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AXW

Axway Software ENXTPA:AXW Stock Report

Last Price

€17.75

Market Cap

€371.5m

7D

-9.7%

1Y

-35.7%

Updated

26 Sep, 2022

Data

Company Financials +
AXW fundamental analysis
Snowflake Score
Valuation2/6
Future Growth3/6
Past Performance2/6
Financial Health4/6
Dividends3/6

AXW Stock Overview

Axway Software SA operates as an infrastructure software publisher in the Americas, France, rest of Europe, the Asia Pacific, and internationally.

Axway Software Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Axway Software
Historical stock prices
Current Share Price€17.75
52 Week High€29.30
52 Week Low€15.15
Beta0.39
1 Month Change-15.07%
3 Month Change2.01%
1 Year Change-35.69%
3 Year Change67.45%
5 Year Change-19.68%
Change since IPO-24.76%

Recent News & Updates

Shareholder Returns

AXWFR SoftwareFR Market
7D-9.7%-3.7%-4.9%
1Y-35.7%-27.0%-14.1%

Return vs Industry: AXW underperformed the French Software industry which returned -29.7% over the past year.

Return vs Market: AXW underperformed the French Market which returned -14.1% over the past year.

Price Volatility

Is AXW's price volatile compared to industry and market?
AXW volatility
AXW Average Weekly Movement2.0%
Software Industry Average Movement4.8%
Market Average Movement4.8%
10% most volatile stocks in FR Market8.9%
10% least volatile stocks in FR Market2.7%

Stable Share Price: AXW is less volatile than 75% of French stocks over the past 3 months, typically moving +/- 2% a week.

Volatility Over Time: AXW's weekly volatility (2%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
20001,648Patrick Donovanhttps://www.axway.com

Axway Software SA operates as an infrastructure software publisher in the Americas, France, rest of Europe, the Asia Pacific, and internationally. The company provides AMPLIFY, a platform that offers application integration, API management, managed file transfer, B2B-EDI integration, and digital finance solutions. It also offers specialized enterprise integration products to provide visibility, intelligence, and security throughout the digital ecosystem; counter threats before they happen; optimize business assets and resources; safeguard against risks; and improve operational performance, as well as provides managed cloud services.

Axway Software Fundamentals Summary

How do Axway Software's earnings and revenue compare to its market cap?
AXW fundamental statistics
Market Cap€371.45m
Earnings (TTM)€10.24m
Revenue (TTM)€283.58m

36.3x

P/E Ratio

1.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
AXW income statement (TTM)
Revenue€283.58m
Cost of Revenue€235.90m
Gross Profit€47.67m
Other Expenses€37.44m
Earnings€10.24m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)0.49
Gross Margin16.81%
Net Profit Margin3.61%
Debt/Equity Ratio20.6%

How did AXW perform over the long term?

See historical performance and comparison

Dividends

2.3%

Current Dividend Yield

85%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

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

Valuation Score

2/6

Valuation Score 2/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

AXW 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/Revenue1.6x
Enterprise Value/EBITDA15.9x
PEG Ratio1.3x

Price to Earnings Ratio vs Peers

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

AXW PE Ratio vs Peers
The above table shows the PE ratio for AXW vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average35.4x
LIN Linedata Services
7.8x-6.0%€230.2m
ALESK Esker
41.3x10.2%€699.3m
ALBFR Sidetrade
35.2x14.6%€166.1m
CAS Cast
57.5xn/a€134.5m
AXW Axway Software
36.3x28.9%€371.5m

Price-To-Earnings vs Peers: AXW is expensive based on its Price-To-Earnings Ratio (36.3x) compared to the peer average (35.4x).


Price to Earnings Ratio vs Industry

How does AXW's PE Ratio compare vs other companies in the European Software Industry?

Price-To-Earnings vs Industry: AXW is expensive based on its Price-To-Earnings Ratio (36.3x) compared to the European Software industry average (28.8x)


Price to Earnings Ratio vs Fair Ratio

What is AXW'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.

AXW PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio36.3x
Fair PE Ratio28.8x

Price-To-Earnings vs Fair Ratio: AXW is expensive based on its Price-To-Earnings Ratio (36.3x) compared to the estimated Fair Price-To-Earnings Ratio (28.8x).


Share Price vs Fair Value

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

Below Fair Value: AXW (€17.75) is trading below our estimate of fair value (€103.12)

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


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price, but there are not enough analysts covering the stock to determine statistical confidence in agreement.


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Future Growth

How is Axway Software forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

Future Growth Score

3/6

Future Growth Score 3/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


28.9%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AXW's forecast earnings growth (28.9% per year) is above the savings rate (0.3%).

Earnings vs Market: AXW's earnings (28.9% per year) are forecast to grow faster than the French market (11.1% per year).

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

Revenue vs Market: AXW's revenue (3.7% per year) is forecast to grow slower than the French market (5.4% per year).

High Growth Revenue: AXW's revenue (3.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: AXW's Return on Equity is forecast to be low in 3 years time (5.3%).


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Past Performance

How has Axway Software performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


1.3%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: AXW has high quality earnings.

Growing Profit Margin: AXW's current net profit margins (3.6%) are lower than last year (5.4%).


Past Earnings Growth Analysis

Earnings Trend: AXW's earnings have grown by 1.3% per year over the past 5 years.

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

Earnings vs Industry: AXW had negative earnings growth (-37.1%) over the past year, making it difficult to compare to the Software industry average (23.4%).


Return on Equity

High ROE: AXW's Return on Equity (2.7%) is considered low.


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Financial Health

How is Axway Software's financial position?

Financial Health Score

4/6

Financial Health Score 4/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: AXW's short term assets (€162.3M) exceed its short term liabilities (€126.0M).

Long Term Liabilities: AXW's short term assets (€162.3M) exceed its long term liabilities (€113.4M).


Debt to Equity History and Analysis

Debt Level: AXW's net debt to equity ratio (15.4%) is considered satisfactory.

Reducing Debt: AXW's debt to equity ratio has increased from 16.4% to 20.6% over the past 5 years.

Debt Coverage: AXW's debt is not well covered by operating cash flow (4.8%).

Interest Coverage: AXW's interest payments on its debt are well covered by EBIT (12x coverage).


Balance Sheet


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Dividend

What is Axway Software current dividend yield, its reliability and sustainability?

Dividend Score

3/6

Dividend Score 3/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


2.25%

Current Dividend Yield

Dividend Yield vs Market

Axway Software Dividend Yield vs Market
How does Axway Software dividend yield compare to the market?
SegmentDividend Yield
Company (Axway Software)2.3%
Market Bottom 25% (FR)2.0%
Market Top 25% (FR)6.0%
Industry Average (Software)0.5%
Analyst forecast in 3 Years (Axway Software)2.3%

Notable Dividend: AXW's dividend (2.25%) is higher than the bottom 25% of dividend payers in the French market (1.99%).

High Dividend: AXW's dividend (2.25%) is low compared to the top 25% of dividend payers in the French market (5.93%).


Stability and Growth of Payments

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

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


Earnings Payout to Shareholders

Earnings Coverage: At its current payout ratio (84.8%), AXW's payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its high cash payout ratio (315.2%), AXW's dividend payments are not well covered by cash flows.


Discover strong dividend paying companies

Management

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

3.3yrs

Average management tenure


CEO

Patrick Donovan (52 yo)

4.42yrs

Tenure

€157,028

Compensation

Mr. Patrick Donovan has been Chief Executive Officer of Axway Software SA since April 6, 2018 and serves as its Managing Director. Mr. Donovan served as the Chief Financial Officer of Axway Inc. and its ho...


CEO Compensation Analysis

Patrick Donovan's Compensation vs Axway Software Earnings
How has Patrick Donovan's remuneration changed compared to Axway Software's earnings?
DateTotal Comp.SalaryCompany Earnings
Jun 30 2022n/an/a

€10m

Mar 31 2022n/an/a

€10m

Dec 31 2021€157k€138k

€10m

Sep 30 2021n/an/a

€13m

Jun 30 2021n/an/a

€16m

Mar 31 2021n/an/a

€12m

Dec 31 2020€3m€482k

€8m

Sep 30 2020n/an/a

€7m

Jun 30 2020n/an/a

€5m

Mar 31 2020n/an/a

€5m

Dec 31 2019€2m€375k

€5m

Sep 30 2019n/an/a

€3m

Jun 30 2019n/an/a

€1m

Mar 31 2019n/an/a

€6m

Dec 31 2018€1m€254k

€11m

Compensation vs Market: Patrick's total compensation ($USD151.48K) is below average for companies of similar size in the French market ($USD459.09K).

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


Leadership Team

Experienced Management: AXW's management team is considered experienced (3.3 years average tenure).


Board Members

Experienced Board: AXW's board of directors are seasoned and experienced ( 10.3 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

What is the ownership structure of AXW?
Owner TypeNumber of SharesOwnership Percentage
Individual Insiders47,6620.2%
VC/PE Firms2,572,45812.3%
Institutions3,170,61415.2%
General Public3,404,66816.3%
Private Companies4,818,35023.0%
Public Companies6,913,06033.0%

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


Top Shareholders

Top 25 shareholders own 83.69% of the company
OwnershipNameSharesCurrent ValueChange %Portfolio %
33.03%
Sopra Steria Group SA
6,913,060€122.7m0%no data
21.52%
Sopra GMT SA
4,503,321€79.9m0%no data
12.29%
Caravelle, SA
2,572,458€45.7m0%100%
5.84%
Lazard Frères Gestion SAS
1,222,866€21.7m0%0.38%
2.15%
FMR LLC
450,000€8.0m0%no data
1.74%
Edmond De Rothschild Asset Management (France)
363,978€6.5m0%0.11%
1.4%
Odin Family Trust
292,059€5.2m0%no data
1.28%
Hargreave Hale Limited, Asset Management Arm
268,265€4.8m0%0.12%
1.24%
Financiere Arbevel
259,683€4.6m0%0.95%
0.51%
Dimensional Fund Advisors LP
105,938€1.9m-2.1%no data
0.48%
Oddo Bhf Asset Management SAS
101,390€1.8m0%0.03%
0.48%
HC Capital Advisors GmbH
100,000€1.8m0%1.72%
0.43%
Aramea Asset Management AG
90,537€1.6m0%0.68%
0.27%
PEH Wertpapier AG
56,000€994.0k40%0.1%
0.24%
Discover Capital GmbH
50,000€887.5k0%0.71%
0.22%
Raymond James Asset Management International, S.A.
45,070€800.0k0%0.35%
0.16%
Norges Bank Investment Management
33,963€602.8k0%no data
0.11%
Pasquier Famille Trust
22,970€407.7k0%no data
0.11%
Herve Dechelette
22,734€403.5k0%no data
0.057%
NextStage AM
11,945€212.0k0%0.28%
0.057%
Yann Metz-Pasquier
11,877€210.8k0%no data
0.035%
Kathleen Bracco
7,355€130.6k0%no data
0.018%
AXA Investment Managers S.A.
3,768€66.9k0%no data
0.013%
Pierre-Yves Commanay
2,816€50.0k0%no data
0.012%
Grantham Mayo Van Otterloo & Co. LLC
2,488€44.2k0%no data

Company Information

Axway Software SA's employee growth, exchange listings and data sources


Key Information

  • Name: Axway Software SA
  • Ticker: AXW
  • Exchange: ENXTPA
  • Founded: 2000
  • Industry: Application Software
  • Sector: Software
  • Implied Market Cap: €371.451m
  • Shares outstanding: 20.93m
  • Website: https://www.axway.com

Number of Employees


Location

  • Axway Software SA
  • 16220 North Scottsdale Road
  • Suite 500
  • Scottsdale
  • Arizona
  • 85254
  • United States


Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AXWENXTPA (Euronext Paris)YesCommon StockFREURJun 2011
0P5LLSE (London Stock Exchange)YesCommon StockGBEURJun 2011
AXWPBATS-CHIXE (BATS 'Chi-X Europe')YesCommon StockGBEURJun 2011
1XVBST (Boerse-Stuttgart)YesCommon StockDEEURJun 2011
1XVDB (Deutsche Boerse AG)YesCommon StockDEEURJun 2011

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/09/26 00:00
End of Day Share Price2022/09/26 00:00
Earnings2022/06/30
Annual Earnings2021/12/31


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.