CMR

ComarchWSE:CMR Stock Report

Market Cap

zł2.0b

7D

3.9%

1Y

17.0%

Updated

17 Sep, 2021

Data

Company Financials +
CMR fundamental analysis
Snowflake Score
Valuation2/6
Future Growth0/6
Past Performance4/6
Financial Health6/6
Dividends3/6

CMR Overview

Comarch S.A. designs, implements, and integrates IT solutions worldwide.

Rewards

PE ratio (14.1x) is below the IT industry average (15.9x)

Earnings have grown 16.3% per year over the past 5 years

Risk Analysis

No risks detected for CMR from our risk checks.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: CMR is not significantly more volatile than the rest of Polish stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: CMR's weekly volatility (6%) has been stable over the past year.


Market Performance


7 Day Return

3.9%

CMR

2.8%

PL IT

-0.5%

PL Market


1 Year Return

17.0%

CMR

9.2%

PL IT

41.2%

PL Market

Return vs Industry: CMR exceeded the Polish IT industry which returned 9.6% over the past year.

Return vs Market: CMR underperformed the Polish Market which returned 41.9% over the past year.


Shareholder returns

CMRIndustryMarket
7 Day3.9%2.8%-0.5%
30 Day-4.7%0.3%3.2%
90 Day2.1%2.6%6.3%
1 Year18.4%17.0%13.6%9.2%44.7%41.2%
3 Year45.7%41.8%113.6%102.1%25.9%18.6%
5 Year35.3%29.6%100.0%83.5%39.7%25.5%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Comarch Fundamentals Summary

How do Comarch's earnings and revenue compare to its market cap?
CMR fundamental statistics
Market Capzł1.96b
Earnings (TTM)zł138.81m
Revenue (TTM)zł1.55b

14.1x

P/E Ratio

1.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
CMR income statement (TTM)
Revenuezł1.55b
Cost of Revenuezł1.10b
Gross Profitzł451.56m
Expenseszł312.76m
Earningszł138.81m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

Nov 17, 2021

Earnings per share (EPS)17.07
Gross Margin29.15%
Net Profit Margin8.96%
Debt/Equity Ratio17.4%

How did CMR perform over the long term?

See historical performance and comparison

Dividends

1.2%

Current Dividend Yield

18%

Payout Ratio

Valuation

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

14.12x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: CMR (PLN241) is trading above our estimate of fair value (PLN220.78)

Significantly Below Fair Value: CMR is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: CMR is good value based on its PE Ratio (14.1x) compared to the Polish IT industry average (15.9x).

PE vs Market: CMR is poor value based on its PE Ratio (14.1x) compared to the Polish market (13.5x).


Price to Earnings Growth Ratio

PEG Ratio: CMR is poor value based on its PEG Ratio (41.8x)


Price to Book Ratio

PB vs Industry: CMR is good value based on its PB Ratio (1.8x) compared to the PL IT industry average (2.7x).


Future Growth

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

0.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CMR's forecast earnings growth (0.3% per year) is below the savings rate (2.6%).

Earnings vs Market: CMR's earnings (0.3% per year) are forecast to grow slower than the Polish market (16.5% per year).

High Growth Earnings: CMR's earnings are forecast to grow, but not significantly.

Revenue vs Market: CMR's revenue (4.6% per year) is forecast to grow slower than the Polish market (7.5% per year).

High Growth Revenue: CMR's revenue (4.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CMR's Return on Equity is forecast to be low in 3 years time (8.5%).


Past Performance

How has Comarch performed over the past 5 years?

16.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CMR has high quality earnings.

Growing Profit Margin: CMR's current net profit margins (9%) are higher than last year (7.6%).


Past Earnings Growth Analysis

Earnings Trend: CMR's earnings have grown by 16.3% per year over the past 5 years.

Accelerating Growth: CMR's earnings growth over the past year (23.7%) exceeds its 5-year average (16.3% per year).

Earnings vs Industry: CMR earnings growth over the past year (23.7%) underperformed the IT industry 24.9%.


Return on Equity

High ROE: CMR's Return on Equity (12.1%) is considered low.


Financial Health

How is Comarch's financial position?


Financial Position Analysis

Short Term Liabilities: CMR's short term assets (PLN1.2B) exceed its short term liabilities (PLN656.9M).

Long Term Liabilities: CMR's short term assets (PLN1.2B) exceed its long term liabilities (PLN246.0M).


Debt to Equity History and Analysis

Debt Level: CMR's debt to equity ratio (17.4%) is considered satisfactory.

Reducing Debt: CMR's debt to equity ratio has reduced from 17.6% to 17.4% over the past 5 years.

Debt Coverage: CMR's debt is well covered by operating cash flow (141.5%).

Interest Coverage: CMR's interest payments on its debt are well covered by EBIT (410.7x coverage).


Balance Sheet


Dividend

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

1.24%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: CMR's dividend (1.24%) isn’t notable compared to the bottom 25% of dividend payers in the Polish market (2.09%).

High Dividend: CMR's dividend (1.24%) is low compared to the top 25% of dividend payers in the Polish market (6.03%).


Stability and Growth of Payments

Stable Dividend: CMR's dividend payments have been volatile in the past 10 years.

Growing Dividend: CMR's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (17.6%), CMR's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: CMR's dividends in 3 years are forecast to be well covered by earnings (32.3% payout ratio).


Next Steps

Management

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

14.3yrs

Average management tenure


CEO

Janusz Filipiak (69 yo)

23.67yrs

Tenure

zł14,978,622

Compensation

Prof. Janusz Filipiak is the Founder of Comarch Spólka Akcyjna and has been its Chief Executive Officer since 1998. Prof. Filipiak serves as the President of Management Board at Comarch Spólka Akcyjna. He...


CEO Compensation Analysis

Compensation vs Market: Insufficient data to establish whether Janusz's total compensation is reasonable compared to companies of similar size in the Polish market.

Compensation vs Earnings: Janusz's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: CMR's management team is seasoned and experienced (14.3 years average tenure).


Board Members

Experienced Board: CMR's board of directors are not considered experienced ( 2.7 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

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


Key Information

  • Name: Comarch S.A.
  • Ticker: CMR
  • Exchange: WSE
  • Founded: 1993
  • Industry: IT Consulting and Other Services
  • Sector: Software
  • Market Cap: zł1.960b
  • Shares outstanding: 8.13m
  • Website: https://www.comarch.com

Number of Employees


Location

  • Comarch S.A.
  • Al. Jana Pawla II 39 A
  • Kraków
  • 31-864
  • Poland

Listings


Biography

Comarch S.A. designs, implements, and integrates IT solutions worldwide. Its solutions include Internet of Things (IoT) connectivity and solution management, analytics platform, and billing system; digital...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/17 22:26
End of Day Share Price2021/09/17 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.