This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Net 1 Ueps Technologies Inc
UEPS : NASDAQ : Services
$9.88 -0.52 | -5.00%
Today's Range: 9.77 - 10.45
Avg. Daily Volume: 343,500
02/08/16 - 3:59 PM ET

Financial Analysis


NET 1 UEPS TECHNOLOGIES INC's gross profit margin for the first quarter of its fiscal year 2016 is essentially unchanged when compared to the same period a year ago. Sales and net income have dropped, however the growth has outpaced the average competitor within the industry. NET 1 UEPS TECHNOLOGIES INC has very weak liquidity. Currently, the Quick Ratio is 0.46 which clearly shows a lack of ability to cover short-term cash needs. The company's liquidity has increased from the same period last year.

During the same period, stockholders' equity ("net worth") has increased by 5.21% from the same quarter last year. The key liquidity measurements indicate that the company is in a position in which financial difficulties could develop in the near future.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. To learn more visit www.TheStreetRatings.com.



Income Statement Q1 FY16 Q1 FY15
Net Sales ($mil)154.47156.44
EBITDA ($mil)41.3343.3
EBIT ($mil)31.2233.13
Net Income ($mil)23.0224.09


Balance Sheet Q1 FY16 Q1 FY15
Cash & Equiv. ($mil)125.6181.19
Total Assets ($mil)1209.281347.51
Total Debt ($mil)56.9275.56
Equity ($mil)462.27439.35


Profitability Q1 FY16 Q1 FY15
Gross Profit Margin49.9152.44
EBITDA Margin26.7527.67
Operating Margin20.2121.17
Sales Turnover0.520.44
Return on Assets7.746.13
Return on Equity20.2618.8
Debt Q1 FY16 Q1 FY15
Current Ratio1.361.26
Debt/Capital0.110.15
Interest Expense0.971.31
Interest Coverage32.0525.25


Share Data Q1 FY16 Q1 FY15
Shares outstanding (mil)47.3246.48
Div / share0.00.0
EPS0.490.51
Book value / share9.779.45
Institutional Own % n/a n/a
Avg Daily Volume343428.0385338.0

Valuation


BUY. NET 1 UEPS TECHNOLOGIES INC's P/E ratio indicates a significant discount compared to an average of 24.76 for the IT Services industry and a significant discount compared to the S&P 500 average of 21.13. To use another comparison, its price-to-book ratio of 1.17 indicates a discount versus the S&P 500 average of 2.51 and a significant discount versus the industry average of 7.43. The price-to-sales ratio is well below both the S&P 500 average and the industry average, indicating a discount. Upon assessment of these and other key valuation criteria, NET 1 UEPS TECHNOLOGIES INC proves to trade at a discount to investment alternatives within the industry.


Price/Earnings
1 2 3 4 5
premium   discount
  Price/Cash Flow
1 2 3 4 5
premium   discount
UEPS 5.76 Peers 24.76   UEPS 4.34 Peers 17.98

Discount. A lower P/E ratio than its peers can signify a less expensive stock or lower growth expectations.

UEPS is trading at a significant discount to its peers.

 

Discount. 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.

UEPS is trading at a significant discount to its peers.

 
Price/Projected
Earnings
1 2 3 4 5
premium   discount
  Price to
Earnings/Growth
1 2 3 4 5
premium   discount
UEPS 5.33 Peers 20.27   UEPS 1.94 Peers 1.91

Discount. A lower price-to-projected earnings ratio than its peers can signify a less expensive stock or lower future growth expectations.

UEPS is trading at a significant discount to its peers.

 

Average. 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.

UEPS trades at a valuation on par to its peers.

 
Price/Book
1 2 3 4 5
premium   discount
  Earnings Growth
1 2 3 4 5
lower   higher
UEPS 1.17 Peers 7.43   UEPS 14.36 Peers 9.65

Discount. 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.

UEPS is trading at a significant discount to its peers.

 

Higher. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.

UEPS is expected to have an earnings growth rate that significantly exceeds its peers.

 
Price/Sales
1 2 3 4 5
premium   discount
  Sales Growth
1 2 3 4 5
premium   discount
UEPS 0.87 Peers 5.27   UEPS 6.12 Peers 5.57

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.

UEPS is trading at a significant discount to its industry on this measurement.

 

Average. Comparing a company's sales growth to its industry helps to determine if the company is adding or losing market share.

UEPS is keeping pace with its peers on the basis of sales growth.

 

 

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free

Latest Stock Upgrades/Downgrades


Top Rated Stocks Top Rated Funds Top Rated ETFs