ZIFF DAVIS INC (ZD) Fundamental Analysis & Valuation
NASDAQ:ZD • US48123V1026
Current stock price
46.76 USD
-0.45 (-0.95%)
At close:
46.76 USD
0 (0%)
After Hours:
This ZD fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. ZD Profitability Analysis
1.1 Basic Checks
- In the past year ZD was profitable.
- ZD had a positive operating cash flow in the past year.
- Each year in the past 5 years ZD has 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 (1.29%) which is in line with its industry peers.
- ZD has a Return On Equity (2.70%) which is comparable to the rest of the industry.
- ZD has a Return On Invested Capital of 4.81%. This is in the better half of the industry: ZD outperforms 65.22% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for ZD is significantly below the industry average of 10.91%.
- The 3 year average ROIC (4.36%) for ZD is below the current ROIC(4.81%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.29% | ||
| ROE | 2.7% | ||
| ROIC | 4.81% |
ROA(3y)1.4%
ROA(5y)3.83%
ROE(3y)2.79%
ROE(5y)7.39%
ROIC(3y)4.36%
ROIC(5y)4.34%
1.3 Margins
- ZD's Profit Margin of 3.26% is fine compared to the rest of the industry. ZD outperforms 60.87% of its industry peers.
- In the last couple of years the Profit Margin of ZD has declined.
- ZD has a Operating Margin of 13.83%. This is in the better half of the industry: ZD outperforms 78.26% of its industry peers.
- In the last couple of years the Operating Margin of ZD has grown nicely.
- ZD has a Gross Margin of 85.76%. This is amongst the best in the industry. ZD outperforms 86.96% of its industry peers.
- In the last couple of years the Gross Margin of ZD has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.83% | ||
| PM (TTM) | 3.26% | ||
| GM | 85.76% |
OM growth 3Y-5.28%
OM growth 5Y2.97%
PM growth 3Y-10.68%
PM growth 5Y-24.14%
GM growth 3Y-0.07%
GM growth 5Y0.27%
2. ZD Health Analysis
2.1 Basic Checks
- ZD has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- ZD has less shares outstanding than it did 1 year ago.
- The number of shares outstanding for ZD has been reduced compared to 5 years ago.
- ZD has a worse debt/assets ratio than last year.
2.2 Solvency
- Based on the Altman-Z score of 1.75, we must say that ZD is in the distress zone and has some risk of bankruptcy.
- ZD has a Altman-Z score of 1.75. This is in the better half of the industry: ZD outperforms 60.87% of its industry peers.
- The Debt to FCF ratio of ZD is 3.01, which is a good value as it means it would take ZD, 3.01 years of fcf income to pay off all of its debts.
- ZD has a better Debt to FCF ratio (3.01) than 65.22% of its industry peers.
- ZD has a Debt/Equity ratio of 0.41. This is a healthy value indicating a solid balance between debt and equity.
- ZD's Debt to Equity ratio of 0.41 is on the low side compared to the rest of the industry. ZD is outperformed by 63.77% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.41 | ||
| Debt/FCF | 3.01 | ||
| Altman-Z | 1.75 |
ROIC/WACC0.7
WACC6.86%
2.3 Liquidity
- ZD has a Current Ratio of 1.27. 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 Current ratio of 1.27 is on the low side compared to the rest of the industry. ZD is outperformed by 68.12% of its industry peers.
- ZD has a Quick Ratio of 1.27. This is a normal value and indicates that ZD is financially healthy and should not expect problems in meeting its short term obligations.
- ZD has a worse Quick ratio (1.27) than 68.12% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.27 | ||
| Quick Ratio | 1.27 |
3. ZD Growth Analysis
3.1 Past
- The Earnings Per Share has been growing slightly by 0.45% over the past year.
- Measured over the past years, ZD shows a decrease in Earnings Per Share. The EPS has been decreasing by -4.05% on average per year.
- ZD shows a small growth in Revenue. In the last year, the Revenue has grown by 3.54%.
- Measured over the past years, ZD shows a small growth in Revenue. The Revenue has been growing by 4.60% on average per year.
EPS 1Y (TTM)0.45%
EPS 3Y0.25%
EPS 5Y-4.05%
EPS Q2Q%-0.78%
Revenue 1Y (TTM)3.54%
Revenue growth 3Y1.42%
Revenue growth 5Y4.6%
Sales Q2Q%-1.48%
3.2 Future
- Based on estimates for the next years, ZD will show a decrease in Earnings Per Share. The EPS will decrease by -0.50% on average per year.
- Based on estimates for the next years, ZD will show a decrease in Revenue. The Revenue will decrease by -2.71% on average per year.
EPS Next Y5.64%
EPS Next 2Y3.8%
EPS Next 3Y-0.5%
EPS Next 5YN/A
Revenue Next Year-4.52%
Revenue Next 2Y-1.24%
Revenue Next 3Y-2.71%
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.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. ZD Valuation Analysis
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 6.98, 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 81.16% of the companies in the same industry.
- When comparing the Price/Earnings ratio of ZD to the average of the S&P500 Index (26.54), we can say ZD is valued rather cheaply.
- A Price/Forward Earnings ratio of 6.61 indicates a rather cheap valuation of ZD.
- Based on the Price/Forward Earnings ratio, ZD is valued cheaply inside the industry as 89.86% 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 21.68.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.98 | ||
| Fwd PE | 6.61 |
4.2 Price Multiples
- ZD's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. ZD is cheaper than 88.41% of the companies in the same industry.
- ZD's Price/Free Cash Flow ratio is rather cheap when compared to the industry. ZD is cheaper than 89.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.15 | ||
| EV/EBITDA | 4.77 |
4.3 Compensation for Growth
- ZD's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- The decent profitability rating of ZD may justify a higher PE ratio.
PEG (NY)1.24
PEG (5Y)N/A
EPS Next 2Y3.8%
EPS Next 3Y-0.5%
5. ZD Dividend Analysis
5.1 Amount
- ZD does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
ZD Fundamentals: All Metrics, Ratios and Statistics
46.76
-0.45 (-0.95%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Industry Strength16.15
Industry Growth73.91
Earnings (Last)02-23 2026-02-23/amc
Earnings (Next)05-07 2026-05-07
Inst Owners117.21%
Inst Owner Change-0.45%
Ins Owners0.43%
Ins Owner Change4.06%
Market Cap1.77B
Revenue(TTM)1.45B
Net Income(TTM)47.35M
Analysts77.33
Price Target43.18 (-7.66%)
Short Float %11.97%
Short Ratio3.47
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)-6.23%
Min EPS beat(2)-8.2%
Max EPS beat(2)-4.25%
EPS beat(4)1
Avg EPS beat(4)-5.55%
Min EPS beat(4)-11.23%
Max EPS beat(4)1.49%
EPS beat(8)3
Avg EPS beat(8)-2.92%
EPS beat(12)5
Avg EPS beat(12)-2.19%
EPS beat(16)7
Avg EPS beat(16)-1.63%
Revenue beat(2)0
Avg Revenue beat(2)-4.44%
Min Revenue beat(2)-5.16%
Max Revenue beat(2)-3.71%
Revenue beat(4)1
Avg Revenue beat(4)-2.33%
Min Revenue beat(4)-5.16%
Max Revenue beat(4)1.14%
Revenue beat(8)1
Avg Revenue beat(8)-3.11%
Revenue beat(12)2
Avg Revenue beat(12)-2.8%
Revenue beat(16)2
Avg Revenue beat(16)-3.23%
PT rev (1m)-2.52%
PT rev (3m)-2.52%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-26.12%
EPS NY rev (1m)-3.56%
EPS NY rev (3m)-7.23%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-8.4%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-7.23%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.98 | ||
| Fwd PE | 6.61 | ||
| P/S | 1.22 | ||
| P/FCF | 6.15 | ||
| P/OCF | 4.35 | ||
| P/B | 1.01 | ||
| P/tB | N/A | ||
| EV/EBITDA | 4.77 |
EPS(TTM)6.7
EY14.33%
EPS(NY)7.08
Fwd EY15.14%
FCF(TTM)7.61
FCFY16.27%
OCF(TTM)10.76
OCFY23.01%
SpS38.35
BVpS46.34
TBVpS-5.24
PEG (NY)1.24
PEG (5Y)N/A
Graham Number83.5825 (78.75%)
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.29% | ||
| ROE | 2.7% | ||
| ROCE | 7.75% | ||
| ROIC | 4.81% | ||
| ROICexc | 6.28% | ||
| ROICexgc | 420.73% | ||
| OM | 13.83% | ||
| PM (TTM) | 3.26% | ||
| GM | 85.76% | ||
| FCFM | 19.84% |
ROA(3y)1.4%
ROA(5y)3.83%
ROE(3y)2.79%
ROE(5y)7.39%
ROIC(3y)4.36%
ROIC(5y)4.34%
ROICexc(3y)5.61%
ROICexc(5y)5.68%
ROICexgc(3y)164.02%
ROICexgc(5y)117.71%
ROCE(3y)7.03%
ROCE(5y)6.99%
ROICexgc growth 3Y115.8%
ROICexgc growth 5YN/A
ROICexc growth 3Y2.26%
ROICexc growth 5Y13.19%
OM growth 3Y-5.28%
OM growth 5Y2.97%
PM growth 3Y-10.68%
PM growth 5Y-24.14%
GM growth 3Y-0.07%
GM growth 5Y0.27%
F-Score7
Asset Turnover0.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.41 | ||
| Debt/FCF | 3.01 | ||
| Debt/EBITDA | 1.67 | ||
| Cap/Depr | 52.12% | ||
| Cap/Sales | 8.21% | ||
| Interest Coverage | 5.8 | ||
| Cash Conversion | 94.81% | ||
| Profit Quality | 607.91% | ||
| Current Ratio | 1.27 | ||
| Quick Ratio | 1.27 | ||
| Altman-Z | 1.75 |
F-Score7
WACC6.86%
ROIC/WACC0.7
Cap/Depr(3y)49.44%
Cap/Depr(5y)47.58%
Cap/Sales(3y)7.93%
Cap/Sales(5y)7.89%
Profit Quality(3y)522.27%
Profit Quality(5y)401.87%
High Growth Momentum
Growth
EPS 1Y (TTM)0.45%
EPS 3Y0.25%
EPS 5Y-4.05%
EPS Q2Q%-0.78%
EPS Next Y5.64%
EPS Next 2Y3.8%
EPS Next 3Y-0.5%
EPS Next 5YN/A
Revenue 1Y (TTM)3.54%
Revenue growth 3Y1.42%
Revenue growth 5Y4.6%
Sales Q2Q%-1.48%
Revenue Next Year-4.52%
Revenue Next 2Y-1.24%
Revenue Next 3Y-2.71%
Revenue Next 5YN/A
EBIT growth 1Y0.88%
EBIT growth 3Y-3.93%
EBIT growth 5Y7.71%
EBIT Next Year16.95%
EBIT Next 3Y3.16%
EBIT Next 5YN/A
FCF growth 1Y1.48%
FCF growth 3Y7.74%
FCF growth 5Y-5.62%
OCF growth 1Y4.29%
OCF growth 3Y6.56%
OCF growth 5Y-3.25%
ZIFF DAVIS INC / ZD Fundamental Analysis FAQ
What is the ChartMill fundamental rating of ZIFF DAVIS INC (ZD) stock?
ChartMill assigns a fundamental rating of 4 / 10 to ZD.
What is the valuation status for ZD stock?
ChartMill assigns a valuation rating of 8 / 10 to ZIFF DAVIS INC (ZD). This can be considered as Undervalued.
What is the profitability of ZD stock?
ZIFF DAVIS INC (ZD) has a profitability rating of 6 / 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 5.64% 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%.