EVS Broadcast Equipment (ENXTBR:EVS) - Share price, News & Analysis

EVS fundamental analysis
Snowflake Score
Valuation	4/6
Future Growth	1/6
Past Performance	5/6
Financial Health	6/6
Dividends	4/6

EVS Stock Overview

EVS Broadcast Equipment SA provides live video technology for broadcast and media productions worldwide.

Rewards

Trading at 34.2% below our estimate of its fair value

Revenue is forecast to grow 2.87% per year

Earnings grew by 385.7% over the past year

Risk Analysis

Earnings are forecast to decline by an average of 0.6% per year for the next 3 years

Unstable dividend track record

EVS Broadcast Equipment Competitors

Price History & Performance

Summary of all time highs, changes and price drops for EVS Broadcast Equipment
Historical stock prices
Current Share Price	€21.95
52 Week High	€22.80
52 Week Low	€17.02
Beta	0.91
1 Month Change	4.03%
3 Month Change	5.28%
1 Year Change	26.88%
3 Year Change	7.34%
5 Year Change	-37.64%
Change since IPO	117.99%

Recent News & Updates

Mar 08

Should You Investigate EVS Broadcast Equipment SA (EBR:EVS) At €18.50?

EVS Broadcast Equipment SA ( EBR:EVS ), might not be a large cap stock, but it saw significant share price movement...

Shareholder Returns

	EVS	BE Communications	BE Market
7D	4.0%	1.9%	0.7%
1Y	26.9%	-12.6%	-11.3%

Return vs Industry: EVS exceeded the Belgian Communications industry which returned -12.7% over the past year.

Return vs Market: EVS exceeded the Belgian Market which returned -12.2% over the past year.

Price Volatility

Is EVS's price volatile compared to industry and market?
EVS volatility
EVS Average Weekly Movement	3.7%
Communications Industry Average Movement	5.5%
Market Average Movement	4.5%
10% most volatile stocks in BE Market	8.0%
10% least volatile stocks in BE Market	2.5%

Stable Share Price: EVS is not significantly more volatile than the rest of Belgian stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: EVS's weekly volatility (4%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1994	551	Serge Van Herck	https://www.evs.com

EVS Broadcast Equipment SA provides live video technology for broadcast and media productions worldwide. The company offers live replay and story telling products, including live replay and highlights systems, cloud-based super slow-motion services, and graphics effects; live production, replay, studio production, and software-based studio servers; web-based asset management platform, live PAM suite, achieve digitization and content delivery, media workflow management, and connected archive and transcoding services; and broadcast control and monitoring systems and control panels. It also provides IP router products; real time media processors; media storage systems; production switchers; multi-camera review systems; camera automation systems; and live production systems.

EVS Broadcast Equipment Fundamentals Summary

How do EVS Broadcast Equipment's earnings and revenue compare to its market cap?
EVS fundamental statistics
Market Cap	€294.17m
Earnings (TTM)	€34.90m
Revenue (TTM)	€137.58m

8.4x

P/E Ratio

2.1x

P/S Ratio

Is EVS overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
EVS income statement (TTM)
Revenue	€137.58m
Cost of Revenue	€41.76m
Gross Profit	€95.81m
Other Expenses	€60.91m
Earnings	€34.90m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

Aug 25, 2022

Earnings per share (EPS)	2.60
Gross Margin	69.64%
Net Profit Margin	25.37%
Debt/Equity Ratio	3.5%

How did EVS perform over the long term?

See historical performance and comparison

Dividends

7.3%

Current Dividend Yield

38%

Payout Ratio

We’ve recently updated our valuation analysis.

Valuation

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

Valuation Score

4/6

Valuation Score 4/6

Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
PEG Ratio

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for EVS. This is calculated by dividing EVS's market cap by their current preferred multiple.
What is EVS's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	€294.17m

EVS 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/Revenue	1.8x
Enterprise Value/EBITDA	5.9x
PEG Ratio	-14.2x

Price to Earnings Ratio vs Peers

How does EVS's PE Ratio compare to its peers?

EVS PE Ratio vs Peers

The above table shows the PE ratio for EVS vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PE	Estimated Growth	Market Cap
Peer Average	120.2x

Forward PE

Price-To-Earnings vs Peers: EVS is good value based on its Price-To-Earnings Ratio (8.4x) compared to the peer average (120.2x).

Price to Earnings Ratio vs Industry

How does EVS's PE Ratio compare vs other companies in the Communications Industry?

Price-To-Earnings vs Industry: EVS is good value based on its Price-To-Earnings Ratio (8.4x) compared to the European Communications industry average (21.3x)

Price to Earnings Ratio vs Fair Ratio

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

EVS PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	8.4x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate EVS's Price-To-Earnings Fair Ratio for valuation analysis.

Share Price vs Fair Value

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

Below Fair Value: EVS (€21.95) is trading below our estimate of fair value (€33.37)

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

Price to Earnings Growth Ratio

PEG Ratio: EVS's earnings are forecast to decline next year, so we can't calculate its PEG ratio.

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Future Growth

How is EVS Broadcast Equipment forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

-0.6%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: EVS's earnings are forecast to decline over the next 3 years (-0.6% per year).

Earnings vs Market: EVS's earnings are forecast to decline over the next 3 years (-0.6% per year).

High Growth Earnings: EVS's earnings are forecast to decline over the next 3 years.

Revenue vs Market: EVS's revenue (2.9% per year) is forecast to grow faster than the Belgian market (2.2% per year).

High Growth Revenue: EVS's revenue (2.9% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: EVS's Return on Equity is forecast to be low in 3 years time (19%).

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Past Performance

How has EVS Broadcast Equipment performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

-7.0%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: EVS has high quality earnings.

Growing Profit Margin: EVS's current net profit margins (25.4%) are higher than last year (8.2%).

Past Earnings Growth Analysis

Earnings Trend: EVS's earnings have declined by 7% per year over the past 5 years.

Accelerating Growth: EVS's earnings growth over the past year (385.7%) exceeds its 5-year average (-7% per year).

Earnings vs Industry: EVS earnings growth over the past year (385.7%) exceeded the Communications industry 69.1%.

Return on Equity

High ROE: EVS's Return on Equity (21.5%) is considered high.

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Financial Health

How is EVS Broadcast Equipment's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: EVS's short term assets (€143.6M) exceed its short term liabilities (€41.0M).

Long Term Liabilities: EVS's short term assets (€143.6M) exceed its long term liabilities (€16.9M).

Debt to Equity History and Analysis

Debt Level: EVS has more cash than its total debt.

Reducing Debt: EVS's debt to equity ratio has reduced from 21.6% to 3.5% over the past 5 years.

Debt Coverage: EVS's debt is well covered by operating cash flow (679.2%).

Interest Coverage: EVS's interest payments on its debt are well covered by EBIT (44.1x coverage).

Balance Sheet

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Dividend

What is EVS Broadcast Equipment current dividend yield, its reliability and sustainability?

Dividend Score

4/6

Dividend Score 4/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

7.29%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: EVS's dividend (7.29%) is higher than the bottom 25% of dividend payers in the Belgian market (1.96%).

High Dividend: EVS's dividend (7.29%) is in the top 25% of dividend payers in the Belgian market (5.92%)

Stability and Growth of Payments

Stable Dividend: EVS's dividend payments have been volatile in the past 10 years.

Growing Dividend: EVS's dividend payments have fallen over the past 10 years.

Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (38.4%), EVS's dividend payments are well covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: With its reasonable cash payout ratio (57.8%), EVS's dividend payments are covered by cash flows.

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Management

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

2.8yrs

Average management tenure

CEO

Serge Van Herck

2.75yrs

Tenure

€558,679

Compensation

Mr. Serge Van Herck has been Chief Executive Officer of EVS Broadcast Equipment S.A. since September 9, 2019. Mr. Van Herck served as Chairman of the Board and Chief Executive Officer at Newtec Cy N.V. unt...

CEO Compensation Analysis

Compensation vs Market: Serge's total compensation ($USD589.32K) is about average for companies of similar size in the Belgian market ($USD768.17K).

Compensation vs Earnings: Serge's compensation has increased by more than 20% in the past year.

Leadership Team

Experienced Management: EVS's management team is considered experienced (2.8 years average tenure).

Board Members

Experienced Board: EVS's board of directors are considered experienced (3.1 years average tenure).

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.

Ownership Breakdown

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

Data	Last Updated (UTC time)
Company Analysis	2022/06/24 00:00
End of Day Share Price	2022/06/24 00:00
Earnings	2021/12/31
Annual Earnings	2021/12/31