8X8 INC (EGHT)
US2829141009 - Common Stock
Taking everything into account, EGHT scores 3 out of 10 in our fundamental rating. EGHT was compared to 279 industry peers in the Software industry. EGHT may be in some trouble as it scores bad on both profitability and health. EGHT is valued quite cheap, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
EGHT had positive earnings in the past year.
EGHT had a positive operating cash flow in the past year.
In the past 5 years EGHT always reported negative net income.
The reported operating cash flow has been mixed in the past 5 years: EGHT reported negative operating cash flow in multiple years.
1.2 Ratios
EGHT has a Return On Assets (-9.21%) which is in line with its industry peers.
EGHT has a worse Return On Equity (-68.31%) than 73.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -9.21% | ||
| ROE | -68.31% | ||
| ROIC | N/A |
ROA(3y)-12.3%
ROA(5y)-17.18%
ROE(3y)-78.54%
ROE(5y)-85.84%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With a Gross Margin value of 68.29%, EGHT perfoms like the industry average, outperforming 50.72% of the companies in the same industry.
EGHT's Gross Margin has improved in the last couple of years.
EGHT does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 68.29% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y6.79%
GM growth 5Y1.83%
2. Health
2.1 Basic Checks
EGHT does not have a ROIC to compare to the WACC, probably because it is not profitable.
EGHT has more shares outstanding than it did 1 year ago.
EGHT has more shares outstanding than it did 5 years ago.
The debt/assets ratio for EGHT has been reduced compared to a year ago.
2.2 Solvency
EGHT has an Altman-Z score of -0.23. This is a bad value and indicates that EGHT is not financially healthy and even has some risk of bankruptcy.
EGHT has a worse Altman-Z score (-0.23) than 73.74% of its industry peers.
EGHT has a debt to FCF ratio of 8.18. This is a slightly negative value and a sign of low solvency as EGHT would need 8.18 years to pay back of all of its debts.
EGHT has a Debt to FCF ratio (8.18) which is comparable to the rest of the industry.
A Debt/Equity ratio of 4.02 is on the high side and indicates that EGHT has dependencies on debt financing.
With a Debt to Equity ratio value of 4.02, EGHT is not doing good in the industry: 86.33% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.02 | ||
| Debt/FCF | 8.18 | ||
| Altman-Z | -0.23 |
ROIC/WACCN/A
WACC10.61%
2.3 Liquidity
A Current Ratio of 1.44 indicates that EGHT should not have too much problems paying its short term obligations.
EGHT's Current ratio of 1.44 is in line compared to the rest of the industry. EGHT outperforms 43.88% of its industry peers.
A Quick Ratio of 1.44 indicates that EGHT should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.44, EGHT is in line with its industry, outperforming 43.88% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.44 | ||
| Quick Ratio | 1.44 |
3. Growth
3.1 Past
EGHT shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -17.78%.
EGHT shows a decrease in Revenue. In the last year, the revenue decreased by -2.39%.
Measured over the past years, EGHT shows a quite strong growth in Revenue. The Revenue has been growing by 15.63% on average per year.
EPS 1Y (TTM)-17.78%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-35.71%
Revenue 1Y (TTM)-2.39%
Revenue growth 3Y11.04%
Revenue growth 5Y15.63%
Sales Q2Q%-2.16%
3.2 Future
Based on estimates for the next years, EGHT will show a decrease in Earnings Per Share. The EPS will decrease by -2.66% on average per year.
Based on estimates for the next years, EGHT will show a small growth in Revenue. The Revenue will grow by 0.44% on average per year.
EPS Next Y-26.98%
EPS Next 2Y-3.9%
EPS Next 3Y-2.66%
EPS Next 5YN/A
Revenue Next Year-1.11%
Revenue Next 2Y0.17%
Revenue Next 3Y0.44%
Revenue Next 5YN/A
3.3 Evolution
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
A Price/Earnings ratio of 7.35 indicates a rather cheap valuation of EGHT.
Based on the Price/Earnings ratio, EGHT is valued cheaper than 94.96% of the companies in the same industry.
EGHT's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.73.
Based on the Price/Forward Earnings ratio of 6.27, the valuation of EGHT can be described as very cheap.
Compared to the rest of the industry, the Price/Forward Earnings ratio of EGHT indicates a rather cheap valuation: EGHT is cheaper than 97.48% of the companies listed in the same industry.
EGHT is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.83, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.35 | ||
| Fwd PE | 6.27 |
4.2 Price Multiples
EGHT's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. EGHT is cheaper than 85.61% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of EGHT indicates a rather cheap valuation: EGHT is cheaper than 97.84% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.1 | ||
| EV/EBITDA | 17.36 |
4.3 Compensation for Growth
A cheap valuation may be justified as EGHT's earnings are expected to decrease with -2.66% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-3.9%
EPS Next 3Y-2.66%
5. Dividend
5.1 Amount
No dividends for EGHT!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
8X8 INC
NASDAQ:EGHT (12/20/2024, 8:06:43 PM)
After market: 2.69 -0.03 (-1.1%)2.72
+0.03 (+1.12%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners90.19%
Inst Owner Change-14.84%
Ins Owners2.4%
Ins Owner Change13.28%
Market Cap355.40M
Analysts71.76
Price Target3.15 (15.81%)
Short Float %5.88%
Short Ratio8.46
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/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)0.12%
Min EPS beat(2)-12.37%
Max EPS beat(2)12.6%
EPS beat(4)3
Avg EPS beat(4)9.15%
Min EPS beat(4)-12.37%
Max EPS beat(4)21.37%
EPS beat(8)7
Avg EPS beat(8)34.4%
EPS beat(12)11
Avg EPS beat(12)130.06%
EPS beat(16)15
Avg EPS beat(16)117.19%
Revenue beat(2)0
Avg Revenue beat(2)-1.42%
Min Revenue beat(2)-2.36%
Max Revenue beat(2)-0.48%
Revenue beat(4)0
Avg Revenue beat(4)-1.94%
Min Revenue beat(4)-3.29%
Max Revenue beat(4)-0.48%
Revenue beat(8)0
Avg Revenue beat(8)-2.3%
Revenue beat(12)0
Avg Revenue beat(12)-1.96%
Revenue beat(16)3
Avg Revenue beat(16)-1.27%
PT rev (1m)-6.21%
PT rev (3m)-13.38%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-27.97%
EPS NY rev (1m)0%
EPS NY rev (3m)1.98%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.53%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.07%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.35 | ||
| Fwd PE | 6.27 | ||
| P/S | 0.49 | ||
| P/FCF | 7.1 | ||
| P/OCF | 5.43 | ||
| P/B | 3.49 | ||
| P/tB | N/A | ||
| EV/EBITDA | 17.36 |
EPS(TTM)0.37
EY13.6%
EPS(NY)0.43
Fwd EY15.96%
FCF(TTM)0.38
FCFY14.09%
OCF(TTM)0.5
OCFY18.43%
SpS5.51
BVpS0.78
TBVpS-1.92
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -9.21% | ||
| ROE | -68.31% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 68.29% | ||
| FCFM | 6.96% |
ROA(3y)-12.3%
ROA(5y)-17.18%
ROE(3y)-78.54%
ROE(5y)-85.84%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y6.79%
GM growth 5Y1.83%
F-Score4
Asset Turnover0.95
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 4.02 | ||
| Debt/FCF | 8.18 | ||
| Debt/EBITDA | 11.06 | ||
| Cap/Depr | 35.2% | ||
| Cap/Sales | 2.14% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 176.93% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.44 | ||
| Quick Ratio | 1.44 | ||
| Altman-Z | -0.23 |
F-Score4
WACC10.61%
ROIC/WACCN/A
Cap/Depr(3y)38.29%
Cap/Depr(5y)74.81%
Cap/Sales(3y)2.72%
Cap/Sales(5y)5.98%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-17.78%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-35.71%
EPS Next Y-26.98%
EPS Next 2Y-3.9%
EPS Next 3Y-2.66%
EPS Next 5YN/A
Revenue 1Y (TTM)-2.39%
Revenue growth 3Y11.04%
Revenue growth 5Y15.63%
Sales Q2Q%-2.16%
Revenue Next Year-1.11%
Revenue Next 2Y0.17%
Revenue Next 3Y0.44%
Revenue Next 5YN/A
EBIT growth 1Y63.35%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year12.24%
EBIT Next 3Y2.89%
EBIT Next 5YN/A
FCF growth 1Y75.63%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y44.84%
OCF growth 3YN/A
OCF growth 5YN/A