ENDAVA PLC- SPON ADR (DAVA) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:DAVA - US29260V1052 - ADR
6.84 USD
+0.05 (+0.74%)
6.84 USD
0 (0%)
DAVA gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 88 industry peers in the IT Services industry. While DAVA seems to be doing ok healthwise, there are quite some concerns on its profitability. DAVA scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
In the past year DAVA was profitable.
In the past year DAVA had a positive cash flow from operations.
Each year in the past 5 years DAVA has been profitable.
Each year in the past 5 years DAVA had a positive operating cash flow.
1.2 Ratios
DAVA has a Return On Assets (1.16%) which is in line with its industry peers.
With a Return On Equity value of 1.90%, DAVA perfoms like the industry average, outperforming 53.41% of the companies in the same industry.
The Return On Invested Capital of DAVA (2.23%) is comparable to the rest of the industry.
DAVA had an Average Return On Invested Capital over the past 3 years of 5.99%. This is significantly below the industry average of 29.60%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.16% | ||
| ROE | 1.9% | ||
| ROIC | 2.23% |
ROA(3y)5.4%
ROA(5y)7.77%
ROE(3y)7.6%
ROE(5y)11.34%
ROIC(3y)5.99%
ROIC(5y)9.17%
1.3 Margins
With a Profit Margin value of 1.43%, DAVA perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
DAVA's Profit Margin has declined in the last couple of years.
With a Operating Margin value of 3.16%, DAVA perfoms like the industry average, outperforming 47.73% of the companies in the same industry.
DAVA's Operating Margin has declined in the last couple of years.
DAVA's Gross Margin of 24.19% is on the low side compared to the rest of the industry. DAVA is outperformed by 72.73% of its industry peers.
DAVA's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.16% | ||
| PM (TTM) | 1.43% | ||
| GM | 24.19% |
OM growth 3Y-34.74%
OM growth 5Y-9.2%
PM growth 3Y-39.96%
PM growth 5Y-13.58%
GM growth 3Y-8.99%
GM growth 5Y-2.39%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so DAVA is destroying value.
Compared to 1 year ago, DAVA has less shares outstanding
The number of shares outstanding for DAVA has been increased compared to 5 years ago.
Compared to 1 year ago, DAVA has a worse debt to assets ratio.
2.2 Solvency
DAVA has an Altman-Z score of 2.34. This is not the best score and indicates that DAVA is in the grey zone with still only limited risk for bankruptcy at the moment.
DAVA has a Altman-Z score (2.34) which is in line with its industry peers.
DAVA has a debt to FCF ratio of 4.49. This is a neutral value as DAVA would need 4.49 years to pay back of all of its debts.
With a Debt to FCF ratio value of 4.49, DAVA perfoms like the industry average, outperforming 55.68% of the companies in the same industry.
A Debt/Equity ratio of 0.40 indicates that DAVA is not too dependend on debt financing.
DAVA's Debt to Equity ratio of 0.40 is in line compared to the rest of the industry. DAVA outperforms 46.59% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.4 | ||
| Debt/FCF | 4.49 | ||
| Altman-Z | 2.34 |
ROIC/WACC0.3
WACC7.36%
2.3 Liquidity
A Current Ratio of 2.18 indicates that DAVA has no problem at all paying its short term obligations.
The Current ratio of DAVA (2.18) is better than 63.64% of its industry peers.
A Quick Ratio of 2.18 indicates that DAVA has no problem at all paying its short term obligations.
DAVA's Quick ratio of 2.18 is fine compared to the rest of the industry. DAVA outperforms 64.77% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.18 | ||
| Quick Ratio | 2.18 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 3.59% over the past year.
DAVA shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 2.54% yearly.
Looking at the last year, DAVA shows a small growth in Revenue. The Revenue has grown by 1.07% in the last year.
DAVA shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 17.08% yearly.
EPS 1Y (TTM)3.59%
EPS 3Y-16.39%
EPS 5Y2.54%
EPS Q2Q%-40.94%
Revenue 1Y (TTM)1.07%
Revenue growth 3Y5.65%
Revenue growth 5Y17.08%
Sales Q2Q%-8.65%
3.2 Future
Based on estimates for the next years, DAVA will show a small growth in Earnings Per Share. The EPS will grow by 4.02% on average per year.
The Revenue is expected to grow by 1.79% on average over the next years.
EPS Next Y-29.02%
EPS Next 2Y-6.38%
EPS Next 3Y2.12%
EPS Next 5Y4.02%
Revenue Next Year-4.48%
Revenue Next 2Y-0.51%
Revenue Next 3Y0.93%
Revenue Next 5Y1.79%
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
With a Price/Earnings ratio of 4.96, the valuation of DAVA can be described as very cheap.
DAVA's Price/Earnings ratio is rather cheap when compared to the industry. DAVA is cheaper than 94.32% of the companies in the same industry.
DAVA is valuated cheaply when we compare the Price/Earnings ratio to 26.39, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 5.15, which indicates a rather cheap valuation of DAVA.
Based on the Price/Forward Earnings ratio, DAVA is valued cheaper than 95.45% of the companies in the same industry.
DAVA's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 23.84.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.96 | ||
| Fwd PE | 5.15 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, DAVA is valued cheaper than 90.91% of the companies in the same industry.
DAVA's Price/Free Cash Flow ratio is rather cheap when compared to the industry. DAVA is cheaper than 95.45% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.01 | ||
| EV/EBITDA | 6.74 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)1.95
EPS Next 2Y-6.38%
EPS Next 3Y2.12%
5. Dividend
5.1 Amount
No dividends for DAVA!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
6.84
+0.05 (+0.74%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners62.35%
Inst Owner Change-24.65%
Ins Owners0.71%
Ins Owner ChangeN/A
Market Cap361.44M
Revenue(TTM)755.39M
Net Income(TTM)10.81M
Analysts73.75
Price Target11.51 (68.27%)
Short Float %7.07%
Short Ratio2.34
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)1
Avg EPS beat(2)-8.17%
Min EPS beat(2)-19.17%
Max EPS beat(2)2.83%
EPS beat(4)3
Avg EPS beat(4)1.78%
Min EPS beat(4)-19.17%
Max EPS beat(4)18.52%
EPS beat(8)6
Avg EPS beat(8)4.65%
EPS beat(12)9
Avg EPS beat(12)6.62%
EPS beat(16)13
Avg EPS beat(16)6.3%
Revenue beat(2)0
Avg Revenue beat(2)-3%
Min Revenue beat(2)-4.03%
Max Revenue beat(2)-1.97%
Revenue beat(4)0
Avg Revenue beat(4)-3.03%
Min Revenue beat(4)-4.03%
Max Revenue beat(4)-1.97%
Revenue beat(8)0
Avg Revenue beat(8)-2.63%
Revenue beat(12)0
Avg Revenue beat(12)-2.15%
Revenue beat(16)2
Avg Revenue beat(16)-1.38%
PT rev (1m)-30.77%
PT rev (3m)-32.83%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-31.66%
EPS NY rev (1m)-7.92%
EPS NY rev (3m)-30.74%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.28%
Revenue NY rev (1m)-2.11%
Revenue NY rev (3m)-2.37%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.96 | ||
| Fwd PE | 5.15 | ||
| P/S | 0.36 | ||
| P/FCF | 5.01 | ||
| P/OCF | 4.46 | ||
| P/B | 0.48 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.74 |
EPS(TTM)1.38
EY20.18%
EPS(NY)1.33
Fwd EY19.42%
FCF(TTM)1.37
FCFY19.97%
OCF(TTM)1.53
OCFY22.43%
SpS19.11
BVpS14.39
TBVpS-0.37
PEG (NY)N/A
PEG (5Y)1.95
Graham Number21.14
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.16% | ||
| ROE | 1.9% | ||
| ROCE | 2.94% | ||
| ROIC | 2.23% | ||
| ROICexc | 2.37% | ||
| ROICexgc | 9.97% | ||
| OM | 3.16% | ||
| PM (TTM) | 1.43% | ||
| GM | 24.19% | ||
| FCFM | 7.15% |
ROA(3y)5.4%
ROA(5y)7.77%
ROE(3y)7.6%
ROE(5y)11.34%
ROIC(3y)5.99%
ROIC(5y)9.17%
ROICexc(3y)7.62%
ROICexc(5y)12.23%
ROICexgc(3y)23.85%
ROICexgc(5y)34.64%
ROCE(3y)7.91%
ROCE(5y)12.11%
ROICexgc growth 3Y-38.47%
ROICexgc growth 5Y-7.84%
ROICexc growth 3Y-47.64%
ROICexc growth 5Y-20.33%
OM growth 3Y-34.74%
OM growth 5Y-9.2%
PM growth 3Y-39.96%
PM growth 5Y-13.58%
GM growth 3Y-8.99%
GM growth 5Y-2.39%
F-Score8
Asset Turnover0.81
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.4 | ||
| Debt/FCF | 4.49 | ||
| Debt/EBITDA | 3.31 | ||
| Cap/Depr | 14.77% | ||
| Cap/Sales | 0.88% | ||
| Interest Coverage | 2.7 | ||
| Cash Conversion | 87.93% | ||
| Profit Quality | 499.57% | ||
| Current Ratio | 2.18 | ||
| Quick Ratio | 2.18 | ||
| Altman-Z | 2.34 |
F-Score8
WACC7.36%
ROIC/WACC0.3
Cap/Depr(3y)21.99%
Cap/Depr(5y)27.65%
Cap/Sales(3y)1.02%
Cap/Sales(5y)1.28%
Profit Quality(3y)209.96%
Profit Quality(5y)189.49%
High Growth Momentum
Growth
EPS 1Y (TTM)3.59%
EPS 3Y-16.39%
EPS 5Y2.54%
EPS Q2Q%-40.94%
EPS Next Y-29.02%
EPS Next 2Y-6.38%
EPS Next 3Y2.12%
EPS Next 5Y4.02%
Revenue 1Y (TTM)1.07%
Revenue growth 3Y5.65%
Revenue growth 5Y17.08%
Sales Q2Q%-8.65%
Revenue Next Year-4.48%
Revenue Next 2Y-0.51%
Revenue Next 3Y0.93%
Revenue Next 5Y1.79%
EBIT growth 1Y173.93%
EBIT growth 3Y-31.05%
EBIT growth 5Y6.31%
EBIT Next Year-4.9%
EBIT Next 3Y9.68%
EBIT Next 5Y6.37%
FCF growth 1Y-48.48%
FCF growth 3Y-23.34%
FCF growth 5Y9.6%
OCF growth 1Y-47.67%
OCF growth 3Y-24.1%
OCF growth 5Y6.85%
ENDAVA PLC- SPON ADR / DAVA FAQ
What is the fundamental rating for DAVA stock?
ChartMill assigns a fundamental rating of 4 / 10 to DAVA.
Can you provide the valuation status for ENDAVA PLC- SPON ADR?
ChartMill assigns a valuation rating of 7 / 10 to ENDAVA PLC- SPON ADR (DAVA). This can be considered as Undervalued.
How profitable is ENDAVA PLC- SPON ADR (DAVA) stock?
ENDAVA PLC- SPON ADR (DAVA) has a profitability rating of 3 / 10.
What are the PE and PB ratios of ENDAVA PLC- SPON ADR (DAVA) stock?
The Price/Earnings (PE) ratio for ENDAVA PLC- SPON ADR (DAVA) is 4.96 and the Price/Book (PB) ratio is 0.48.
What is the earnings growth outlook for ENDAVA PLC- SPON ADR?
The Earnings per Share (EPS) of ENDAVA PLC- SPON ADR (DAVA) is expected to decline by -29.02% in the next year.