NICE LTD - SPON ADR (NICE) Stock Fundamental Analysis
USA - NASDAQ:NICE - US6536561086 - ADR
133.38 USD
+1.4 (+1.06%)
133.37 USD
-0.01 (-0.01%)
We assign a fundamental rating of 6 out of 10 to NICE. NICE was compared to 281 industry peers in the Software industry. NICE has an excellent profitability rating, but there are some minor concerns on its financial health. NICE may be a bit undervalued, certainly considering the very reasonable score on growth With these ratings, NICE could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
In the past year NICE was profitable.
NICE had a positive operating cash flow in the past year.
In the past 5 years NICE has always been profitable.
In the past 5 years NICE always reported a positive cash flow from operatings.
1.2 Ratios
NICE's Return On Assets of 10.06% is amongst the best of the industry. NICE outperforms 85.41% of its industry peers.
NICE has a Return On Equity of 14.31%. This is amongst the best in the industry. NICE outperforms 81.85% of its industry peers.
NICE's Return On Invested Capital of 11.37% is amongst the best of the industry. NICE outperforms 87.54% of its industry peers.
The Average Return On Invested Capital over the past 3 years for NICE is below the industry average of 11.92%.
The last Return On Invested Capital (11.37%) for NICE is above the 3 year average (8.49%), which is a sign of increasing profitability.
| 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
The Profit Margin of NICE (18.81%) is better than 82.21% of its industry peers.
In the last couple of years the Profit Margin of NICE has grown nicely.
NICE has a better Operating Margin (21.39%) than 87.19% of its industry peers.
NICE's Operating Margin has improved in the last couple of years.
NICE has a Gross Margin of 67.03%. This is comparable to the rest of the industry: NICE outperforms 46.98% 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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), NICE is creating some value.
NICE has more 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
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
WACC8.59%
2.3 Liquidity
A Current Ratio of 1.83 indicates that NICE should not have too much problems paying its short term obligations.
NICE has a Current ratio of 1.83. This is comparable to the rest of the industry: NICE outperforms 57.65% of its industry peers.
NICE has a Quick Ratio of 1.83. This is a normal value and indicates that NICE is financially healthy and should not expect problems in meeting its short term obligations.
With a Quick ratio value of 1.83, NICE perfoms like the industry average, outperforming 58.01% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.83 | ||
| Quick Ratio | 1.83 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 15.49% over the past year.
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.
The Revenue has grown by 15.05% in the past year. This is quite good.
The Revenue has been growing by 11.69% on average over the past years. This is quite good.
EPS 1Y (TTM)15.49%
EPS 3Y19.48%
EPS 5Y15.93%
EPS Q2Q%10.42%
Revenue 1Y (TTM)15.05%
Revenue growth 3Y12.5%
Revenue growth 5Y11.69%
Sales Q2Q%6.09%
3.2 Future
The Earnings Per Share is expected to grow by 11.88% on average over the next years. This is quite good.
NICE is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.03% yearly.
EPS Next Y14.24%
EPS Next 2Y11.7%
EPS Next 3Y11.88%
EPS Next 5YN/A
Revenue Next Year7.25%
Revenue Next 2Y7.11%
Revenue Next 3Y8.03%
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
With a Price/Earnings ratio of 10.78, the valuation of NICE can be described as very reasonable.
Based on the Price/Earnings ratio, NICE is valued cheaper than 87.54% of the companies in the same industry.
NICE is valuated cheaply when we compare the Price/Earnings ratio to 25.89, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 9.39 indicates a reasonable valuation of NICE.
89.68% of the companies in the same industry are more expensive than NICE, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.59, NICE is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.78 | ||
| Fwd PE | 9.39 |
4.2 Price Multiples
NICE's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. NICE is cheaper than 92.53% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, NICE is valued cheaper than 90.75% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.48 | ||
| EV/EBITDA | 7.38 |
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.
NICE has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)0.76
PEG (5Y)0.68
EPS Next 2Y11.7%
EPS Next 3Y11.88%
5. Dividend
5.1 Amount
NICE does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
133.38
+1.4 (+1.06%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners12.48%
Inst Owner Change-8.55%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap8.24B
Revenue(TTM)2.74B
Net Income(TTM)534.03M
Analysts80
Price Target196.46 (47.29%)
Short Float %3.11%
Short Ratio3.17
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)9.6%
PT rev (3m)-5.45%
EPS NQ rev (1m)0.07%
EPS NQ rev (3m)0.95%
EPS NY rev (1m)0.01%
EPS NY rev (3m)1.87%
Revenue NQ rev (1m)0.08%
Revenue NQ rev (3m)-1.2%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.13%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.78 | ||
| Fwd PE | 9.39 | ||
| P/S | 2.9 | ||
| P/FCF | 12.48 | ||
| P/OCF | 10.91 | ||
| P/B | 2.21 | ||
| P/tB | 4.92 | ||
| EV/EBITDA | 7.38 |
EPS(TTM)12.37
EY9.27%
EPS(NY)14.2
Fwd EY10.65%
FCF(TTM)10.69
FCFY8.02%
OCF(TTM)12.23
OCFY9.17%
SpS45.97
BVpS60.43
TBVpS27.1
PEG (NY)0.76
PEG (5Y)0.68
Graham Number129.69
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%
ROICexgc growth 3Y25.64%
ROICexgc 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
WACC8.59%
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)15.49%
EPS 3Y19.48%
EPS 5Y15.93%
EPS Q2Q%10.42%
EPS Next Y14.24%
EPS Next 2Y11.7%
EPS Next 3Y11.88%
EPS Next 5YN/A
Revenue 1Y (TTM)15.05%
Revenue growth 3Y12.5%
Revenue growth 5Y11.69%
Sales Q2Q%6.09%
Revenue Next Year7.25%
Revenue Next 2Y7.11%
Revenue Next 3Y8.03%
Revenue Next 5YN/A
EBIT growth 1Y21.29%
EBIT growth 3Y27.38%
EBIT growth 5Y18.06%
EBIT Next Year21.54%
EBIT Next 3Y9.22%
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%
NICE LTD - SPON ADR / NICE FAQ
What is the ChartMill fundamental rating of NICE LTD - SPON ADR (NICE) stock?
ChartMill assigns a fundamental rating of 6 / 10 to NICE.
What is the valuation status for NICE stock?
ChartMill assigns a valuation rating of 9 / 10 to NICE LTD - SPON ADR (NICE). This can be considered as Undervalued.
Can you provide the profitability details for NICE LTD - SPON ADR?
NICE LTD - SPON ADR (NICE) has a profitability rating of 8 / 10.
What is the valuation of NICE LTD - SPON ADR based on its PE and PB ratios?
The Price/Earnings (PE) ratio for NICE LTD - SPON ADR (NICE) is 10.78 and the Price/Book (PB) ratio is 2.21.
Can you provide the dividend sustainability for NICE stock?
The dividend rating of NICE LTD - SPON ADR (NICE) is 0 / 10 and the dividend payout ratio is 0%.