NICE LTD - SPON ADR (NICE) Stock Fundamental Analysis
USA - NASDAQ:NICE - US6536561086 - ADR
142.81 USD
+0.17 (+0.12%)
141.85 USD
-0.96 (-0.67%)
Taking everything into account, NICE scores 6 out of 10 in our fundamental rating. NICE was compared to 280 industry peers in the Software industry. While NICE has a great profitability rating, there are some minor concerns on its financial health. NICE scores decently on growth, while it is valued quite cheap. This could make an interesting combination. These ratings would make NICE suitable for value investing!
1. Profitability
1.1 Basic Checks
In the past year NICE was profitable.
In the past year NICE had a positive cash flow from operations.
In the past 5 years NICE has always been profitable.
NICE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
NICE has a better Return On Assets (10.06%) than 86.43% of its industry peers.
NICE's Return On Equity of 14.31% is amongst the best of the industry. NICE outperforms 82.14% of its industry peers.
NICE has a better Return On Invested Capital (11.37%) than 87.86% of its industry peers.
The Average Return On Invested Capital over the past 3 years for NICE is below the industry average of 11.85%.
The 3 year average ROIC (8.49%) for NICE is below the current ROIC(11.37%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.06% | ||
| ROE | 14.31% | ||
| ROIC | 11.37% |
ROA(3y)6.78%
ROA(5y)5.84%
ROE(3y)10.34%
ROE(5y)9.15%
ROIC(3y)8.49%
ROIC(5y)7.35%
1.3 Margins
Looking at the Profit Margin, with a value of 18.81%, NICE belongs to the top of the industry, outperforming 83.21% 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 21.39%. This is amongst the best in the industry. NICE outperforms 87.50% of its industry peers.
In the last couple of years the Operating Margin of NICE has grown nicely.
NICE has a Gross Margin of 67.03%. This is comparable to the rest of the industry: NICE outperforms 46.07% of its industry peers.
In the last couple of years the Gross Margin of NICE has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.39% | ||
| PM (TTM) | 18.81% | ||
| GM | 67.03% |
OM growth 3Y13.23%
OM growth 5Y5.7%
PM growth 3Y15.65%
PM growth 5Y6.35%
GM growth 3Y-0.37%
GM growth 5Y0.16%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so NICE is still creating some value.
The number of shares outstanding for NICE has been increased compared to 1 year ago.
Compared to 5 years ago, NICE has more shares outstanding
NICE has a better debt/assets ratio than last year.
2.2 Solvency
NICE has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.7 | ||
| Altman-Z | N/A |
ROIC/WACC1.32
WACC8.63%
2.3 Liquidity
A Current Ratio of 1.83 indicates that NICE should not have too much problems paying its short term obligations.
NICE's Current ratio of 1.83 is in line compared to the rest of the industry. NICE outperforms 58.93% of its industry peers.
A Quick Ratio of 1.83 indicates that NICE should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.83, NICE is in line with its industry, outperforming 59.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.83 | ||
| Quick Ratio | 1.83 |
3. Growth
3.1 Past
NICE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 19.59%, which is quite good.
Measured over the past years, NICE shows a quite strong growth in Earnings Per Share. The EPS has been growing by 15.93% on average per year.
NICE shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 11.39%.
The Revenue has been growing by 11.69% on average over the past years. This is quite good.
EPS 1Y (TTM)19.59%
EPS 3Y19.48%
EPS 5Y15.93%
EPS Q2Q%14.02%
Revenue 1Y (TTM)11.39%
Revenue growth 3Y12.5%
Revenue growth 5Y11.69%
Sales Q2Q%9.38%
3.2 Future
Based on estimates for the next years, NICE will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.40% on average per year.
Based on estimates for the next years, NICE will show a quite strong growth in Revenue. The Revenue will grow by 8.30% on average per year.
EPS Next Y14.15%
EPS Next 2Y11.75%
EPS Next 3Y12.4%
EPS Next 5YN/A
Revenue Next Year7.25%
Revenue Next 2Y7.11%
Revenue Next 3Y8.3%
Revenue Next 5YN/A
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 11.84 indicates a reasonable valuation of NICE.
Based on the Price/Earnings ratio, NICE is valued cheaper than 87.86% of the companies in the same industry.
NICE is valuated cheaply when we compare the Price/Earnings ratio to 27.30, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 10.05, which indicates a very decent valuation of NICE.
Based on the Price/Forward Earnings ratio, NICE is valued cheaper than 92.14% of the companies in the same industry.
NICE is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.73, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.84 | ||
| Fwd PE | 10.05 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, NICE is valued cheaper than 92.14% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, NICE is valued cheaply inside the industry as 92.14% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.36 | ||
| EV/EBITDA | 8.22 |
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.
NICE has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as NICE's earnings are expected to grow with 12.40% in the coming years.
PEG (NY)0.84
PEG (5Y)0.74
EPS Next 2Y11.75%
EPS Next 3Y12.4%
5. Dividend
5.1 Amount
No dividends for NICE!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
142.81
+0.17 (+0.12%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners11.94%
Inst Owner Change-5.56%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap8.82B
Analysts81.33
Price Target198.36 (38.9%)
Short Float %4.7%
Short Ratio4.77
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-1.29%
Min EPS beat(2)-1.41%
Max EPS beat(2)-1.17%
EPS beat(4)1
Avg EPS beat(4)0.63%
Min EPS beat(4)-1.41%
Max EPS beat(4)5.16%
EPS beat(8)5
Avg EPS beat(8)1.44%
EPS beat(12)9
Avg EPS beat(12)1.55%
EPS beat(16)12
Avg EPS beat(16)1.75%
Revenue beat(2)0
Avg Revenue beat(2)-1.05%
Min Revenue beat(2)-1.97%
Max Revenue beat(2)-0.14%
Revenue beat(4)0
Avg Revenue beat(4)-1.12%
Min Revenue beat(4)-1.97%
Max Revenue beat(4)-0.14%
Revenue beat(8)0
Avg Revenue beat(8)-1.21%
Revenue beat(12)0
Avg Revenue beat(12)-1.25%
Revenue beat(16)3
Avg Revenue beat(16)-0.49%
PT rev (1m)-9.5%
PT rev (3m)5.29%
EPS NQ rev (1m)0.88%
EPS NQ rev (3m)1.26%
EPS NY rev (1m)1.79%
EPS NY rev (3m)1.79%
Revenue NQ rev (1m)-1.28%
Revenue NQ rev (3m)-3.89%
Revenue NY rev (1m)0.13%
Revenue NY rev (3m)0.2%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.84 | ||
| Fwd PE | 10.05 | ||
| P/S | 3.11 | ||
| P/FCF | 13.36 | ||
| P/OCF | 11.68 | ||
| P/B | 2.36 | ||
| P/tB | 5.27 | ||
| EV/EBITDA | 8.22 |
EPS(TTM)12.06
EY8.44%
EPS(NY)14.22
Fwd EY9.95%
FCF(TTM)10.69
FCFY7.49%
OCF(TTM)12.23
OCFY8.56%
SpS45.97
BVpS60.43
TBVpS27.1
PEG (NY)0.84
PEG (5Y)0.74
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.06% | ||
| ROE | 14.31% | ||
| ROCE | 15.46% | ||
| ROIC | 11.37% | ||
| ROICexc | 19.46% | ||
| ROICexgc | 188.31% | ||
| OM | 21.39% | ||
| PM (TTM) | 18.81% | ||
| GM | 67.03% | ||
| FCFM | 23.26% |
ROA(3y)6.78%
ROA(5y)5.84%
ROE(3y)10.34%
ROE(5y)9.15%
ROIC(3y)8.49%
ROIC(5y)7.35%
ROICexc(3y)14.21%
ROICexc(5y)12.54%
ROICexgc(3y)163.28%
ROICexgc(5y)N/A
ROCE(3y)11.55%
ROCE(5y)10%
ROICexcg growth 3Y25.64%
ROICexcg growth 5Y53.44%
ROICexc growth 3Y23.73%
ROICexc growth 5Y18.38%
OM growth 3Y13.23%
OM growth 5Y5.7%
PM growth 3Y15.65%
PM growth 5Y6.35%
GM growth 3Y-0.37%
GM growth 5Y0.16%
F-Score7
Asset Turnover0.53
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.7 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 49.93% | ||
| Cap/Sales | 3.34% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 94.72% | ||
| Profit Quality | 123.61% | ||
| Current Ratio | 1.83 | ||
| Quick Ratio | 1.83 | ||
| Altman-Z | N/A |
F-Score7
WACC8.63%
ROIC/WACC1.32
Cap/Depr(3y)48.45%
Cap/Depr(5y)43.32%
Cap/Sales(3y)3.65%
Cap/Sales(5y)3.66%
Profit Quality(3y)152.88%
Profit Quality(5y)173.68%
High Growth Momentum
Growth
EPS 1Y (TTM)19.59%
EPS 3Y19.48%
EPS 5Y15.93%
EPS Q2Q%14.02%
EPS Next Y14.15%
EPS Next 2Y11.75%
EPS Next 3Y12.4%
EPS Next 5YN/A
Revenue 1Y (TTM)11.39%
Revenue growth 3Y12.5%
Revenue growth 5Y11.69%
Sales Q2Q%9.38%
Revenue Next Year7.25%
Revenue Next 2Y7.11%
Revenue Next 3Y8.3%
Revenue Next 5YN/A
EBIT growth 1Y21.29%
EBIT growth 3Y27.38%
EBIT growth 5Y18.06%
EBIT Next Year17.62%
EBIT Next 3Y9.19%
EBIT Next 5YN/A
FCF growth 1Y49.42%
FCF growth 3Y22.92%
FCF growth 5Y18.61%
OCF growth 1Y42.08%
OCF growth 3Y21.71%
OCF growth 5Y17.35%