Confluent Inc.
Find Ratings ReportsCONFLUENT INC's gross profit margin for the fourth quarter of its fiscal year 2023 has increased when compared to the same period a year ago. The company grew its sales and net income significantly quarter versus same quarter a year prior, and was able to outpace the average competitor in the subsector when comparing revenue growth, but not when comparing net income growth. CONFLUENT INC is extremely liquid. Currently, the Quick Ratio is 4.38 which clearly shows the ability to cover any short-term cash needs. The company's liquidity has decreased from the same period last year.
During the same period, stockholders' equity ("net worth") has increased by 5.32% from the same quarter last year. Overall, the key liquidity measurements indicate that the company is very unlikely to face financial difficulties in the near future.
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Income Statement | Q4 FY23 | Q4 FY22 |
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Net Sales ($mil) | 213.18 | 168.67 |
EBITDA ($mil) | -75.19 | -111.4 |
EBIT ($mil) | -79.11 | -113.88 |
Net Income ($mil) | -94.1 | -105.88 |
Balance Sheet | Q4 FY23 | Q4 FY22 |
---|---|---|
Cash & Equiv. ($mil) | 1900.77 | 1926.83 |
Total Assets ($mil) | 2460.81 | 2344.85 |
Total Debt ($mil) | 1113.59 | 1117.01 |
Equity ($mil) | 810.42 | 769.48 |
Profitability | Q4 FY23 | Q4 FY22 |
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Gross Profit Margin | 75.08 | 69.49 |
EBITDA Margin | -35.27 | -66.04 |
Operating Margin | -37.11 | -67.52 |
Sales Turnover | 0.32 | 0.25 |
Return on Assets | -17.99 | -19.29 |
Return on Equity | -54.63 | -58.81 |
Debt | Q4 FY23 | Q4 FY22 |
---|---|---|
Current Ratio | 4.62 | 5.18 |
Debt/Capital | 0.58 | 0.59 |
Interest Expense | 0.96 | 0.96 |
Interest Coverage | -82.15 | -118.87 |
Share Data | Q4 FY23 | Q4 FY22 |
---|---|---|
Shares outstanding (mil) | 311.51 | 289.38 |
Div / share | 0.0 | 0.0 |
EPS | -0.3 | -0.37 |
Book value / share | 2.6 | 2.66 |
Institutional Own % | n/a | n/a |
Avg Daily Volume | 5397716.0 | 5532325.0 |
SELL. The current P/E ratio is negative, which has no meaningful value in the assessment of premium or discount valuation, it simply displays that the company has negative earnings. For additional comparison, its price-to-book ratio of 11.95 indicates a significant premium versus the S&P 500 average of 4.68 and a discount versus the subsector average of 13.14. The price-to-sales ratio is well above the S&P 500 average, but well below the subsector average. After reviewing these and other key valuation criteria, CONFLUENT INC proves to trade at a discount to investment alternatives.
Price/Earnings |
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Price/Cash Flow |
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CFLT NM | Peers 54.01 | CFLT NM | Peers 269.30 | |||||||||||||||||||||
Neutral. The absence of a valid P/E ratio happens when a stock can not be valued on the basis of a negative stream of earnings. CFLT's P/E is negative making this valuation measure meaningless. |
Neutral. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures. CFLT's P/CF is negative making the measure meaningless. |
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Price/Projected Earnings |
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Price to Earnings/Growth |
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CFLT 91.41 | Peers 113.26 | CFLT NA | Peers 0.51 | |||||||||||||||||||||
Premium. A higher price-to-projected earnings ratio than its peers can signify a more expensive stock or higher future growth expectations. CFLT is trading at a significant premium to its peers. |
Neutral. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples. Ratio not available. |
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Price/Book |
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Earnings Growth |
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CFLT 11.95 | Peers 13.14 | CFLT 8.70 | Peers 32.50 | |||||||||||||||||||||
Average. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet. CFLT is trading at a valuation on par with its peers. |
Lower. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios. However, CFLT is expected to significantly trail its peers on the basis of its earnings growth rate. |
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Price/Sales |
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Sales Growth |
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CFLT 12.46 | Peers 15.40 | CFLT 32.59 | Peers 13.39 | |||||||||||||||||||||
Discount. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales. CFLT is trading at a discount to its subsector on this measurement. |
Higher. A sales growth rate that exceeds the subsector implies that a company is gaining market share. CFLT has a sales growth rate that significantly exceeds its peers. |
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