IBEX LTD (IBEX) Stock Fundamental Analysis
NASDAQ:IBEX - Nasdaq - BMG4690M1010 - Common Stock - Currency: USD
IBEX gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 81 industry peers in the IT Services industry. IBEX has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. IBEX scores decently on growth, while it is valued quite cheap. This could make an interesting combination. With these ratings, IBEX could be worth investigating further for value and quality investing!.
1. Profitability
1.1 Basic Checks
IBEX had positive earnings in the past year.
IBEX had a positive operating cash flow in the past year.
In the past 5 years IBEX has always been profitable.
Each year in the past 5 years IBEX had a positive operating cash flow.
1.2 Ratios
With an excellent Return On Assets value of 13.56%, IBEX belongs to the best of the industry, outperforming 91.46% of the companies in the same industry.
With an excellent Return On Equity value of 33.92%, IBEX belongs to the best of the industry, outperforming 92.68% of the companies in the same industry.
IBEX has a Return On Invested Capital of 19.86%. This is amongst the best in the industry. IBEX outperforms 90.24% of its industry peers.
The Average Return On Invested Capital over the past 3 years for IBEX is above the industry average of 10.67%.
The last Return On Invested Capital (19.86%) for IBEX is above the 3 year average (12.81%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.56% | ||
| ROE | 33.92% | ||
| ROIC | 19.86% |
ROA(3y)9.84%
ROA(5y)7.66%
ROE(3y)20.09%
ROE(5y)24.99%
ROIC(3y)12.81%
ROIC(5y)12.8%
1.3 Margins
The Profit Margin of IBEX (7.08%) is better than 68.29% of its industry peers.
IBEX's Profit Margin has improved in the last couple of years.
IBEX has a Operating Margin of 9.22%. This is in the better half of the industry: IBEX outperforms 65.85% of its industry peers.
In the last couple of years the Operating Margin of IBEX has grown nicely.
With a Gross Margin value of 30.76%, IBEX perfoms like the industry average, outperforming 42.68% of the companies in the same industry.
In the last couple of years the Gross Margin of IBEX has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.22% | ||
| PM (TTM) | 7.08% | ||
| GM | 30.76% |
OM growth 3Y29.52%
OM growth 5Y35.17%
PM growth 3Y30.84%
PM growth 5Y17.25%
GM growth 3Y17.46%
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), IBEX is creating value.
Compared to 1 year ago, IBEX has less shares outstanding
IBEX has less shares outstanding than it did 5 years ago.
IBEX has a worse debt/assets ratio than last year.
2.2 Solvency
IBEX has an Altman-Z score of 3.93. This indicates that IBEX is financially healthy and has little risk of bankruptcy at the moment.
IBEX has a better Altman-Z score (3.93) than 63.41% of its industry peers.
The Debt to FCF ratio of IBEX is 1.31, which is an excellent value as it means it would take IBEX, only 1.31 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of IBEX (1.31) is better than 75.61% of its industry peers.
A Debt/Equity ratio of 0.30 indicates that IBEX is not too dependend on debt financing.
The Debt to Equity ratio of IBEX (0.30) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 1.31 | ||
| Altman-Z | 3.93 |
ROIC/WACC2.13
WACC9.32%
2.3 Liquidity
A Current Ratio of 1.44 indicates that IBEX should not have too much problems paying its short term obligations.
With a Current ratio value of 1.44, IBEX perfoms like the industry average, outperforming 45.12% of the companies in the same industry.
A Quick Ratio of 1.44 indicates that IBEX should not have too much problems paying its short term obligations.
IBEX has a Quick ratio of 1.44. This is comparable to the rest of the industry: IBEX outperforms 46.34% of its industry peers.
The current and quick ratio evaluation for IBEX is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.44 | ||
| Quick Ratio | 1.44 |
3. Growth
3.1 Past
IBEX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 35.80%, which is quite impressive.
The Earnings Per Share has been growing by 25.59% on average over the past years. This is a very strong growth
Looking at the last year, IBEX shows a small growth in Revenue. The Revenue has grown by 1.67% in the last year.
Measured over the past years, IBEX shows a small growth in Revenue. The Revenue has been growing by 6.66% on average per year.
EPS 1Y (TTM)35.8%
EPS 3Y18.32%
EPS 5Y25.59%
EPS Q2Q%34.09%
Revenue 1Y (TTM)1.67%
Revenue growth 3Y4.68%
Revenue growth 5Y6.66%
Sales Q2Q%6.07%
3.2 Future
IBEX is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 18.73% yearly.
The Revenue is expected to grow by 4.57% on average over the next years.
EPS Next Y21.73%
EPS Next 2Y18.73%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year4.85%
Revenue Next 2Y4.57%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
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
The Price/Earnings ratio is 10.32, which indicates a very decent valuation of IBEX.
Based on the Price/Earnings ratio, IBEX is valued cheaper than 89.02% of the companies in the same industry.
IBEX's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.79.
With a Price/Forward Earnings ratio of 8.25, the valuation of IBEX can be described as very reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of IBEX indicates a rather cheap valuation: IBEX is cheaper than 92.68% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.38, IBEX is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.32 | ||
| Fwd PE | 8.25 |
4.2 Price Multiples
91.46% of the companies in the same industry are more expensive than IBEX, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, IBEX is valued cheaply inside the industry as 89.02% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.56 | ||
| EV/EBITDA | 4.63 |
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.
IBEX has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as IBEX's earnings are expected to grow with 18.73% in the coming years.
PEG (NY)0.47
PEG (5Y)0.4
EPS Next 2Y18.73%
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for IBEX!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
24.66
+0.1 (+0.41%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners83.79%
Inst Owner Change-47.44%
Ins Owners10.11%
Ins Owner Change-132.22%
Market Cap325.27M
Analysts82.5
Price Target26.52 (7.54%)
Short Float %1.8%
Short Ratio1
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)2
Avg EPS beat(2)10.93%
Min EPS beat(2)7.33%
Max EPS beat(2)14.54%
EPS beat(4)4
Avg EPS beat(4)15.54%
Min EPS beat(4)7.33%
Max EPS beat(4)31.98%
EPS beat(8)6
Avg EPS beat(8)9%
EPS beat(12)9
Avg EPS beat(12)15.24%
EPS beat(16)11
Avg EPS beat(16)13.17%
Revenue beat(2)2
Avg Revenue beat(2)2.01%
Min Revenue beat(2)1.58%
Max Revenue beat(2)2.45%
Revenue beat(4)2
Avg Revenue beat(4)0.45%
Min Revenue beat(4)-2.08%
Max Revenue beat(4)2.45%
Revenue beat(8)2
Avg Revenue beat(8)-1.88%
Revenue beat(12)3
Avg Revenue beat(12)-1.9%
Revenue beat(16)4
Avg Revenue beat(16)-1.89%
PT rev (1m)0%
PT rev (3m)10.64%
EPS NQ rev (1m)0%
EPS NQ rev (3m)5.84%
EPS NY rev (1m)0%
EPS NY rev (3m)4.98%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.12%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.5%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.32 | ||
| Fwd PE | 8.25 | ||
| P/S | 0.62 | ||
| P/FCF | 12.56 | ||
| P/OCF | 8.61 | ||
| P/B | 2.99 | ||
| P/tB | 3.35 | ||
| EV/EBITDA | 4.63 |
EPS(TTM)2.39
EY9.69%
EPS(NY)2.99
Fwd EY12.12%
FCF(TTM)1.96
FCFY7.96%
OCF(TTM)2.86
OCFY11.61%
SpS39.55
BVpS8.26
TBVpS7.36
PEG (NY)0.47
PEG (5Y)0.4
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.56% | ||
| ROE | 33.92% | ||
| ROCE | 29.72% | ||
| ROIC | 19.86% | ||
| ROICexc | 22.17% | ||
| ROICexgc | 23.79% | ||
| OM | 9.22% | ||
| PM (TTM) | 7.08% | ||
| GM | 30.76% | ||
| FCFM | 4.96% |
ROA(3y)9.84%
ROA(5y)7.66%
ROE(3y)20.09%
ROE(5y)24.99%
ROIC(3y)12.81%
ROIC(5y)12.8%
ROICexc(3y)17.21%
ROICexc(5y)17.42%
ROICexgc(3y)18.84%
ROICexgc(5y)20.06%
ROCE(3y)15.96%
ROCE(5y)15.95%
ROICexcg growth 3Y4.28%
ROICexcg growth 5Y9.56%
ROICexc growth 3Y7.35%
ROICexc growth 5Y13.69%
OM growth 3Y29.52%
OM growth 5Y35.17%
PM growth 3Y30.84%
PM growth 5Y17.25%
GM growth 3Y17.46%
GM growth 5YN/A
F-Score6
Asset Turnover1.91
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 1.31 | ||
| Debt/EBITDA | 0.5 | ||
| Cap/Depr | 65.42% | ||
| Cap/Sales | 2.27% | ||
| Interest Coverage | 44.5 | ||
| Cash Conversion | 57.01% | ||
| Profit Quality | 70.08% | ||
| Current Ratio | 1.44 | ||
| Quick Ratio | 1.44 | ||
| Altman-Z | 3.93 |
F-Score6
WACC9.32%
ROIC/WACC2.13
Cap/Depr(3y)96.17%
Cap/Depr(5y)91.5%
Cap/Sales(3y)3.54%
Cap/Sales(5y)3.32%
Profit Quality(3y)72.8%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)35.8%
EPS 3Y18.32%
EPS 5Y25.59%
EPS Q2Q%34.09%
EPS Next Y21.73%
EPS Next 2Y18.73%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)1.67%
Revenue growth 3Y4.68%
Revenue growth 5Y6.66%
Sales Q2Q%6.07%
Revenue Next Year4.85%
Revenue Next 2Y4.57%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y16.62%
EBIT growth 3Y35.57%
EBIT growth 5Y44.18%
EBIT Next Year86.45%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-2.28%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-19.31%
OCF growth 3Y30.7%
OCF growth 5Y74.8%