ENDAVA PLC- SPON ADR (DAVA) Stock Fundamental Analysis
USA - NYSE:DAVA - US29260V1052 - ADR
8.46 USD
-0.4 (-4.51%)
8.46 USD
0 (0%)
DAVA gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 85 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
DAVA had positive earnings in the past year.
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
With a Return On Assets value of 2.27%, DAVA perfoms like the industry average, outperforming 52.94% of the companies in the same industry.
DAVA has a Return On Equity (3.64%) which is comparable to the rest of the industry.
DAVA has a Return On Invested Capital (2.93%) which is in line with its industry peers.
DAVA had an Average Return On Invested Capital over the past 3 years of 5.99%. This is significantly below the industry average of 27.96%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.27% | ||
| ROE | 3.64% | ||
| ROIC | 2.93% |
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
The Profit Margin of DAVA (2.75%) is comparable to the rest of the industry.
In the last couple of years the Profit Margin of DAVA has declined.
DAVA has a Operating Margin of 4.08%. This is comparable to the rest of the industry: DAVA outperforms 50.59% of its industry peers.
DAVA's Operating Margin has declined in the last couple of years.
DAVA's Gross Margin of 25.08% is on the low side compared to the rest of the industry. DAVA is outperformed by 70.59% of its industry peers.
In the last couple of years the Gross Margin of DAVA has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.08% | ||
| PM (TTM) | 2.75% | ||
| GM | 25.08% |
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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), DAVA is destroying value.
DAVA has less shares outstanding than it did 1 year ago.
The number of shares outstanding for DAVA has been increased compared to 5 years ago.
DAVA has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.66 indicates that DAVA is not a great score, but indicates only limited risk for bankruptcy at the moment.
DAVA's Altman-Z score of 2.66 is in line compared to the rest of the industry. DAVA outperforms 49.41% of its industry peers.
The Debt to FCF ratio of DAVA is 4.74, which is a neutral value as it means it would take DAVA, 4.74 years of fcf income to pay off all of its debts.
DAVA has a Debt to FCF ratio (4.74) which is in line with its industry peers.
DAVA has a Debt/Equity ratio of 0.37. This is a healthy value indicating a solid balance between debt and equity.
DAVA's Debt to Equity ratio of 0.37 is in line compared to the rest of the industry. DAVA outperforms 50.59% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 4.74 | ||
| Altman-Z | 2.66 |
ROIC/WACC0.39
WACC7.44%
2.3 Liquidity
A Current Ratio of 2.32 indicates that DAVA has no problem at all paying its short term obligations.
With a decent Current ratio value of 2.32, DAVA is doing good in the industry, outperforming 71.76% of the companies in the same industry.
DAVA has a Quick Ratio of 2.32. This indicates that DAVA is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of DAVA (2.32) is better than 71.76% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.32 | ||
| Quick Ratio | 2.32 |
3. Growth
3.1 Past
DAVA shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 0.33%.
The Earnings Per Share has been growing slightly by 2.54% on average over the past years.
The Revenue has been growing slightly by 4.26% in the past 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)0.33%
EPS 3Y-16.39%
EPS 5Y2.54%
EPS Q2Q%9.09%
Revenue 1Y (TTM)4.26%
Revenue growth 3Y5.65%
Revenue growth 5Y17.08%
Sales Q2Q%-3.93%
3.2 Future
Based on estimates for the next years, DAVA will show a quite strong growth in Earnings Per Share. The EPS will grow by 14.05% on average per year.
The Revenue is expected to grow by 4.51% on average over the next years.
EPS Next Y-22.91%
EPS Next 2Y-1.01%
EPS Next 3Y6.25%
EPS Next 5Y14.05%
Revenue Next Year-2.42%
Revenue Next 2Y0.65%
Revenue Next 3Y2.68%
Revenue Next 5Y4.51%
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
The Price/Earnings ratio is 5.72, which indicates a rather cheap valuation of DAVA.
94.12% of the companies in the same industry are more expensive than DAVA, based on the Price/Earnings ratio.
DAVA is valuated cheaply when we compare the Price/Earnings ratio to 26.03, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 7.41, the valuation of DAVA can be described as very cheap.
Compared to the rest of the industry, the Price/Forward Earnings ratio of DAVA indicates a rather cheap valuation: DAVA is cheaper than 94.12% of the companies listed in the same industry.
DAVA is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.27, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.72 | ||
| Fwd PE | 7.41 |
4.2 Price Multiples
DAVA's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. DAVA is cheaper than 84.71% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, DAVA is valued cheaply inside the industry as 91.76% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.01 | ||
| EV/EBITDA | 7.23 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)2.25
EPS Next 2Y-1.01%
EPS Next 3Y6.25%
5. Dividend
5.1 Amount
DAVA does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
8.46
-0.4 (-4.51%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners81%
Inst Owner Change-0.03%
Ins Owners0.71%
Ins Owner ChangeN/A
Market Cap502.98M
Revenue(TTM)772.25M
Net Income(TTM)21.21M
Analysts76.47
Price Target16.63 (96.57%)
Short Float %4.38%
Short Ratio2.01
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)2
Avg EPS beat(2)3.88%
Min EPS beat(2)2.83%
Max EPS beat(2)4.93%
EPS beat(4)4
Avg EPS beat(4)10.61%
Min EPS beat(4)2.83%
Max EPS beat(4)18.52%
EPS beat(8)7
Avg EPS beat(8)8.35%
EPS beat(12)10
Avg EPS beat(12)8.57%
EPS beat(16)14
Avg EPS beat(16)8.22%
Revenue beat(2)0
Avg Revenue beat(2)-2.89%
Min Revenue beat(2)-3.81%
Max Revenue beat(2)-1.97%
Revenue beat(4)0
Avg Revenue beat(4)-2.45%
Min Revenue beat(4)-3.81%
Max Revenue beat(4)-1.71%
Revenue beat(8)0
Avg Revenue beat(8)-2.24%
Revenue beat(12)0
Avg Revenue beat(12)-1.82%
Revenue beat(16)2
Avg Revenue beat(16)-1.13%
PT rev (1m)-2.98%
PT rev (3m)-29.73%
EPS NQ rev (1m)-9.35%
EPS NQ rev (3m)-34.47%
EPS NY rev (1m)-4.43%
EPS NY rev (3m)-26.76%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.82%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-2.3%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.72 | ||
| Fwd PE | 7.41 | ||
| P/S | 0.5 | ||
| P/FCF | 8.01 | ||
| P/OCF | 7.29 | ||
| P/B | 0.66 | ||
| P/tB | 43.98 | ||
| EV/EBITDA | 7.23 |
EPS(TTM)1.48
EY17.49%
EPS(NY)1.14
Fwd EY13.5%
FCF(TTM)1.06
FCFY12.49%
OCF(TTM)1.16
OCFY13.71%
SpS16.97
BVpS12.81
TBVpS0.19
PEG (NY)N/A
PEG (5Y)2.25
Graham Number20.65
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.27% | ||
| ROE | 3.64% | ||
| ROCE | 3.87% | ||
| ROIC | 2.93% | ||
| ROICexc | 3.16% | ||
| ROICexgc | 13.22% | ||
| OM | 4.08% | ||
| PM (TTM) | 2.75% | ||
| GM | 25.08% | ||
| FCFM | 6.22% |
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 Turnover0.83
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 4.74 | ||
| Debt/EBITDA | 2.8 | ||
| Cap/Depr | 10.43% | ||
| Cap/Sales | 0.61% | ||
| Interest Coverage | 3.65 | ||
| Cash Conversion | 68.91% | ||
| Profit Quality | 226.62% | ||
| Current Ratio | 2.32 | ||
| Quick Ratio | 2.32 | ||
| Altman-Z | 2.66 |
F-Score8
WACC7.44%
ROIC/WACC0.39
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)0.33%
EPS 3Y-16.39%
EPS 5Y2.54%
EPS Q2Q%9.09%
EPS Next Y-22.91%
EPS Next 2Y-1.01%
EPS Next 3Y6.25%
EPS Next 5Y14.05%
Revenue 1Y (TTM)4.26%
Revenue growth 3Y5.65%
Revenue growth 5Y17.08%
Sales Q2Q%-3.93%
Revenue Next Year-2.42%
Revenue Next 2Y0.65%
Revenue Next 3Y2.68%
Revenue Next 5Y4.51%
EBIT growth 1Y56.46%
EBIT growth 3Y-31.05%
EBIT growth 5Y6.31%
EBIT Next Year8.89%
EBIT Next 3Y19.59%
EBIT Next 5Y15.3%
FCF growth 1Y-1.71%
FCF growth 3Y-23.34%
FCF growth 5Y9.6%
OCF growth 1Y-2.98%
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 5.72 and the Price/Book (PB) ratio is 0.66.
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 -22.91% in the next year.