Envestnet Inc (ENV) Stock Fundamental Analysis
USA - NYSE:ENV - US29404K1060 - Common Stock
63.14 USD
+0.05 (+0.08%)
63.14 USD
0 (0%)
Overall ENV gets a fundamental rating of 4 out of 10. We evaluated ENV against 280 industry peers in the Software industry. ENV may be in some trouble as it scores bad on both profitability and health. ENV is growing strongly while it is still valued neutral. This is a good combination!
1. Profitability
1.1 Basic Checks
ENV had positive earnings in the past year.
In the past year ENV had a positive cash flow from operations.
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
ENV has a worse Return On Assets (-14.30%) than 66.31% of its industry peers.
The Return On Equity of ENV (-49.66%) is worse than 68.82% of its industry peers.
Looking at the Return On Invested Capital, with a value of 5.67%, ENV is in the better half of the industry, outperforming 76.70% of the companies in the same industry.
| 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.
ENV's Operating Margin has improved in the last couple of years.
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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so ENV is destroying value.
The number of shares outstanding for ENV has been increased compared to 1 year ago.
Compared to 5 years ago, ENV has more shares outstanding
ENV has a worse debt/assets ratio than last year.
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 in line with its industry peers.
ENV has a debt to FCF ratio of 5.32. This is a neutral value as ENV would need 5.32 years to pay back of all of its debts.
ENV has a Debt to FCF ratio (5.32) which is in line with its industry peers.
A Debt/Equity ratio of 1.07 is on the high side and indicates that ENV has dependencies on debt financing.
With a Debt to Equity ratio value of 1.07, ENV is not doing good in the industry: 77.42% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.07 | ||
| Debt/FCF | 5.32 | ||
| Altman-Z | 2 |
ROIC/WACC0.53
WACC10.64%
2.3 Liquidity
ENV has a Current 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.
ENV's Current ratio of 0.59 is on the low side compared to the rest of the industry. ENV is outperformed by 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.
Looking at the Quick ratio, with a value of 0.59, ENV is doing worse than 91.04% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.59 | ||
| Quick Ratio | 0.59 |
3. Growth
3.1 Past
ENV shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 29.53%, which is quite impressive.
ENV shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 2.10% yearly.
The Revenue has grown by 9.50% in the past year. This is quite good.
ENV shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.92% yearly.
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
Based on estimates for the next years, ENV will show a quite strong growth in Earnings Per Share. The EPS will grow by 18.22% on average per year.
ENV is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.64% yearly.
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
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 25.26 indicates a quite expensive valuation of ENV.
ENV's Price/Earnings ratio is a bit cheaper when compared to the industry. ENV is cheaper than 79.57% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.41, ENV is valued at the same level.
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 22.88, 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.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of ENV indicates a rather cheap valuation: ENV is cheaper than 86.74% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.11 | ||
| EV/EBITDA | 18.08 |
4.3 Compensation for Growth
The 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
ENV does not give a dividend.
| 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 Change-9.48%
Ins Owners3.19%
Ins Owner Change0%
Market Cap3.49B
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
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
ROICexcg growth 3Y17.56%
ROICexcg 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%