NICE LTD - SPON ADR (NICE)
US6536561086 - ADR
Taking everything into account, NICE scores 7 out of 10 in our fundamental rating. NICE was compared to 279 industry peers in the Software industry. While NICE belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. NICE is evaluated to be cheap and growing strongly. This does not happen too often! This makes NICE very considerable for value and growth investing!
1. Profitability
1.1 Basic Checks
NICE had positive earnings in the past year.
NICE had a positive operating cash flow in the past year.
Each year in the past 5 years NICE has been profitable.
Each year in the past 5 years NICE had a positive operating cash flow.
1.2 Ratios
The Return On Assets of NICE (7.81%) is better than 83.51% of its industry peers.
Looking at the Return On Equity, with a value of 11.41%, NICE belongs to the top of the industry, outperforming 82.44% of the companies in the same industry.
NICE has a Return On Invested Capital of 9.18%. This is amongst the best in the industry. NICE outperforms 85.66% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for NICE is below the industry average of 11.54%.
The 3 year average ROIC (7.04%) for NICE is below the current ROIC(9.18%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.81% | ||
| ROE | 11.41% | ||
| ROIC | 9.18% |
ROA(3y)5.42%
ROA(5y)5.21%
ROE(3y)8.62%
ROE(5y)8.35%
ROIC(3y)7.04%
ROIC(5y)6.73%
1.3 Margins
With an excellent Profit Margin value of 15.48%, NICE belongs to the best of the industry, outperforming 83.51% of the companies in the same industry.
NICE's Profit Margin has improved in the last couple of years.
NICE has a Operating Margin of 19.64%. This is amongst the best in the industry. NICE outperforms 88.89% of its industry peers.
NICE's Operating Margin has improved in the last couple of years.
NICE's Gross Margin of 67.06% is in line compared to the rest of the industry. NICE outperforms 48.75% of its industry peers.
NICE's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.64% | ||
| PM (TTM) | 15.48% | ||
| GM | 67.06% |
OM growth 3Y8.5%
OM growth 5Y6.54%
PM growth 3Y5.85%
PM growth 5Y5.11%
GM growth 3Y0.9%
GM growth 5Y0.63%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), NICE is creating some value.
NICE has less shares outstanding than it did 1 year ago.
NICE has more shares outstanding than it did 5 years ago.
NICE has a better debt/assets ratio than last year.
2.2 Solvency
The Debt to FCF ratio of NICE is 0.72, which is an excellent value as it means it would take NICE, only 0.72 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 0.72, NICE is in the better half of the industry, outperforming 76.70% of the companies in the same industry.
A Debt/Equity ratio of 0.13 indicates that NICE is not too dependend on debt financing.
The Debt to Equity ratio of NICE (0.13) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | 0.72 | ||
| Altman-Z | N/A |
ROIC/WACC1.02
WACC9.02%
2.3 Liquidity
A Current Ratio of 2.45 indicates that NICE has no problem at all paying its short term obligations.
NICE has a better Current ratio (2.45) than 68.82% of its industry peers.
A Quick Ratio of 2.45 indicates that NICE has no problem at all paying its short term obligations.
The Quick ratio of NICE (2.45) is better than 69.89% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.45 | ||
| Quick Ratio | 2.45 |
3. Growth
3.1 Past
NICE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 23.48%, which is quite impressive.
NICE shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 13.44% yearly.
Looking at the last year, NICE shows a quite strong growth in Revenue. The Revenue has grown by 9.00% in the last year.
NICE shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 10.48% yearly.
EPS 1Y (TTM)23.48%
EPS 3Y15.33%
EPS 5Y13.44%
EPS Q2Q%26.87%
Revenue 1Y (TTM)9%
Revenue growth 3Y12.99%
Revenue growth 5Y10.48%
Sales Q2Q%14.74%
3.2 Future
NICE is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 16.50% yearly.
Based on estimates for the next years, NICE will show a quite strong growth in Revenue. The Revenue will grow by 12.15% on average per year.
EPS Next Y24.44%
EPS Next 2Y18.89%
EPS Next 3Y16.5%
EPS Next 5YN/A
Revenue Next Year14.99%
Revenue Next 2Y13.01%
Revenue Next 3Y12.15%
Revenue Next 5YN/A
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
NICE is valuated correctly with a Price/Earnings ratio of 15.63.
Based on the Price/Earnings ratio, NICE is valued cheaper than 88.17% of the companies in the same industry.
NICE is valuated rather cheaply when we compare the Price/Earnings ratio to 28.96, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 13.16, which indicates a correct valuation of NICE.
NICE's Price/Forward Earnings ratio is rather cheap when compared to the industry. NICE is cheaper than 88.89% of the companies in the same industry.
NICE's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.63 | ||
| Fwd PE | 13.16 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of NICE indicates a rather cheap valuation: NICE is cheaper than 88.17% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, NICE is valued cheaply inside the industry as 88.89% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.85 | ||
| EV/EBITDA | 13.01 |
4.3 Compensation for Growth
NICE's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of NICE may justify a higher PE ratio.
A more expensive valuation may be justified as NICE's earnings are expected to grow with 16.50% in the coming years.
PEG (NY)0.64
PEG (5Y)1.16
EPS Next 2Y18.89%
EPS Next 3Y16.5%
5. Dividend
5.1 Amount
No dividends for NICE!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NICE LTD - SPON ADR
NASDAQ:NICE (11/21/2024, 6:37:59 PM)
After market: 170 -1.31 (-0.76%)171.31
+0.34 (+0.2%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
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Market Cap10.77B
Analysts
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Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.63 | ||
| Fwd PE | 13.16 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
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EPS(NY)
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OCF(TTM)
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SpS
BVpS
TBVpS
PEG (NY)0.64
PEG (5Y)1.16
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.81% | ||
| ROE | 11.41% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 19.64% | ||
| PM (TTM) | 15.48% | ||
| GM | 67.06% | ||
| 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 Turnover0.5
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 2.45 | ||
| Quick Ratio | 2.45 | ||
| 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)23.48%
EPS 3Y15.33%
EPS 5Y
EPS Q2Q%
EPS Next Y24.44%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)9%
Revenue growth 3Y12.99%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
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EBIT growth 3Y
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