ZIFF DAVIS INC (ZD) Stock Fundamental Analysis
USA - NASDAQ:ZD - US48123V1026 - Common Stock
30.35 USD
-0.6 (-1.94%)
30.35 USD
0 (0%)
ZD gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 70 industry peers in the Interactive Media & Services industry. While ZD belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. ZD has a bad growth rate and is valued cheaply.
1. Profitability
1.1 Basic Checks
In the past year ZD was profitable.
In the past year ZD had a positive cash flow from operations.
In the past 5 years ZD has always been profitable.
In the past 5 years ZD always reported a positive cash flow from operatings.
1.2 Ratios
ZD has a Return On Assets (1.88%) which is in line with its industry peers.
ZD's Return On Equity of 3.59% is fine compared to the rest of the industry. ZD outperforms 65.71% of its industry peers.
Looking at the Return On Invested Capital, with a value of 4.43%, ZD is in the better half of the industry, outperforming 71.43% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for ZD is significantly below the industry average of 13.59%.
The last Return On Invested Capital (4.43%) for ZD is above the 3 year average (4.24%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.88% | ||
| ROE | 3.59% | ||
| ROIC | 4.43% |
ROA(3y)1.57%
ROA(5y)4.39%
ROE(3y)3.01%
ROE(5y)9.34%
ROIC(3y)4.24%
ROIC(5y)3.97%
1.3 Margins
With a decent Profit Margin value of 4.57%, ZD is doing good in the industry, outperforming 62.86% of the companies in the same industry.
ZD's Profit Margin has declined in the last couple of years.
The Operating Margin of ZD (14.03%) is better than 81.43% of its industry peers.
ZD's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 86.40%, ZD belongs to the top of the industry, outperforming 87.14% of the companies in the same industry.
ZD's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.03% | ||
| PM (TTM) | 4.57% | ||
| GM | 86.4% |
OM growth 3Y-2.32%
OM growth 5Y11.07%
PM growth 3Y-49.55%
PM growth 5Y-26.37%
GM growth 3Y-0.39%
GM growth 5Y0.85%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ZD is destroying value.
Compared to 1 year ago, ZD has less shares outstanding
Compared to 5 years ago, ZD has less shares outstanding
Compared to 1 year ago, ZD has an improved debt to assets ratio.
2.2 Solvency
ZD has an Altman-Z score of 1.76. This is a bad value and indicates that ZD is not financially healthy and even has some risk of bankruptcy.
ZD's Altman-Z score of 1.76 is in line compared to the rest of the industry. ZD outperforms 58.57% of its industry peers.
The Debt to FCF ratio of ZD is 3.71, which is a good value as it means it would take ZD, 3.71 years of fcf income to pay off all of its debts.
ZD has a better Debt to FCF ratio (3.71) than 67.14% of its industry peers.
ZD has a Debt/Equity ratio of 0.47. This is a healthy value indicating a solid balance between debt and equity.
ZD has a worse Debt to Equity ratio (0.47) than 62.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.47 | ||
| Debt/FCF | 3.71 | ||
| Altman-Z | 1.76 |
ROIC/WACC0.55
WACC8%
2.3 Liquidity
ZD has a Current Ratio of 1.59. This is a normal value and indicates that ZD is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.59, ZD is doing worse than 60.00% of the companies in the same industry.
ZD has a Quick Ratio of 1.59. This is a normal value and indicates that ZD is financially healthy and should not expect problems in meeting its short term obligations.
ZD's Quick ratio of 1.59 is on the low side compared to the rest of the industry. ZD is outperformed by 60.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.59 | ||
| Quick Ratio | 1.59 |
3. Growth
3.1 Past
ZD shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 4.67%.
Measured over the past years, ZD shows a decrease in Earnings Per Share. The EPS has been decreasing by -1.19% on average per year.
ZD shows a small growth in Revenue. In the last year, the Revenue has grown by 2.76%.
ZD shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.94% yearly.
EPS 1Y (TTM)4.67%
EPS 3Y-9.84%
EPS 5Y-1.19%
EPS Q2Q%7.32%
Revenue 1Y (TTM)2.76%
Revenue growth 3Y-0.35%
Revenue growth 5Y5.94%
Sales Q2Q%2.87%
3.2 Future
ZD is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.19% yearly.
ZD is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.69% yearly.
EPS Next Y5.37%
EPS Next 2Y6.79%
EPS Next 3Y6.19%
EPS Next 5YN/A
Revenue Next Year4.33%
Revenue Next 2Y4.14%
Revenue Next 3Y3.69%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last 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
Based on the Price/Earnings ratio of 4.52, the valuation of ZD can be described as very cheap.
ZD's Price/Earnings ratio is rather cheap when compared to the industry. ZD is cheaper than 92.86% of the companies in the same industry.
ZD's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.89.
A Price/Forward Earnings ratio of 3.99 indicates a rather cheap valuation of ZD.
Based on the Price/Forward Earnings ratio, ZD is valued cheaply inside the industry as 95.71% of the companies are valued more expensively.
ZD's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 34.59.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.52 | ||
| Fwd PE | 3.99 |
4.2 Price Multiples
95.71% of the companies in the same industry are more expensive than ZD, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, ZD is valued cheaper than 97.14% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.34 | ||
| EV/EBITDA | 3.92 |
4.3 Compensation for Growth
ZD's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
ZD has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.84
PEG (5Y)N/A
EPS Next 2Y6.79%
EPS Next 3Y6.19%
5. Dividend
5.1 Amount
ZD does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
30.35
-0.6 (-1.94%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners110.56%
Inst Owner ChangeN/A
Ins Owners0.34%
Ins Owner Change0.27%
Market Cap1.24B
Revenue(TTM)1.40B
Net Income(TTM)66.09M
Analysts77.33
Price Target47.09 (55.16%)
Short Float %11.31%
Short Ratio9.05
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)1
Avg EPS beat(2)-4.87%
Min EPS beat(2)-11.23%
Max EPS beat(2)1.49%
EPS beat(4)2
Avg EPS beat(4)-2.27%
Min EPS beat(4)-11.23%
Max EPS beat(4)5.56%
EPS beat(8)3
Avg EPS beat(8)-2.04%
EPS beat(12)6
Avg EPS beat(12)-1.71%
EPS beat(16)9
Avg EPS beat(16)-0.65%
Revenue beat(2)1
Avg Revenue beat(2)-0.23%
Min Revenue beat(2)-1.59%
Max Revenue beat(2)1.14%
Revenue beat(4)1
Avg Revenue beat(4)-1.78%
Min Revenue beat(4)-5.57%
Max Revenue beat(4)1.14%
Revenue beat(8)1
Avg Revenue beat(8)-2.86%
Revenue beat(12)2
Avg Revenue beat(12)-2.71%
Revenue beat(16)2
Avg Revenue beat(16)-4.02%
PT rev (1m)0%
PT rev (3m)4.92%
EPS NQ rev (1m)0%
EPS NQ rev (3m)1.58%
EPS NY rev (1m)0%
EPS NY rev (3m)0.7%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.07%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.93%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.52 | ||
| Fwd PE | 3.99 | ||
| P/S | 0.86 | ||
| P/FCF | 5.34 | ||
| P/OCF | 3.64 | ||
| P/B | 0.68 | ||
| P/tB | N/A | ||
| EV/EBITDA | 3.92 |
EPS(TTM)6.72
EY22.14%
EPS(NY)7.61
Fwd EY25.06%
FCF(TTM)5.69
FCFY18.73%
OCF(TTM)8.34
OCFY27.47%
SpS35.3
BVpS44.94
TBVpS-4.25
PEG (NY)0.84
PEG (5Y)N/A
Graham Number82.43
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.88% | ||
| ROE | 3.59% | ||
| ROCE | 7.19% | ||
| ROIC | 4.43% | ||
| ROICexc | 5.29% | ||
| ROICexgc | 35.58% | ||
| OM | 14.03% | ||
| PM (TTM) | 4.57% | ||
| GM | 86.4% | ||
| FCFM | 16.11% |
ROA(3y)1.57%
ROA(5y)4.39%
ROE(3y)3.01%
ROE(5y)9.34%
ROIC(3y)4.24%
ROIC(5y)3.97%
ROICexc(3y)5.44%
ROICexc(5y)5.07%
ROICexgc(3y)37.52%
ROICexgc(5y)N/A
ROCE(3y)6.87%
ROCE(5y)6.44%
ROICexgc growth 3Y-8.29%
ROICexgc growth 5YN/A
ROICexc growth 3Y-1.96%
ROICexc growth 5Y15.52%
OM growth 3Y-2.32%
OM growth 5Y11.07%
PM growth 3Y-49.55%
PM growth 5Y-26.37%
GM growth 3Y-0.39%
GM growth 5Y0.85%
F-Score7
Asset Turnover0.41
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.47 | ||
| Debt/FCF | 3.71 | ||
| Debt/EBITDA | 2.02 | ||
| Cap/Depr | 48.39% | ||
| Cap/Sales | 7.51% | ||
| Interest Coverage | 6.49 | ||
| Cash Conversion | 79.9% | ||
| Profit Quality | 352.73% | ||
| Current Ratio | 1.59 | ||
| Quick Ratio | 1.59 | ||
| Altman-Z | 1.76 |
F-Score7
WACC8%
ROIC/WACC0.55
Cap/Depr(3y)47.23%
Cap/Depr(5y)45.52%
Cap/Sales(3y)7.74%
Cap/Sales(5y)7.9%
Profit Quality(3y)440.1%
Profit Quality(5y)331.37%
High Growth Momentum
Growth
EPS 1Y (TTM)4.67%
EPS 3Y-9.84%
EPS 5Y-1.19%
EPS Q2Q%7.32%
EPS Next Y5.37%
EPS Next 2Y6.79%
EPS Next 3Y6.19%
EPS Next 5YN/A
Revenue 1Y (TTM)2.76%
Revenue growth 3Y-0.35%
Revenue growth 5Y5.94%
Sales Q2Q%2.87%
Revenue Next Year4.33%
Revenue Next 2Y4.14%
Revenue Next 3Y3.69%
Revenue Next 5YN/A
EBIT growth 1Y7.6%
EBIT growth 3Y-2.66%
EBIT growth 5Y17.66%
EBIT Next Year26.88%
EBIT Next 3Y10.79%
EBIT Next 5YN/A
FCF growth 1Y21.86%
FCF growth 3Y-11.02%
FCF growth 5Y-3.66%
OCF growth 1Y14.38%
OCF growth 3Y-8.91%
OCF growth 5Y-1.1%
ZIFF DAVIS INC / ZD FAQ
What is the ChartMill fundamental rating of ZIFF DAVIS INC (ZD) stock?
ChartMill assigns a fundamental rating of 5 / 10 to ZD.
Can you provide the valuation status for ZIFF DAVIS INC?
ChartMill assigns a valuation rating of 9 / 10 to ZIFF DAVIS INC (ZD). This can be considered as Undervalued.
Can you provide the profitability details for ZIFF DAVIS INC?
ZIFF DAVIS INC (ZD) has a profitability rating of 7 / 10.
What is the earnings growth outlook for ZIFF DAVIS INC?
The Earnings per Share (EPS) of ZIFF DAVIS INC (ZD) is expected to grow by 5.37% in the next year.
How sustainable is the dividend of ZIFF DAVIS INC (ZD) stock?
The dividend rating of ZIFF DAVIS INC (ZD) is 0 / 10 and the dividend payout ratio is 0%.