WBAG:NEXI

Stock Analysis Report

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Executive Summary

Nexi S.p.A. provides electronic money and payment services to banks, financial and insurance institutions, merchants, businesses, and public administration in Italy.


Snowflake Analysis

Moderate growth potential with poor track record.


Similar Companies

Share Price & News

How has Nexi's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: NEXI's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

5.0%

NEXI

5.4%

AT IT

4.1%

AT Market


1 Year Return

63.2%

NEXI

4.9%

AT IT

-16.4%

AT Market

Return vs Industry: NEXI exceeded the Austrian IT industry which returned 4.6% over the past year.

Return vs Market: NEXI exceeded the Austrian Market which returned -19.4% over the past year.


Shareholder returns

NEXIIndustryMarket
7 Day5.0%5.4%4.1%
30 Day13.6%17.8%7.3%
90 Day4.3%4.2%-10.0%
1 Year63.2%63.2%5.7%4.9%-15.4%-16.4%
3 Yearn/a19.9%11.2%-12.4%-19.1%
5 Yearn/a91.0%72.0%17.5%2.7%

Price Volatility Vs. Market

How volatile is Nexi's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Nexi undervalued compared to its fair value and its price relative to the market?

259.05x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: NEXI (€15.01) is trading above our estimate of fair value (€6.38)

Significantly Below Fair Value: NEXI is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: NEXI is poor value based on its PE Ratio (258.4x) compared to the IT industry average (19.5x).

PE vs Market: NEXI is poor value based on its PE Ratio (258.4x) compared to the Austrian market (10.8x).


Price to Earnings Growth Ratio

PEG Ratio: NEXI is poor value based on its PEG Ratio (5.9x)


Price to Book Ratio

PB vs Industry: NEXI is overvalued based on its PB Ratio (7.2x) compared to the XE IT industry average (2.4x).


Next Steps

Future Growth

How is Nexi forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?

43.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: NEXI's forecast earnings growth (43.6% per year) is above the savings rate (0.5%).

Earnings vs Market: NEXI's earnings (43.6% per year) are forecast to grow faster than the Austrian market (22.1% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: NEXI's revenue is expected to decline over the next 3 years (-4.3% per year).

High Growth Revenue: NEXI's revenue is forecast to decline over the next 3 years (-4.3% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: NEXI's Return on Equity is forecast to be low in 3 years time (18.3%).


Next Steps

Past Performance

How has Nexi performed over the past 5 years?

-17.8%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: NEXI has high quality earnings.

Growing Profit Margin: NEXI's current net profit margins (2.2%) are lower than last year (4.6%).


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if NEXI's year-on-year earnings growth rate was positive over the past 5 years.

Accelerating Growth: NEXI's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: NEXI had negative earnings growth (-17.8%) over the past year, making it difficult to compare to the IT industry average (9%).


Return on Equity

High ROE: NEXI's Return on Equity (2.8%) is considered low.


Next Steps

Financial Health

How is Nexi's financial position?


Financial Position Analysis

Short Term Liabilities: NEXI's short term assets (€1.9B) exceed its short term liabilities (€629.9M).

Long Term Liabilities: NEXI's short term assets (€1.9B) do not cover its long term liabilities (€3.3B).


Debt to Equity History and Analysis

Debt Level: NEXI's debt to equity ratio (235%) is considered high.

Reducing Debt: Insufficient data to determine if NEXI's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: NEXI's debt is not well covered by operating cash flow (5.8%).

Interest Coverage: NEXI's interest payments on its debt are not well covered by EBIT (1.2x coverage).


Balance Sheet


Next Steps

Dividend

What is Nexi's current dividend yield, its reliability and sustainability?

0.43%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate NEXI's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate NEXI's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if NEXI's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if NEXI's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: NEXI is not paying a notable dividend for the Austrian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of NEXI's dividend in 3 years as they are not forecast to pay a notable one for the Austrian market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?


CEO

Paolo Bertoluzzo (53yo)

no data

Tenure

Mr. Paolo Bertoluzzo serves as Chief Executive Officer, General Manager and Director of Nexi SpA. Mr. Bertoluzzo served as the Group Chief Commercial and Operations Officer of Vodacom Group Limited from Oc ...


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Nexi S.p.A.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Nexi S.p.A.
  • Ticker: NEXI
  • Exchange: WBAG
  • Founded:
  • Industry: Data Processing and Outsourced Services
  • Sector: Software
  • Market Cap: €9.464b
  • Shares outstanding: 627.78m
  • Website: https://www.nexi.it

Number of Employees


Location

  • Nexi S.p.A.
  • Corso Sempione 55
  • Milan
  • Milan
  • 20149
  • Italy

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
NEXIBIT (Borsa Italiana)YesOrdinary SharesITEURApr 2019
NEXIWBAG (Wiener Boerse AG)YesOrdinary SharesATEURApr 2019
NEXIMBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEURApr 2019
N0XADB (Deutsche Boerse AG)YesOrdinary SharesDEEURApr 2019
NEXP.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDApr 2019
0NX5LSE (London Stock Exchange)YesOrdinary SharesGBEURApr 2019
NEXX.YOTCPK (Pink Sheets LLC)UNSPONSRD ADSUSUSDJul 2019

Biography

Nexi S.p.A. provides electronic money and payment services to banks, financial and insurance institutions, merchants, businesses, and public administration in Italy. The company offers acquiring services; configuration, activation, and maintenance of POS terminals; fraud prevention; and dispute management services, as well as customer support services. It also provides a range of issuing services, such as issue, supply, and management of private and corporate payment cards; installation and management of ATM’s; clearing services; and digital banking services for the management of current accounts and payments. In addition, the company offers application and administrative outsourcing, and legal advisory services; and software applications for invoice management and storage, prepaid card reloading, bill payments, and postal payments. The company is based in Milan, Italy. Nexi S.p.A. is a subsidiary of Mercury UK Holdco Limited. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/06/04 01:35
End of Day Share Price2020/06/03 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.