DB:TV8

Stock Analysis Report

Executive Summary

Telaria, Inc. provides a software platform for publishers to manage and monetize video advertising in the United States.

Rewards

Trading at 65.5% below its fair value

Earnings are forecast to grow 72.07% per year

Earnings have grown 24.5% per year over the past 5 years

Risk Analysis

Highly volatile share price over past 3 months



Snowflake Analysis

Flawless balance sheet with reasonable growth potential.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: TV8's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-3.4%

TV8

1.7%

DE Software

1.0%

DE Market


1 Year Return

182.3%

TV8

38.5%

DE Software

15.7%

DE Market

Return vs Industry: TV8 exceeded the German Software industry which returned 38.5% over the past year.

Return vs Market: TV8 exceeded the German Market which returned 15.7% over the past year.


Shareholder returns

TV8IndustryMarket
7 Day-3.4%1.7%1.0%
30 Day3.7%2.1%1.0%
90 Day-6.6%15.4%6.7%
1 Year182.3%182.3%40.3%38.5%19.3%15.7%
3 Year222.7%222.7%63.3%56.7%19.5%8.9%
5 Year186.2%186.2%138.7%121.7%36.9%18.3%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: TV8 (€7) is trading below our estimate of fair value (€20.32)

Significantly Below Fair Value: TV8 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: TV8 is unprofitable, so we can't compare its PE Ratio to the Software industry average.

PE vs Market: TV8 is unprofitable, so we can't compare its PE Ratio to the German market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate TV8's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: TV8 is overvalued based on its PB Ratio (6.6x) compared to the DE Software industry average (3.1x).


Next Steps

Future Growth

How is Telaria forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

72.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TV8 is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (-0.4%).

Earnings vs Market: TV8 is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: TV8's is expected to become profitable in the next 3 years.

Revenue vs Market: TV8's revenue (14.4% per year) is forecast to grow faster than the German market (4.9% per year).

High Growth Revenue: TV8's revenue (14.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if TV8's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Telaria performed over the past 5 years?

24.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TV8 is currently unprofitable.

Growing Profit Margin: TV8 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: TV8 is unprofitable, but has reduced losses over the past 5 years at a rate of 24.5% per year.

Accelerating Growth: Unable to compare TV8's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: TV8 is unprofitable, making it difficult to compare its past year earnings growth to the Software industry (14.6%).


Return on Equity

High ROE: TV8 has a negative Return on Equity (-12.79%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Telaria's financial position?


Financial Position Analysis

Short Term Liabilities: TV8's short term assets ($184.0M) exceed its short term liabilities ($142.9M).

Long Term Liabilities: TV8's short term assets ($184.0M) exceed its long term liabilities ($26.3M).


Debt to Equity History and Analysis

Debt Level: TV8 is debt free.

Reducing Debt: TV8 had no debt 5 years ago.


Balance Sheet

Inventory Level: TV8 has a low level of unsold assets or inventory.

Debt Coverage by Assets: TV8's debt is covered by short term assets (assets are 5.1800965863969E+16x 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 TV8 has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: TV8 is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 79.8% per year.


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.3%markettop25%3.6%industryaverage1.2%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate TV8's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate TV8's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if TV8's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if TV8'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 TV8'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 Telaria's salary, the management and board of directors tenure and is there insider trading?

4.1yrs

Average management tenure


CEO

Mark Zagorski (50yo)

2.4yrs

Tenure

US$1,489,672

Compensation

Mr. Mark S. Zagorski has been the Chief Executive Officer and Director of Telaria, Inc. since July 10, 2017. Mr. Zagorski served as the Chief Executive Officer of eXelate, Inc. from December 22, 2010 to Ma ...


CEO Compensation Analysis

Compensation vs Market: Mark's total compensation ($USD1.49M) is above average for companies of similar size in the German market ($USD822.02K).

Compensation vs Earnings: Mark's compensation has been consistent with company performance over the past year.


Management Age and Tenure

4.1yrs

Average Tenure

47yo

Average Age

Experienced Management: TV8's management team is considered experienced (4.1 years average tenure).


Board Age and Tenure

6.4yrs

Average Tenure

53yo

Average Age

Experienced Board: TV8's board of directors are considered experienced (6.4 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

Sell€2,149,94830 Aug 19
Edenbrook Capital Partners, LLC
EntityCompany
Shares234,511
Max Price€9.42
Sell€57,31731 May 19
Katie Evans
EntityIndividual
Role
Chief Operating Officer
Senior VP & COO
Shares7,879
Max Price€7.27
Sell€1,254,64917 May 19
James Rossman
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares173,156
Max Price€7.25
Buy€17,05404 Mar 19
Adam Lowy
EntityIndividual
Shares3,500
Max Price€4.87
Sell€49,50704 Mar 19
John Rego
EntityIndividual
Role
Chief Financial Officer
Senior VP & CFO
Shares10,000
Max Price€4.95
Buy€381,86628 Dec 18
Edenbrook Capital Partners, LLC
EntityCompany
Shares153,168
Max Price€2.49
Sell€11,180,64526 Dec 18
W Capital Management, LLC
EntityCompany
Shares5,051,886
Max Price€2.21

Ownership Breakdown

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


Management Team

  • John Rego (57yo)

    Senior VP & CFO

    • Tenure: 4.3yrs
    • Compensation: US$786.54k
  • Paul Caine (55yo)

    Executive Chairman of the Board

    • Tenure: 2.4yrs
    • Compensation: US$315.00k
  • Mark Zagorski (50yo)

    CEO & Director

    • Tenure: 2.4yrs
    • Compensation: US$1.49m
  • Lekha Rao

    Vice President of Media Relations & Corporate Communications

    • Tenure: 0yrs
  • Steve Lee (43yo)

    Co-Founder and Senior Advisor

    • Tenure: 0yrs
  • Andrew Posen

    VP & Head of Investor Relations

    • Tenure: 5.9yrs
  • Hava Kelman

    Vice President of Business Development

    • Tenure: 5.5yrs
  • Seitz Evans (33yo)

    Senior VP & COO

    • Tenure: 2.8yrs
    • Compensation: US$729.79k
  • Aaron Saltz

    General Counsel & Secretary

    • Tenure: 4.1yrs
  • Rama Roberts (44yo)

    Senior VP & CTO

    • Tenure: 0.8yrs

Board Members

  • Bob Schechter (70yo)

    Independent Director

    • Tenure: 6.5yrs
    • Compensation: US$150.00k
  • Greg Stuart

    Member of Advisory Board

    • Tenure: 0yrs
  • Warren Lee (49yo)

    Lead Independent Director

    • Tenure: 6.4yrs
    • Compensation: US$163.33k
  • Paul Caine (55yo)

    Executive Chairman of the Board

    • Tenure: 2.4yrs
    • Compensation: US$315.00k
  • Jim Rossman (53yo)

    Independent Director

    • Tenure: 8.9yrs
    • Compensation: US$157.50k
  • Mark Zagorski (50yo)

    CEO & Director

    • Tenure: 2.4yrs
    • Compensation: US$1.49m
  • David Cohen

    Member of Advisory Board

    • Tenure: 0yrs
  • Jack Haber

    Member of Advisory Board

    • Tenure: 0yrs
  • Alan Schulman

    Member of Advisory Board

    • Tenure: 0yrs
  • Jack Myers

    Member of Advisory Board

    • Tenure: 0yrs

Company Information

Telaria, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Telaria, Inc.
  • Ticker: TV8
  • Exchange: DB
  • Founded: 2005
  • Industry: Application Software
  • Sector: Software
  • Market Cap: US$367.917m
  • Listing Market Cap: US$330.758m
  • Shares outstanding: 46.57m
  • Website: https://www.telaria.com

Number of Employees


Location

  • Telaria, Inc.
  • 222 Broadway
  • 16th Floor
  • New York
  • New York
  • 10038
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TLRANYSE (New York Stock Exchange)YesCommon StockUSUSDJun 2013
TV8DB (Deutsche Boerse AG)YesCommon StockDEEURJun 2013

Biography

Telaria, Inc. provides a software platform for publishers to manage and monetize video advertising in the United States. The company offers publishers with real-time analytics, data, and decisioning tools  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/12/13 21:47
End of Day Share Price2019/12/13 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


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.