MANHATTAN ASSOCIATES INC (MANH) Stock Fundamental Analysis
NASDAQ:MANH - Nasdaq - US5627501092 - Common Stock - Currency: USD
Taking everything into account, MANH scores 7 out of 10 in our fundamental rating. MANH was compared to 282 industry peers in the Software industry. MANH has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. While showing a medium growth rate, MANH is valued expensive at the moment. These ratings would make MANH suitable for quality investing!
1. Profitability
1.1 Basic Checks
MANH had positive earnings in the past year.
MANH had a positive operating cash flow in the past year.
In the past 5 years MANH has always been profitable.
Each year in the past 5 years MANH had a positive operating cash flow.
1.2 Ratios
With an excellent Return On Assets value of 30.66%, MANH belongs to the best of the industry, outperforming 97.52% of the companies in the same industry.
Looking at the Return On Equity, with a value of 88.60%, MANH belongs to the top of the industry, outperforming 98.23% of the companies in the same industry.
MANH has a Return On Invested Capital of 72.25%. This is amongst the best in the industry. MANH outperforms 99.65% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for MANH is significantly above the industry average of 12.28%.
The 3 year average ROIC (55.23%) for MANH is below the current ROIC(72.25%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 30.66% | ||
| ROE | 88.6% | ||
| ROIC | 72.25% |
ROA(3y)25.89%
ROA(5y)23.38%
ROE(3y)64.44%
ROE(5y)55.45%
ROIC(3y)55.23%
ROIC(5y)47.73%
1.3 Margins
MANH has a Profit Margin of 20.67%. This is amongst the best in the industry. MANH outperforms 88.30% of its industry peers.
MANH's Profit Margin has improved in the last couple of years.
MANH has a Operating Margin of 25.35%. This is amongst the best in the industry. MANH outperforms 91.49% of its industry peers.
MANH's Operating Margin has improved in the last couple of years.
MANH has a worse Gross Margin (55.62%) than 64.54% of its industry peers.
MANH's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.35% | ||
| PM (TTM) | 20.67% | ||
| GM | 55.62% |
OM growth 3Y7.44%
OM growth 5Y6%
PM growth 3Y7.95%
PM growth 5Y8.57%
GM growth 3Y-0.19%
GM growth 5Y0.34%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), MANH is creating value.
MANH has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, MANH has less shares outstanding
MANH has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 19.06 indicates that MANH is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 19.06, MANH belongs to the best of the industry, outperforming 93.26% of the companies in the same industry.
There is no outstanding debt for MANH. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 19.06 |
ROIC/WACC6.65
WACC10.86%
2.3 Liquidity
MANH has a Current Ratio of 1.12. This is a normal value and indicates that MANH is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.12, MANH is doing worse than 68.09% of the companies in the same industry.
MANH has a Quick Ratio of 1.12. This is a normal value and indicates that MANH is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.12, MANH is doing worse than 67.73% of the companies in the same industry.
MANH does not score too well on the current and quick ratio evaluation. However, as it has 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 | 1.12 | ||
| Quick Ratio | 1.12 |
3. Growth
3.1 Past
MANH shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 22.56%, which is quite impressive.
Measured over the past years, MANH shows a very strong growth in Earnings Per Share. The EPS has been growing by 22.14% on average per year.
Looking at the last year, MANH shows a quite strong growth in Revenue. The Revenue has grown by 9.19% in the last year.
MANH shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.02% yearly.
EPS 1Y (TTM)22.56%
EPS 3Y28.48%
EPS 5Y22.14%
EPS Q2Q%15.53%
Revenue 1Y (TTM)9.19%
Revenue growth 3Y16.24%
Revenue growth 5Y11.02%
Sales Q2Q%3.24%
3.2 Future
Based on estimates for the next years, MANH will show a quite strong growth in Earnings Per Share. The EPS will grow by 14.86% on average per year.
Based on estimates for the next years, MANH will show a small growth in Revenue. The Revenue will grow by 7.99% on average per year.
EPS Next Y-0.79%
EPS Next 2Y3.92%
EPS Next 3Y9.46%
EPS Next 5Y14.86%
Revenue Next Year2.17%
Revenue Next 2Y4.61%
Revenue Next 3Y6.38%
Revenue Next 5Y7.99%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
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 40.11 indicates a quite expensive valuation of MANH.
Based on the Price/Earnings ratio, MANH is valued a bit cheaper than 64.18% of the companies in the same industry.
When comparing the Price/Earnings ratio of MANH to the average of the S&P500 Index (27.30), we can say MANH is valued slightly more expensively.
MANH is valuated quite expensively with a Price/Forward Earnings ratio of 38.40.
The rest of the industry has a similar Price/Forward Earnings ratio as MANH.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.76, MANH is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 40.11 | ||
| Fwd PE | 38.4 |
4.2 Price Multiples
67.38% of the companies in the same industry are more expensive than MANH, based on the Enterprise Value to EBITDA ratio.
67.38% of the companies in the same industry are more expensive than MANH, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 38.63 | ||
| EV/EBITDA | 43.72 |
4.3 Compensation for Growth
MANH has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.81
EPS Next 2Y3.92%
EPS Next 3Y9.46%
5. Dividend
5.1 Amount
MANH does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
196.16
-3.62 (-1.81%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners100.95%
Inst Owner Change0.72%
Ins Owners1.29%
Ins Owner Change8.53%
Market Cap11.91B
Analysts78.75
Price Target205.93 (4.98%)
Short Float %3.36%
Short Ratio2.41
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)10.97%
Min EPS beat(2)8.28%
Max EPS beat(2)13.66%
EPS beat(4)4
Avg EPS beat(4)16.81%
Min EPS beat(4)8.28%
Max EPS beat(4)24.36%
EPS beat(8)8
Avg EPS beat(8)20.45%
EPS beat(12)12
Avg EPS beat(12)23.78%
EPS beat(16)16
Avg EPS beat(16)25.34%
Revenue beat(2)1
Avg Revenue beat(2)-0.24%
Min Revenue beat(2)-0.93%
Max Revenue beat(2)0.44%
Revenue beat(4)2
Avg Revenue beat(4)0.13%
Min Revenue beat(4)-0.93%
Max Revenue beat(4)1.65%
Revenue beat(8)6
Avg Revenue beat(8)1.9%
Revenue beat(12)10
Avg Revenue beat(12)3.22%
Revenue beat(16)14
Avg Revenue beat(16)3.15%
PT rev (1m)-0.97%
PT rev (3m)-17.82%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-2.11%
EPS NY rev (1m)0.21%
EPS NY rev (3m)0.71%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.01%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.37%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 40.11 | ||
| Fwd PE | 38.4 | ||
| P/S | 11.34 | ||
| P/FCF | 38.63 | ||
| P/OCF | 37.74 | ||
| P/B | 48.59 | ||
| P/tB | 65.12 | ||
| EV/EBITDA | 43.72 |
EPS(TTM)4.89
EY2.49%
EPS(NY)5.11
Fwd EY2.6%
FCF(TTM)5.08
FCFY2.59%
OCF(TTM)5.2
OCFY2.65%
SpS17.31
BVpS4.04
TBVpS3.01
PEG (NY)N/A
PEG (5Y)1.81
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 30.66% | ||
| ROE | 88.6% | ||
| ROCE | 87.85% | ||
| ROIC | 72.25% | ||
| ROICexc | 225.06% | ||
| ROICexgc | 624.09% | ||
| OM | 25.35% | ||
| PM (TTM) | 20.67% | ||
| GM | 55.62% | ||
| FCFM | 29.34% |
ROA(3y)25.89%
ROA(5y)23.38%
ROE(3y)64.44%
ROE(5y)55.45%
ROIC(3y)55.23%
ROIC(5y)47.73%
ROICexc(3y)379.42%
ROICexc(5y)338.92%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)67.16%
ROCE(5y)58.04%
ROICexcg growth 3YN/A
ROICexcg growth 5Y6.89%
ROICexc growth 3Y-16.71%
ROICexc growth 5Y14.68%
OM growth 3Y7.44%
OM growth 5Y6%
PM growth 3Y7.95%
PM growth 5Y8.57%
GM growth 3Y-0.19%
GM growth 5Y0.34%
F-Score8
Asset Turnover1.48
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 114.11% | ||
| Cap/Sales | 0.69% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 115.7% | ||
| Profit Quality | 141.97% | ||
| Current Ratio | 1.12 | ||
| Quick Ratio | 1.12 | ||
| Altman-Z | 19.06 |
F-Score8
WACC10.86%
ROIC/WACC6.65
Cap/Depr(3y)106.14%
Cap/Depr(5y)79.88%
Cap/Sales(3y)0.73%
Cap/Sales(5y)0.65%
Profit Quality(3y)134%
Profit Quality(5y)144.89%
High Growth Momentum
Growth
EPS 1Y (TTM)22.56%
EPS 3Y28.48%
EPS 5Y22.14%
EPS Q2Q%15.53%
EPS Next Y-0.79%
EPS Next 2Y3.92%
EPS Next 3Y9.46%
EPS Next 5Y14.86%
Revenue 1Y (TTM)9.19%
Revenue growth 3Y16.24%
Revenue growth 5Y11.02%
Sales Q2Q%3.24%
Revenue Next Year2.17%
Revenue Next 2Y4.61%
Revenue Next 3Y6.38%
Revenue Next 5Y7.99%
EBIT growth 1Y20.86%
EBIT growth 3Y24.89%
EBIT growth 5Y17.68%
EBIT Next Year1.69%
EBIT Next 3Y7.22%
EBIT Next 5Y11.24%
FCF growth 1Y53.83%
FCF growth 3Y16.48%
FCF growth 5Y16.8%
OCF growth 1Y52.8%
OCF growth 3Y16.79%
OCF growth 5Y14.96%