Y15.42%
Revenue growth 5Y27.83%
Sales Q2Q%1.33%
Revenue Next Year-9.4%
Revenue Next 2Y-4.31%
Revenue Next 3Y-1.39%
Revenue Next 5YN/A
EBIT growth 1Y-272.36%
EBIT growth 3Y-73.03%
EBIT growth 5YN/A
EBIT Next Year109.3%
EBIT Next 3Y32.16%
EBIT Next 5YN/A
FCF growth 1Y5.19%
FCF growth 3Y-21.09%
FCF growth 5YN/A
OCF growth 1Y-29.1%
OCF growth 3Y-16.72%
OCF growth 5Y138.38%