CSG SYSTEMS INTL INC (CSGS) Fundamental Analysis & Valuation
NASDAQ:CSGS • US1263491094
79.81 USD
+0.02 (+0.03%)
At close: Mar 3, 2026
79.81 USD
0 (0%)
After Hours: 3/3/2026, 8:03:36 PM
This CSGS fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
We assign a fundamental rating of 5 out of 10 to CSGS. CSGS was compared to 86 industry peers in the IT Services industry. CSGS has an excellent profitability rating, but there are some minor concerns on its financial health. CSGS is not valued too expensively and it also shows a decent growth rate.
1. CSGS Profitability Analysis
1.1 Basic Checks
- CSGS had positive earnings in the past year.
- CSGS had a positive operating cash flow in the past year.
- Each year in the past 5 years CSGS has been profitable.
- Each year in the past 5 years CSGS had a positive operating cash flow.
1.2 Ratios
- With a decent Return On Assets value of 3.62%, CSGS is doing good in the industry, outperforming 61.63% of the companies in the same industry.
- CSGS has a Return On Equity of 19.70%. This is amongst the best in the industry. CSGS outperforms 80.23% of its industry peers.
- CSGS's Return On Invested Capital of 11.26% is amongst the best of the industry. CSGS outperforms 81.40% of its industry peers.
- CSGS had an Average Return On Invested Capital over the past 3 years of 11.42%. This is in line with the industry average of 10.82%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.62% | ||
| ROE | 19.7% | ||
| ROIC | 11.26% |
ROA(3y)4.67%
ROA(5y)4.5%
ROE(3y)24.89%
ROE(5y)20.73%
ROIC(3y)11.42%
ROIC(5y)11.56%
1.3 Margins
- CSGS has a Profit Margin of 4.57%. This is in the better half of the industry: CSGS outperforms 61.63% of its industry peers.
- In the last couple of years the Profit Margin of CSGS has declined.
- CSGS's Operating Margin of 11.84% is fine compared to the rest of the industry. CSGS outperforms 73.26% of its industry peers.
- In the last couple of years the Operating Margin of CSGS has grown nicely.
- CSGS has a better Gross Margin (49.03%) than 74.42% of its industry peers.
- CSGS's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.84% | ||
| PM (TTM) | 4.57% | ||
| GM | 49.03% |
OM growth 3Y2.81%
OM growth 5Y2.18%
PM growth 3Y4.12%
PM growth 5Y-5.07%
GM growth 3Y0.61%
GM growth 5Y1.31%
2. CSGS Health Analysis
2.1 Basic Checks
- CSGS has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- Compared to 1 year ago, CSGS has less shares outstanding
- CSGS has less shares outstanding than it did 5 years ago.
- CSGS has a better debt/assets ratio than last year.
2.2 Solvency
- CSGS has an Altman-Z score of 3.34. This indicates that CSGS is financially healthy and has little risk of bankruptcy at the moment.
- CSGS's Altman-Z score of 3.34 is fine compared to the rest of the industry. CSGS outperforms 65.12% of its industry peers.
- The Debt to FCF ratio of CSGS is 3.82, which is a good value as it means it would take CSGS, 3.82 years of fcf income to pay off all of its debts.
- CSGS has a Debt to FCF ratio (3.82) which is comparable to the rest of the industry.
- A Debt/Equity ratio of 1.90 is on the high side and indicates that CSGS has dependencies on debt financing.
- Looking at the Debt to Equity ratio, with a value of 1.90, CSGS is doing worse than 74.42% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.9 | ||
| Debt/FCF | 3.82 | ||
| Altman-Z | 3.34 |
ROIC/WACC1.3
WACC8.67%
2.3 Liquidity
- A Current Ratio of 1.44 indicates that CSGS should not have too much problems paying its short term obligations.
- CSGS has a Current ratio (1.44) which is comparable to the rest of the industry.
- A Quick Ratio of 1.44 indicates that CSGS should not have too much problems paying its short term obligations.
- The Quick ratio of CSGS (1.44) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.44 | ||
| Quick Ratio | 1.44 |
3. CSGS Growth Analysis
3.1 Past
- CSGS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 8.44%, which is quite good.
- CSGS shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 10.50% yearly.
- CSGS shows a small growth in Revenue. In the last year, the Revenue has grown by 2.18%.
- The Revenue has been growing slightly by 4.31% on average over the past years.
EPS 1Y (TTM)8.44%
EPS 3Y12.6%
EPS 5Y10.5%
EPS Q2Q%-7.27%
Revenue 1Y (TTM)2.18%
Revenue growth 3Y3.93%
Revenue growth 5Y4.31%
Sales Q2Q%2.03%
3.2 Future
- CSGS is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.87% yearly.
- CSGS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.70% yearly.
EPS Next Y1.77%
EPS Next 2Y4.19%
EPS Next 3Y8.35%
EPS Next 5Y8.87%
Revenue Next Year4.71%
Revenue Next 2Y3.86%
Revenue Next 3Y4%
Revenue Next 5Y1.7%
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 stable.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. CSGS Valuation Analysis
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 15.53, CSGS is valued correctly.
- Based on the Price/Earnings ratio, CSGS is valued a bit cheaper than the industry average as 68.60% of the companies are valued more expensively.
- Compared to an average S&P500 Price/Earnings ratio of 26.83, CSGS is valued a bit cheaper.
- The Price/Forward Earnings ratio is 15.26, which indicates a correct valuation of CSGS.
- Based on the Price/Forward Earnings ratio, CSGS is valued a bit cheaper than 63.95% of the companies in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.95, CSGS is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.53 | ||
| Fwd PE | 15.26 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, CSGS is valued a bit cheaper than 70.93% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, CSGS is valued a bit cheaper than 68.60% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.01 | ||
| EV/EBITDA | 12.08 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- The decent profitability rating of CSGS may justify a higher PE ratio.
PEG (NY)8.78
PEG (5Y)1.48
EPS Next 2Y4.19%
EPS Next 3Y8.35%
5. CSGS Dividend Analysis
5.1 Amount
- CSGS has a Yearly Dividend Yield of 1.70%.
- Compared to an average industry Dividend Yield of 0.95, CSGS pays a better dividend. On top of this CSGS pays more dividend than 83.72% of the companies listed in the same industry.
- CSGS's Dividend Yield is comparable with the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.7% |
5.2 History
- The dividend of CSGS is nicely growing with an annual growth rate of 6.63%!
- CSGS has paid a dividend for at least 10 years, which is a reliable track record.
- CSGS has decreased its dividend in the last 3 years.
Dividend Growth(5Y)6.63%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
- 66.92% of the earnings are spent on dividend by CSGS. This is not a sustainable payout ratio.
- The dividend of CSGS is growing, but earnings are growing more, so the dividend growth is sustainable.
DP66.92%
EPS Next 2Y4.19%
EPS Next 3Y8.35%
CSGS Fundamentals: All Metrics, Ratios and Statistics
79.81
+0.02 (+0.03%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)02-04 2026-02-04/amc
Earnings (Next)05-05 2026-05-05
Inst Owners106.28%
Inst Owner Change3.59%
Ins Owners3.92%
Ins Owner Change2.56%
Market Cap2.26B
Revenue(TTM)1.22B
Net Income(TTM)55.88M
Analysts51.67
Price Target82.31 (3.13%)
Short Float %13.23%
Short Ratio8.08
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.7% |
Yearly Dividend1.31
Dividend Growth(5Y)6.63%
DP66.92%
Div Incr Years2
Div Non Decr Years2
Ex-Date03-18 2026-03-18 (0.34)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)12.23%
Min EPS beat(2)11.96%
Max EPS beat(2)12.5%
EPS beat(4)4
Avg EPS beat(4)10.7%
Min EPS beat(4)8.57%
Max EPS beat(4)12.5%
EPS beat(8)7
Avg EPS beat(8)11.35%
EPS beat(12)11
Avg EPS beat(12)10.36%
EPS beat(16)13
Avg EPS beat(16)8.34%
Revenue beat(2)0
Avg Revenue beat(2)-0.86%
Min Revenue beat(2)-1.47%
Max Revenue beat(2)-0.26%
Revenue beat(4)1
Avg Revenue beat(4)-0.35%
Min Revenue beat(4)-1.47%
Max Revenue beat(4)0.43%
Revenue beat(8)2
Avg Revenue beat(8)-1.02%
Revenue beat(12)3
Avg Revenue beat(12)-1.61%
Revenue beat(16)7
Avg Revenue beat(16)-0.12%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0.28%
EPS NQ rev (3m)0.28%
EPS NY rev (1m)0%
EPS NY rev (3m)0.11%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.53 | ||
| Fwd PE | 15.26 | ||
| P/S | 1.85 | ||
| P/FCF | 16.01 | ||
| P/OCF | 14.52 | ||
| P/B | 7.98 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.08 |
EPS(TTM)5.14
EY6.44%
EPS(NY)5.23
Fwd EY6.55%
FCF(TTM)4.98
FCFY6.24%
OCF(TTM)5.5
OCFY6.89%
SpS43.12
BVpS10
TBVpS-5.67
PEG (NY)8.78
PEG (5Y)1.48
Graham Number34.01
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.62% | ||
| ROE | 19.7% | ||
| ROCE | 16.2% | ||
| ROIC | 11.26% | ||
| ROICexc | 14.09% | ||
| ROICexgc | 37.37% | ||
| OM | 11.84% | ||
| PM (TTM) | 4.57% | ||
| GM | 49.03% | ||
| FCFM | 11.56% |
ROA(3y)4.67%
ROA(5y)4.5%
ROE(3y)24.89%
ROE(5y)20.73%
ROIC(3y)11.42%
ROIC(5y)11.56%
ROICexc(3y)14.25%
ROICexc(5y)15.05%
ROICexgc(3y)36.27%
ROICexgc(5y)541.49%
ROCE(3y)16.43%
ROCE(5y)16.64%
ROICexgc growth 3Y3.4%
ROICexgc growth 5Y5.97%
ROICexc growth 3Y4.66%
ROICexc growth 5Y4.79%
OM growth 3Y2.81%
OM growth 5Y2.18%
PM growth 3Y4.12%
PM growth 5Y-5.07%
GM growth 3Y0.61%
GM growth 5Y1.31%
F-Score6
Asset Turnover0.79
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.9 | ||
| Debt/FCF | 3.82 | ||
| Debt/EBITDA | 2.48 | ||
| Cap/Depr | 20.08% | ||
| Cap/Sales | 1.19% | ||
| Interest Coverage | 5.7 | ||
| Cash Conversion | 71.78% | ||
| Profit Quality | 253.02% | ||
| Current Ratio | 1.44 | ||
| Quick Ratio | 1.44 | ||
| Altman-Z | 3.34 |
F-Score6
WACC8.67%
ROIC/WACC1.3
Cap/Depr(3y)30.09%
Cap/Depr(5y)34.97%
Cap/Sales(3y)1.82%
Cap/Sales(5y)2.28%
Profit Quality(3y)180.11%
Profit Quality(5y)151.56%
High Growth Momentum
Growth
EPS 1Y (TTM)8.44%
EPS 3Y12.6%
EPS 5Y10.5%
EPS Q2Q%-7.27%
EPS Next Y1.77%
EPS Next 2Y4.19%
EPS Next 3Y8.35%
EPS Next 5Y8.87%
Revenue 1Y (TTM)2.18%
Revenue growth 3Y3.93%
Revenue growth 5Y4.31%
Sales Q2Q%2.03%
Revenue Next Year4.71%
Revenue Next 2Y3.86%
Revenue Next 3Y4%
Revenue Next 5Y1.7%
EBIT growth 1Y0.09%
EBIT growth 3Y6.84%
EBIT growth 5Y6.59%
EBIT Next Year31.52%
EBIT Next 3Y13.65%
EBIT Next 5Y11.62%
FCF growth 1Y24.8%
FCF growth 3Y74.52%
FCF growth 5Y-0.31%
OCF growth 1Y14.9%
OCF growth 3Y34.84%
OCF growth 5Y-2.06%
CSG SYSTEMS INTL INC / CSGS FAQ
Can you provide the ChartMill fundamental rating for CSG SYSTEMS INTL INC?
ChartMill assigns a fundamental rating of 5 / 10 to CSGS.
What is the valuation status of CSG SYSTEMS INTL INC (CSGS) stock?
ChartMill assigns a valuation rating of 5 / 10 to CSG SYSTEMS INTL INC (CSGS). This can be considered as Fairly Valued.
What is the profitability of CSGS stock?
CSG SYSTEMS INTL INC (CSGS) has a profitability rating of 7 / 10.
Can you provide the financial health for CSGS stock?
The financial health rating of CSG SYSTEMS INTL INC (CSGS) is 5 / 10.
Can you provide the expected EPS growth for CSGS stock?
The Earnings per Share (EPS) of CSG SYSTEMS INTL INC (CSGS) is expected to grow by 1.77% in the next year.