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IRI

Integrated ResearchASX:IRI Stock Report

Market Cap

AU$277.6m

7D

-0.9%

1Y

-56.5%

Updated

22 Oct, 2021

Data

Company Financials +
IRI fundamental analysis
Snowflake Score
Valuation3/6
Future Growth4/6
Past Performance1/6
Financial Health5/6
Dividends0/6

IRI Overview

Integrated Research Limited designs, develops, implements, and sells systems and applications management computer software for business-critical computing, and unified communication and payment networks.

Integrated Research Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Integrated Research
Historical stock prices
Current Share PriceAU$1.61
52 Week HighAU$1.54
52 Week LowAU$3.84
Beta0.73
1 Month Change-3.88%
3 Month Change-18.89%
1 Year Change-56.49%
3 Year Change-25.12%
5 Year Change-30.00%
Change since IPO12.59%

Recent News & Updates

Sep 27
Investors Could Be Concerned With Integrated Research's (ASX:IRI) Returns On Capital

Investors Could Be Concerned With Integrated Research's (ASX:IRI) Returns On Capital

What trends should we look for it we want to identify stocks that can multiply in value over the long term? Firstly...

Aug 22
Does Integrated Research (ASX:IRI) Have A Healthy Balance Sheet?

Does Integrated Research (ASX:IRI) Have A Healthy Balance Sheet?

Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility...

Shareholder Returns

IRIAU SoftwareAU Market
7D-0.9%2.2%0.7%
1Y-56.5%28.7%21.4%

Return vs Industry: IRI underperformed the Australian Software industry which returned 28.7% over the past year.

Return vs Market: IRI underperformed the Australian Market which returned 21.4% over the past year.

Price Volatility

Is IRI's price volatile compared to industry and market?
IRI volatility
IRI Beta0.73
Industry Beta0.85
Market Beta1

Stable Share Price: IRI is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: IRI's weekly volatility (7%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1988240John Ruthvenhttps://www.ir.com

Integrated Research Limited designs, develops, implements, and sells systems and applications management computer software for business-critical computing, and unified communication and payment networks. The company offers Prognosis, an integrated suite of monitoring and management software designed to give an organization’s management and technical personnel operational insight into the HP NonStop platform, distributed system servers, unified communications, payment environments, and the business applications. It also provides testing, maintenance, and professional services, as well as software as a service solution.

Integrated Research Fundamentals Summary

How do Integrated Research's earnings and revenue compare to its market cap?
IRI fundamental statistics
Market CapAU$277.60m
Earnings (TTM)AU$7.94m
Revenue (TTM)AU$78.49m

35.0x

P/E Ratio

3.5x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
IRI income statement (TTM)
RevenueAU$78.49m
Cost of RevenueAU$0
Gross ProfitAU$78.49m
ExpensesAU$70.56m
EarningsAU$7.94m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.046
Gross Margin100.00%
Net Profit Margin10.11%
Debt/Equity Ratio8.0%

How did IRI perform over the long term?

See historical performance and comparison

Valuation

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

8.9%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: IRI (A$1.61) is trading below our estimate of fair value (A$1.77)

Significantly Below Fair Value: IRI is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: IRI is good value based on its PE Ratio (35x) compared to the Australian Software industry average (45.8x).

PE vs Market: IRI is poor value based on its PE Ratio (35x) compared to the Australian market (19.8x).


Price to Earnings Growth Ratio

PEG Ratio: IRI is poor value based on its PEG Ratio (1.2x)


Price to Book Ratio

PB vs Industry: IRI is good value based on its PB Ratio (3.3x) compared to the AU Software industry average (5.2x).


Future Growth

How is Integrated Research forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

28.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: IRI's forecast earnings growth (28.6% per year) is above the savings rate (1.9%).

Earnings vs Market: IRI's earnings (28.6% per year) are forecast to grow faster than the Australian market (11.5% per year).

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

Revenue vs Market: IRI's revenue (10.4% per year) is forecast to grow faster than the Australian market (5.3% per year).

High Growth Revenue: IRI's revenue (10.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: IRI's Return on Equity is forecast to be low in 3 years time (15%).


Past Performance

How has Integrated Research performed over the past 5 years?

-3.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: IRI has high quality earnings.

Growing Profit Margin: IRI's current net profit margins (10.1%) are lower than last year (21.7%).


Past Earnings Growth Analysis

Earnings Trend: IRI's earnings have declined by 3% per year over the past 5 years.

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

Earnings vs Industry: IRI had negative earnings growth (-67%) over the past year, making it difficult to compare to the Software industry average (37.5%).


Return on Equity

High ROE: IRI's Return on Equity (9.5%) is considered low.


Financial Health

How is Integrated Research's financial position?


Financial Position Analysis

Short Term Liabilities: IRI's short term assets (A$68.1M) exceed its short term liabilities (A$31.7M).

Long Term Liabilities: IRI's short term assets (A$68.1M) exceed its long term liabilities (A$20.0M).


Debt to Equity History and Analysis

Debt Level: IRI's debt to equity ratio (8%) is considered satisfactory.

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

Debt Coverage: IRI's debt is well covered by operating cash flow (316.6%).

Interest Coverage: IRI earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Integrated Research current dividend yield, its reliability and sustainability?

0.62%

Forecast Dividend Yield


Dividend Yield vs Market

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

High Dividend: Unable to evaluate IRI'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 IRI's dividends per share have been stable in the past.

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


Current Payout to Shareholders

Dividend Coverage: IRI is not paying a notable dividend for the Australian market.


Future Payout to Shareholders

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


Next Steps

Management

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

2.4yrs

Average management tenure


CEO

John Ruthven

2.25yrs

Tenure

AU$841,578

Compensation

Mr. John Ruthven has been the Managing Director and Director at Integrated Research Limited since September 12, 2019 and is its Chief Executive Officer since July 8, 2019. Mr. Ruthven served as Operating O...


CEO Compensation Analysis

Compensation vs Market: John's total compensation ($USD630.25K) is about average for companies of similar size in the Australian market ($USD559.78K).

Compensation vs Earnings: John's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: IRI's management team is considered experienced (2.4 years average tenure).


Board Members

Experienced Board: IRI's board of directors are not considered experienced ( 1.4 years average tenure), which suggests a new board.


Ownership

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


Insider Trading Volume

Insider Buying: IRI 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

Integrated Research Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Integrated Research Limited
  • Ticker: IRI
  • Exchange: ASX
  • Founded: 1988
  • Industry: Application Software
  • Sector: Software
  • Market Cap: AU$277.598m
  • Shares outstanding: 172.42m
  • Website: https://www.ir.com

Number of Employees


Location

  • Integrated Research Limited
  • 100 Pacific Highway
  • Level 9
  • North Sydney
  • New South Wales
  • 2060
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/22 15:35
End of Day Share Price2021/10/22 00:00
Earnings2021/06/30
Annual Earnings2021/06/30


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.