19.77 USD
+0.15 (+0.76%)
19.77 USD
0 (0%)
Taking everything into account, VERX scores 3 out of 10 in our fundamental rating. VERX was compared to 280 industry peers in the Software industry. VERX may be in some trouble as it scores bad on both profitability and health. VERX shows excellent growth, but is valued quite expensive already.
1. Profitability
1.1 Basic Checks
In the past year VERX was profitable.
VERX had a positive operating cash flow in the past year.
VERX had negative earnings in each of the past 5 years.
In the past 5 years VERX always reported a positive cash flow from operatings.
1.2 Ratios
VERX has a Return On Assets of -4.39%. This is comparable to the rest of the industry: VERX outperforms 44.64% of its industry peers.
VERX has a Return On Equity (-20.26%) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -4.39% | ||
| ROE | -20.26% | ||
| ROIC | N/A |
ROA(3y)-2.65%
ROA(5y)-4.32%
ROE(3y)-13.31%
ROE(5y)-14.67%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
VERX has a Gross Margin of 64.55%. This is comparable to the rest of the industry: VERX outperforms 43.21% of its industry peers.
In the last couple of years the Gross Margin of VERX has remained more or less at the same level.
VERX does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 64.55% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.03%
GM growth 5Y-0.54%
2. Health
2.1 Basic Checks
VERX does not have a ROIC to compare to the WACC, probably because it is not profitable.
VERX has more shares outstanding than it did 1 year ago.
VERX has more shares outstanding than it did 5 years ago.
The debt/assets ratio for VERX is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.50 indicates that VERX is not a great score, but indicates only limited risk for bankruptcy at the moment.
VERX has a Altman-Z score (2.50) which is comparable to the rest of the industry.
VERX has a debt to FCF ratio of 6.09. This is a slightly negative value and a sign of low solvency as VERX would need 6.09 years to pay back of all of its debts.
With a Debt to FCF ratio value of 6.09, VERX perfoms like the industry average, outperforming 55.36% of the companies in the same industry.
VERX has a Debt/Equity ratio of 1.27. This is a high value indicating a heavy dependency on external financing.
VERX has a Debt to Equity ratio of 1.27. This is in the lower half of the industry: VERX underperforms 78.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.27 | ||
| Debt/FCF | 6.09 | ||
| Altman-Z | 2.5 |
ROIC/WACCN/A
WACC10.87%
2.3 Liquidity
A Current Ratio of 1.01 indicates that VERX should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.01, VERX is doing worse than 73.57% of the companies in the same industry.
VERX has a Quick Ratio of 1.01. This is a normal value and indicates that VERX is financially healthy and should not expect problems in meeting its short term obligations.
VERX's Quick ratio of 1.01 is on the low side compared to the rest of the industry. VERX is outperformed by 72.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.01 | ||
| Quick Ratio | 1.01 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 5.08% over the past year.
Measured over the past years, VERX shows a very strong growth in Earnings Per Share. The EPS has been growing by 25.31% on average per year.
Looking at the last year, VERX shows a quite strong growth in Revenue. The Revenue has grown by 13.83% in the last year.
VERX shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 15.71% yearly.
EPS 1Y (TTM)5.08%
EPS 3Y25.31%
EPS 5YN/A
EPS Q2Q%6.25%
Revenue 1Y (TTM)13.83%
Revenue growth 3Y16.15%
Revenue growth 5Y15.71%
Sales Q2Q%12.72%
3.2 Future
Based on estimates for the next years, VERX will show a very strong growth in Earnings Per Share. The EPS will grow by 21.14% on average per year.
Based on estimates for the next years, VERX will show a quite strong growth in Revenue. The Revenue will grow by 12.39% on average per year.
EPS Next Y2.98%
EPS Next 2Y10.83%
EPS Next 3Y14.76%
EPS Next 5Y21.14%
Revenue Next Year12.51%
Revenue Next 2Y11.66%
Revenue Next 3Y12.17%
Revenue Next 5Y12.39%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 31.89, the valuation of VERX can be described as expensive.
Compared to the rest of the industry, the Price/Earnings ratio of VERX indicates a somewhat cheap valuation: VERX is cheaper than 62.50% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of VERX to the average of the S&P500 Index (26.59), we can say VERX is valued inline with the index average.
Based on the Price/Forward Earnings ratio of 26.39, the valuation of VERX can be described as expensive.
64.64% of the companies in the same industry are more expensive than VERX, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of VERX to the average of the S&P500 Index (23.80), we can say VERX is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.89 | ||
| Fwd PE | 26.39 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, VERX is valued a bit cheaper than 66.07% of the companies in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as VERX.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 56.94 | ||
| EV/EBITDA | 36.71 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
A more expensive valuation may be justified as VERX's earnings are expected to grow with 14.76% in the coming years.
PEG (NY)10.69
PEG (5Y)N/A
EPS Next 2Y10.83%
EPS Next 3Y14.76%
5. Dividend
5.1 Amount
No dividends for VERX!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
19.77
+0.15 (+0.76%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners112.81%
Inst Owner Change-8.5%
Ins Owners4.36%
Ins Owner Change-7.19%
Market Cap3.15B
Revenue(TTM)732.19M
Net Income(TTM)-53.58M
Analysts78.26
Price Target29.11 (47.24%)
Short Float %8.29%
Short Ratio3.63
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)2
Avg EPS beat(2)3.89%
Min EPS beat(2)3.56%
Max EPS beat(2)4.22%
EPS beat(4)4
Avg EPS beat(4)6.03%
Min EPS beat(4)3.56%
Max EPS beat(4)9.3%
EPS beat(8)8
Avg EPS beat(8)10.02%
EPS beat(12)11
Avg EPS beat(12)10.09%
EPS beat(16)15
Avg EPS beat(16)14.59%
Revenue beat(2)0
Avg Revenue beat(2)-1.87%
Min Revenue beat(2)-1.98%
Max Revenue beat(2)-1.75%
Revenue beat(4)0
Avg Revenue beat(4)-1.68%
Min Revenue beat(4)-1.98%
Max Revenue beat(4)-1.09%
Revenue beat(8)2
Avg Revenue beat(8)-0.58%
Revenue beat(12)4
Avg Revenue beat(12)-0.28%
Revenue beat(16)7
Avg Revenue beat(16)-0.15%
PT rev (1m)-23.43%
PT rev (3m)-24.34%
EPS NQ rev (1m)-0.41%
EPS NQ rev (3m)-7.83%
EPS NY rev (1m)-2.35%
EPS NY rev (3m)-1.39%
Revenue NQ rev (1m)-0.33%
Revenue NQ rev (3m)-2.13%
Revenue NY rev (1m)-0.52%
Revenue NY rev (3m)-0.61%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 31.89 | ||
| Fwd PE | 26.39 | ||
| P/S | 4.31 | ||
| P/FCF | 56.94 | ||
| P/OCF | 19.18 | ||
| P/B | 11.93 | ||
| P/tB | N/A | ||
| EV/EBITDA | 36.71 |
EPS(TTM)0.62
EY3.14%
EPS(NY)0.75
Fwd EY3.79%
FCF(TTM)0.35
FCFY1.76%
OCF(TTM)1.03
OCFY5.21%
SpS4.59
BVpS1.66
TBVpS-1.06
PEG (NY)10.69
PEG (5Y)N/A
Graham Number4.81
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -4.39% | ||
| ROE | -20.26% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 64.55% | ||
| FCFM | 7.56% |
ROA(3y)-2.65%
ROA(5y)-4.32%
ROE(3y)-13.31%
ROE(5y)-14.67%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.03%
GM growth 5Y-0.54%
F-Score5
Asset Turnover0.6
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.27 | ||
| Debt/FCF | 6.09 | ||
| Debt/EBITDA | 3.92 | ||
| Cap/Depr | 118.4% | ||
| Cap/Sales | 14.89% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 191.41% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.01 | ||
| Quick Ratio | 1.01 | ||
| Altman-Z | 2.5 |
F-Score5
WACC10.87%
ROIC/WACCN/A
Cap/Depr(3y)135.67%
Cap/Depr(5y)121.89%
Cap/Sales(3y)16.89%
Cap/Sales(5y)14.01%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)5.08%
EPS 3Y25.31%
EPS 5YN/A
EPS Q2Q%6.25%
EPS Next Y2.98%
EPS Next 2Y10.83%
EPS Next 3Y14.76%
EPS Next 5Y21.14%
Revenue 1Y (TTM)13.83%
Revenue growth 3Y16.15%
Revenue growth 5Y15.71%
Sales Q2Q%12.72%
Revenue Next Year12.51%
Revenue Next 2Y11.66%
Revenue Next 3Y12.17%
Revenue Next 5Y12.39%
EBIT growth 1Y-173.81%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year25.33%
EBIT Next 3Y21.5%
EBIT Next 5Y21.75%
FCF growth 1Y5920.22%
FCF growth 3Y-49.75%
FCF growth 5Y-35.88%
OCF growth 1Y105.64%
OCF growth 3Y21.47%
OCF growth 5Y12.25%
VERTEX INC - CLASS A / VERX FAQ
What is the ChartMill fundamental rating of VERTEX INC - CLASS A (VERX) stock?
ChartMill assigns a fundamental rating of 3 / 10 to VERX.
What is the valuation status of VERTEX INC - CLASS A (VERX) stock?
ChartMill assigns a valuation rating of 3 / 10 to VERTEX INC - CLASS A (VERX). This can be considered as Overvalued.
How profitable is VERTEX INC - CLASS A (VERX) stock?
VERTEX INC - CLASS A (VERX) has a profitability rating of 2 / 10.
What is the valuation of VERTEX INC - CLASS A based on its PE and PB ratios?
The Price/Earnings (PE) ratio for VERTEX INC - CLASS A (VERX) is 31.89 and the Price/Book (PB) ratio is 11.93.
Is the dividend of VERTEX INC - CLASS A sustainable?
The dividend rating of VERTEX INC - CLASS A (VERX) is 0 / 10 and the dividend payout ratio is 0%.