American Software, Inc. develops, markets, and supports a range of computer business application software products and services in the United States and internationally. More Details
Flawless balance sheet with acceptable track record.
Share Price & News
How has American Software's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: AMSW.A is more volatile than 75% of US stocks over the past 3 months, typically moving +/- 12% a week.
Volatility Over Time: AMSW.A's weekly volatility (12%) has been stable over the past year, but is still higher than 75% of US stocks.
7 Day Return
1 Year Return
Return vs Industry: AMSW.A underperformed the US Software industry which returned 35.3% over the past year.
Return vs Market: AMSW.A underperformed the US Market which returned 39.4% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is American Software's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall StAmerican Software's (NASDAQ:AMSW.A) Dividend Will Be US$0.11
1 month ago | Simply Wall StDividend Investors: Don't Be Too Quick To Buy American Software, Inc. (NASDAQ:AMSW.A) For Its Upcoming Dividend
1 month ago | Simply Wall StShareholders Of American Software (NASDAQ:AMSW.A) Must Be Happy With Their 168% Total Return
Is American Software undervalued compared to its fair value and its price relative to the market?
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: AMSW.A ($24.41) is trading above our estimate of fair value ($12.42)
Significantly Below Fair Value: AMSW.A is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: AMSW.A is poor value based on its PE Ratio (98.3x) compared to the US Software industry average (48.3x).
PE vs Market: AMSW.A is poor value based on its PE Ratio (98.3x) compared to the US market (19.4x).
Price to Earnings Growth Ratio
PEG Ratio: AMSW.A is poor value based on its PEG Ratio (4.6x)
Price to Book Ratio
PB vs Industry: AMSW.A is good value based on its PB Ratio (6.5x) compared to the US Software industry average (8x).
How is American Software forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: AMSW.A's forecast earnings growth (21.4% per year) is above the savings rate (2%).
Earnings vs Market: AMSW.A's earnings (21.4% per year) are forecast to grow faster than the US market (15.7% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: AMSW.A's revenue (7.5% per year) is forecast to grow slower than the US market (9.4% per year).
High Growth Revenue: AMSW.A's revenue (7.5% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: AMSW.A's Return on Equity is forecast to be low in 3 years time (14.4%).
How has American Software performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: AMSW.A has high quality earnings.
Growing Profit Margin: AMSW.A's current net profit margins (7.3%) are higher than last year (5.8%).
Past Earnings Growth Analysis
Earnings Trend: AMSW.A's earnings have declined by 13.3% per year over the past 5 years.
Accelerating Growth: AMSW.A's earnings growth over the past year (20%) exceeds its 5-year average (-13.3% per year).
Earnings vs Industry: AMSW.A earnings growth over the past year (20%) underperformed the Software industry 31%.
Return on Equity
High ROE: AMSW.A's Return on Equity (6.6%) is considered low.
How is American Software's financial position?
Financial Position Analysis
Short Term Liabilities: AMSW.A's short term assets ($136.6M) exceed its short term liabilities ($50.7M).
Long Term Liabilities: AMSW.A's short term assets ($136.6M) exceed its long term liabilities ($4.1M).
Debt to Equity History and Analysis
Debt Level: AMSW.A is debt free.
Reducing Debt: AMSW.A has not had any debt for past 5 years.
Debt Coverage: AMSW.A has no debt, therefore it does not need to be covered by operating cash flow.
Interest Coverage: AMSW.A has no debt, therefore coverage of interest payments is not a concern.
What is American Software current dividend yield, its reliability and sustainability?
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: AMSW.A's dividend (1.8%) is higher than the bottom 25% of dividend payers in the US market (1.29%).
High Dividend: AMSW.A's dividend (1.8%) is low compared to the top 25% of dividend payers in the US market (3.43%).
Stability and Growth of Payments
Stable Dividend: AMSW.A's dividends per share have been stable in the past 10 years.
Growing Dividend: AMSW.A's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (177.1%), AMSW.A's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
H. Dow (56 yo)
Mr. H. Allan Dow has been the President of American Software, Inc., since March 3, 2017 and its Chief Executive Officer and Director since May 20, 2020. Mr. Dow has been the President of Logility Inc. sinc...
CEO Compensation Analysis
Compensation vs Market: H.'s total compensation ($USD2.56M) is about average for companies of similar size in the US market ($USD2.38M).
Compensation vs Earnings: H.'s compensation has increased by more than 20% in the past year.
Experienced Management: AMSW.A's management team is not considered experienced ( 1.1 years average tenure), which suggests a new team.
Experienced Board: AMSW.A's board of directors are considered experienced (6.8 years average tenure).
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.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
American Software, Inc.'s company bio, employee growth, exchange listings and data sources
- Name: American Software, Inc.
- Ticker: AMSW.A
- Exchange: NasdaqGS
- Founded: 1970
- Industry: Application Software
- Sector: Software
- Market Cap: US$760.132m
- Shares outstanding: 32.71m
- Website: https://www.amsoftware.com
Number of Employees
- American Software, Inc.
- 470 East Paces Ferry Road, N.E.
- United States
American Software, Inc. develops, markets, and supports a range of computer business application software products and services in the United States and internationally. It operates in three segments: Supp...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/06/19 02:48|
|End of Day Share Price||2021/06/18 00:00|
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.