DB:2C0

Stock Analysis Report

Executive Summary

Coupa Software Incorporated provides cloud-based business spend management platform.

Snowflake

Fundamentals

Adequate balance sheet with limited growth.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

10.5%

2C0

9.2%

DE Software

2.8%

DE Market


1 Year Return

155.7%

2C0

16.7%

DE Software

2.9%

DE Market

Return vs Industry: 2C0 exceeded the German Software industry which returned 16.7% over the past year.

Return vs Market: 2C0 exceeded the German Market which returned 2.9% over the past year.


Share holder returns

2C0IndustryMarket
7 Day10.5%9.2%2.8%
30 Day13.7%6.7%-0.2%
90 Day16.5%-5.1%0.9%
1 Year155.7%155.7%18.4%16.7%6.2%2.9%
3 Year433.0%433.0%54.6%48.4%18.2%8.0%
5 Yearn/a136.3%119.5%43.1%23.6%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Coupa Software undervalued based on future cash flows and its price relative to the stock market?

21.73x

Price to Book (PB) ratio


Intrinsic Value Based on Future Cash Flows

Undervalued: 2C0 (€142.15) is trading above our estimate of fair value (€51.74)

Significantly Undervalued: 2C0 is trading above our estimate of fair value.


Price Based on Earnings

PE vs Industry: 2C0 is unprofitable, so we can't compare its PE Ratio to the Software industry average.

PE vs Market: 2C0 is unprofitable, so we can't compare its PE Ratio to the German market.


Price Based on Expected Growth

Low PEG Ratio: Insufficient data to calculate 2C0's PEG Ratio to determine if it is good value.


Price Based on Value of Assets

PB vs Industry: 2C0 is overvalued based on its PB Ratio (21.7x) compared to the DE Software industry average (3x).


Next Steps

Future Growth

How is Coupa Software expected to perform in the next 1 to 3 years based on estimates from 19 analysts?

5.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Earnings vs Savings Rate: 2C0 is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: 2C0 is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: 2C0 is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: 2C0's revenue (24.1% per year) is forecast to grow faster than the German market (5% per year).

High Growth Revenue: 2C0's revenue (24.1% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Estimates


Future Return on Equity

High Future ROE: 2C0's Return on Equity is forecast to be low in 3 years time (9%).


Next Steps

Past Performance

How has Coupa Software performed over the past 5 years?

-11.9%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: 2C0 is unprofitable, and losses have increased over the past 5 years at a rate of -11.9% per year.

Accelerating Growth: Unable to compare 2C0's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 2C0 is unprofitable, making it difficult to compare its past year earnings growth to the Software industry (14.5%).


Return on Equity

High ROE: 2C0 has a negative Return on Equity (-14.68%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: 2C0 is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: 2C0 is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Coupa Software's financial position?


Financial Position Analysis

Short Term Liabilities: 2C0's short term assets (€921.0M) exceeds its short term liabilities (€431.9M)

Long Term Liabilities: 2C0's short term assets (€921.0M) exceeds its long term liabilities (€591.1M)


Debt to Equity History and Analysis

Debt Level: 2C0's debt to equity ratio (159.6%) is considered high

Reducing Debt: Insufficient data to determine if 2C0's debt to equity ratio has reduced over the past 5 years.


Balance Sheet

Inventory Level: 2C0 has a low level of unsold assets or inventory.

Debt Coverage by Assets: 2C0's debt is covered by short term assets (assets are 1.270680x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable 2C0 has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: 2C0 is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 106.3% per year.


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.5%markettop25%3.9%industryaverage1.2%forecastin3Years0%

Current dividend yield vs market & industry


Dividend Yield and Payments Analysis

Notable Dividend: Unable to evaluate 2C0's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 2C0's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if 2C0's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 2C0's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 2C0's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

What is the CEO of Coupa Software's salary, the management and board of directors tenure and is there insider trading?

4.4yrs

Average management tenure


CEO

Rob Bernshteyn (46yo)

10.7yrs

Tenure

US$9,096,500

Compensation

Mr. Robert Bernshteyn, also known as Rob, has been the Chief Executive Officer and Chairman of The Board of Coupa Software Incorporated since February 2009. Mr. Bernshteyn has been Director of Medallia, In ...


CEO Compensation Analysis

Compensation vs. Market: Rob's total compensation ($USD9.10M) is about average for companies of similar size in the German market ($USD4.48M).

Compensation vs Earnings: Rob's compensation has increased whilst the company is unprofitable.


Management Age and Tenure

4.4yrs

Average Tenure

44yo

Average Age

Experienced Management: 2C0's management team is considered experienced (4.4 years average tenure).


Board Age and Tenure

3.5yrs

Average Tenure

61yo

Average Age

Experienced Board: 2C0's board of directors are considered experienced (3.5 years average tenure).


Insider Trading

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


Recent Insider Transactions

SellUS$69,49724 Jun 19
Mark Riggs
EntityIndividual
Role
Member of Advisory Board
Chief Customer Officer & Member of Executive Advisory Board
Shares626
Max PriceUS$111.02

Ownership Breakdown


Management Team

  • Todd Ford (52yo)

    Chief Financial Officer

    • Tenure: 4.4yrs
    • Compensation: US$3.63m
  • Rob Bernshteyn (46yo)

    Chairman of the Board & CEO

    • Tenure: 10.7yrs
    • Compensation: US$9.10m
  • David Williams (42yo)

    Senior Vice President of Technology

    • Tenure: 8.6yrs
  • Mark Riggs

    Chief Customer Officer & Member of Executive Advisory Board

    • Tenure: 1.5yrs
    • Compensation: US$1.01m
  • Nicole Noutsios

    Investor Relations Officer

    • Tenure: 0yrs
  • Jon Stueve (43yo)

    Senior VP & General Counsel

    • Tenure: 5.8yrs
  • Ravi Thakur (44yo)

    Senior Vice President of Business Acceleration

    • Tenure: 0yrs
    • Compensation: US$946.81k
  • Steve Winter (58yo)

    Chief Revenue Officer

    • Tenure: 3.1yrs
    • Compensation: US$1.65m
  • Anthony Tiscornia (43yo)

    Principal Accounting Officer

    • Tenure: 2.4yrs
  • Roger Kopfmann

    Senior Vice President of Operations

    • Tenure: 0yrs

Board Members

  • Roger Siboni (65yo)

    Lead Independent Director

    • Tenure: 3.2yrs
    • Compensation: US$227.02k
  • George Bischof

    Board Observer

    • Tenure: 0yrs
  • Jim Feuille (61yo)

    Board Observer

    • Tenure: 0yrs
  • Scott Thompson (61yo)

    Independent Director

    • Tenure: 6.4yrs
    • Compensation: US$196.14k
  • Rob Bernshteyn (46yo)

    Chairman of the Board & CEO

    • Tenure: 10.7yrs
    • Compensation: US$9.10m
  • Frank van Veenendaal (59yo)

    Independent Director

    • Tenure: 3.8yrs
    • Compensation: US$201.14k
  • Mark Riggs

    Chief Customer Officer & Member of Executive Advisory Board

    • Tenure: 1.5yrs
    • Compensation: US$1.01m
  • Chandar Pattabhiram

    Chief Marketing Officer & Member of Executive Advisory Board

    • Tenure: 1.5yrs
  • Donna Wilczek

    VP of Product Strategy & Innovation and Member of Executive Advisory Board

    • Tenure: 3.5yrs
  • Leslie C. Campbell (61yo)

    Independent Director

    • Tenure: 3.4yrs
    • Compensation: US$203.27k

Company Information

Coupa Software Incorporated's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Coupa Software Incorporated
  • Ticker: 2C0
  • Exchange: DB
  • Founded: 2006
  • Industry: Application Software
  • Sector: Software
  • Market Cap: US$9.885b
  • Listing Market Cap: US$8.946b
  • Shares outstanding: 62.84m
  • Website: https://www.coupa.com

Number of Employees


Location

  • Coupa Software Incorporated
  • 1855 South Grant Street
  • San Mateo
  • California
  • 94402
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
COUPNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDOct 2016
2C0DB (Deutsche Boerse AG)YesCommon StockDEEUROct 2016
0I4BLSE (London Stock Exchange)YesCommon StockGBUSDOct 2016
COUP *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNOct 2016

Biography

Coupa Software Incorporated provides cloud-based business spend management platform. The company’s platform connects organization with suppliers globally; and provides visibility into and control over how  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/11 22:49
End of Day Share Price2019/10/11 00:00
Earnings2019/07/31
Annual Earnings2019/01/31


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.

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