NasdaqGS:CTXS

Stock Analysis Report

Executive Summary

Citrix Systems, Inc. provides workspace, networking, and professional services worldwide.


Snowflake Analysis

Solid track record and slightly overvalued.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

4.8%

CTXS

-1.4%

US Software

2.4%

US Market


1 Year Return

43.6%

CTXS

8.6%

US Software

-10.0%

US Market

Return vs Industry: CTXS exceeded the US Software industry which returned 8.6% over the past year.

Return vs Market: CTXS exceeded the US Market which returned -10% over the past year.


Shareholder returns

CTXSIndustryMarket
7 Day4.8%-1.4%2.4%
30 Day25.7%-7.7%-11.0%
90 Day27.8%-7.8%-19.4%
1 Year45.6%43.6%9.8%8.6%-8.1%-10.0%
3 Year79.3%75.7%104.2%95.6%17.3%9.6%
5 Year185.4%122.6%169.6%150.6%36.1%21.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

16.2%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CTXS ($145.8) is trading below our estimate of fair value ($173.96)

Significantly Below Fair Value: CTXS is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: CTXS is good value based on its PE Ratio (28x) compared to the Software industry average (40.6x).

PE vs Market: CTXS is poor value based on its PE Ratio (28x) compared to the US market (13x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: CTXS is overvalued based on its PB Ratio (22.6x) compared to the US Software industry average (4.4x).


Next Steps

Future Growth

How is Citrix Systems forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?

-15.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CTXS's earnings are forecast to decline over the next 3 years (-15.3% per year).

Earnings vs Market: CTXS's earnings are forecast to decline over the next 3 years (-15.3% per year).

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

Revenue vs Market: CTXS's revenue (4.7% per year) is forecast to grow slower than the US market (7% per year).

High Growth Revenue: CTXS's revenue (4.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CTXS's Return on Equity is forecast to be very high in 3 years time (97.1%).


Next Steps

Past Performance

How has Citrix Systems performed over the past 5 years?

14.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CTXS has high quality earnings.

Growing Profit Margin: CTXS's current net profit margins (22.6%) are higher than last year (19.4%).


Past Earnings Growth Analysis

Earnings Trend: CTXS's earnings have grown by 14.2% per year over the past 5 years.

Accelerating Growth: CTXS's earnings growth over the past year (18.4%) exceeds its 5-year average (14.2% per year).

Earnings vs Industry: CTXS earnings growth over the past year (18.4%) underperformed the Software industry 18.4%.


Return on Equity

High ROE: CTXS's Return on Equity (81.4%) is considered outstanding.


Next Steps

Financial Health

How is Citrix Systems's financial position?


Financial Position Analysis

Short Term Liabilities: CTXS's short term assets ($1.5B) do not cover its short term liabilities ($1.8B).

Long Term Liabilities: CTXS's short term assets ($1.5B) do not cover its long term liabilities ($1.7B).


Debt to Equity History and Analysis

Debt Level: CTXS's debt to equity ratio (88.7%) is considered high.

Reducing Debt: CTXS's debt to equity ratio has increased from 59.6% to 88.7% over the past 5 years.

Debt Coverage: CTXS's debt is well covered by operating cash flow (105.4%).

Interest Coverage: CTXS's interest payments on its debt are well covered by EBIT (20.6x coverage).


Balance Sheet


Next Steps

Dividend

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

0.96%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: CTXS's dividend (0.96%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.93%).

High Dividend: CTXS's dividend (0.96%) is low compared to the top 25% of dividend payers in the US market (5.46%).


Stability and Growth of Payments

Stable Dividend: CTXS is not paying a notable dividend for the US market, therefore no need to check if payments are stable.

Growing Dividend: CTXS is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

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


Future Payout to Shareholders

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

3.8yrs

Average management tenure


CEO

David Henshall (51yo)

2.75s

Tenure

US$19,258,102

Compensation

Mr. David James Henshall has been Chief Executive Officer and President at Citrix Systems, Inc. since July 10, 2017. Mr. Henshall served as an Executive Vice President and Treasurer at Citrix Systems, Inc. ...


CEO Compensation Analysis

Compensation vs Market: David's total compensation ($USD19.26M) is above average for companies of similar size in the US market ($USD11.79M).

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


Leadership Team

NamePositionTenureCompensationOwnership
David Henshall
CEO, President & Director2.75yrsUS$19.26m0.30% $53.7m
Antonio Gomes
Executive VP5yrsUS$6.16m0.091% $16.3m
Donna Kimmel
Executive VP & Chief People Officer4.42yrsUS$6.28m0.052% $9.2m
Paul Hough
Executive VP & Chief Product Officer3.5yrsUS$6.23m0.037% $6.7m
Arlen Shenkman
Executive VP & CFO0.58yrno datano data
Mark Schmitz
COO & Executive VP0.75yrno data0.013% $2.3m
Jessica Soisson
VP, Chief Accounting Officer & Corporate Controller4yrsno data0.011% $2.0m
Traci Tsuchiguchi
Vice President of Investor Relationsno datano datano data
Timothy Minahan
Executive VP of Business Strategy & Chief Marketing Officer4.42yrsUS$2.79m0.037% $6.7m
Isaac Leonard
Senior Director of Corporate Development & Corporate Venture Capitalno datano datano data

3.8yrs

Average Tenure

49yo

Average Age

Experienced Management: CTXS's management team is considered experienced (3.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
David Henshall
CEO, President & Director2.75yrsUS$19.26m0.30% $53.7m
Murray Demo
Independent Director15.17yrsUS$327.93k0.0080% $1.4m
Robert Calderoni
Chairman of the Board4.75yrsUS$8.67m0.063% $11.3m
Thomas Hogan
Independent Director1.33yrsUS$4.67k0.0020% $355.0k
Nanci Caldwell
Lead Independent Director2yrsUS$402.56k0.027% $4.8m
Robert Daleo
Independent Director6.92yrsUS$377.99k0.00015% $26.8k
Ajei Gopal
Independent Director2.58yrsUS$328.12kno data
Peter Sacripanti
Independent Director4.33yrsUS$354.83k0.010% $1.8m
Jesse Cohn
Independent Director4.75yrsUS$343.23kno data
Moira Kilcoyne
Independent Director1.83yrsUS$294.49k0.0028% $497.7k

3.5yrs

Average Tenure

58.5yo

Average Age

Experienced Board: CTXS's board of directors are considered experienced (3.5 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: CTXS insiders have only sold shares 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

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


Key Information

  • Name: Citrix Systems, Inc.
  • Ticker: CTXS
  • Exchange: NasdaqGS
  • Founded: 1989
  • Industry: Application Software
  • Sector: Software
  • Market Cap: US$17.840b
  • Shares outstanding: 122.36m
  • Website: https://www.citrix.com

Number of Employees


Location

  • Citrix Systems, Inc.
  • 851 West Cypress Creek Road
  • Fort Lauderdale
  • Florida
  • 33309
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CTXSNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDDec 1995
CTXDB (Deutsche Boerse AG)YesCommon StockDEEURDec 1995
CTXXTRA (XETRA Trading Platform)YesCommon StockDEEURDec 1995
CTXS *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNDec 1995
0HYRLSE (London Stock Exchange)YesCommon StockGBUSDDec 1995
CTXSWBAG (Wiener Boerse AG)YesCommon StockATEURDec 1995
CTXETLX (Eurotlx)YesCommon StockITEURDec 1995
C1TX34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH REPR 2 COMBRBRLDec 2019

Biography

Citrix Systems, Inc. provides workspace, networking, and professional services worldwide. The company offers workspace services, including Citrix Virtual Apps and Desktops; Citrix Content Collaboration, a cloud-based file sharing and storage solution, which provides enterprise-class data services on various corporate and personal mobile devices for businesses; Citrix Endpoint Management for mobility and device management capabilities; and Workspace Intelligence that customizes and streamlines user workflows, as well as microapp creation with low-code tooling, automates tasks and functions. It also provides networking products comprising Citrix ADC, an application delivery controller and load balancing solution for web, traditional and cloud-native applications; and Citrix SD-WAN, a WAN Edge solution that delivers flexible, automated, secure connectivity and performance for the workspace, as well as Citrix Analytics for security, performance, and operations. In addition, the company offers customer services, hardware maintenance, consulting, and product training and certification services. The company serves health care, financial services, technology, manufacturing, consumer, and government agencies. It markets and licenses its products through resellers, distributors, systems integrators, independent software vendors, original equipment manufacturers, and service providers. The company was formerly known as Citrus Systems, Inc. and changed its name to Citrix Systems, Inc. in March 2009. Citrix Systems, Inc. was founded in 1989 and is headquartered in Fort Lauderdale, Florida. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/08 08:14
End of Day Share Price2020/04/07 00:00
Earnings2019/12/31
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.