Intertrust (ENXTAM:INTER) - Share price, News & Analysis

INTER fundamental analysis
Snowflake Score
Valuation	2/6
Future Growth	3/6
Past Performance	1/6
Financial Health	2/6
Dividends	0/6

INTER Stock Overview

Intertrust N.V. provides corporate, fund, capital market, and private wealth services in Western Europe, the Americas, and internationally.

Rewards

Trading at 53% below our estimate of its fair value

Earnings are forecast to grow 23% per year

Risk Analysis

Debt is not well covered by operating cash flow

Intertrust Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Intertrust
Historical stock prices
Current Share Price	€19.00
52 Week High	€21.25
52 Week Low	€11.34
Beta	0.37
1 Month Change	-1.45%
3 Month Change	0%
1 Year Change	25.00%
3 Year Change	4.57%
5 Year Change	7.01%
Change since IPO	22.98%

Shareholder Returns

	INTER	NL Professional Services	NL Market
7D	1.1%	3.5%	4.3%
1Y	25.0%	-4.1%	-21.3%

Return vs Industry: INTER exceeded the Dutch Professional Services industry which returned -7.1% over the past year.

Return vs Market: INTER exceeded the Dutch Market which returned -24% over the past year.

Price Volatility

Is INTER's price volatile compared to industry and market?
INTER volatility
INTER Average Weekly Movement	0.9%
Professional Services Industry Average Movement	3.9%
Market Average Movement	5.1%
10% most volatile stocks in NL Market	7.9%
10% least volatile stocks in NL Market	3.0%

Stable Share Price: INTER is less volatile than 75% of Dutch stocks over the past 3 months, typically moving +/- 1% a week.

Volatility Over Time: INTER's weekly volatility has decreased from 6% to 1% over the past year.

About the Company

Founded	Employees	CEO	Website
1952	4,304	Shankar Iyer	https://www.intertrustgroup.com

Intertrust N.V. provides corporate, fund, capital market, and private wealth services in Western Europe, the Americas, and internationally. It offers company formation, domiciliation and management, SPV and legal administration, and payroll services; entity management services, including accounting and reporting, executive compensation, global corporate secretarial and treasury management, and regulatory and compliance services; and M&A transaction support services, such as crave-out support, and escrow and settlement services. The company also provides private capital and hedge fund services comprising fund formation and liquidation, AIFMD depositary, fund administration, AIFM management company, and investor services; proprietary and industry technology solutions; independent directorship and fiduciary, real estate accounting, and loan administration services; fund finance advisory services; and shadow accounting, and CLO/ bank debt agency and administration services.

Intertrust Fundamentals Summary

How do Intertrust's earnings and revenue compare to its market cap?
INTER fundamental statistics
Market Cap	€1.71b
Earnings (TTM)	€39.40m
Revenue (TTM)	€578.59m

43.4x

P/E Ratio

3.0x

P/S Ratio

Is INTER overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
INTER income statement (TTM)
Revenue	€578.59m
Cost of Revenue	€297.74m
Gross Profit	€280.84m
Other Expenses	€241.44m
Earnings	€39.40m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

Jul 28, 2022

Earnings per share (EPS)	0.44
Gross Margin	48.54%
Net Profit Margin	6.81%
Debt/Equity Ratio	102.9%

How did INTER perform over the long term?

See historical performance and comparison

We’ve recently updated our valuation analysis.

Valuation

Is INTER 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
PEG Ratio

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for INTER. This is calculated by dividing INTER's market cap by their current preferred multiple.
What is INTER's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	€1.71b

INTER 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/Revenue	4.5x
Enterprise Value/EBITDA	15.7x
PEG Ratio	1.9x

Price to Earnings Ratio vs Peers

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

INTER PE Ratio vs Peers

The above table shows the PE ratio for INTER vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PE	Estimated Growth	Market Cap
Peer Average	20.8x

Forward PE

Price-To-Earnings vs Peers: INTER is expensive based on its Price-To-Earnings Ratio (43.4x) compared to the peer average (20.8x).

Price to Earnings Ratio vs Industry

How does INTER's PE Ratio compare vs other companies in the Professional Services Industry?

Price-To-Earnings vs Industry: INTER is expensive based on its Price-To-Earnings Ratio (43.4x) compared to the Dutch Professional Services industry average (16.5x)

Price to Earnings Ratio vs Fair Ratio

What is INTER'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.

INTER PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	43.4x
Fair PE Ratio	25x

Price-To-Earnings vs Fair Ratio: INTER is expensive based on its Price-To-Earnings Ratio (43.4x) compared to the estimated Fair Price-To-Earnings Ratio (25x).

Share Price vs Fair Value

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

Below Fair Value: INTER (€19) is trading below our estimate of fair value (€40.42)

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

Price to Earnings Growth Ratio

PEG Ratio: INTER is poor value based on its PEG Ratio (1.9x)

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Future Growth

How is Intertrust forecast to perform in the next 1 to 3 years based on estimates from 4 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

23.0%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: INTER's forecast earnings growth (23% per year) is above the savings rate (0.09%).

Earnings vs Market: INTER's earnings (23% per year) are forecast to grow faster than the Dutch market (-0.9% per year).

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

Revenue vs Market: INTER's revenue (4.1% per year) is forecast to grow slower than the Dutch market (8.1% per year).

High Growth Revenue: INTER's revenue (4.1% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: INTER's Return on Equity is forecast to be low in 3 years time (14.6%).

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Past Performance

How has Intertrust performed over the past 5 years?

Past Performance Score

1/6

Past Performance Score 1/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

-12.1%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: INTER has high quality earnings.

Growing Profit Margin: INTER's current net profit margins (6.8%) are lower than last year (8.3%).

Past Earnings Growth Analysis

Earnings Trend: INTER's earnings have declined by 12.1% per year over the past 5 years.

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

Earnings vs Industry: INTER had negative earnings growth (-15.5%) over the past year, making it difficult to compare to the Professional Services industry average (98.8%).

Return on Equity

High ROE: INTER's Return on Equity (4.5%) is considered low.

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Financial Health

How is Intertrust's financial position?

Financial Health Score

2/6

Financial Health Score 2/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: INTER's short term assets (€421.9M) exceed its short term liabilities (€360.6M).

Long Term Liabilities: INTER's short term assets (€421.9M) do not cover its long term liabilities (€969.1M).

Debt to Equity History and Analysis

Debt Level: INTER's net debt to equity ratio (86.6%) is considered high.

Reducing Debt: INTER's debt to equity ratio has increased from 101.4% to 102.9% over the past 5 years.

Debt Coverage: INTER's debt is not well covered by operating cash flow (12.4%).

Interest Coverage: INTER's interest payments on its debt are well covered by EBIT (8.2x coverage).

Balance Sheet

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Dividend

What is Intertrust current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

0.66%

Forecast Dividend Yield

Dividend Yield vs Market

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

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

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

Earnings Payout to Shareholders

Earnings Coverage: INTER is not paying a notable dividend for the Dutch market.

Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as INTER has not reported any payouts.

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Management

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

2.8yrs

Average management tenure

CEO

Shankar Iyer (57 yo)

1.5yrs

Tenure

€2,046,000

Compensation

Mr. Shankar Iyer has been Chief Executive Officer at Intertrust N.V. since December 7, 2020 and its Member of the Management Board March 8, 2021. He has been Director at Fiducioso Advisors, Inc. He served...

CEO Compensation Analysis

Compensation vs Market: Shankar's total compensation ($USD2.16M) is above average for companies of similar size in the Dutch market ($USD1.32M).

Compensation vs Earnings: Shankar's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.

Leadership Team

Experienced Management: INTER's management team is considered experienced (2.8 years average tenure).

Board Members

Experienced Board: INTER's board of directors are considered experienced (4.9 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

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

Data	Last Updated (UTC time)
Company Analysis	2022/06/24 00:00
End of Day Share Price	2022/06/24 00:00
Earnings	2022/03/31
Annual Earnings	2021/12/31