OB:INDCT

Stock Analysis Report

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Market Cap

kr98.1m

Last Updated

2021/07/31 04:51 UTC

Data Sources

Company Financials

Executive Summary

Induct Software AS offers cloud-based innovation communities delivered as software as a service. More Details


Snowflake Analysis

Imperfect balance sheet with weak fundamentals.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: INDCT is more volatile than 75% of Norwegian stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: INDCT's weekly volatility (9%) has been stable over the past year, but is still higher than 75% of Norwegian stocks.


Market Performance


7 Day Return

-9.5%

INDCT

3.7%

NO Software

0.2%

NO Market


1 Year Return

39.6%

INDCT

33.6%

NO Software

31.8%

NO Market

Return vs Industry: INDCT exceeded the Norwegian Software industry which returned 33.6% over the past year.

Return vs Market: INDCT exceeded the Norwegian Market which returned 31.8% over the past year.


Shareholder returns

INDCTIndustryMarket
7 Day-9.5%3.7%0.2%
30 Day-7.5%5.9%0.2%
90 Day-34.5%-6.5%2.0%
1 Year39.6%39.6%33.6%33.6%36.6%31.8%
3 Year8.9%8.8%48.0%40.6%18.2%4.8%
5 Year-69.8%-69.8%101.8%85.1%76.9%44.2%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Induct Software undervalued compared to its fair value and its price relative to the market?

17.96x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate INDCT's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate INDCT's fair value to establish if it is undervalued.


Price To Earnings Ratio

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

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


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: INDCT is overvalued based on its PB Ratio (18x) compared to the NO Software industry average (3.6x).


Future Growth

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

45.8%

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 Induct Software 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 Induct Software performed over the past 5 years?

28.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: INDCT is currently unprofitable.

Growing Profit Margin: INDCT is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: INDCT is unprofitable, but has reduced losses over the past 5 years at a rate of 28.2% per year.

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

Earnings vs Industry: INDCT is unprofitable, making it difficult to compare its past year earnings growth to the Software industry (18.6%).


Return on Equity

High ROE: INDCT has a negative Return on Equity (-52.2%), as it is currently unprofitable.


Financial Health

How is Induct Software's financial position?


Financial Position Analysis

Short Term Liabilities: INDCT's short term assets (NOK7.4M) do not cover its short term liabilities (NOK8.9M).

Long Term Liabilities: INDCT's short term assets (NOK7.4M) exceed its long term liabilities (NOK6.6M).


Debt to Equity History and Analysis

Debt Level: INDCT's debt to equity ratio (182.6%) is considered high.

Reducing Debt: INDCT had negative shareholder equity 5 years ago, but is now positive and has therefore improved.


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: Insufficient data to determine if INDCT has enough cash runway based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if INDCT has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Dividend

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


Dividend Yield vs Market

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

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

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


Next Steps

Management

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

5.6yrs

Average management tenure


CEO

Alf Johansen (47 yo)

14.5yrs

Tenure

Mr. Alf Martin Johansen founded Induct Software AS in 2007 and has been Chief Executive Officer since its inception. Mr. Johansen served as the Chief Operating Officer of Induct Software AS. He has lots of...


Leadership Team

Experienced Management: INDCT's management team is seasoned and experienced (5.6 years average tenure).


Board Members

Experienced Board: INDCT's board of directors are not considered experienced ( 2.5 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: INDCT insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 4.7%.


Top Shareholders

Company Information

Induct Software AS's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Induct Software AS
  • Ticker: INDCT
  • Exchange: OB
  • Founded: 2007
  • Industry: Application Software
  • Sector: Software
  • Market Cap: kr98.124m
  • Shares outstanding: 13.26m
  • Website: https://www.inductsoftware.com

Location

  • Induct Software AS
  • Nedre Vollgate 3
  • Oslo
  • Oslo
  • 158
  • Norway

Listings


Biography

Induct Software AS offers cloud-based innovation communities delivered as software as a service. Its platform that enables organizations to create, manage, track, and measure the innovation process from id...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/07/31 04:51
End of Day Share Price2021/07/30 00:00
Earnings2021/03/31
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.