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ConvergeOne Holdings

Nasdaq:CVON
Snowflake Description

Mediocre balance sheet with moderate growth potential.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
CVON
Nasdaq
$956M
Market Cap
  1. Home
  2. US
  3. Software
Company description

ConvergeOne Holdings, Inc. provides collaboration and technology solutions for large and medium enterprises in the United States. The last earnings update was 64 days ago. More info.


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  • ConvergeOne Holdings has significant price volatility in the past 3 months.
CVON Share Price and Events
7 Day Returns
1.1%
NasdaqGM:CVON
-2.3%
US IT
-1.5%
US Market
1 Year Returns
-
NasdaqGM:CVON
-1.9%
US IT
-12.1%
US Market
CVON Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
ConvergeOne Holdings (CVON) 1.1% -0.7% 37.9% - - -
US IT -2.3% -9.5% -16.9% -1.9% 55% 55.9%
US Market -1.5% -9.6% -15.6% -12.1% 26.7% 26.3%
1 Year Return vs Industry and Market
  • No trading data on CVON.
  • No trading data on CVON.
Price Volatility
Industry
5yr Volatility vs Market

Value

 Is ConvergeOne Holdings undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of ConvergeOne Holdings to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for ConvergeOne Holdings.

NasdaqGM:CVON Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 7 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 14.2%
Perpetual Growth Rate 10-Year US Government Bond Rate 3%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NasdaqGM:CVON
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 3%
Equity Risk Premium S&P Global 7.1%
IT Unlevered Beta Simply Wall St/ S&P Global 1.01
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.01 (1 + (1- 21%) (74.12%))
1.601
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.6
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.95% + (1.601 * 7.05%)
14.24%

Discounted Cash Flow Calculation for NasdaqGM:CVON using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for ConvergeOne Holdings is arrived at by discounting future cash flows to their present value using the 2 stage method. We use analyst's estimates of cash flows going forward 5 years for the 1st stage, the 2nd stage assumes the company grows at a stable rate into perpetuity.

NasdaqGM:CVON DCF 1st Stage: Next 5 year cash flow forecast
2019 2020 2021 2022 2023
Levered FCF (USD, Millions) 123.80 111.80 139.60 163.33 189.47
Source Analyst x2 Analyst x2 Analyst x1 Est @ 17%, capped from 26.39% Est @ 16%, capped from 26.39%
Present Value
Discounted (@ 14.24%)
108.37 85.67 93.64 95.90 97.38
Present value of next 5 years cash flows $480.95
NasdaqGM:CVON DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2023 × (1 + g) ÷ (Discount Rate – g)
= $189.47 × (1 + 2.95%) ÷ (14.24% – 2.95%)
$1,727.85
Present Value of Terminal Value = Terminal Value ÷ (1 + r)5
= $1,727.85 ÷ (1 + 14.24%)5
$888.05
NasdaqGM:CVON Total Equity Value
Calculation Result
Total Equity Value = Present value of next 5 years cash flows + Terminal Value
= $480.95 + $888.05
$1,369.00
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $1,369.00 / 76.84
$17.82
NasdaqGM:CVON Discount to Share Price
Calculation Result
Value per share (USD) From above. $17.82
Current discount Discount to share price of $12.44
= -1 x ($12.44 - $17.82) / $17.82
30.2%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price ConvergeOne Holdings is available for.
Intrinsic value
30%
Share price is $12.44 vs Future cash flow value of $17.82
Current Discount Checks
For ConvergeOne Holdings to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • ConvergeOne Holdings's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • ConvergeOne Holdings's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for ConvergeOne Holdings's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are ConvergeOne Holdings's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NasdaqGM:CVON PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-09-30) in USD $-1.50
NasdaqGM:CVON Share Price ** NasdaqGM (2019-01-03) in USD $12.44
United States of America IT Industry PE Ratio Median Figure of 76 Publicly-Listed IT Companies 23.48x
United States of America Market PE Ratio Median Figure of 3,016 Publicly-Listed Companies 16.13x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of ConvergeOne Holdings.

NasdaqGM:CVON PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqGM:CVON Share Price ÷ EPS (both in USD)

= 12.44 ÷ -1.50

-8.28x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • ConvergeOne Holdings is loss making, we can't compare its value to the US IT industry average.
  • ConvergeOne Holdings is loss making, we can't compare the value of its earnings to the United States of America market.
Price based on expected Growth
Does ConvergeOne Holdings's expected growth come at a high price?
Raw Data
NasdaqGM:CVON PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section -8.28x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 7 Analysts
54.8%per year
United States of America IT Industry PEG Ratio Median Figure of 64 Publicly-Listed IT Companies 1.62x
United States of America Market PEG Ratio Median Figure of 2,102 Publicly-Listed Companies 1.13x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for ConvergeOne Holdings, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on ConvergeOne Holdings's assets?
Raw Data
NasdaqGM:CVON PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-09-30) in USD $-2.08
NasdaqGM:CVON Share Price * NasdaqGM (2019-01-03) in USD $12.44
United States of America IT Industry PB Ratio Median Figure of 120 Publicly-Listed IT Companies 3.69x
United States of America Market PB Ratio Median Figure of 5,083 Publicly-Listed Companies 1.64x
NasdaqGM:CVON PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqGM:CVON Share Price ÷ Book Value per Share (both in USD)

= 12.44 ÷ -2.08

-5.98x

* Primary Listing of ConvergeOne Holdings.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • ConvergeOne Holdings has negative assets, we can't compare the value of its assets to the US IT industry average.
X
Value checks
We assess ConvergeOne Holdings's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the IT industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the IT industry average (and greater than 0)? (1 check)
  5. ConvergeOne Holdings has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is ConvergeOne Holdings expected to perform in the next 1 to 3 years based on estimates from 7 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
54.8%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is ConvergeOne Holdings expected to grow at an attractive rate?
  • ConvergeOne Holdings's earnings growth is expected to exceed the low risk savings rate of 3%.
Growth vs Market Checks
  • ConvergeOne Holdings's earnings growth is expected to exceed the United States of America market average.
  • ConvergeOne Holdings's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NasdaqGM:CVON Future Growth Rates Data Sources
Data Point Source Value (per year)
NasdaqGM:CVON Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 7 Analysts 54.8%
NasdaqGM:CVON Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 7 Analysts 6.5%
United States of America IT Industry Earnings Growth Rate Market Cap Weighted Average 17%
United States of America IT Industry Revenue Growth Rate Market Cap Weighted Average 9.2%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 13.9%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.1%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NasdaqGM:CVON Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 7 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NasdaqGM:CVON Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 1,909 153 107 1
2020-12-31 1,766 127 80 5
2019-12-31 1,685 93 64 7
2018-12-31 1,584 109 22 6
NasdaqGM:CVON Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-09-30 1,401 17 -166
2018-06-30 1,242 -7 -116
2018-03-31 1,042 11 -122
2017-12-31 919 -7 -8
2017-09-30 830 6 -11
2016-12-31 816 23 8
2015-12-31 601 14 4

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • ConvergeOne Holdings's earnings are expected to grow significantly at over 20% yearly.
  • ConvergeOne Holdings's revenue is expected to grow by 6.5% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NasdaqGM:CVON Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 7 Analyst Estimates (S&P Global) See Below

All data from ConvergeOne Holdings Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGM:CVON Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31 1.30 1.30 1.30 1.00
2020-12-31 1.01 1.14 0.88 2.00
2019-12-31 0.73 0.94 0.46 3.00
2018-12-31 0.25 0.25 0.25 1.00
NasdaqGM:CVON Past Financials Data
Date (Data in USD Millions) EPS *
2018-09-30 -1.50
2018-06-30 -1.14
2018-03-31 -1.31
2017-12-31 -0.09
2017-09-30 -0.21
2016-12-31 0.09
2015-12-31 0.04

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if ConvergeOne Holdings will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess ConvergeOne Holdings's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
ConvergeOne Holdings has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has ConvergeOne Holdings performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare ConvergeOne Holdings's growth in the last year to its industry (IT).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • ConvergeOne Holdings does not make a profit and there is insufficient past data to establish if their 5 year on year earnings growth rate was positive.
  • Unable to compare ConvergeOne Holdings's 1-year earnings growth to the 5-year average as it is not currently profitable.
  • Unable to compare ConvergeOne Holdings's 1-year growth to the US IT industry average as it is not currently profitable.
Earnings and Revenue History
ConvergeOne Holdings's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from ConvergeOne Holdings Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGM:CVON Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-09-30 1,401.33 -166.04 306.23
2018-06-30 1,241.99 -116.19 274.99
2018-03-31 1,042.30 -121.54 233.86
2017-12-31 918.93 -8.02 200.84
2017-09-30 830.23 -11.02 175.81
2016-12-31 815.61 8.35 169.00
2015-12-31 601.46 4.02 133.53

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • It is difficult to establish if ConvergeOne Holdings has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) due to its liabilities exceeding its assets.
  • It is difficult to establish if ConvergeOne Holdings has efficiently used its assets last year compared to the US IT industry average (Return on Assets) as it is loss-making.
  • Unable to establish if ConvergeOne Holdings improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to insufficient past data.
X
Past performance checks
We assess ConvergeOne Holdings's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the IT industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
ConvergeOne Holdings has a total score of 0/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is ConvergeOne Holdings's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up ConvergeOne Holdings's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • ConvergeOne Holdings is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • ConvergeOne Holdings's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of ConvergeOne Holdings's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • ConvergeOne Holdings has negative shareholder equity (liabilities exceed assets) therefore debt is not covered by short term assets.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from ConvergeOne Holdings Company Filings, last reported 3 months ago.

NasdaqGM:CVON Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-09-30 -156.67 708.52 11.23
2018-06-30 -128.17 699.78 17.53
2018-03-31 -109.59 640.93 11.70
2017-12-31 5.64 572.08 13.48
2017-09-30 -0.29 519.55 7.68
2016-12-31 12.76 392.29 9.63
2015-12-31 93.22 316.91 15.31
  • ConvergeOne Holdings has negative shareholder equity (liabilities exceed assets), this is a more serious situation compared with a high debt level.
  • Irrelevant to check if ConvergeOne Holdings's debt level has increased considering it has negative shareholder equity.
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.

  • Whilst loss making ConvergeOne Holdings has sufficient cash runway for more than 3 years if it maintains the current positive free cash flow level.
  • Whilst loss making ConvergeOne Holdings has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by -89% per year.
X
Financial health checks
We assess ConvergeOne Holdings's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. ConvergeOne Holdings has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

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

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0.64%
Current annual income from ConvergeOne Holdings dividends. Estimated to be 0.6% next year.
If you bought $2,000 of ConvergeOne Holdings shares you are expected to receive $13 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • ConvergeOne Holdings's pays a lower dividend yield than the bottom 25% of dividend payers in United States of America (1.54%).
  • ConvergeOne Holdings's dividend is below the markets top 25% of dividend payers in United States of America (3.92%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NasdaqGM:CVON Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 7 Analyst Estimates (S&P Global) See Below
United States of America IT Industry Average Dividend Yield Market Cap Weighted Average of 33 Stocks 1.7%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 1984 Stocks 2.8%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.9%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.5%
United States of America Top 25% Dividend Yield 75th Percentile 3.9%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NasdaqGM:CVON Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2021-12-31
2020-12-31 0.07 1.00
2019-12-31 0.07 1.00
2018-12-31 0.06 1.00
NasdaqGM:CVON Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2018-11-06 0.080 0.642
2018-08-09 0.080 0.869
2018-05-10 0.080 0.863
2018-03-20 0.000 0.000
2018-02-23 1.000 11.736

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • ConvergeOne Holdings is not paying a notable dividend for United States of America, therefore no need to check if the payments are stable.
  • ConvergeOne Holdings is not paying a notable dividend for United States of America, therefore no need to check if the payments are increasing.
Current Payout to shareholders
What portion of ConvergeOne Holdings's earnings are paid to the shareholders as a dividend.
  • No need to calculate the sustainability of ConvergeOne Holdings's dividends as it is not paying a notable one for United States of America.
Future Payout to shareholders
  • No need to calculate the sustainability of ConvergeOne Holdings's dividends in 3 years as they are not expected to pay a notable one for United States of America.
X
Income/ dividend checks
We assess ConvergeOne Holdings's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.9%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can ConvergeOne Holdings afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. ConvergeOne Holdings has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of ConvergeOne Holdings's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
John McKenna
COMPENSATION $958,948
AGE 50
TENURE AS CEO 10.4 years
CEO Bio

Mr. John A. McKenna, Jr. serves as Chairman and Chief Executive Officer of Convergeone of Annese & Associates, Inc. Mr. McKenna has been the Chairman of the Board and Chief Executive Officer of ConvergeOne, Inc. (also known as ConvergeOne, LLC) since August 18, 2008 and its President since February 22, 2018. He served as Chief Executive Officer of Siemens IT Solutions and Services Inc. Mr. McKenna served as the Chief Executive Officer of Atos IT Solutions and Services Inc. (formerly known as Siemens Business Services Inc.) of Siemens AG until November 10, 2008. He was responsible for all facets of Siemens Business Services, Inc. Mr. McKenna served as the Chief Executive Officer of Entex IT Service Inc. (formerly known as ENTEX Information Services (ENTEX)) from 1993 to 2000 and he was responsible for organizing a major corporate restructure at ENTEX in 1998. Mr. McKenna serves on Siemens Business Services North American Management Board. He served as Senior Executive Vice President of JWP Information Services at JWP, Inc. from 1989 to 1993 and responsible for managing and focusing on optimizing operations and profitability.He served as President of JWP's Network and Integration Services Division. Mr. McKenna joined JWP in 1989 as Vice President of Business Development, responsible for major market acquisitions and he served as Senior Vice President and General Manager of JWP Information Systems from 1990 to 1991, with staff responsibility for all financial, sales and operational functions. Mr. McKenna served as Vice President of Operations of Fisher Macleod Associates for two years. Prior to Fisher Macleod, he served for nine years at International Business Machines (IBM Corporation). Mr. McKenna joined IBM as a Sales Trainee, he rose through the sales organization, eventually gaining responsibility for one of the largest branch operations in New York City before leaving in 1986. He serves as a Member of Advisory Board at M&A Forum LLC and MergerTech Advisors. Mr. McKenna served as a Director of GXS Limited since 2006. He served as a Director of Gxs Corp., GXS Group, Inc., GXS Worldwide, Inc., and GXS, Inc. since 2006. He has been a Director of ConvergeOne, LLC since August 18, 2008. Mr. McKenna holds a B.A. in history from Trinity College (Hartford).

CEO Compensation
  • Insufficient data for John to compare compensation growth.
  • John's remuneration is lower than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the ConvergeOne Holdings management team in years:

4.2
Average Tenure
57
Average Age
  • The tenure for the ConvergeOne Holdings management team is about average.
Management Team

John McKenna

TITLE
President
COMPENSATION
$959K
AGE
50
TENURE
10.4 yrs

Jeff Nachbor

TITLE
Chief Financial Officer
COMPENSATION
$730K
AGE
53
TENURE
5.3 yrs

John Lyons

TITLE
President of Field Organization
COMPENSATION
$693K
AGE
64

Mark Langanki

TITLE
Chief Technology Officer

Erik Cline

TITLE
Vice President of Sales

Scott Clark

TITLE
Vice President of Corporate Marketing
TENURE
1.9 yrs

Colleen Haberman

TITLE
Vice President of Human Resources
AGE
57
TENURE
4.2 yrs

Paul Maier

TITLE
President of Services Organization
AGE
57
TENURE
0.9 yrs

Adam Cooperman

TITLE
Vice President of Program Management

Chelsea Jones

TITLE
Vice President of Operations & Marketing for Convergeone Technology
Board of Directors Tenure

Average tenure and age of the ConvergeOne Holdings board of directors in years:

0.9
Average Tenure
52
Average Age
  • The average tenure for the ConvergeOne Holdings board of directors is less than 3 years, this suggests a new board.
Board of Directors

John McKenna

TITLE
President
COMPENSATION
$959K
AGE
50
TENURE
10.4 yrs

Keith W. Bradley

TITLE
Director
COMPENSATION
$50K
AGE
54
TENURE
0.9 yrs

Behdad Eghbali

TITLE
Director
TENURE
0.9 yrs

Tim Pawlenty

TITLE
Director
COMPENSATION
$60K
AGE
57
TENURE
0.9 yrs

David Boris

TITLE
Director
AGE
57
TENURE
0.9 yrs

Chris Jurasek

TITLE
Director
COMPENSATION
$902K
AGE
52
TENURE
0.9 yrs

Prashant Mehrotra

TITLE
Director
AGE
40
TENURE
0.9 yrs

James Pade

TITLE
Director
AGE
33
TENURE
0.9 yrs

José Feliciano

TITLE
Director
AGE
44
TENURE
0.9 yrs

Richard Katzman

TITLE
Director
AGE
61
TENURE
0.9 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
06. Sep 18 Sell David Boris Individual 15. Jun 18 15. Jun 18 -45,000 $9.15 $-411,894
14. Jun 18 Sell David Boris Individual 12. Jun 18 14. Jun 18 -33,393 $9.60 $-316,944
01. Jun 18 Sell David Boris Individual 31. May 18 01. Jun 18 -15,345 $9.25 $-139,445
23. May 18 Sell David Boris Individual 21. May 18 21. May 18 -9,586 $9.25 $-88,671
18. May 18 Sell David Boris Individual 16. May 18 18. May 18 -16,400 $9.15 $-148,568
23. Feb 18 Buy Richard Katzman Individual 22. Feb 18 22. Feb 18 125,000 $8.00 $1,000,000
27. Feb 18 Buy Neil Goldberg Individual 22. Feb 18 22. Feb 18 312,500 $8.00 $2,500,000
26. Feb 18 Buy Stephen Vogel Individual 22. Feb 18 22. Feb 18 937,500 $8.00 $7,500,000
X
Management checks
We assess ConvergeOne Holdings's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. ConvergeOne Holdings has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

External News
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Simply Wall St News

Should You Sell When ConvergeOne Holdings Inc's (NASDAQ:CVON) Insiders Do?

some insider selling over the past three months, with insiders divesting from. … Generally, insiders selling shares in their own firm sends a bearish signal. … A research published in The MIT Press (1998) concluded that stocks following insider selling fell 2.7% compared to the market

Simply Wall St -

Company Info

Map
Description

ConvergeOne Holdings, Inc. provides collaboration and technology solutions for large and medium enterprises in the United States. The company offers unified communications solutions, including communications applications, such as voice, email, presence, chat/text, and video technologies; voice and text messaging solutions; mobility and bring your own device solutions for business continuity with the seamless connection of mobile, landline, cellular, and Wi-Fi enabled devices; conferencing solutions, as well as streaming and recording, and security services; and software integration services. It also provides customer engagement solutions comprising omni-channel, self-service interactive voice recognition and advanced routing, social media, remote agent, end-to-end business intelligence and analytics, workforce optimization, and integration software and cloud connector solutions; and enterprise networking technology solutions, such as mobile device management, routing and switching technology, wireless, and location service applications. In addition, the company offers data center solutions, including design, procurement, implementation, management, and optimization of data center infrastructure assets, as well as server migration and consolidation services; storage management and data management solutions; and virtualization solutions. Further, it provides cloud solutions in private, C1 Cloud, hybrid, and public cloud environments; end-to-end network and data security solutions; and disaster recovery services and solutions, such as business continuity assessment and planning, network availability and data continuity, and recovery and crisis management, as well as FireStorm POV, an security assessment tool. ConvergeOne Holdings, Inc. is headquartered in Eagan, Minnesota.

Details
Name: ConvergeOne Holdings, Inc.
CVON
Exchange: NasdaqGM
Founded:
$955,871,611
76,838,554
Website: http://www.convergeone.com
Address: ConvergeOne Holdings, Inc.
3344 Highway 149,
Eagan,
Minnesota, 55121,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqGM CVON Common Stock Nasdaq Global Market US USD 23. Feb 2018
Number of employees
Current staff
Staff numbers
2,060
ConvergeOne Holdings employees.
Industry
IT Consulting and Other Services
Software
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/01/05 01:05
End of day share price update: 2019/01/03 00:00
Last estimates confirmation: 2018/11/06
Last earnings filing: 2018/11/02
Last earnings reported: 2018/09/30
Last annual earnings reported: 2017/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.