We’ve recently updated our valuation analysis.

Nitro Software Valuation

Is NTO undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for NTO?

Other financial metrics that can be useful for relative valuation.

NTO key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue5.7x
Enterprise Value/EBITDA-15.2x
PEG Ration/a

Price to Sales Ratio vs Peers

How does NTO's PS Ratio compare to its peers?

The above table shows the PS ratio for NTO vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPSEstimated GrowthMarket Cap
Peer Average4.4x
ELO ELMO Software
5.2x17.2%AU$479.1m
IFM Infomedia
3.5x8.1%AU$424.6m
RDY ReadyTech Holdings
5.3x14.9%AU$411.6m
FCL FINEOS Corporation Holdings
3.5x9.3%AU$672.8m
NTO Nitro Software
6.2x15.1%AU$522.3m

Price-To-Sales vs Peers: NTO is expensive based on its Price-To-Sales Ratio (6.2x) compared to the peer average (4.4x).


Price to Earnings Ratio vs Industry

How does NTO's PE Ratio compare vs other companies in the AU Software Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a33.4%
n/an/an/a

Price-To-Sales vs Industry: NTO is expensive based on its Price-To-Sales Ratio (6.2x) compared to the Australian Software industry average (3.5x)


Price to Sales Ratio vs Fair Ratio

What is NTO's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

NTO PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio6.2x
Fair PS Ratio7.9x

Price-To-Sales vs Fair Ratio: NTO is good value based on its Price-To-Sales Ratio (6.2x) compared to the estimated Fair Price-To-Sales Ratio (7.9x).


Share Price vs Fair Value

What is the Fair Price of NTO when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: NTO (A$2.16) is trading below our estimate of fair value (A$2.78)

Significantly Below Fair Value: NTO is trading below fair value by more than 20%.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst NTO forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentAU$2.16
AU$2.10
-2.7%
18.9%AU$2.90AU$1.67n/a6
Jan ’24AU$2.22
AU$2.10
-5.4%
18.9%AU$2.90AU$1.67n/a6
Dec ’23AU$2.10
AU$2.09
-0.5%
18.6%AU$2.88AU$1.69n/a6
Nov ’23AU$2.07
AU$2.10
+1.2%
24.4%AU$3.06AU$1.41n/a6
Oct ’23AU$1.61
AU$1.94
+20.8%
24.1%AU$2.84AU$1.31n/a6
Sep ’23AU$1.59
AU$1.92
+21.4%
25.4%AU$2.86AU$1.32n/a6
Aug ’23AU$1.11
AU$2.30
+108.5%
33.5%AU$3.72AU$1.29n/a8
Jul ’23AU$1.34
AU$2.67
+99.5%
18.5%AU$3.61AU$1.97n/a8
Jun ’23AU$1.39
AU$2.73
+96.7%
18.5%AU$3.70AU$2.02n/a8
May ’23AU$1.37
AU$2.75
+100.4%
19.8%AU$3.67AU$2.01n/a8
Apr ’23AU$1.46
AU$3.10
+112.1%
36.0%AU$5.89AU$2.23n/a8
Mar ’23AU$1.46
AU$3.51
+140.5%
30.7%AU$6.11AU$2.56n/a8
Feb ’23AU$1.94
AU$4.18
+115.5%
23.2%AU$6.08AU$3.08n/a7
Jan ’23AU$2.47
AU$4.75
+92.5%
14.2%AU$6.08AU$4.16AU$2.225
Dec ’22AU$3.43
AU$4.75
+38.6%
14.2%AU$6.08AU$4.16AU$2.105
Nov ’22AU$3.77
AU$4.68
+24.2%
16.8%AU$6.39AU$3.57AU$2.077
Oct ’22AU$3.65
AU$4.49
+23.1%
21.4%AU$6.36AU$3.65AU$1.615
Sep ’22AU$3.25
AU$4.07
+25.2%
6.1%AU$4.35AU$3.70AU$1.594
Aug ’22AU$3.39
AU$4.02
+18.7%
5.0%AU$4.20AU$3.70AU$1.114
Jul ’22AU$3.19
AU$3.89
+22.0%
1.2%AU$3.93AU$3.82AU$1.344
Jun ’22AU$2.86
AU$3.76
+31.5%
2.0%AU$3.89AU$3.70AU$1.394
May ’22AU$3.11
AU$4.09
+31.6%
16.7%AU$5.45AU$3.69AU$1.375
Apr ’22AU$2.64
AU$4.18
+58.3%
17.8%AU$5.46AU$3.67AU$1.464
Mar ’22AU$2.66
AU$4.09
+53.7%
21.1%AU$5.51AU$3.20AU$1.464
Feb ’22AU$3.16
AU$4.07
+28.8%
25.6%AU$5.53AU$3.22AU$1.943
Jan ’22AU$3.20
AU$4.24
+32.6%
26.0%AU$5.80AU$3.37AU$2.473

Analyst Forecast: Target price is lower than the current share price.


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