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CSGS

CSG Systems InternationalNasdaqGS:CSGS Stock Report

Last Price

US$56.29

Market Cap

US$1.8b

7D

-2.1%

1Y

24.5%

Updated

19 Jan, 2022

Data

Company Financials +
CSGS fundamental analysis
Snowflake Score
Valuation4/6
Future Growth2/6
Past Performance2/6
Financial Health6/6
Dividends3/6

CSGS Stock Overview

CSG Systems International, Inc. provides revenue management, customer experience, and payment solutions primarily to the communications industry in the Americas, Europe, the Middle East, Africa, and the Asia Pacific.

CSG Systems International Competitors

Fiserv

NasdaqGS:FISV

US$70.0b

Fidelity National Information Services

NYSE:FIS

US$69.0b

Global Payments

NYSE:GPN

US$42.3b

FLEETCOR Technologies

NYSE:FLT

US$19.3b

Price History & Performance

Summary of all time highs, changes and price drops for CSG Systems International
Historical stock prices
Current Share PriceUS$56.29
52 Week HighUS$59.48
52 Week LowUS$42.58
Beta0.84
1 Month Change-0.25%
3 Month Change11.62%
1 Year Change24.54%
3 Year Change61.43%
5 Year Change13.99%
Change since IPO389.48%

Recent News & Updates

Dec 27
Returns On Capital At CSG Systems International (NASDAQ:CSGS) Have Stalled

Returns On Capital At CSG Systems International (NASDAQ:CSGS) Have Stalled

Did you know there are some financial metrics that can provide clues of a potential multi-bagger? In a perfect world...

Dec 12
What Is CSG Systems International, Inc.'s (NASDAQ:CSGS) Share Price Doing?

What Is CSG Systems International, Inc.'s (NASDAQ:CSGS) Share Price Doing?

CSG Systems International, Inc. ( NASDAQ:CSGS ), is not the largest company out there, but it saw a decent share price...

Nov 04
Are Investors Undervaluing CSG Systems International, Inc. (NASDAQ:CSGS) By 32%?

Are Investors Undervaluing CSG Systems International, Inc. (NASDAQ:CSGS) By 32%?

In this article we are going to estimate the intrinsic value of CSG Systems International, Inc. ( NASDAQ:CSGS ) by...

Shareholder Returns

CSGSUS ITUS Market
7D-2.1%-5.6%-4.6%
1Y24.5%-6.4%7.7%

Return vs Industry: CSGS exceeded the US IT industry which returned -4.3% over the past year.

Return vs Market: CSGS exceeded the US Market which returned 10.2% over the past year.

Price Volatility

Is CSGS's price volatile compared to industry and market?
CSGS volatility
CSGS Average Weekly Movement2.8%
IT Industry Average Movement8.2%
Market Average Movement6.6%
10% most volatile stocks in US Market15.7%
10% least volatile stocks in US Market2.4%

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

Volatility Over Time: CSGS's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19944,807Brian Shepherdhttps://www.csgi.com

CSG Systems International, Inc. provides revenue management, customer experience, and payment solutions primarily to the communications industry in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. It offers Advanced Convergent Platform, a private cloud-based platform; related customer communications management solutions, including field force automation, analytics, electronic bill presentment, ACH, etc. for processing voice, SMS/text, print, and e-mail messages; and cloud-based integrated suite of solutions for range of industries. The company also provides managed services; and professional services to implement, configure, and maintain its solutions, as well as licenses various solutions, such as mediation, partner management, rating, and charging.

CSG Systems International Fundamentals Summary

How do CSG Systems International's earnings and revenue compare to its market cap?
CSGS fundamental statistics
Market CapUS$1.77b
Earnings (TTM)US$68.35m
Revenue (TTM)US$1.03b

25.9x

P/E Ratio

1.7x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
CSGS income statement (TTM)
RevenueUS$1.03b
Cost of RevenueUS$536.35m
Gross ProfitUS$495.60m
ExpensesUS$427.25m
EarningsUS$68.35m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

Feb 01, 2022

Earnings per share (EPS)2.17
Gross Margin48.03%
Net Profit Margin6.62%
Debt/Equity Ratio84.6%

How did CSGS perform over the long term?

See historical performance and comparison

Dividends

1.8%

Current Dividend Yield

46%

Payout Ratio

Valuation

Is CSG Systems International undervalued compared to its fair value and its price relative to the market?

47.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CSGS ($56.29) is trading below our estimate of fair value ($106.82)

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 (25.9x) compared to the US IT industry average (32.5x).

PE vs Market: CSGS is poor value based on its PE Ratio (25.9x) compared to the US market (17x).


Price to Earnings Growth Ratio

PEG Ratio: CSGS is poor value based on its PEG Ratio (1.9x)


Price to Book Ratio

PB vs Industry: CSGS is good value based on its PB Ratio (4x) compared to the US IT industry average (4.3x).


Future Growth

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

13.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CSGS's forecast earnings growth (13.6% per year) is above the savings rate (2%).

Earnings vs Market: CSGS's earnings (13.6% per year) are forecast to grow faster than the US market (13% per year).

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

Revenue vs Market: CSGS's revenue (3.3% per year) is forecast to grow slower than the US market (9.2% per year).

High Growth Revenue: CSGS's revenue (3.3% 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%).


Past Performance

How has CSG Systems International performed over the past 5 years?

2.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CSGS has high quality earnings.

Growing Profit Margin: CSGS's current net profit margins (6.6%) are lower than last year (6.9%).


Past Earnings Growth Analysis

Earnings Trend: CSGS's earnings have grown by 2.1% per year over the past 5 years.

Accelerating Growth: CSGS's earnings growth over the past year (0.5%) is below its 5-year average (2.1% per year).

Earnings vs Industry: CSGS earnings growth over the past year (0.5%) underperformed the IT industry 35.8%.


Return on Equity

High ROE: CSGS's Return on Equity (15.4%) is considered low.


Financial Health

How is CSG Systems International's financial position?


Financial Position Analysis

Short Term Liabilities: CSGS's short term assets ($721.7M) exceed its short term liabilities ($663.2M).

Long Term Liabilities: CSGS's short term assets ($721.7M) exceed its long term liabilities ($257.9M).


Debt to Equity History and Analysis

Debt Level: CSGS's net debt to equity ratio (34%) is considered satisfactory.

Reducing Debt: CSGS's debt to equity ratio has reduced from 160.8% to 84.6% over the past 5 years.

Debt Coverage: CSGS's debt is well covered by operating cash flow (38.7%).

Interest Coverage: CSGS's interest payments on its debt are well covered by EBIT (8x coverage).


Balance Sheet


Dividend

What is CSG Systems International current dividend yield, its reliability and sustainability?

1.78%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: CSGS's dividend (1.78%) is higher than the bottom 25% of dividend payers in the US market (1.35%).

High Dividend: CSGS's dividend (1.78%) is low compared to the top 25% of dividend payers in the US market (3.48%).


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 9 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (45.9%), 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 (26.5% payout ratio).


Next Steps

  • Explore strong dividend paying companies in the Software industry.

Management

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

1.0yrs

Average management tenure


CEO

Brian Shepherd (53 yo)

1

Tenure

US$4,271,326

Compensation

Mr. Brian A. Shepherd serves as Chief Executive Officer, President & Director at CSG Systems International, Inc. since January 01, 2021. Mr. Shepherd served as the Executive Vice President and Group Presid...


CEO Compensation Analysis

Compensation vs Market: Brian's total compensation ($USD4.27M) is about average for companies of similar size in the US market ($USD3.70M).

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


Leadership Team

Experienced Management: CSGS's management team is not considered experienced ( 1 years average tenure), which suggests a new team.


Board Members

Experienced Board: CSGS's board of directors are considered experienced (4.6 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 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
  • Implied Market Cap: US$1.773b
  • Shares outstanding: 31.50m
  • 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


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/19 23:31
End of Day Share Price2022/01/19 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.