company background image
CHAM

ChamsNGSE:CHAMS Stock Report

Market Cap

₦1.1b

7D

9.5%

1Y

9.5%

Updated

13 Oct, 2021

Data

Company Financials
CHAMS fundamental analysis
Snowflake Score
Valuation3/6
Future Growth0/6
Past Performance0/6
Financial Health3/6
Dividends0/6

CHAMS Overview

Chams Plc, together with its subsidiaries, provides identity management, payment collection, and transactional systems and solutions in Nigeria.

Price History & Performance

Summary of all time highs, changes and price drops for Chams
Historical stock prices
Current Share Price₦0.23
52 Week High₦0.20
52 Week Low₦0.33
Beta0.78
1 Month Change4.55%
3 Month Change15.00%
1 Year Change9.52%
3 Year Change-4.17%
5 Year Change-54.00%
Change since IPO-92.01%

Recent News & Updates

Shareholder Returns

CHAMSNG SoftwareNG Market
7D9.5%-2.2%0.8%
1Y9.5%39.7%40.4%

Return vs Industry: CHAMS underperformed the NG Software industry which returned 39.1% over the past year.

Return vs Market: CHAMS underperformed the NG Market which returned 39.8% over the past year.

Price Volatility

Is CHAMS's price volatile compared to industry and market?
CHAMS volatility
CHAMS Beta0.78
Industry Beta0.48
Market Beta1

Stable Share Price: CHAMS is more volatile than 90% of NG stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: CHAMS's weekly volatility (8%) has been stable over the past year, but is still higher than 75% of NG stocks.

About the Company

FoundedEmployeesCEOWebsite
1985n/aGavin Younghttps://chamsplc.com

Chams Plc, together with its subsidiaries, provides identity management, payment collection, and transactional systems and solutions in Nigeria. The company operates in three segments: Identity Management and Solutions; Payments, Collections and Transactional Systems; and ICT Training. The Identity Management and Solutions segment provides identification solutions for corporations, educational bodies, and government clients.

Chams Fundamentals Summary

How do Chams's earnings and revenue compare to its market cap?
CHAMS fundamental statistics
Market Cap₦1.13b
Earnings (TTM)-₦869.10m
Revenue (TTM)₦2.83b

0.4x

P/S Ratio

-1.2x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
CHAMS income statement (TTM)
Revenue₦2.83b
Cost of Revenue₦2.07b
Gross Profit₦764.92m
Expenses₦1.63b
Earnings-₦869.10m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-0.19
Gross Margin27.02%
Net Profit Margin-30.70%
Debt/Equity Ratio95.5%

How did CHAMS perform over the long term?

See historical performance and comparison

Valuation

Is Chams 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: CHAMS (NGN0.23) is trading below our estimate of fair value (NGN10.18)

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


Price To Earnings Ratio

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

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


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: CHAMS is good value based on its PB Ratio (0.8x) compared to the XF Software industry average (1.2x).


Future Growth

How is Chams forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

21.7%

Forecasted Software industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Chams has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Past Performance

How has Chams performed over the past 5 years?

44.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CHAMS is currently unprofitable.

Growing Profit Margin: CHAMS is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: CHAMS is unprofitable, but has reduced losses over the past 5 years at a rate of 44.1% per year.

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

Earnings vs Industry: CHAMS is unprofitable, making it difficult to compare its past year earnings growth to the Software industry (13.7%).


Return on Equity

High ROE: CHAMS has a negative Return on Equity (-73.59%), as it is currently unprofitable.


Financial Health

How is Chams's financial position?


Financial Position Analysis

Short Term Liabilities: CHAMS's short term assets (NGN5.1B) do not cover its short term liabilities (NGN7.1B).

Long Term Liabilities: CHAMS has no long term liabilities.


Debt to Equity History and Analysis

Debt Level: CHAMS's debt to equity ratio (95.5%) is considered high.

Reducing Debt: CHAMS's debt to equity ratio has increased from 5.5% to 95.5% over the past 5 years.


Balance Sheet


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 CHAMS has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: CHAMS is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by 11.8% per year.


Dividend

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


Dividend Yield vs Market

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

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

Growing Dividend: Insufficient data to determine if CHAMS's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: CHAMS is not paying a notable dividend for the NG market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of CHAMS's dividend in 3 years as they are not forecast to pay a notable one for the NG market.


Next Steps

Management

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

3.5yrs

Average management tenure


CEO

Gavin Young

2.75yrs

Tenure

Mr. Gavin H. Young is Group Managing Director and Director of Chams Plc since 2019. Mr. Young is a seasoned Fintech professional with a proven track record in managing companies, subsidiaries of listed com...


Leadership Team

Experienced Management: CHAMS's management team is considered experienced (3.5 years average tenure).


Board Members

Experienced Board: CHAMS's board of directors are not considered experienced ( 2.8 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 not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Chams Plc's employee growth, exchange listings and data sources


Key Information

  • Name: Chams Plc
  • Ticker: CHAMS
  • Exchange: NGSE
  • Founded: 1985
  • Industry: Systems Software
  • Sector: Software
  • Market Cap: ₦1.127b
  • Shares outstanding: 4.70b
  • Website: https://chamsplc.com

Location

  • Chams Plc
  • 8, Louis Solomon Close
  • off Ahmadu Bello Way
  • Lagos
  • Nigeria

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/13 15:44
End of Day Share Price2021/10/13 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.