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NA9

NagarroDB:NA9 Stock Report

Market Cap

€1.8b

7D

-3.2%

1Y

n/a

Updated

23 Sep, 2021

Data

Company Financials +
NA9 fundamental analysis
Snowflake Score
Valuation0/6
Future Growth5/6
Past Performance1/6
Financial Health4/6
Dividends0/6

NA9 Overview

Nagarro SE, a digital engineering company, provides digital engineering and technology solutions in North America, Central Europe, rest of Europe, and internationally.

Price History & Performance

Summary of all time highs, changes and price drops for Nagarro
Historical stock prices
Current Share Price€153.00
52 Week High€68.00
52 Week Low€158.00
Beta0
1 Month Change17.69%
3 Month Change50.00%
1 Year Changen/a
3 Year Changen/a
5 Year Changen/a
Change since IPO84.78%

Recent News & Updates

Shareholder Returns

NA9DE ITDE Market
7D-3.2%-0.03%-0.04%
1Yn/a26.5%27.4%

Return vs Industry: Insufficient data to determine how NA9 performed against the German IT industry.

Return vs Market: Insufficient data to determine how NA9 performed against the German Market.

Price Volatility

Is NA9's price volatile compared to industry and market?
NA9 volatility
NA9 Beta0
Industry Beta1.16
Market Beta1

Stable Share Price: NA9 is not significantly more volatile than the rest of German stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: NA9's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
202010,903Manas Fuloriahttps://www.nagarro.com

Nagarro SE, a digital engineering company, provides digital engineering and technology solutions in North America, Central Europe, rest of Europe, and internationally. The company offers digital product engineering services, including product architecture design, agile development, software development and IT operations, cloud migration, product management, user experience, and rapid prototyping; digital commerce and customer experience services comprising e-commerce solutions that enable clients to build multi-channel e-commerce businesses with a particular focus on next-generation customer experience; managed services; new generation enterprise resource planning consulting services; and third-party testing services. It serves customers in automotive, banking and financial services, energy and utilities, industry and automation, insurance, ISV, life sciences and healthcare, media and publishing, nonprofits and education, public sector, retail and CPG, telecom, and travel and logistics industries.

Nagarro Fundamentals Summary

How do Nagarro's earnings and revenue compare to its market cap?
NA9 fundamental statistics
Market Cap€1.77b
Earnings (TTM)€16.30m
Revenue (TTM)€457.70m

108.7x

P/E Ratio

3.9x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
NA9 income statement (TTM)
Revenue€457.70m
Cost of Revenue€346.37m
Gross Profit€111.34m
Expenses€95.04m
Earnings€16.30m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

Nov 12, 2021

Earnings per share (EPS)2.60
Gross Margin24.33%
Net Profit Margin3.56%
Debt/Equity Ratio249.6%

How did NA9 perform over the long term?

See historical performance and comparison

Valuation

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

108.65x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: NA9 (€153) is trading above our estimate of fair value (€119.13)

Significantly Below Fair Value: NA9 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: NA9 is poor value based on its PE Ratio (108.7x) compared to the German IT industry average (36.4x).

PE vs Market: NA9 is poor value based on its PE Ratio (108.7x) compared to the German market (23.3x).


Price to Earnings Growth Ratio

PEG Ratio: NA9 is poor value based on its PEG Ratio (3.7x)


Price to Book Ratio

PB vs Industry: NA9 is overvalued based on its PB Ratio (28x) compared to the DE IT industry average (4x).


Future Growth

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

29.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: NA9's forecast earnings growth (29.3% per year) is above the savings rate (0.01%).

Earnings vs Market: NA9's earnings (29.3% per year) are forecast to grow faster than the German market (12.7% per year).

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

Revenue vs Market: NA9's revenue (17.6% per year) is forecast to grow faster than the German market (5.8% per year).

High Growth Revenue: NA9's revenue (17.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: NA9's Return on Equity is forecast to be high in 3 years time (26.3%)


Past Performance

How has Nagarro performed over the past 5 years?

30.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: NA9 has a large one-off loss of €13.7M impacting its June 30 2021 financial results.

Growing Profit Margin: NA9's current net profit margins (3.6%) are lower than last year (7.2%).


Past Earnings Growth Analysis

Earnings Trend: NA9's earnings have grown significantly by 30.1% per year over the past 5 years.

Accelerating Growth: NA9's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: NA9 had negative earnings growth (-46.2%) over the past year, making it difficult to compare to the IT industry average (35.1%).


Return on Equity

High ROE: Whilst NA9's Return on Equity (31.22%) is high, this metric is skewed due to their high level of debt.


Financial Health

How is Nagarro's financial position?


Financial Position Analysis

Short Term Liabilities: NA9's short term assets (€219.9M) exceed its short term liabilities (€107.7M).

Long Term Liabilities: NA9's short term assets (€219.9M) exceed its long term liabilities (€218.4M).


Debt to Equity History and Analysis

Debt Level: NA9's debt to equity ratio (249.6%) is considered high.

Reducing Debt: Insufficient data to determine if NA9's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: NA9's debt is well covered by operating cash flow (20.8%).

Interest Coverage: NA9's interest payments on its debt are well covered by EBIT (7x coverage).


Balance Sheet


Dividend

What is Nagarro current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate NA9's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate NA9'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 NA9's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if NA9'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 NA9's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

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

1.1yrs

Average board tenure


CEO

Manas Fuloria (49 yo)

no data

Tenure

Dr. Manas C. Fuloria, PhD, is a Co-Founder of ChangeOne, Inc. and serves as its Chief Technology Officer. Dr. Fuloria served as a Member of The Management Board at Allgeier SE since March 3, 2014 until Sep...


Board Members

Experienced Board: NA9's board of directors are not considered experienced ( 1.1 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: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: NA9 only recently listed within the past 12 months.


Top Shareholders

Company Information

Nagarro SE's employee growth, exchange listings and data sources


Key Information

  • Name: Nagarro SE
  • Ticker: NA9
  • Exchange: DB
  • Founded: 2020
  • Industry: IT Consulting and Other Services
  • Sector: Software
  • Market Cap: €1.771b
  • Shares outstanding: 11.58m
  • Website: https://www.nagarro.com

Number of Employees


Location

  • Nagarro SE
  • Einsteinstrasse 172
  • Munich
  • Bavaria
  • 81677
  • Germany

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/23 17:52
End of Day Share Price2021/09/22 00:00
Earnings2021/06/30
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.