Envestnet Inc (ENV) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:ENV - US29404K1060 - Common Stock
63.14 USD
+0.05 (+0.08%)
63.14 USD
0 (0%)
ENV gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 276 industry peers in the Software industry. Both the profitability and financial health of ENV have multiple concerns. ENV is not priced too expensively while it is growing strongly. Keep and eye on this one!
1. Profitability
1.1 Basic Checks
ENV had positive earnings in the past year.
ENV had a positive operating cash flow in the past year.
In the past 5 years ENV reported 4 times negative net income.
ENV had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a Return On Assets value of -14.30%, ENV is not doing good in the industry: 66.31% of the companies in the same industry are doing better.
ENV has a Return On Equity of -49.66%. This is in the lower half of the industry: ENV underperforms 68.82% of its industry peers.
ENV's Return On Invested Capital of 5.67% is fine compared to the rest of the industry. ENV outperforms 76.70% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -14.3% | ||
| ROE | -49.66% | ||
| ROIC | 5.67% |
ROA(3y)-5.32%
ROA(5y)-3.41%
ROE(3y)-17.12%
ROE(5y)-10.72%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
ENV has a better Operating Margin (6.50%) than 73.48% of its industry peers.
In the last couple of years the Operating Margin of ENV has grown nicely.
Looking at the Gross Margin, with a value of 60.47%, ENV is doing worse than 60.22% of the companies in the same industry.
In the last couple of years the Gross Margin of ENV has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.5% | ||
| PM (TTM) | N/A | ||
| GM | 60.47% |
OM growth 3Y23.84%
OM growth 5Y16.13%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-3.66%
GM growth 5Y-1.7%
2. Health
2.1 Basic Checks
ENV has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
ENV has more shares outstanding than it did 1 year ago.
The debt/assets ratio for ENV is higher compared to a year ago.
2.2 Solvency
ENV has an Altman-Z score of 2.00. This is not the best score and indicates that ENV is in the grey zone with still only limited risk for bankruptcy at the moment.
ENV has a Altman-Z score (2.00) which is comparable to the rest of the industry.
The Debt to FCF ratio of ENV is 5.32, which is a neutral value as it means it would take ENV, 5.32 years of fcf income to pay off all of its debts.
ENV's Debt to FCF ratio of 5.32 is in line compared to the rest of the industry. ENV outperforms 56.99% of its industry peers.
A Debt/Equity ratio of 1.07 is on the high side and indicates that ENV has dependencies on debt financing.
ENV has a Debt to Equity ratio of 1.07. This is in the lower half of the industry: ENV underperforms 77.42% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.07 | ||
| Debt/FCF | 5.32 | ||
| Altman-Z | 2 |
ROIC/WACC0.53
WACC10.64%
2.3 Liquidity
A Current Ratio of 0.59 indicates that ENV may have some problems paying its short term obligations.
ENV has a Current ratio of 0.59. This is amonst the worse of the industry: ENV underperforms 91.40% of its industry peers.
ENV has a Quick Ratio of 0.59. This is a bad value and indicates that ENV is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of ENV (0.59) is worse than 91.04% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.59 | ||
| Quick Ratio | 0.59 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 29.53% over the past year.
ENV shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 2.10% yearly.
ENV shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 9.50%.
Measured over the past years, ENV shows a quite strong growth in Revenue. The Revenue has been growing by 8.92% on average per year.
EPS 1Y (TTM)29.53%
EPS 3Y-6.07%
EPS 5Y2.1%
EPS Q2Q%25%
Revenue 1Y (TTM)9.5%
Revenue growth 3Y7.66%
Revenue growth 5Y8.92%
Sales Q2Q%9.18%
3.2 Future
The Earnings Per Share is expected to grow by 18.22% on average over the next years. This is quite good.
Based on estimates for the next years, ENV will show a quite strong growth in Revenue. The Revenue will grow by 8.64% on average per year.
EPS Next Y27.65%
EPS Next 2Y25.28%
EPS Next 3Y24.88%
EPS Next 5Y18.22%
Revenue Next Year11.9%
Revenue Next 2Y11.98%
Revenue Next 3Y12.02%
Revenue Next 5Y8.64%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 25.26, the valuation of ENV can be described as expensive.
79.57% of the companies in the same industry are more expensive than ENV, based on the Price/Earnings ratio.
ENV is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.60, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 18.89 indicates a rather expensive valuation of ENV.
Based on the Price/Forward Earnings ratio, ENV is valued cheaper than 82.08% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.23, ENV is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.26 | ||
| Fwd PE | 18.89 |
4.2 Price Multiples
84.95% of the companies in the same industry are more expensive than ENV, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, ENV is valued cheaply inside the industry as 86.74% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.11 | ||
| EV/EBITDA | 18.08 |
4.3 Compensation for Growth
ENV's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as ENV's earnings are expected to grow with 24.88% in the coming years.
PEG (NY)0.91
PEG (5Y)12.04
EPS Next 2Y25.28%
EPS Next 3Y24.88%
5. Dividend
5.1 Amount
No dividends for ENV!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
63.14
+0.05 (+0.08%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners93.01%
Inst Owner Change0%
Ins Owners3.19%
Ins Owner Change0%
Market Cap3.49B
Revenue(TTM)1.34B
Net Income(TTM)-261.52M
Analysts51.43
Price Target65.92 (4.4%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-5.95%
Min EPS beat(2)-12.64%
Max EPS beat(2)0.74%
EPS beat(4)3
Avg EPS beat(4)4.28%
Min EPS beat(4)-12.64%
Max EPS beat(4)20.8%
EPS beat(8)6
Avg EPS beat(8)3.08%
EPS beat(12)9
Avg EPS beat(12)3.51%
EPS beat(16)13
Avg EPS beat(16)4.85%
Revenue beat(2)1
Avg Revenue beat(2)-0.65%
Min Revenue beat(2)-1.85%
Max Revenue beat(2)0.54%
Revenue beat(4)2
Avg Revenue beat(4)-0.35%
Min Revenue beat(4)-1.85%
Max Revenue beat(4)0.89%
Revenue beat(8)2
Avg Revenue beat(8)-1.03%
Revenue beat(12)4
Avg Revenue beat(12)-0.87%
Revenue beat(16)6
Avg Revenue beat(16)-0.58%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)7.26%
EPS NQ rev (3m)7.26%
EPS NY rev (1m)1.01%
EPS NY rev (3m)0.45%
Revenue NQ rev (1m)2.43%
Revenue NQ rev (3m)2.43%
Revenue NY rev (1m)0.57%
Revenue NY rev (3m)0.86%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.26 | ||
| Fwd PE | 18.89 | ||
| P/S | 2.61 | ||
| P/FCF | 21.11 | ||
| P/OCF | 13.34 | ||
| P/B | 6.64 | ||
| P/tB | N/A | ||
| EV/EBITDA | 18.08 |
EPS(TTM)2.5
EY3.96%
EPS(NY)3.34
Fwd EY5.29%
FCF(TTM)2.99
FCFY4.74%
OCF(TTM)4.73
OCFY7.5%
SpS24.15
BVpS9.51
TBVpS-12.16
PEG (NY)0.91
PEG (5Y)12.04
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -14.3% | ||
| ROE | -49.66% | ||
| ROCE | 7.18% | ||
| ROIC | 5.67% | ||
| ROICexc | 6.75% | ||
| ROICexgc | N/A | ||
| OM | 6.5% | ||
| PM (TTM) | N/A | ||
| GM | 60.47% | ||
| FCFM | 12.38% |
ROA(3y)-5.32%
ROA(5y)-3.41%
ROE(3y)-17.12%
ROE(5y)-10.72%
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
ROICexgc growth 3Y17.56%
ROICexgc growth 5YN/A
ROICexc growth 3Y34.22%
ROICexc growth 5Y8.11%
OM growth 3Y23.84%
OM growth 5Y16.13%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-3.66%
GM growth 5Y-1.7%
F-Score4
Asset Turnover0.73
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.07 | ||
| Debt/FCF | 5.32 | ||
| Debt/EBITDA | 2.44 | ||
| Cap/Depr | 66.81% | ||
| Cap/Sales | 7.21% | ||
| Interest Coverage | 4.26 | ||
| Cash Conversion | 113.28% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.59 | ||
| Quick Ratio | 0.59 | ||
| Altman-Z | 2 |
F-Score4
WACC10.64%
ROIC/WACC0.53
Cap/Depr(3y)96.43%
Cap/Depr(5y)80.29%
Cap/Sales(3y)9.94%
Cap/Sales(5y)8.5%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)29.53%
EPS 3Y-6.07%
EPS 5Y2.1%
EPS Q2Q%25%
EPS Next Y27.65%
EPS Next 2Y25.28%
EPS Next 3Y24.88%
EPS Next 5Y18.22%
Revenue 1Y (TTM)9.5%
Revenue growth 3Y7.66%
Revenue growth 5Y8.92%
Sales Q2Q%9.18%
Revenue Next Year11.9%
Revenue Next 2Y11.98%
Revenue Next 3Y12.02%
Revenue Next 5Y8.64%
EBIT growth 1Y372.37%
EBIT growth 3Y33.33%
EBIT growth 5Y26.49%
EBIT Next Year80.72%
EBIT Next 3Y35.79%
EBIT Next 5Y22.81%
FCF growth 1Y253.69%
FCF growth 3Y-37.94%
FCF growth 5Y-19.53%
OCF growth 1Y57.06%
OCF growth 3Y-3.02%
OCF growth 5Y5.7%
Envestnet Inc / ENV FAQ
What is the ChartMill fundamental rating of Envestnet Inc (ENV) stock?
ChartMill assigns a fundamental rating of 4 / 10 to ENV.
What is the valuation status of Envestnet Inc (ENV) stock?
ChartMill assigns a valuation rating of 6 / 10 to Envestnet Inc (ENV). This can be considered as Fairly Valued.
Can you provide the profitability details for Envestnet Inc?
Envestnet Inc (ENV) has a profitability rating of 3 / 10.
What is the earnings growth outlook for Envestnet Inc?
The Earnings per Share (EPS) of Envestnet Inc (ENV) is expected to grow by 27.65% in the next year.
How sustainable is the dividend of Envestnet Inc (ENV) stock?
The dividend rating of Envestnet Inc (ENV) is 0 / 10 and the dividend payout ratio is 0%.