77.11 USD
+0.02 (+0.03%)
77.11 USD
0 (0%)
Taking everything into account, CSGS scores 6 out of 10 in our fundamental rating. CSGS was compared to 85 industry peers in the IT Services industry. While CSGS has a great profitability rating, there are some minor concerns on its financial health. CSGS is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
CSGS had positive earnings in the past year.
In the past year CSGS had a positive cash flow from operations.
In the past 5 years CSGS has always been profitable.
CSGS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
CSGS has a Return On Assets of 5.66%. This is in the better half of the industry: CSGS outperforms 71.76% of its industry peers.
CSGS has a better Return On Equity (28.79%) than 90.59% of its industry peers.
CSGS has a Return On Invested Capital of 12.51%. This is amongst the best in the industry. CSGS outperforms 82.35% of its industry peers.
The Average Return On Invested Capital over the past 3 years for CSGS is significantly below the industry average of 29.59%.
The 3 year average ROIC (11.79%) for CSGS is below the current ROIC(12.51%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.66% | ||
| ROE | 28.79% | ||
| ROIC | 12.51% |
ROA(3y)4.55%
ROA(5y)4.65%
ROE(3y)22.46%
ROE(5y)19.57%
ROIC(3y)11.79%
ROIC(5y)11.7%
1.3 Margins
The Profit Margin of CSGS (6.85%) is better than 65.88% of its industry peers.
CSGS's Profit Margin has declined in the last couple of years.
The Operating Margin of CSGS (12.39%) is better than 75.29% of its industry peers.
In the last couple of years the Operating Margin of CSGS has declined.
Looking at the Gross Margin, with a value of 49.35%, CSGS is in the better half of the industry, outperforming 70.59% of the companies in the same industry.
CSGS's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.39% | ||
| PM (TTM) | 6.85% | ||
| GM | 49.35% |
OM growth 3Y-0.69%
OM growth 5Y-1.65%
PM growth 3Y1.64%
PM growth 5Y-2.67%
GM growth 3Y0.4%
GM growth 5Y0.57%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so CSGS is still creating some value.
The number of shares outstanding for CSGS has been reduced compared to 1 year ago.
Compared to 5 years ago, CSGS has less shares outstanding
CSGS has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.50 indicates that CSGS is not in any danger for bankruptcy at the moment.
CSGS's Altman-Z score of 3.50 is in line compared to the rest of the industry. CSGS outperforms 57.65% of its industry peers.
The Debt to FCF ratio of CSGS is 3.32, which is a good value as it means it would take CSGS, 3.32 years of fcf income to pay off all of its debts.
CSGS has a Debt to FCF ratio of 3.32. This is comparable to the rest of the industry: CSGS outperforms 60.00% of its industry peers.
CSGS has a Debt/Equity ratio of 1.86. This is a high value indicating a heavy dependency on external financing.
CSGS's Debt to Equity ratio of 1.86 is on the low side compared to the rest of the industry. CSGS is outperformed by 76.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.86 | ||
| Debt/FCF | 3.32 | ||
| Altman-Z | 3.5 |
ROIC/WACC1.48
WACC8.44%
2.3 Liquidity
CSGS has a Current Ratio of 1.50. This is a normal value and indicates that CSGS is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.50, CSGS perfoms like the industry average, outperforming 43.53% of the companies in the same industry.
CSGS has a Quick Ratio of 1.50. This is a normal value and indicates that CSGS is financially healthy and should not expect problems in meeting its short term obligations.
CSGS's Quick ratio of 1.50 is in line compared to the rest of the industry. CSGS outperforms 44.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.5 | ||
| Quick Ratio | 1.5 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 31.17% over the past year.
Measured over the past 5 years, CSGS shows a small growth in Earnings Per Share. The EPS has been growing by 6.07% on average per year.
Looking at the last year, CSGS shows a small growth in Revenue. The Revenue has grown by 3.30% in the last year.
CSGS shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.73% yearly.
EPS 1Y (TTM)31.17%
EPS 3Y12.27%
EPS 5Y6.07%
EPS Q2Q%23.58%
Revenue 1Y (TTM)3.3%
Revenue growth 3Y4.59%
Revenue growth 5Y3.73%
Sales Q2Q%2.87%
3.2 Future
Based on estimates for the next years, CSGS will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.79% on average per year.
CSGS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.76% yearly.
EPS Next Y2.22%
EPS Next 2Y5.05%
EPS Next 3Y5.59%
EPS Next 5Y8.79%
Revenue Next Year1.99%
Revenue Next 2Y3.34%
Revenue Next 3Y2.42%
Revenue Next 5Y1.76%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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
CSGS is valuated correctly with a Price/Earnings ratio of 14.66.
Based on the Price/Earnings ratio, CSGS is valued a bit cheaper than 76.47% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.76. CSGS is valued slightly cheaper when compared to this.
A Price/Forward Earnings ratio of 14.74 indicates a correct valuation of CSGS.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CSGS indicates a somewhat cheap valuation: CSGS is cheaper than 75.29% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.96, CSGS is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.66 | ||
| Fwd PE | 14.74 |
4.2 Price Multiples
74.12% of the companies in the same industry are more expensive than CSGS, based on the Enterprise Value to EBITDA ratio.
CSGS's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. CSGS is cheaper than 78.82% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.56 | ||
| EV/EBITDA | 11.54 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
CSGS has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)6.62
PEG (5Y)2.41
EPS Next 2Y5.05%
EPS Next 3Y5.59%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.66%, CSGS has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 1.95, CSGS pays a better dividend. On top of this CSGS pays more dividend than 89.41% of the companies listed in the same industry.
CSGS's Dividend Yield is slightly below the S&P500 average, which is at 2.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.66% |
5.2 History
The dividend of CSGS has a limited annual growth rate of 0.69%.
CSGS has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of CSGS decreased in the last 3 years.
Dividend Growth(5Y)0.69%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
32.90% of the earnings are spent on dividend by CSGS. This is a low number and sustainable payout ratio.
The dividend of CSGS is growing, but earnings are growing more, so the dividend growth is sustainable.
DP32.9%
EPS Next 2Y5.05%
EPS Next 3Y5.59%
77.11
+0.02 (+0.03%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners105.78%
Inst Owner Change-1.52%
Ins Owners4.42%
Ins Owner Change1%
Market Cap2.20B
Revenue(TTM)1.22B
Net Income(TTM)83.35M
Analysts51.67
Price Target82.31 (6.74%)
Short Float %9.94%
Short Ratio6.34
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.66% |
Yearly Dividend0.91
Dividend Growth(5Y)0.69%
DP32.9%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)10.26%
Min EPS beat(2)8.57%
Max EPS beat(2)11.96%
EPS beat(4)4
Avg EPS beat(4)16.07%
Min EPS beat(4)8.57%
Max EPS beat(4)34%
EPS beat(8)7
Avg EPS beat(8)10.36%
EPS beat(12)10
Avg EPS beat(12)8.36%
EPS beat(16)13
Avg EPS beat(16)7.61%
Revenue beat(2)0
Avg Revenue beat(2)-0.19%
Min Revenue beat(2)-0.26%
Max Revenue beat(2)-0.11%
Revenue beat(4)1
Avg Revenue beat(4)-0.17%
Min Revenue beat(4)-0.74%
Max Revenue beat(4)0.43%
Revenue beat(8)2
Avg Revenue beat(8)-1.43%
Revenue beat(12)4
Avg Revenue beat(12)-1.02%
Revenue beat(16)8
Avg Revenue beat(16)0.71%
PT rev (1m)4.42%
PT rev (3m)5.32%
EPS NQ rev (1m)0%
EPS NQ rev (3m)3.36%
EPS NY rev (1m)-0.06%
EPS NY rev (3m)2.18%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.96%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.56%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.66 | ||
| Fwd PE | 14.74 | ||
| P/S | 1.81 | ||
| P/FCF | 13.56 | ||
| P/OCF | 12.27 | ||
| P/B | 7.6 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.54 |
EPS(TTM)5.26
EY6.82%
EPS(NY)5.23
Fwd EY6.78%
FCF(TTM)5.69
FCFY7.38%
OCF(TTM)6.28
OCFY8.15%
SpS42.67
BVpS10.15
TBVpS-5.56
PEG (NY)6.62
PEG (5Y)2.41
Graham Number34.66
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.66% | ||
| ROE | 28.79% | ||
| ROCE | 16.78% | ||
| ROIC | 12.51% | ||
| ROICexc | 15.19% | ||
| ROICexgc | 38.47% | ||
| OM | 12.39% | ||
| PM (TTM) | 6.85% | ||
| GM | 49.35% | ||
| FCFM | 13.33% |
ROA(3y)4.55%
ROA(5y)4.65%
ROE(3y)22.46%
ROE(5y)19.57%
ROIC(3y)11.79%
ROIC(5y)11.7%
ROICexc(3y)14.61%
ROICexc(5y)15.49%
ROICexgc(3y)37.56%
ROICexgc(5y)578.79%
ROCE(3y)15.82%
ROCE(5y)15.7%
ROICexgc growth 3Y-76.11%
ROICexgc growth 5Y1.77%
ROICexc growth 3Y-10.8%
ROICexc growth 5Y0.81%
OM growth 3Y-0.69%
OM growth 5Y-1.65%
PM growth 3Y1.64%
PM growth 5Y-2.67%
GM growth 3Y0.4%
GM growth 5Y0.57%
F-Score7
Asset Turnover0.83
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.86 | ||
| Debt/FCF | 3.32 | ||
| Debt/EBITDA | 2.41 | ||
| Cap/Depr | 23.44% | ||
| Cap/Sales | 1.4% | ||
| Interest Coverage | 5.85 | ||
| Cash Conversion | 80.18% | ||
| Profit Quality | 194.6% | ||
| Current Ratio | 1.5 | ||
| Quick Ratio | 1.5 | ||
| Altman-Z | 3.5 |
F-Score7
WACC8.44%
ROIC/WACC1.48
Cap/Depr(3y)39.41%
Cap/Depr(5y)39.76%
Cap/Sales(3y)2.55%
Cap/Sales(5y)2.63%
Profit Quality(3y)115.88%
Profit Quality(5y)149.88%
High Growth Momentum
Growth
EPS 1Y (TTM)31.17%
EPS 3Y12.27%
EPS 5Y6.07%
EPS Q2Q%23.58%
EPS Next Y2.22%
EPS Next 2Y5.05%
EPS Next 3Y5.59%
EPS Next 5Y8.79%
Revenue 1Y (TTM)3.3%
Revenue growth 3Y4.59%
Revenue growth 5Y3.73%
Sales Q2Q%2.87%
Revenue Next Year1.99%
Revenue Next 2Y3.34%
Revenue Next 3Y2.42%
Revenue Next 5Y1.76%
EBIT growth 1Y12.77%
EBIT growth 3Y3.87%
EBIT growth 5Y2.02%
EBIT Next Year35.38%
EBIT Next 3Y12.14%
EBIT Next 5Y10.8%
FCF growth 1Y107.68%
FCF growth 3Y-0.09%
FCF growth 5Y-0.09%
OCF growth 1Y68.46%
OCF growth 3Y-1.08%
OCF growth 5Y-2.12%
CSG SYSTEMS INTL INC / CSGS FAQ
Can you provide the ChartMill fundamental rating for CSG SYSTEMS INTL INC?
ChartMill assigns a fundamental rating of 6 / 10 to CSGS.
Can you provide the valuation status for CSG SYSTEMS INTL INC?
ChartMill assigns a valuation rating of 5 / 10 to CSG SYSTEMS INTL INC (CSGS). This can be considered as Fairly Valued.
How profitable is CSG SYSTEMS INTL INC (CSGS) stock?
CSG SYSTEMS INTL INC (CSGS) has a profitability rating of 7 / 10.
What is the earnings growth outlook for CSG SYSTEMS INTL INC?
The Earnings per Share (EPS) of CSG SYSTEMS INTL INC (CSGS) is expected to grow by 2.22% in the next year.
Is the dividend of CSG SYSTEMS INTL INC sustainable?
The dividend rating of CSG SYSTEMS INTL INC (CSGS) is 5 / 10 and the dividend payout ratio is 32.9%.