EVO PAYMENTS INC-CLASS A (EVOP)
US26927E1047 - Common Stock
We assign a fundamental rating of 3 out of 10 to EVOP. EVOP was compared to 100 industry peers in the Financial Services industry. There are concerns on the financial health of EVOP while its profitability can be described as average. While showing a medium growth rate, EVOP is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
EVOP had negative earnings in the past year.
In the past year EVOP had a positive cash flow from operations.
EVOP had negative earnings in each of the past 5 years.
EVOP had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The profitability ratios for EVOP are negative, so there is not much use analyzing them.
The Return On Invested Capital of EVOP (3.67%) is better than 65.63% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for EVOP is significantly above the industry average of 7.54%.
The 3 year average ROIC (23.91%) for EVOP is well above the current ROIC(3.67%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | N/A | ||
| ROE | N/A | ||
| ROIC | 3.67% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)23.91%
ROIC(5y)N/A
1.3 Margins
The Operating Margin of EVOP (12.33%) is better than 61.46% of its industry peers.
In the last couple of years the Operating Margin of EVOP has grown nicely.
EVOP has a better Gross Margin (83.54%) than 94.79% of its industry peers.
EVOP's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12.33% | ||
| PM (TTM) | N/A | ||
| GM | 83.54% |
OM growth 3Y26.78%
OM growth 5Y6.61%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.39%
GM growth 5Y4.38%
2. Health
2.1 Basic Checks
EVOP has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for EVOP has been increased compared to 1 year ago.
The number of shares outstanding for EVOP has been reduced compared to 5 years ago.
EVOP has a better debt/assets ratio than last year.
2.2 Solvency
EVOP has an Altman-Z score of 0.14. This is a bad value and indicates that EVOP is not financially healthy and even has some risk of bankruptcy.
EVOP has a worse Altman-Z score (0.14) than 62.50% of its industry peers.
The Debt to FCF ratio of EVOP is 6.22, which is on the high side as it means it would take EVOP, 6.22 years of fcf income to pay off all of its debts.
EVOP has a Debt to FCF ratio of 6.22. This is comparable to the rest of the industry: EVOP outperforms 54.17% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 6.22 | ||
| Altman-Z | 0.14 |
ROIC/WACC0.5
WACC7.27%
2.3 Liquidity
A Current Ratio of 1.11 indicates that EVOP should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.11, EVOP is in line with its industry, outperforming 43.75% of the companies in the same industry.
EVOP has a Quick Ratio of 1.10. This is a normal value and indicates that EVOP is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of EVOP (1.10) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.11 | ||
| Quick Ratio | 1.1 |
3. Growth
3.1 Past
EVOP shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -289.17%.
The Revenue has grown by 9.35% in the past year. This is quite good.
The Revenue has been growing slightly by 1.47% on average over the past years.
EPS 1Y (TTM)-289.17%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-442.51%
Revenue 1Y (TTM)9.35%
Revenue growth 3Y3.79%
Revenue growth 5Y1.47%
Sales Q2Q%4.98%
3.2 Future
Based on estimates for the next years, EVOP will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.23% on average per year.
The Revenue is expected to grow by 12.43% on average over the next years. This is quite good.
EPS Next Y11.11%
EPS Next 2Y13.23%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year12.83%
Revenue Next 2Y12.43%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
EVOP reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
EVOP is valuated quite expensively with a Price/Forward Earnings ratio of 25.63.
Compared to the rest of the industry, the Price/Forward Earnings ratio of EVOP is on the same level as its industry peers.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.82, EVOP is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 25.63 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, EVOP is valued a bit cheaper than 66.67% of the companies in the same industry.
EVOP's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.94 | ||
| EV/EBITDA | 12.75 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates EVOP does not grow enough to justify the current Price/Earnings ratio.
A more expensive valuation may be justified as EVOP's earnings are expected to grow with 13.23% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y13.23%
EPS Next 3YN/A
5. Dividend
5.1 Amount
EVOP does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
EVO PAYMENTS INC-CLASS A
NASDAQ:EVOP (3/23/2023, 8:00:02 PM)
After market: 33.98 -0.01 (-0.03%)33.99
+0.13 (+0.38%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap1.65B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 25.63 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | N/A | ||
| ROE | N/A | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 12.33% | ||
| PM (TTM) | N/A | ||
| GM | 83.54% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.22
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.11 | ||
| Quick Ratio | 1.1 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-289.17%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y11.11%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)9.35%
Revenue growth 3Y3.79%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y