Discounted Cash Flow Calculation for BSE:512161 using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for
8K Miles Software Services
is arrived at by discounting future cash flows to their present value using the 2 stage method.
We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.
BSE:512161 DCF 1st Stage: Next 10 year cash flow forecast
The current share price of
8K Miles Software Services
is above its future cash flow value.
Often investors are willing to pay a
for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.
The amount the stock market is willing to pay for
8K Miles Software Services's
is considered below, and whether this is a fair price.
Price based on past earnings
8K Miles Software Services's earnings available for a low price, and how does
this compare to other companies in the same industry?
8K Miles Software Services's earnings are expected to grow by 2% yearly, however this is not considered high growth (20% yearly).
Unable to determine if 8K Miles Software Services is high growth as no revenue estimate data is available.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can
be gauged below. We look back 3 years and see if they were any good at
predicting what actually occurred. We also show the highest and lowest estimates
looking forward to see if there is a wide range.
8K Miles Software Services's performance over the past 5 years by checking for:
Has earnings increased in past 5 years? (1 check)
Has the earnings growth in the last year exceeded that of the
industry? (1 check)
Is the recent earnings growth over the last year higher than the average annual growth over the
past 5 years? (1 check)
Is the Return on Equity (ROE) higher than 20%? (1 check)
Is the Return on Assets (ROA) above industry average? (1 check)
Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent
earnings report. Some checks require at least 3 or 5 years worth of data.
8K Miles Software Services
has a total score of
4/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
A company's financial position is much like your own financial position,
it includes everything you own
The boxes below represent the relative size of what makes up
8K Miles Software Services's finances.
The net worth of a company is the difference between its assets and liabilities.
8K Miles Software Services is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
8K Miles Software Services's cash and other short term assets cover its long term commitments.
This treemap shows a more detailed breakdown of
8K Miles Software Services's finances. If any of them are yellow this
indicates they may be out of proportion and red means they relate to one of the
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
Low level of unsold assets.
Debt is covered by short term assets, assets are 5.7x debt.
Nearly all companies have debt. Debt in itself isn’t
however if the debt is too high, or the company can’t afford to pay the interest
on its debts this may have impacts in the future.
The graphic below shows equity (available funds) and debt, we ideally want to
see the red area (debt) decreasing.
If there is any debt we look at the companies capability to repay it, and
whether the level has increased over the past 5 years.
Management is one of the most important areas of a company. We look at
unreasonable CEO compensation, how long the team and board of directors have
been around for and insider trading.
Mr. Suresh Venkatachari serves as the Chairman, Chief Executive Officer and Managing Director of 8K Miles Software Services Ltd. Mr. Venkatachari is Founder of 8K Miles Software Services Ltd. He has been the President, Chief Executive Officer, Treasurer and Secretary of Solutionnet International, Inc, since March 1999. He founded SolutionNet (Asia Pacific) in 1994 and serves as its Chief Executive Officer. During his corporate career, he served as the Head of Electronic Banking at Deutsche Bank, Singapore. He is a visionary with more than 26 years of experience in the IT solutions, consulting and Media industries. As a successful entrepreneur, he has founded four IT companies over the past 14 years: successfully taking two of these companies public and selling the other two in private transactions. He serves as Chairman of the Board at 8K Miles Media Group, Inc. He has been the Chairman of Solutionnet International, Inc, since March 1999. He has been a Executive Non-Independent Director of 8K Miles Software Services Ltd since August 30, 2010 and Solutionnet International, Inc, since March 1999. Mr. Venkatachari serves as a Director of SolutionNet (Asia Pacific) Pte Ltd. He holds a Bachelor’s degree in Engineering and an honorary Doctorate in Business.
Insufficient data for Suresh to compare compensation growth.
Suresh 's remuneration is lower than average for companies of similar size in India.
Founder & Whole-Time Director
COO, Head of Cloud IAM Business & Director
Balanagendra Prasad. V
Vice President of Finance & Administration
Executive VP and Head of HR & Operations
Vice President of IAM
Chief Financial Officer
Company Secretary & Compliance Officer
VP & Head of Cloud Platforms
Board of Directors Tenure
Average tenure and age of the
8K Miles Software Services
board of directors in years:
The tenure for the 8K Miles Software Services board of directors is about average.
8K Miles Software Services Limited provides information and technology services in the United States, India, the Middle East, and North Africa. The company’s solutions include CloudEz, a cloud transformation and management platform that helps enterprises in managing public and private clouds, as well as in achieving a hybrid cloud strategy; EzIAM, an user life cycle management platform; CloudEzSecure, a cloud framework that provides security, which surpasses stringent security regulations; CloudEzRX, a life cycle management platform; and Automaton, a cloud platform to manage security, compliance, and routine operations on cloud continuously with assisted auto remediation. Its solutions also comprise CloudEzTry, a demo/test environment automation platform built for setting up demo environment for software products on various clouds; CloudEzCRO, a software-as-a-service that automates various aspects of a CRO’s operations from proposal management to invoicing; Cloud-ID broker, a secure service that manages the identities from disparate applications; and multi-domain identity services platform, an on-demand platform that extends the capabilities of existing identity management, SSO, and legacy services; and Cassandra-as-a-Service, a combination of integrated consulting and operations to enhance agility. In addition, the company provides cloud migration advisory and implementation, DevOps and ongoing upgrading, managed, big data and analytics, and digital transformation and maintenance services, as well as cloud solutions for business issues and infrastructure management; and UX and UI mobility, and identity access management services. 8K Miles Software Services Limited serves healthcare, life science, finance, and other verticals. The company was formerly known as P.M. Strips Limited and changed its name to 8K Miles Software Services Limited in October 2010. 8K Miles Software Services Limited was incorporated in 1985 and is based in Chennai, India.
Simply Wall Street Pty Ltd (ACN 600 056 611), is a Corporate Authorised Representative (Authorised Representative Number: 467183) of Sanlam Private Wealth Pty Ltd (AFSL No. 337927). Any advice contained in this website is general advice only and has been prepared without considering your objectives, financial situation or needs. You should not rely on any advice and/or information contained in this website and before making any investment decision we recommend that you consider whether it is appropriate for your situation and seek appropriate financial, taxation and legal advice. Please read our Financial Services Guide before deciding whether to obtain financial services from us.