BIT:NSP

Stock Analysis Report

Executive Summary

Neosperience S.p.A. develops cloud based software platform.

Rewards

Trading at 78.8% below its fair value

Revenue is forecast to grow 30.63% per year

Revenue grew by 46.7% over the past year

Risk Analysis

High level of non-cash earnings

Highly volatile share price over past 3 months

Profit margins (2.3%) are lower than last year (10.9%)

Latest financial reports are more than 6 months old

+ 2 more risks


Snowflake Analysis

Adequate balance sheet with moderate growth potential.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

13.5%

NSP

8.6%

IT Software

6.8%

IT Market


1 Year Return

19.3%

NSP

1.4%

IT Software

-24.5%

IT Market

Return vs Industry: NSP exceeded the Italian Software industry which returned 1.4% over the past year.

Return vs Market: NSP exceeded the Italian Market which returned -24.5% over the past year.


Shareholder returns

NSPIndustryMarket
7 Day13.5%8.6%6.8%
30 Day-10.0%-8.4%-22.4%
90 Day-25.9%-15.9%-27.8%
1 Year19.3%19.3%2.5%1.4%-21.2%-24.5%
3 Yearn/a-16.7%-20.1%-12.2%-20.9%
5 Yearn/a37.1%25.9%-23.0%-49.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Neosperience 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: NSP (€5.88) is trading below our estimate of fair value (€27.77)

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


Price To Earnings Ratio

PE vs Industry: NSP is poor value based on its PE Ratio (156.6x) compared to the Software industry average (36.8x).

PE vs Market: NSP is poor value based on its PE Ratio (156.6x) compared to the Italian market (12.6x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: NSP is overvalued based on its PB Ratio (3.2x) compared to the IT Software industry average (3.2x).


Next Steps

Future Growth

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

30.6%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if NSP's forecast earnings growth is above the savings rate (1.2%).

Earnings vs Market: Insufficient data to determine if NSP's earnings are forecast to grow faster than the Italian market

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

Revenue vs Market: NSP's revenue (30.6% per year) is forecast to grow faster than the Italian market (0.1% per year).

High Growth Revenue: NSP's revenue (30.6% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: NSP's Return on Equity is forecast to be high in 3 years time (24.1%)


Next Steps

Past Performance

How has Neosperience performed over the past 5 years?

-69.7%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: NSP has a high level of non-cash earnings.

Growing Profit Margin: NSP's current net profit margins (2.3%) are lower than last year (10.9%).


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if NSP's year-on-year earnings growth rate was positive over the past 5 years.

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

Earnings vs Industry: NSP had negative earnings growth (-69.7%) over the past year, making it difficult to compare to the Software industry average (-25.5%).


Return on Equity

High ROE: NSP's Return on Equity (2.3%) is considered low.


Next Steps

Financial Health

How is Neosperience's financial position?


Financial Position Analysis

Short Term Liabilities: NSP's short term assets (€13.6M) exceed its short term liabilities (€6.4M).

Long Term Liabilities: NSP's short term assets (€13.6M) exceed its long term liabilities (€3.5M).


Debt to Equity History and Analysis

Debt Level: NSP's debt to equity ratio (20.6%) is considered satisfactory.

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

Debt Coverage: NSP's debt is well covered by operating cash flow (38.9%).

Interest Coverage: NSP's interest payments on its debt are not well covered by EBIT (2.3x coverage).


Balance Sheet

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

Debt Coverage by Assets: NSP's debt is covered by short term assets (assets are 5.1x debt).


Next Steps

Dividend

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


Dividend Yield vs Market

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

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

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


Next Steps

Management

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

0.7yrs

Average management tenure


CEO

Dario Melpignano

13.17s

Tenure

Mr. Dario Patrizio Melpignano has been Chief Executive Officer of Neosperience SpA since January 2007 and serves as its Chairman of the Board. He has been the Director at Neosperience S.p.A. since February ...


Leadership Team

NamePositionTenureCompensationOwnership
Dario Melpignano
Founder13.17yrsno datano data
Luigi Linotto
Founder11yrsno datano data
Gianni Camisa
COO & Director0.67yrno datano data
Lorenzo Scaravelli
Investor Relations & Corporate Development and Director2yrsno datano data

0.7yrs

Average Tenure

63yo

Average Age

Experienced Management: NSP's management team is not considered experienced ( 0.7 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Dario Melpignano
Founder13.17yrsno datano data
Luigi Linotto
Founder11yrsno datano data
Gianni Camisa
COO & Director0.67yrno datano data
Lorenzo Scaravelli
Investor Relations & Corporate Development and Director2yrsno datano data
Matteo Linotto
Director11yrsno datano data
Severino Meregalli
Independent Director2yrsno datano data
Franco Imazio
Chairman of the Board of Statutory Auditorsno datano datano data
Lorenzo Ancona
Member of the Statutory Auditorno datano datano data
Laura Patrini
Director0.67yrno datano data
Matteo Montanari
Directorno datano datano data

2.0yrs

Average Tenure

59yo

Average Age

Experienced Board: NSP's board of directors are not considered experienced ( 2 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: Shareholders have been diluted in the past year, with total shares outstanding growing by 34.1%.


Top Shareholders

Company Information

Neosperience S.p.A.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Neosperience S.p.A.
  • Ticker: NSP
  • Exchange: BIT
  • Founded:
  • Industry: Application Software
  • Sector: Software
  • Market Cap: €41.091m
  • Shares outstanding: 6.99m
  • Website: https://www.neosperience.com

Location

  • Neosperience S.p.A.
  • Via Gaspare Gozzi 1/A
  • Milan
  • Milan
  • 20129
  • Italy

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
NSPBIT (Borsa Italiana)YesShare CapitalITEURFeb 2019

Biography

Neosperience S.p.A. develops cloud based software platform. Its platform enables users to understand, engage, and grow customers. The company is based in Milan, Italy. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/31 01:17
End of Day Share Price2020/03/30 00:00
Earnings2019/06/30
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.