NasdaqGS:BLKB

Stock Analysis Report

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Executive Summary

Blackbaud, Inc. provides cloud software solutions to nonprofits, foundations, companies, education institutions, healthcare organizations, and individual change agents in the United States and internationally.


Snowflake Analysis

Imperfect balance sheet with poor track record.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: BLKB's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

3.5%

BLKB

2.0%

US Software

2.8%

US Market


1 Year Return

-19.6%

BLKB

35.7%

US Software

9.3%

US Market

Return vs Industry: BLKB underperformed the US Software industry which returned 36.5% over the past year.

Return vs Market: BLKB underperformed the US Market which returned 9.9% over the past year.


Shareholder returns

BLKBIndustryMarket
7 Day3.5%2.0%2.8%
30 Day10.0%11.1%8.9%
90 Day-13.3%10.6%-0.5%
1 Year-19.2%-19.6%36.7%35.7%11.8%9.3%
3 Year-32.2%-33.2%126.0%118.3%31.4%22.7%
5 Year16.5%13.1%208.6%189.9%58.7%40.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

158.64x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: BLKB ($58.61) is trading above our estimate of fair value ($24.77)

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


Price To Earnings Ratio

PE vs Industry: BLKB is poor value based on its PE Ratio (158.6x) compared to the Software industry average (47.5x).

PE vs Market: BLKB is poor value based on its PE Ratio (158.6x) compared to the US market (15.7x).


Price to Earnings Growth Ratio

PEG Ratio: BLKB's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: BLKB is overvalued based on its PB Ratio (7.4x) compared to the US Software industry average (6x).


Next Steps

Future Growth

How is Blackbaud forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

-8.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BLKB's earnings are forecast to decline over the next 3 years (-8.5% per year).

Earnings vs Market: BLKB's earnings are forecast to decline over the next 3 years (-8.5% per year).

High Growth Earnings: BLKB's earnings are forecast to decline over the next 3 years.

Revenue vs Market: BLKB's revenue (1.2% per year) is forecast to grow slower than the US market (8.8% per year).

High Growth Revenue: BLKB's revenue (1.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if BLKB's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Blackbaud performed over the past 5 years?

1.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: BLKB has a large one-off loss of $7.7M impacting its March 31 2020 financial results.

Growing Profit Margin: BLKB's current net profit margins (1.9%) are lower than last year (3%).


Past Earnings Growth Analysis

Earnings Trend: BLKB's earnings have grown by 1.7% per year over the past 5 years.

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

Earnings vs Industry: BLKB had negative earnings growth (-32%) over the past year, making it difficult to compare to the Software industry average (9.6%).


Return on Equity

High ROE: BLKB's Return on Equity (4.6%) is considered low.


Next Steps

Financial Health

How is Blackbaud's financial position?


Financial Position Analysis

Short Term Liabilities: BLKB's short term assets ($428.6M) do not cover its short term liabilities ($622.8M).

Long Term Liabilities: BLKB's short term assets ($428.6M) do not cover its long term liabilities ($667.7M).


Debt to Equity History and Analysis

Debt Level: BLKB's debt to equity ratio (141.1%) is considered high.

Reducing Debt: BLKB's debt to equity ratio has reduced from 152.2% to 141.1% over the past 5 years.

Debt Coverage: BLKB's debt is well covered by operating cash flow (31.3%).

Interest Coverage: BLKB's interest payments on its debt are not well covered by EBIT (2.4x coverage).


Balance Sheet


Next Steps

Dividend

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

0.57%

Forecast Dividend Yield


Dividend Yield vs Market

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

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

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


Current Payout to Shareholders

Dividend Coverage: BLKB is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of BLKB'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?

7.5yrs

Average management tenure


CEO

Mike Gianoni (58yo)

6.42yrs

Tenure

US$11,133,210

Compensation

Mr. Michael P. Gianoni, also known as Mike, has been Independent Non-Executive Chairman of Teradata Corporation since February 6, 2020. Mr. Gianoni was the Independent Lead Director of Teradata Corporation ...


CEO Compensation Analysis

Compensation vs Market: Mike's total compensation ($USD11.13M) is above average for companies of similar size in the US market ($USD5.91M).

Compensation vs Earnings: Mike's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Michael Gianoni
President6.42yrsUS$11.13m0.54% $15.4m
Anthony Boor
Executive VP of Finance & Administration and CFO8.58yrsUS$4.41m0.22% $6.2m
Jon Olson
Senior VP11.75yrsUS$2.02m0.11% $3.1m
Kevin Mooney
Executive VP & President of General Markets Group11.92yrsUS$3.18m0.17% $4.9m
Kevin Gregoire
Executive VP & President of Enterprise Markets Group2.17yrsUS$3.14m0.13% $3.6m
Stephen Halleck
Senior Vice President of Business Operationsno datano datano data
Mary Westmoreland
CTO & Senior VP4.67yrsno datano data
Charles Longfield
Senior VP & Chief Scientist13.42yrsUS$749.08kno data
Todd Lant
Chief Information Officer3.42yrsno datano data
Nicole McGougan
Public Relations Managerno datano datano data

7.5yrs

Average Tenure

57yo

Average Age

Experienced Management: BLKB's management team is seasoned and experienced (7.5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Michael Gianoni
President6.42yrsUS$11.13m0.54% $15.4m
Timothy C. Chou
Independent Director13yrsUS$316.69k0.044% $1.2m
George Ellis
Independent Director14.25yrsUS$336.69k0.014% $409.9k
Andrew Leitch
Independent Chairman10.92yrsUS$456.69k0.049% $1.4m
Joyce Nelson
Independent Director7.75yrsUS$326.69k0.033% $931.4k
Sarah Nash
Independent Director9.92yrsUS$338.69k0.045% $1.3m
Thomas Ertel
Independent Director2.5yrsUS$321.69k0.013% $364.9k

9.9yrs

Average Tenure

65yo

Average Age

Experienced Board: BLKB's board of directors are considered experienced (9.9 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.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

Blackbaud, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Blackbaud, Inc.
  • Ticker: BLKB
  • Exchange: NasdaqGS
  • Founded: 1981
  • Industry: Application Software
  • Sector: Software
  • Market Cap: US$2.831b
  • Shares outstanding: 48.30m
  • Website: https://www.blackbaud.com

Number of Employees


Location

  • Blackbaud, Inc.
  • 65 Fairchild Street
  • Charleston
  • South Carolina
  • 29492
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BLKBNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDJul 2004
BNKDB (Deutsche Boerse AG)YesCommon StockDEEURJul 2004

Biography

Blackbaud, Inc. provides cloud software solutions to nonprofits, foundations, companies, education institutions, healthcare organizations, and individual change agents in the United States and internationally. The company offers fundraising and relationship management solutions and services, including Blackbaud Raiser's Edge NXT, Blackbaud CRM, Blackbaud eTapestry, Blackbaud TeamRaiser, everydayhero, Blackbaud Peer-to-Peer Fundraising, and Blackbaud Guided Fundraising and Blackbaud Volunteer Network Fundraising; and marketing and engagement solutions, such as Blackbaud Luminate Online, Blackbaud Online Express, Blackbaud Attentive.ly, and Blackbaud School Website System. It also provides Blackbaud Financial Edge NXT, Blackbaud Tuition Management, and Blackbaud Financial Aid Management Aid financial management solutions and services; and Blackbaud Grantmaking and Blackbaud Award Management grant and award management solutions. In addition, the company offers organizational and program management solutions and services comprising Blackbaud Student Information System, Blackbaud Learning Management System, Blackbaud Enrollment Management System, Blackbaud Altru, and Blackbaud Church Management; and YourCause social responsibility solutions. Further, it provides Blackbaud Merchant Services and Blackbaud Purchase Cards payment services; and Blackbaud’s Intelligence for Good solutions, as well as donor acquisition, prospect research, data enrichment, and benchmarking and performance management solutions and services. Additionally, the company offers customer support and maintenance, professional and managed, and training services. It sells its solutions and related services through its direct sales force. The company was founded in 1981 and is headquartered in Charleston, South Carolina. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/06/01 03:19
End of Day Share Price2020/05/29 00:00
Earnings2020/03/31
Annual Earnings2019/12/31


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.