1.16 USD
-0.55 (-32.16%)
1.1603 USD
+0 (+0.03%)
EBIX gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 278 industry peers in the Software industry. EBIX has a medium profitability rating, but doesn't score so well on its financial health evaluation. EBIX is cheap, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
- EBIX had positive earnings in the past year.
- EBIX had a positive operating cash flow in the past year.
1.2 Ratios
- EBIX has a Return On Assets of 0.32%. This is in the better half of the industry: EBIX outperforms 71.94% of its industry peers.
- EBIX has a Return On Equity of 0.82%. This is in the better half of the industry: EBIX outperforms 73.74% of its industry peers.
- EBIX has a better Return On Invested Capital (13.72%) than 94.24% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for EBIX is in line with the industry average of 10.76%.
- The 3 year average ROIC (10.38%) for EBIX is below the current ROIC(13.72%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.32% | ||
| ROE | 0.82% | ||
| ROIC | 13.72% |
ROA(3y)4.81%
ROA(5y)5.26%
ROE(3y)11.98%
ROE(5y)14.6%
ROIC(3y)10.38%
ROIC(5y)10.3%
1.3 Margins
- EBIX has a better Profit Margin (0.68%) than 72.30% of its industry peers.
- EBIX's Profit Margin has declined in the last couple of years.
- EBIX has a better Operating Margin (14.94%) than 86.69% of its industry peers.
- In the last couple of years the Operating Margin of EBIX has declined.
- With a Gross Margin value of 47.00%, EBIX is not doing good in the industry: 69.06% of the companies in the same industry are doing better.
- EBIX's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.94% | ||
| PM (TTM) | 0.68% | ||
| GM | 47% |
OM growth 3Y-24.69%
OM growth 5Y-18.1%
PM growth 3Y-28.25%
PM growth 5Y-25.95%
GM growth 3Y-21.49%
GM growth 5Y-13.45%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so EBIX is creating value.
- The number of shares outstanding for EBIX has been increased compared to 1 year ago.
- Compared to 1 year ago, EBIX has a worse debt to assets ratio.
2.2 Solvency
- EBIX has an Altman-Z score of 1.06. This is a bad value and indicates that EBIX is not financially healthy and even has some risk of bankruptcy.
- With a Altman-Z score value of 1.06, EBIX is not doing good in the industry: 61.87% of the companies in the same industry are doing better.
- The Debt to FCF ratio of EBIX is 30.67, which is on the high side as it means it would take EBIX, 30.67 years of fcf income to pay off all of its debts.
- The Debt to FCF ratio of EBIX (30.67) is comparable to the rest of the industry.
- EBIX has a Debt/Equity ratio of 0.03. This is a healthy value indicating a solid balance between debt and equity.
- The Debt to Equity ratio of EBIX (0.03) is better than 61.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | 30.67 | ||
| Altman-Z | 1.06 |
ROIC/WACC2.69
WACC5.1%
2.3 Liquidity
- A Current Ratio of 0.41 indicates that EBIX may have some problems paying its short term obligations.
- EBIX has a worse Current ratio (0.41) than 95.32% of its industry peers.
- A Quick Ratio of 0.41 indicates that EBIX may have some problems paying its short term obligations.
- EBIX's Quick ratio of 0.41 is on the low side compared to the rest of the industry. EBIX is outperformed by 95.32% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.41 | ||
| Quick Ratio | 0.41 |
3. Growth
3.1 Past
- EBIX shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -92.74%.
- EBIX shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -7.91% yearly.
- The Revenue for EBIX has decreased by -30.72% in the past year. This is quite bad
- Measured over the past years, EBIX shows a very strong growth in Revenue. The Revenue has been growing by 23.60% on average per year.
EPS 1Y (TTM)-92.74%
EPS 3Y-14.5%
EPS 5Y-7.91%
EPS Q2Q%-155.93%
Revenue 1Y (TTM)-30.72%
Revenue growth 3Y21.84%
Revenue growth 5Y23.6%
Sales Q2Q%-53.78%
3.2 Future
- The Earnings Per Share is expected to decrease by -17.98% on average over the next years. This is quite bad
- Based on estimates for the next years, EBIX will show a very negative growth in Revenue. The Revenue will decrease by -31.80% on average per year.
EPS Next Y-87.37%
EPS Next 2Y-17.98%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-42.79%
Revenue Next 2Y-31.8%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- 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. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 6.82, the valuation of EBIX can be described as very cheap.
- EBIX's Price/Earnings ratio is rather cheap when compared to the industry. EBIX is cheaper than 96.76% of the companies in the same industry.
- The average S&P500 Price/Earnings ratio is at 27.25. EBIX is valued rather cheaply when compared to this.
- Based on the Price/Forward Earnings ratio of 0.82, the valuation of EBIX can be described as very cheap.
- Based on the Price/Forward Earnings ratio, EBIX is valued cheaper than 100.00% of the companies in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.98, EBIX is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.82 | ||
| Fwd PE | 0.82 |
4.2 Price Multiples
- EBIX's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. EBIX is cheaper than 97.84% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, EBIX is valued cheaper than 99.64% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 1.74 | ||
| EV/EBITDA | 4.14 |
4.3 Compensation for Growth
- EBIX's earnings are expected to decrease with -17.98% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-17.98%
EPS Next 3YN/A
5. Dividend
5.1 Amount
- EBIX does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
EBIX INC / EBIX FAQ
What is the fundamental rating for EBIX stock?
ChartMill assigns a fundamental rating of 4 / 10 to EBIX.
Can you provide the valuation status for EBIX INC?
ChartMill assigns a valuation rating of 8 / 10 to EBIX INC (EBIX). This can be considered as Undervalued.
What is the profitability of EBIX stock?
EBIX INC (EBIX) has a profitability rating of 6 / 10.
Can you provide the expected EPS growth for EBIX stock?
The Earnings per Share (EPS) of EBIX INC (EBIX) is expected to decline by -87.37% in the next year.
How sustainable is the dividend of EBIX INC (EBIX) stock?
The dividend rating of EBIX INC (EBIX) is 0 / 10 and the dividend payout ratio is 46%.