CSG Systems International
Market Cap
US$1.2b
Last Updated
2020/10/30 03:34 UTC
Data Sources
Company Financials +
Executive Summary
CSG Systems International, Inc. provides business support solutions primarily to the communications industry in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. More Details
Rewards
Risk Analysis
Snowflake Analysis
Undervalued with adequate balance sheet.
Similar Companies
Share Price & News
How has CSG Systems International's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: CSGS has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-4.6%
CSGS
-6.6%
US IT
-4.1%
US Market
1 Year Return
-32.2%
CSGS
17.7%
US IT
12.0%
US Market
Return vs Industry: CSGS underperformed the US IT industry which returned 17.7% over the past year.
Return vs Market: CSGS underperformed the US Market which returned 12% over the past year.
Shareholder returns
| CSGS | Industry | Market | |
|---|---|---|---|
| 7 Day | -4.6% | -6.6% | -4.1% |
| 30 Day | -6.5% | -5.1% | -0.2% |
| 90 Day | -9.1% | -2.5% | 2.8% |
| 1 Year | -30.8%-32.2% | 18.9%17.7% | 14.6%12.0% |
| 3 Year | -6.9%-12.4% | 78.4%71.6% | 35.8%26.8% |
| 5 Year | 13.9%3.3% | 135.4%117.1% | 75.2%55.6% |
Price Volatility Vs. Market
How volatile is CSG Systems International's share price compared to the market and industry in the last 5 years?
Simply Wall St News
3 days ago | Simply Wall St
CSG Systems International's(NASDAQ:CSGS) Share Price Is Down 22% Over The Past Year.2 weeks ago | Simply Wall St
Is CSG Systems International, Inc.'s (NASDAQ:CSGS) Stock's Recent Performance Being Led By Its Attractive Financial Prospects?3 weeks ago | Simply Wall St
Is CSG Systems International (NASDAQ:CSGS) A Risky Investment?Valuation
Is CSG Systems International undervalued compared to its fair value and its price relative to the market?
27.9%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: CSGS ($38.28) is trading below our estimate of fair value ($53.11)
Significantly Below Fair Value: CSGS is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: CSGS is good value based on its PE Ratio (16.1x) compared to the US IT industry average (30.8x).
PE vs Market: CSGS is good value based on its PE Ratio (16.1x) compared to the US market (18.1x).
Price to Earnings Growth Ratio
PEG Ratio: CSGS is poor value based on its PEG Ratio (1.5x)
Price to Book Ratio
PB vs Industry: CSGS is good value based on its PB Ratio (3.1x) compared to the US IT industry average (3.6x).
Next Steps
Future Growth
How is CSG Systems International forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?
10.4%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: CSGS's forecast earnings growth (10.4% per year) is above the savings rate (2.2%).
Earnings vs Market: CSGS's earnings (10.4% per year) are forecast to grow slower than the US market (22% per year).
High Growth Earnings: CSGS's earnings are forecast to grow, but not significantly.
Revenue vs Market: CSGS's revenue (0.8% per year) is forecast to grow slower than the US market (10% per year).
High Growth Revenue: CSGS's revenue (0.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: CSGS's Return on Equity is forecast to be low in 3 years time (18%).
Next Steps
Past Performance
How has CSG Systems International performed over the past 5 years?
7.0%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: CSGS has high quality earnings.
Growing Profit Margin: CSGS's current net profit margins (7.7%) are lower than last year (8%).
Past Earnings Growth Analysis
Earnings Trend: CSGS's earnings have grown by 7% per year over the past 5 years.
Accelerating Growth: CSGS's earnings growth over the past year (0.4%) is below its 5-year average (7% per year).
Earnings vs Industry: CSGS earnings growth over the past year (0.4%) underperformed the IT industry 5.9%.
Return on Equity
High ROE: CSGS's Return on Equity (19.1%) is considered low.
Next Steps
Financial Health
How is CSG Systems International's financial position?
Financial Position Analysis
Short Term Liabilities: CSGS's short term assets ($642.8M) exceed its short term liabilities ($370.8M).
Long Term Liabilities: CSGS's short term assets ($642.8M) exceed its long term liabilities ($501.0M).
Debt to Equity History and Analysis
Debt Level: CSGS's debt to equity ratio (89.1%) is considered high.
Reducing Debt: CSGS's debt to equity ratio has increased from 87% to 89.1% over the past 5 years.
Debt Coverage: CSGS's debt is well covered by operating cash flow (48.8%).
Interest Coverage: CSGS's interest payments on its debt are well covered by EBIT (7.3x coverage).
Balance Sheet
Next Steps
Dividend
What is CSG Systems International current dividend yield, its reliability and sustainability?
2.46%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: CSGS's dividend (2.46%) is higher than the bottom 25% of dividend payers in the US market (1.69%).
High Dividend: CSGS's dividend (2.46%) is low compared to the top 25% of dividend payers in the US market (4.78%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, CSGS has been paying a dividend for less than 10 years.
Growing Dividend: CSGS's dividend payments have increased, but the company has only paid a dividend for 7 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (38.5%), CSGS's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: CSGS's dividends in 3 years are forecast to be well covered by earnings (25.1% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
4.3yrs
Average management tenure
CEO
Bret Griess (52 yo)
4.75yrs
Tenure
US$6,066,073
Compensation
Mr. Bret C. Griess has been the President of CSG Systems International, Inc. since June 2015 and its Chief Executive Officer since January 1, 2016. Mr. Griess served as Chief Operating Officer of CSG Syste ...
CEO Compensation Analysis
Compensation vs Market: Bret's total compensation ($USD6.07M) is above average for companies of similar size in the US market ($USD4.53M).
Compensation vs Earnings: Bret's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 4.75yrs | US$6.07m | 1.09% $ 13.4m | |
| Executive VP & CFO | 2.42yrs | US$1.77m | 0.20% $ 2.4m | |
| Executive VP and President of Technology & Products | 3yrs | US$2.07m | 0.40% $ 4.9m | |
| Executive VP & Group President of CSG | 4.58yrs | US$2.20m | 0.62% $ 7.6m | |
| Chief Accounting Officer | 1.42yrs | no data | 0.031% $ 381.7k | |
| Senior VP | 11yrs | no data | no data | |
| Senior VP | 4.25yrs | no data | no data | |
| Chief Human Resources Officer & Senior VP | 4.25yrs | no data | no data | |
| VP & Controller | no data | no data | no data | |
| Senior VP & Head of Customer Communications Management | 3yrs | no data | no data | |
| Senior Vice President of Software Development | 9.83yrs | no data | no data | |
| Chief Strategy Officer & Senior VP | 4.42yrs | no data | no data |
4.3yrs
Average Tenure
51yo
Average Age
Experienced Management: CSGS's management team is considered experienced (4.3 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 4.75yrs | US$6.07m | 1.09% $ 13.4m | |
| Independent Director | 26yrs | US$251.88k | 0.089% $ 1.1m | |
| Independent Director | 6.58yrs | US$267.88k | 0.070% $ 850.4k | |
| Director | 0.42yr | no data | 0.013% $ 156.7k | |
| Independent Director | 22.92yrs | US$254.38k | 0.16% $ 1.9m | |
| Independent Director | 13.92yrs | US$267.88k | 0.11% $ 1.3m | |
| Independent Director | 15.33yrs | US$251.88k | 0.15% $ 1.9m | |
| Independent Chairman of the Board | 10.75yrs | US$301.88k | 0.13% $ 1.6m | |
| Independent Director | 4.58yrs | US$259.38k | 0.051% $ 628.3k | |
| Independent Director | 0.75yr | no data | 0.013% $ 156.7k | |
| Independent Director | 2.17yrs | US$251.88k | 0.033% $ 398.6k |
6.6yrs
Average Tenure
58yo
Average Age
Experienced Board: CSGS's board of directors are considered experienced (6.6 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: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
CSG Systems International, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: CSG Systems International, Inc.
- Ticker: CSGS
- Exchange: NasdaqGS
- Founded: 1994
- Industry: Data Processing and Outsourced Services
- Sector: Software
- Market Cap: US$1.223b
- Shares outstanding: 31.94m
- Website: https://www.csgi.com
Number of Employees
Location
- CSG Systems International, Inc.
- 6175 South Willow Drive
- 10th Floor
- Greenwood Village
- Colorado
- 80111
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| CSGS | NasdaqGS (Nasdaq Global Select) | Yes | Common Stock | US | USD | Feb 1996 |
| CSN | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Feb 1996 |
Biography
CSG Systems International, Inc. provides business support solutions primarily to the communications industry in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. The company offers reven ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/10/30 03:34 |
| End of Day Share Price | 2020/10/29 00:00 |
| Earnings | 2020/06/30 |
| Annual Earnings | 2019/12/31 |
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.