1.16 USD
-0.55 (-32.16%)
1.1603 USD
+0 (+0.03%)
Taking everything into account, EBIX scores 3 out of 10 in our fundamental rating. EBIX was compared to 278 industry peers in the Software industry. While EBIX is still in line with the averages on profitability rating, there are concerns on its financial health. EBIX is valued quite cheap, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- In the past year EBIX was profitable.
- In the past year EBIX had a positive cash flow from operations.
1.2 Ratios
- Looking at the Return On Assets, with a value of 0.32%, EBIX is in the better half of the industry, outperforming 71.94% of the companies in the same industry.
- EBIX's Return On Equity of 0.82% is fine compared to the rest of the industry. EBIX outperforms 73.74% of its industry peers.
- The Return On Invested Capital of EBIX (13.72%) is better than 94.24% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital 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
- Looking at the Profit Margin, with a value of 0.68%, EBIX is in the better half of the industry, outperforming 72.30% of the companies in the same industry.
- EBIX's Profit Margin has declined in the last couple of years.
- Looking at the Operating Margin, with a value of 14.94%, EBIX belongs to the top of the industry, outperforming 86.69% of the companies in the same industry.
- In the last couple of years the Operating Margin of EBIX has declined.
- Looking at the Gross Margin, with a value of 47.00%, EBIX is doing worse than 69.06% of the companies in the same industry.
- 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.
- EBIX has more shares outstanding than it did 1 year ago.
- The debt/assets ratio for EBIX is higher compared to a year ago.
2.2 Solvency
- Based on the Altman-Z score of 1.06, we must say that EBIX is in the distress zone and 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.
- With a Debt to FCF ratio value of 30.67, EBIX perfoms like the industry average, outperforming 49.64% of the companies in the same industry.
- EBIX has a Debt/Equity ratio of 0.03. This is a healthy value indicating a solid balance between debt and equity.
- EBIX's Debt to Equity ratio of 0.03 is fine compared to the rest of the industry. EBIX outperforms 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.
- With a Current ratio value of 0.41, EBIX is not doing good in the industry: 95.32% of the companies in the same industry are doing better.
- A Quick Ratio of 0.41 indicates that EBIX may have some problems paying its short term obligations.
- The Quick ratio of EBIX (0.41) is worse than 95.32% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.41 | ||
| Quick Ratio | 0.41 |
3. Growth
3.1 Past
- The earnings per share for EBIX have decreased strongly by -92.74% in the last year.
- The Earnings Per Share has been decreasing by -7.91% on average over the past years.
- Looking at the last year, EBIX shows a very negative growth in Revenue. The Revenue has decreased by -30.72% in the last year.
- 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
- EBIX is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -17.98% yearly.
- 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
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
- 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
- With a Price/Earnings ratio of 6.82, the valuation of EBIX can be described as very cheap.
- Compared to the rest of the industry, the Price/Earnings ratio of EBIX indicates a rather cheap valuation: EBIX is cheaper than 96.76% of the companies listed in the same industry.
- EBIX is valuated cheaply when we compare the Price/Earnings ratio to 28.82, which is the current average of the S&P500 Index.
- A Price/Forward Earnings ratio of 0.82 indicates a rather cheap valuation of EBIX.
- Based on the Price/Forward Earnings ratio, EBIX is valued cheaper than 100.00% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 25.95. EBIX is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.82 | ||
| Fwd PE | 0.82 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, EBIX is valued cheaply inside the industry as 97.84% of the companies are valued more expensively.
- 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
- A cheap valuation may be justified as EBIX's earnings are expected to decrease with -17.98% in the coming years.
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%.