AVDX

AvidXchange HoldingsNasdaqGS:AVDX Stock Report

Market Cap

US$3.9b

7D

-5.5%

1Y

n/a

Updated

09 Dec, 2021

Data

Company Financials +
AVDX fundamental analysis
Snowflake Score
Valuation0/6
Future Growth1/6
Past Performance0/6
Financial Health5/6
Dividends0/6

AVDX Stock Overview

AvidXchange Holdings, Inc. provides accounts payable (AP) automation software and payment solutions for middle market businesses and suppliers in North America.

AvidXchange Holdings Competitors

Bill.com Holdings

NYSE:BILL

US$27.1b

Coupa Software

NasdaqGS:COUP

US$12.9b

Bottomline Technologies

NasdaqGS:EPAY

US$2.0b

BTRS Holdings

NasdaqGS:BTRS

US$1.3b

Price History & Performance

Summary of all time highs, changes and price drops for AvidXchange Holdings
Historical stock prices
Current Share PriceUS$19.65
52 Week HighUS$27.44
52 Week LowUS$16.90
Beta0
1 Month Change-21.12%
3 Month Changen/a
1 Year Changen/a
3 Year Changen/a
5 Year Changen/a
Change since IPO-21.21%

Recent News & Updates

Oct 17

AvidXchange Holdings - Not Too Compelled

AvidXchange aims to transform payables in the SME market. The company has seen solid growth and has a huge growth runway still ahead. Despite competition, the market potential is large, as I feel that investors have been pricing in too much growth here.

Shareholder Returns

AVDXUS SoftwareUS Market
7D-5.5%2.3%4.0%
1Yn/a35.7%21.7%

Return vs Industry: Insufficient data to determine how AVDX performed against the US Software industry.

Return vs Market: Insufficient data to determine how AVDX performed against the US Market.

Price Volatility

Is AVDX's price volatile compared to industry and market?
AVDX volatility
AVDX Average Weekly Movement11.4%
Software Industry Average Movement7.9%
Market Average Movement6.3%
10% most volatile stocks in US Market15.1%
10% least volatile stocks in US Market2.4%

Stable Share Price: AVDX is more volatile than 75% of US stocks over the past 3 months, typically moving +/- 11% a week.

Volatility Over Time: Insufficient data to determine AVDX's volatility change over the past year.

About the Company

FoundedEmployeesCEOWebsite
20001,500Mike Praegerhttps://www.avidxchange.com

AvidXchange Holdings, Inc. provides accounts payable (AP) automation software and payment solutions for middle market businesses and suppliers in North America. The company offers AP automation software, a SaaS-based solution that automates and digitizes capture, review, approval, and payment of invoices for buyers; the AvidPay network that connects two-sided payments with buyers and suppliers; and cash flow manager that provides cash management solutions. Its platform offers electronic invoice capture, workflow routing, and automated payments solutions.

AvidXchange Holdings Fundamentals Summary

How do AvidXchange Holdings's earnings and revenue compare to its market cap?
AVDX fundamental statistics
Market CapUS$3.86b
Earnings (TTM)-US$223.69m
Revenue (TTM)US$232.01m

16.6x

P/S Ratio

-17.2x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
AVDX income statement (TTM)
RevenueUS$232.01m
Cost of RevenueUS$93.46m
Gross ProfitUS$138.55m
ExpensesUS$362.24m
Earnings-US$223.69m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-1.14
Gross Margin59.72%
Net Profit Margin-96.41%
Debt/Equity Ratio37.1%

How did AVDX perform over the long term?

See historical performance and comparison

Valuation

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


In this section, we usually try to help investors determine whether AvidXchange Holdings is trading at an attractive price based on the cash flow it is expected to produce in the future. But as AvidXchange Holdings has not provided consistent financial data, and the stock also has no analyst forecast or coverage, its intrinsic value cannot be reliably calculated by extrapolating past data or using analyst consensus cash flow predictions.

This is quite a rare situation as 89% of companies covered by Simply Wall St do have a valuation analysis.


Future Growth

How is AvidXchange Holdings forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

17.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AVDX is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: AVDX is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: AVDX is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: AVDX's revenue (19.1% per year) is forecast to grow faster than the US market (10% per year).

High Growth Revenue: AVDX's revenue (19.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: AVDX is forecast to be unprofitable in 3 years.


Past Performance

How has AvidXchange Holdings performed over the past 5 years?

-47.5%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: AVDX is currently unprofitable.

Growing Profit Margin: AVDX is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: Unable to establish if AVDX's year-on-year earnings growth rate was positive over the past 5 years as it has been trading publicly for less than 3 years.

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

Earnings vs Industry: AVDX is unprofitable, making it difficult to compare its past year earnings growth to the Software industry (20.5%).


Return on Equity

High ROE: AVDX has a negative Return on Equity (-57.8%), as it is currently unprofitable.


Financial Health

How is AvidXchange Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: AVDX's short term assets ($1.1B) exceed its short term liabilities ($960.2M).

Long Term Liabilities: AVDX's short term assets ($1.1B) exceed its long term liabilities ($221.3M).


Debt to Equity History and Analysis

Debt Level: AVDX has more cash than its total debt.

Reducing Debt: Insufficient data to determine if AVDX's debt to equity ratio has reduced 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: AVDX has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: AVDX has sufficient cash runway for 1.6 years if free cash flow continues to reduce at historical rates of 1.1% each year.


Dividend

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


Dividend Yield vs Market

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

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

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


Next Steps

Management

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

3.7yrs

Average management tenure


CEO

Mike Praeger (56 yo)

21.67yrs

Tenure

US$2,402,564

Compensation

Mr. Michael Praeger, also known as Mike, co-founded AvidXchange Holdings, Inc. (formerly known as AvidXchange, Inc.). in 2000 and serves as its Chairman, Chief Executive Officer since April 2000 and Presid...


CEO Compensation Analysis

Compensation vs Market: Mike's total compensation ($USD2.40M) is below average for companies of similar size in the US market ($USD5.18M).

Compensation vs Earnings: Insufficient data to compare Mike's compensation with company performance.


Leadership Team

Experienced Management: AVDX's management team is considered experienced (3.7 years average tenure).


Board Members

Experienced Board: AVDX's board of directors are considered experienced (6 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: AVDX only recently listed within the past 12 months.


Top Shareholders

Company Information

AvidXchange Holdings, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: AvidXchange Holdings, Inc.
  • Ticker: AVDX
  • Exchange: NasdaqGS
  • Founded: 2000
  • Industry: Application Software
  • Sector: Software
  • Market Cap: US$3.856b
  • Shares outstanding: 196.21m
  • Website: https://www.avidxchange.com

Number of Employees


Location

  • AvidXchange Holdings, Inc.
  • 1210 AvidXchange Lane
  • Charlotte
  • North Carolina
  • 28206-3560
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/12/09 00:01
End of Day Share Price2021/12/08 00:00
Earnings2021/09/30
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.