ZIFF DAVIS INC (ZD)
US48123V1026 - Common Stock
Taking everything into account, ZD scores 5 out of 10 in our fundamental rating. ZD was compared to 72 industry peers in the Interactive Media & Services industry. Both the profitability and the financial health of ZD get a neutral evaluation. Nothing too spectacular is happening here. ZD scores decently on growth, while it is valued quite cheap. This could make an interesting combination. With these ratings, ZD could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
ZD had positive earnings in the past year.
ZD had a positive operating cash flow in the past year.
In the past 5 years ZD has always been profitable.
ZD had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
ZD has a Return On Assets of 1.82%. This is in the better half of the industry: ZD outperforms 67.61% of its industry peers.
Looking at the Return On Equity, with a value of 3.56%, ZD is in the better half of the industry, outperforming 70.42% of the companies in the same industry.
ZD has a better Return On Invested Capital (4.52%) than 70.42% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for ZD is significantly below the industry average of 11.21%.
The last Return On Invested Capital (4.52%) for ZD is above the 3 year average (4.14%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.82% | ||
| ROE | 3.56% | ||
| ROIC | 4.52% |
ROA(3y)5.39%
ROA(5y)5.3%
ROE(3y)10.26%
ROE(5y)11.97%
ROIC(3y)4.14%
ROIC(5y)3.51%
1.3 Margins
Looking at the Profit Margin, with a value of 4.52%, ZD is in the better half of the industry, outperforming 74.65% of the companies in the same industry.
ZD's Profit Margin has declined in the last couple of years.
ZD has a Operating Margin of 14.59%. This is amongst the best in the industry. ZD outperforms 81.69% of its industry peers.
ZD's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 85.38%, ZD is in the better half of the industry, outperforming 78.87% 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 | 14.59% | ||
| PM (TTM) | 4.52% | ||
| GM | 85.38% |
OM growth 3Y5.16%
OM growth 5Y-7.25%
PM growth 3Y-38.35%
PM growth 5Y-21.95%
GM growth 3Y0.37%
GM growth 5Y0.52%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so ZD is destroying value.
Compared to 1 year ago, ZD has less shares outstanding
The number of shares outstanding for ZD has been reduced compared to 5 years ago.
The debt/assets ratio for ZD is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.15 indicates that ZD is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a decent Altman-Z score value of 2.15, ZD is doing good in the industry, outperforming 61.97% of the companies in the same industry.
ZD has a debt to FCF ratio of 3.95. This is a good value and a sign of high solvency as ZD would need 3.95 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 3.95, ZD is doing good in the industry, outperforming 66.20% of the companies in the same industry.
ZD has a Debt/Equity ratio of 0.49. This is a healthy value indicating a solid balance between debt and equity.
ZD has a worse Debt to Equity ratio (0.49) than 71.83% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.49 | ||
| Debt/FCF | 3.95 | ||
| Altman-Z | 2.15 |
ROIC/WACC0.63
WACC7.18%
2.3 Liquidity
A Current Ratio of 1.42 indicates that ZD should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.42, ZD is doing worse than 66.20% of the companies in the same industry.
ZD has a Quick Ratio of 1.42. This is a normal value and indicates that ZD is financially healthy and should not expect problems in meeting its short term obligations.
With a Quick ratio value of 1.42, ZD is not doing good in the industry: 66.20% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.42 | ||
| Quick Ratio | 1.42 |
3. Growth
3.1 Past
ZD shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 4.73%.
The Earnings Per Share has been decreasing by -0.51% on average over the past years.
ZD shows a small growth in Revenue. In the last year, the Revenue has grown by 0.58%.
Measured over the past years, ZD shows a small growth in Revenue. The Revenue has been growing by 2.47% on average per year.
EPS 1Y (TTM)4.73%
EPS 3Y-9.05%
EPS 5Y-0.51%
EPS Q2Q%9.33%
Revenue 1Y (TTM)0.58%
Revenue growth 3Y5.59%
Revenue growth 5Y2.47%
Sales Q2Q%3.69%
3.2 Future
The Earnings Per Share is expected to grow by 10.61% on average over the next years. This is quite good.
Based on estimates for the next years, ZD will show a small growth in Revenue. The Revenue will grow by 5.22% on average per year.
EPS Next Y9.64%
EPS Next 2Y9.9%
EPS Next 3Y10.61%
EPS Next 5YN/A
Revenue Next Year3.4%
Revenue Next 2Y4.74%
Revenue Next 3Y5.22%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 8.91, the valuation of ZD can be described as reasonable.
Based on the Price/Earnings ratio, ZD is valued cheaply inside the industry as 85.92% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 28.96, ZD is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 7.64, the valuation of ZD can be described as very cheap.
Based on the Price/Forward Earnings ratio, ZD is valued cheaply inside the industry as 92.96% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of ZD to the average of the S&P500 Index (23.82), we can say ZD is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.91 | ||
| Fwd PE | 7.64 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ZD is valued cheaply inside the industry as 88.73% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, ZD is valued cheaper than 81.69% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.71 | ||
| EV/EBITDA | 7.06 |
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.
The decent profitability rating of ZD may justify a higher PE ratio.
PEG (NY)0.92
PEG (5Y)N/A
EPS Next 2Y9.9%
EPS Next 3Y10.61%
5. Dividend
5.1 Amount
No dividends for ZD!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
ZIFF DAVIS INC
NASDAQ:ZD (11/21/2024, 4:30:02 PM)
After market: 57.22 0 (0%)57.22
+1.18 (+2.11%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap2.56B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
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Min Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
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Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.91 | ||
| Fwd PE | 7.64 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.92
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.82% | ||
| ROE | 3.56% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 14.59% | ||
| PM (TTM) | 4.52% | ||
| GM | 85.38% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.49 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.42 | ||
| Quick Ratio | 1.42 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)4.73%
EPS 3Y-9.05%
EPS 5Y
EPS Q2Q%
EPS Next Y9.64%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)0.58%
Revenue growth 3Y5.59%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y