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CARD

CSU CardsystemBOVESPA:CARD3 Stock Report

Market Cap

R$487.1m

7D

-13.2%

1Y

-19.7%

Updated

02 Dec, 2021

Data

Company Financials
CARD3 fundamental analysis
Snowflake Score
Valuation5/6
Future Growth0/6
Past Performance4/6
Financial Health6/6
Dividends3/6

CARD3 Stock Overview

CSU CardSystem S.A. engages in the processing of electronic payment transactions, customer relationships, and reward programs in Brazil.

Price History & Performance

Summary of all time highs, changes and price drops for CSU Cardsystem
Historical stock prices
Current Share PriceR$12.00
52 Week HighR$28.98
52 Week LowR$11.51
Beta1.63
1 Month Change-31.78%
3 Month Change-42.28%
1 Year Change-19.73%
3 Year Change62.38%
5 Year Change155.32%
Change since IPO-31.43%

Recent News & Updates

Oct 26
Does CSU Cardsystem (BVMF:CARD3) Have A Healthy Balance Sheet?

Does CSU Cardsystem (BVMF:CARD3) Have A Healthy Balance Sheet?

Some say volatility, rather than debt, is the best way to think about risk as an investor, but Warren Buffett famously...

Aug 18
Here's Why We Think CSU Cardsystem (BVMF:CARD3) Is Well Worth Watching

Here's Why We Think CSU Cardsystem (BVMF:CARD3) Is Well Worth Watching

Like a puppy chasing its tail, some new investors often chase 'the next big thing', even if that means buying 'story...

May 24
CSU Cardsystem (BVMF:CARD3) Has A Rock Solid Balance Sheet

CSU Cardsystem (BVMF:CARD3) Has A Rock Solid Balance Sheet

David Iben put it well when he said, 'Volatility is not a risk we care about. What we care about is avoiding the...

Shareholder Returns

CARD3BR ITBR Market
7D-13.2%-9.2%-3.7%
1Y-19.7%-41.6%-11.9%

Return vs Industry: CARD3 exceeded the BR IT industry which returned -39.6% over the past year.

Return vs Market: CARD3 underperformed the BR Market which returned -12.8% over the past year.

Price Volatility

Is CARD3's price volatile compared to industry and market?
CARD3 volatility
CARD3 Average Weekly Movement7.6%
IT Industry Average Movement6.7%
Market Average Movement6.7%
10% most volatile stocks in BR Market10.5%
10% least volatile stocks in BR Market3.2%

Stable Share Price: CARD3 is not significantly more volatile than the rest of BR stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: CARD3's weekly volatility (8%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1992n/aMarcos Leitehttps://www.csu.com.br

CSU CardSystem S.A. engages in the processing of electronic payment transactions, customer relationships, and reward programs in Brazil. The company offers CSU. CardSystem solutions, such as processing, fraud prevention, contact center, back office, cards embossing, operation and network management, charge back, and web services to banks, Fintechs, and retailers; MarketSystem that provides relationship marketing, e-commerce, loyalty, and incentive solutions; and ITS that offers IT outsourcing and data center management services.

CSU Cardsystem Fundamentals Summary

How do CSU Cardsystem's earnings and revenue compare to its market cap?
CARD3 fundamental statistics
Market CapR$487.14m
Earnings (TTM)R$57.83m
Revenue (TTM)R$503.05m

8.5x

P/E Ratio

1.0x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
CARD3 income statement (TTM)
RevenueR$503.05m
Cost of RevenueR$353.68m
Gross ProfitR$149.37m
ExpensesR$91.54m
EarningsR$57.83m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)1.41
Gross Margin29.69%
Net Profit Margin11.50%
Debt/Equity Ratio10.9%

How did CARD3 perform over the long term?

See historical performance and comparison

Dividends

3.7%

Current Dividend Yield

15%

Payout Ratio

Valuation

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

30.6%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CARD3 (R$12) is trading below our estimate of fair value (R$17.28)

Significantly Below Fair Value: CARD3 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: CARD3 is good value based on its PE Ratio (8.5x) compared to the South American IT industry average (12.9x).

PE vs Market: CARD3 is good value based on its PE Ratio (8.5x) compared to the BR market (9.9x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate CARD3's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: CARD3 is good value based on its PB Ratio (1.5x) compared to the XS IT industry average (1.8x).


Future Growth

How is CSU Cardsystem forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

16.9%

Forecasted Software industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as CSU Cardsystem has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Past Performance

How has CSU Cardsystem performed over the past 5 years?

6.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CARD3 has high quality earnings.

Growing Profit Margin: CARD3's current net profit margins (11.5%) are higher than last year (9.4%).


Past Earnings Growth Analysis

Earnings Trend: CARD3's earnings have grown by 6.4% per year over the past 5 years.

Accelerating Growth: CARD3's earnings growth over the past year (36.4%) exceeds its 5-year average (6.4% per year).

Earnings vs Industry: CARD3 earnings growth over the past year (36.4%) underperformed the IT industry 36.4%.


Return on Equity

High ROE: CARD3's Return on Equity (18.1%) is considered low.


Financial Health

How is CSU Cardsystem's financial position?


Financial Position Analysis

Short Term Liabilities: CARD3's short term assets (R$173.7M) exceed its short term liabilities (R$152.4M).

Long Term Liabilities: CARD3's short term assets (R$173.7M) exceed its long term liabilities (R$85.5M).


Debt to Equity History and Analysis

Debt Level: CARD3 has more cash than its total debt.

Reducing Debt: CARD3's debt to equity ratio has reduced from 19.6% to 10.9% over the past 5 years.

Debt Coverage: CARD3's debt is well covered by operating cash flow (348.3%).

Interest Coverage: CARD3's interest payments on its debt are well covered by EBIT (14.6x coverage).


Balance Sheet


Dividend

What is CSU Cardsystem current dividend yield, its reliability and sustainability?

3.73%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: CARD3's dividend (3.73%) is higher than the bottom 25% of dividend payers in the BR market (1.29%).

High Dividend: CARD3's dividend (3.73%) is low compared to the top 25% of dividend payers in the BR market (5.83%).


Stability and Growth of Payments

Stable Dividend: CARD3's dividend payments have been volatile in the past 10 years.

Growing Dividend: CARD3's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (15.2%), CARD3's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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


CEO

Marcos Leite

no data

Tenure

Mr. Marcos Ribeiro Leite is a Founding Partner of CSU Cardsystem S.A. and serves as its Chief Executive Officer and Member of Executive Board. Mr. Leite served as the Chairman at CSU Cardsystem S.A. and se...


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.


Top Shareholders

Company Information

CSU Cardsystem S.A.'s employee growth, exchange listings and data sources


Key Information

  • Name: CSU Cardsystem S.A.
  • Ticker: CARD3
  • Exchange: BOVESPA
  • Founded: 1992
  • Industry: Data Processing and Outsourced Services
  • Sector: Software
  • Market Cap: R$487.145m
  • Shares outstanding: 41.14m
  • Website: https://www.csu.com.br

Location

  • CSU Cardsystem S.A.
  • Rua Piaui, 136
  • Nova Aldeinha
  • Barueri
  • São Paulo
  • 06440-182
  • Brazil

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/12/02 22:57
End of Day Share Price2021/12/02 00:00
Earnings2021/09/30
Annual Earnings2020/12/31


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.