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Internap

Nasdaq:INAP
Snowflake Description

Slightly overvalued with imperfect balance sheet.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
INAP
Nasdaq
$110M
Market Cap
  1. Home
  2. US
  3. Software
Company description

Internap Corporation provides Internet infrastructure services. The last earnings update was 3 days ago. More info.


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  • Internap has significant price volatility in the past 3 months.
INAP Share Price and Events
7 Day Returns
-3.4%
NasdaqGS:INAP
4.1%
US IT
2.9%
US Market
1 Year Returns
-65.6%
NasdaqGS:INAP
14.9%
US IT
1.4%
US Market
INAP Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Internap (INAP) -3.4% -29.1% 9.2% -65.6% -58.1% -84.6%
US IT 4.1% 5.2% 18.4% 14.9% 80.3% 94.2%
US Market 2.9% 2.5% 10% 1.4% 38.3% 42%
1 Year Return vs Industry and Market
  • INAP underperformed the IT industry which returned 14.9% over the past year.
  • INAP underperformed the Market in United States of America which returned 1.4% over the past year.
Price Volatility
INAP
Industry
5yr Volatility vs Market
Related Companies

Value

 Is Internap 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 Internap 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    Our intrinsic value calculation method has changed recently, learn more here.

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

NasdaqGS:INAP Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 6 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 14.7%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

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 NasdaqGS:INAP
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
IT Unlevered Beta Simply Wall St/ S&P Global 1.06
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.063 (1 + (1- 21%) (622.49%))
4.546
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
2
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (2 * 5.96%)
14.65%

Discounted Cash Flow Calculation for NasdaqGS:INAP using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Internap is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NasdaqGS:INAP DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 14.65%)
2019 12.00 Analyst x2 10.47
2020 16.93 Analyst x4 12.88
2021 21.10 Est @ 24.63% 14.00
2022 24.91 Est @ 18.06% 14.42
2023 28.27 Est @ 13.46% 14.27
2024 31.16 Est @ 10.24% 13.72
2025 33.65 Est @ 7.99% 12.92
2026 35.81 Est @ 6.41% 11.99
2027 37.71 Est @ 5.31% 11.02
2028 39.42 Est @ 4.53% 10.05
Present value of next 10 years cash flows $125.74
NasdaqGS:INAP DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $39.42 × (1 + 2.73%) ÷ (14.65% – 2.73%)
$339.72
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $339.72 ÷ (1 + 14.65%)10
$86.57
NasdaqGS:INAP Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $125.74 + $86.57
$212.31
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $212.31 / 24.37
$8.71
NasdaqGS:INAP Discount to Share Price
Calculation Result
Value per share (USD) From above. $8.71
Current discount Discount to share price of $4.53
= -1 x ($4.53 - $8.71) / $8.71
48%

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

Current Discount
Amount off the current price Internap is available for.
Intrinsic value
48%
Share price is $4.53 vs Future cash flow value of $8.71
Current Discount Checks
For Internap to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Internap's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Internap's share price is below the future cash flow value, and 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 Internap's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Internap's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NasdaqGS:INAP PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in USD $-3.01
NasdaqGS:INAP Share Price ** NasdaqGS (2019-03-15) in USD $4.53
United States of America IT Industry PE Ratio Median Figure of 78 Publicly-Listed IT Companies 30.16x
United States of America Market PE Ratio Median Figure of 3,054 Publicly-Listed Companies 17.61x

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

** Primary Listing of Internap.

NasdaqGS:INAP PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqGS:INAP Share Price ÷ EPS (both in USD)

= 4.53 ÷ -3.01

-1.5x

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

  • Internap is loss making, we can't compare its value to the US IT industry average.
  • Internap 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 Internap's expected growth come at a high price?
Raw Data
NasdaqGS:INAP PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section -1.5x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 6 Analysts
20.8%per year
United States of America IT Industry PEG Ratio Median Figure of 64 Publicly-Listed IT Companies 2.43x
United States of America Market PEG Ratio Median Figure of 2,109 Publicly-Listed Companies 1.47x

*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 Internap, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Internap's assets?
Raw Data
NasdaqGS:INAP PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in USD $-0.11
NasdaqGS:INAP Share Price * NasdaqGS (2019-03-15) in USD $4.53
United States of America IT Industry PB Ratio Median Figure of 122 Publicly-Listed IT Companies 4.33x
United States of America Market PB Ratio Median Figure of 5,152 Publicly-Listed Companies 1.87x
NasdaqGS:INAP PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqGS:INAP Share Price ÷ Book Value per Share (both in USD)

= 4.53 ÷ -0.11

-40.33x

* Primary Listing of Internap.

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

  • Internap has negative assets, we can't compare the value of its assets to the US IT industry average.
X
Value checks
We assess Internap'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. Internap has a total score of 2/6, 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 Internap expected to perform in the next 1 to 3 years based on estimates from 6 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
20.8%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Internap expected to grow at an attractive rate?
  • Unable to compare Internap's earnings growth to the low risk savings rate as it is expected to be loss making during the next 1-3 years.
Growth vs Market Checks
  • Unable to compare Internap's earnings growth to the United States of America market average as it is expected to be loss making during the next 1-3 years.
  • Internap's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NasdaqGS:INAP Future Growth Rates Data Sources
Data Point Source Value (per year)
NasdaqGS:INAP Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 6 Analysts 20.8%
NasdaqGS:INAP Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 6 Analysts 3.2%
United States of America IT Industry Earnings Growth Rate Market Cap Weighted Average 15.7%
United States of America IT Industry Revenue Growth Rate Market Cap Weighted Average 9%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14.3%
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
NasdaqGS:INAP Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 6 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NasdaqGS:INAP Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 353 63 -45 1
2020-12-31 337 58 -38 6
2019-12-31 321 45 -47 6
NasdaqGS:INAP Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-12-31 317 35 -63
2018-09-30 309 40 -50
2018-06-30 295 33 -46
2018-03-31 283 35 -51
2017-12-31 281 39 -45
2017-09-30 285 38 -52
2017-06-30 290 46 -132
2017-03-31 295 43 -123
2016-12-31 298 46 -125
2016-09-30 303 54 -123
2016-06-30 307 53 -46
2016-03-31 313 52 -48

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Internap is not considered high growth as it is expected to be loss making for the next 1-3 years.
  • Internap's revenue is expected to grow by 3.2% 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
NasdaqGS:INAP Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 6 Analyst Estimates (S&P Global) See Below

All data from Internap Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:INAP Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31 -1.75 -1.75 -1.75 1.00
2020-12-31 -1.52 -1.23 -1.90 6.00
2019-12-31 -1.91 -1.68 -2.12 7.00
NasdaqGS:INAP Past Financials Data
Date (Data in USD Millions) EPS *
2018-12-31 -3.01
2018-09-30 -2.50
2018-06-30 -2.29
2018-03-31 -2.56
2017-12-31 -2.39
2017-09-30 -2.98
2017-06-30 -8.48
2017-03-31 -8.89
2016-12-31 -9.53
2016-09-30 -9.41
2016-06-30 -3.51
2016-03-31 -3.66

*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 Internap will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Internap'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.
Internap has a total score of 0/6, 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 Internap 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 Internap'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.
  • Internap does not make a profit and their year on year earnings growth rate was negative over the past 5 years.
  • Unable to compare Internap's 1-year earnings growth to the 5-year average as it is not currently profitable.
  • Unable to compare Internap's 1-year growth to the US IT industry average as it is not currently profitable.
Earnings and Revenue History
Internap'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 Internap Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:INAP Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 317.37 -62.50 75.36
2018-09-30 309.17 -50.02 69.07
2018-06-30 295.11 -45.81 66.84
2018-03-31 282.79 -51.17 62.55
2017-12-31 280.72 -45.34 61.77
2017-09-30 284.80 -51.52 57.48
2017-06-30 289.83 -131.92 59.22
2017-03-31 294.51 -123.33 64.85
2016-12-31 298.30 -124.74 66.23
2016-09-30 302.94 -122.90 70.61
2016-06-30 307.31 -45.80 71.36
2016-03-31 313.43 -47.65 73.53
2015-12-31 318.29 -48.44 81.34
2015-09-30 323.80 -45.43 80.98
2015-06-30 330.15 -40.61 82.35
2015-03-31 333.78 -39.26 82.21
2014-12-31 334.96 -39.49 81.86
2014-09-30 324.78 -41.69 82.17
2014-06-30 309.69 -36.35 78.48
2014-03-31 295.60 -28.86 74.68
2013-12-31 283.34 -19.83 70.35
2013-09-30 279.00 -9.36 67.71
2013-06-30 277.56 -7.77 67.48
2013-03-31 276.26 -6.07 68.83
2012-12-31 273.59 -4.32 69.98
2012-09-30 266.64 -0.14 69.74
2012-06-30 260.53 0.52 68.83
2012-03-31 252.25 -0.10 65.02

*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 Internap has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
  • Internap used its assets less efficiently than the US IT industry average last year based on Return on Assets.
  • It is difficult to establish if Internap improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
X
Past performance checks
We assess Internap'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.
Internap 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 Internap'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 Internap's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Internap's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Internap's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Internap'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.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.1x debt.
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 Internap Company Filings, last reported 2 months ago.

NasdaqGS:INAP Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 0.06 687.06 17.82
2018-09-30 -18.97 696.19 11.84
2018-06-30 -5.02 662.75 14.74
2018-03-31 8.82 667.23 16.16
2017-12-31 -1.03 529.17 14.60
2017-09-30 4.61 507.57 11.97
2017-06-30 10.51 486.76 17.46
2017-03-31 29.30 329.64 9.17
2016-12-31 -3.72 373.58 10.39
2016-09-30 9.27 375.30 9.64
2016-06-30 99.18 378.22 13.87
2016-03-31 107.45 378.58 13.90
2015-12-31 114.44 375.35 17.77
2015-09-30 123.68 377.25 18.31
2015-06-30 134.41 373.04 16.41
2015-03-31 142.80 371.29 16.22
2014-12-31 150.34 359.86 20.08
2014-09-30 157.12 355.30 25.49
2014-06-30 164.52 356.49 27.86
2014-03-31 173.94 352.27 25.20
2013-12-31 182.21 346.70 35.02
2013-09-30 191.50 168.01 34.44
2013-06-30 193.42 159.69 26.67
2013-03-31 195.15 161.66 34.55
2012-12-31 195.61 143.93 28.55
2012-09-30 194.02 137.63 26.38
2012-06-30 193.95 119.28 27.62
2012-03-31 193.80 106.90 30.85
  • Internap's level of debt (1205370.2%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (190.4% vs 1205370.2% today).
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.

  • Internap has sufficient cash runway for 2.5 years based on current free cash flow.
  • Internap has sufficient cash runway for 2.8 years if free cash flow continues to reduce at historical rates of -13.4% each year.
X
Financial health checks
We assess Internap'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. Internap has a total score of 2/6, 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 Internap'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%
Current annual income from Internap dividends.
If you bought $2,000 of Internap shares you are expected to receive $0 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?
  • Unable to evaluate Internap's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Internap's dividend against the top 25% market benchmark as the company has not reported any payouts.
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
NasdaqGS:INAP 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 6 Analyst Estimates (S&P Global) See Below
United States of America IT Industry Average Dividend Yield Market Cap Weighted Average of 33 Stocks 1.4%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2005 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.6%

Industry and Market average data is calculated daily.

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

NasdaqGS:INAP Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2021-12-31
2020-12-31
2019-12-31

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

  • Unable to perform a dividend volatility check as Internap has not reported any payouts.
  • Unable to verify if Internap's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Internap's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Internap has not reported any payouts.
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Internap's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - 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 Internap afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Internap 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 Internap'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
Pete Aquino
COMPENSATION $1,958,669
AGE 57
TENURE AS CEO 2.5 years
CEO Bio

Mr. Peter D. Aquino, also known as Pete, has been Chief Executive Officer and President of Internap Corporation since September 19, 2016. Mr. Aquino is a 30-year technology, media and telecommunications (TMT) industry veteran. He is the Founder of Broad Valley Capital LLC and Broad Valley Micro Fiber Networks Inc. Mr. Aquino serves as the Chairman, President and Chief Executive Officer of Broad Valley Micro Fiber Networks Inc. He served as the Chairman, Chief Executive Officer and President of HC2 Holdings, Inc. from October 12, 2010 to January 1, 2013. He served as the Chief Executive Officer and President of RCN Telecom Services, LLC (alternative name RCN Telecom Services Inc.) from 2004 until 2010. Mr. Aquino served as Senior Managing Partner of Capital & Technology Advisors Inc. Prior to PTGI, he served as the Chief Executive Officer and President of RCN Corporation from December 21, 2004 to August 2010. He served as Senior Managing Director of Communications Technology Advisors LLC from 2001 to 2004. Mr. Aquino served as the Chief Operating Officer of the first Triple Play company from 1995 and 2000. He served as the Chief Operating Officer and Board Advisor of Veninfotel LLC from January 1998 to February 2002. From July 1995 to January 1998, Mr. Aquino was a Partner of Wave International Inc. From 1983 to 1995, he served various positions in finance, regulatory and corporate development at Verizon (formerly Bell Atlantic Corporation). He led successful initiatives involving mobile operators, competitive local exchange carriers (CLECs), managed services providers and broadband service providers. He served as the Executive Chairman of Primus Telecom Group, Inc. since 2010 until April 30, 2013. He served as an Executive Chairman and Director of HC2 Holdings, Inc. from January 1, 2013 to April 30, 2013. He served as Chairman of the Board of HC2 Holdings, Inc. from October 12, 2010 to January 01, 2013. He serves as a Director at Lumos Networks Corp. since August 5, 2015. Mr. Aquino has been an Independent Director at TiVo Solutions Inc. (alternative name TiVo Inc.) since September 22, 2010. He has been a Director of Internap Corporation since September 19, 2016. He serves as an Independent Director Director of Neon Communications. He served as a Director of Fairpoint Communications, Inc. since May 2014. He served as a Director of iBasis Inc., since August 5, 2004 and RCN Corporation since December 21, 2004. He served as a Director of TerreStar Corporation from June 20, 2003 to February 28, 2005. He served as a Director of Comptel Oyj since October 2005. He served as a Trustee of United Way of America. Mr. Aquino holds a B.S. in Finance and Economics from Montclair State University in New Jersey and an MBA in Finance from George Washington University, D.C.

CEO Compensation
  • Pete's compensation has increased whilst company is loss making.
  • Pete's remuneration is higher than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Internap management team in years:

1.2
Average Tenure
52
Average Age
  • The average tenure for the Internap management team is less than 2 years, this suggests a new team.
Management Team

Pete Aquino

TITLE
President
COMPENSATION
$2M
AGE
57
TENURE
2.5 yrs

Andy Day

TITLE
Executive VP & Chief Operating Officer
COMPENSATION
$585K
AGE
52
TENURE
0.3 yrs

Richard Diegnan

TITLE
Executive VP
COMPENSATION
$657K
AGE
49
TENURE
2.3 yrs

Jim Keeley

TITLE
Executive VP & CFO
AGE
52
TENURE
0.8 yrs

Joanna Lanni

TITLE
VP, Corporate Controller & Principal Accounting Officer
AGE
48
TENURE
1.2 yrs

John Filipowicz

TITLE
Chief Administrative Officer and Chief Governance
AGE
59

Richard Ramlall

TITLE
Chief Communications Officer
AGE
62
TENURE
2.2 yrs

Joe DuFresne

TITLE
Vice President of Corporate Development
AGE
49
TENURE
1.3 yrs

Rich O’Dea

TITLE
Senior VP & Head of Global Sales
TENURE
0.1 yrs

Mike Higgins

TITLE
Senior Vice President of Data Center Services
TENURE
0.1 yrs
Board of Directors Tenure

Average tenure and age of the Internap board of directors in years:

2
Average Tenure
62
Average Age
  • The average tenure for the Internap board of directors is less than 3 years, this suggests a new board.
Board of Directors

Gary Pfeiffer

TITLE
Chairman of the Board of Directors
COMPENSATION
$186K
AGE
68
TENURE
1.2 yrs

Pete Aquino

TITLE
President
COMPENSATION
$2M
AGE
57
TENURE
2.5 yrs

Debora Wilson

TITLE
Director
COMPENSATION
$177K
AGE
61
TENURE
9.2 yrs

David Potts

TITLE
Independent Director
COMPENSATION
$144K
AGE
60
TENURE
1.6 yrs

Peter Rogers

TITLE
Director
COMPENSATION
$175K
AGE
63
TENURE
2.5 yrs

Lance Weaver

TITLE
Director
COMPENSATION
$125K
AGE
63
TENURE
1.3 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
05. Mar 19 Buy Teton Advisors, Inc Company 26. Feb 19 26. Feb 19 20,000 $5.61 $112,228
05. Mar 19 Sell GAMCO Investors, Inc. Company 23. Jan 19 04. Mar 19 -143,828 $6.49 $-305,701
05. Mar 19 Buy GAMCO Investors, Inc. Company 25. Jan 19 04. Mar 19 380,725 $6.46 $964,893
23. Jan 19 Sell GAMCO Investors, Inc. Company 09. Jan 19 14. Jan 19 -4,200 $5.20 $0
23. Jan 19 Buy GAMCO Investors, Inc. Company 08. Jan 19 22. Jan 19 259,337 $5.78 $500,428
08. Jan 19 Buy Teton Advisors, Inc Company 16. Nov 18 31. Dec 18 25,100 $6.20 $139,788
08. Jan 19 Sell GAMCO Investors, Inc. Company 13. Nov 18 04. Jan 19 -425,987 $6.75 $-439,735
08. Jan 19 Buy GAMCO Investors, Inc. Company 13. Nov 18 07. Jan 19 652,665 $6.59 $1,474,217
14. Nov 18 Buy Peter Rogers Individual 12. Nov 18 12. Nov 18 4,000 $6.38 $25,520
14. Nov 18 Buy Gary Pfeiffer Individual 12. Nov 18 12. Nov 18 10,000 $6.56 $65,600
13. Nov 18 Buy Teton Advisors, Inc Company 06. Nov 18 12. Nov 18 15,000 $7.00 $101,232
13. Nov 18 Sell GAMCO Investors, Inc. Company 05. Nov 18 07. Nov 18 -6,757 $7.30 $-45,357
13. Nov 18 Buy GAMCO Investors, Inc. Company 05. Nov 18 12. Nov 18 252,050 $7.35 $1,723,375
08. Nov 18 Buy David Potts Individual 06. Nov 18 06. Nov 18 2,500 $6.56 $16,400
08. Nov 18 Buy Debora Wilson Individual 06. Nov 18 06. Nov 18 7,000 $7.19 $50,330
08. Nov 18 Buy Peter Aquino Individual 06. Nov 18 08. Nov 18 25,000 $7.15 $176,605
08. Nov 18 Buy Joseph DuFresne Individual 07. Nov 18 07. Nov 18 3,500 $7.15 $25,025
08. Nov 18 Buy Richard Ramlall Individual 08. Nov 18 08. Nov 18 500 $7.00 $3,500
05. Nov 18 Buy Teton Advisors, Inc Company 26. Oct 18 02. Nov 18 15,000 $8.94 $115,634
05. Nov 18 Sell GAMCO Investors, Inc. Company 26. Oct 18 02. Nov 18 -12,700 $8.49 $0
05. Nov 18 Buy GAMCO Investors, Inc. Company 26. Oct 18 02. Nov 18 324,915 $8.90 $1,091,011
26. Oct 18 Buy Teton Advisors, Inc Company 22. Oct 18 25. Oct 18 10,000 $8.99 $87,677
26. Oct 18 Sell GAMCO Investors, Inc. Company 23. Oct 18 24. Oct 18 -2,700 $8.71 $0
26. Oct 18 Buy GAMCO Investors, Inc. Company 22. Oct 18 25. Oct 18 269,468 $9.00 $370,738
22. Oct 18 Sell Teton Advisors, Inc Company 28. Sep 18 28. Sep 18 -12,003 $12.62 $-151,535
22. Oct 18 Buy Teton Advisors, Inc Company 19. Oct 18 19. Oct 18 68,000 $9.50 $644,186
22. Oct 18 Sell Gabelli & Company Investment Advisers, Inc. Company 27. Sep 18 27. Sep 18 -1,000 $12.49 $-12,490
22. Oct 18 Sell GAMCO Investors, Inc. Company 30. Aug 18 19. Oct 18 -182,148 $13.96 $-1,113,086
22. Oct 18 Buy GAMCO Investors, Inc. Company 22. Aug 18 19. Oct 18 427,100 $13.87 $1,468,152
14. Jun 18 Buy Teton Advisors, Inc Company 22. May 18 13. Jun 18 85,000 $11.64 $962,600
14. Jun 18 Sell GAMCO Investors, Inc. Company 17. Apr 18 13. Jun 18 -142,513 $12.05 $-286,304
14. Jun 18 Buy GAMCO Investors, Inc. Company 17. Apr 18 12. Jun 18 265,590 $12.40 $776,827
14. Jun 18 Buy Peter Aquino Individual 13. Jun 18 13. Jun 18 4,470 $11.16 $49,885
25. May 18 Buy Debora Wilson Individual 24. May 18 24. May 18 2,500 $9.76 $24,400
23. May 18 Buy Richard Ramlall Individual 23. May 18 23. May 18 300 $9.01 $2,703
09. May 18 Buy Peter Rogers Individual 08. May 18 08. May 18 2,500 $10.63 $26,575
09. May 18 Buy Richard Ramlall Individual 08. May 18 08. May 18 100 $10.85 $1,085
09. May 18 Buy Robert Dennerlein Individual 08. May 18 08. May 18 2,200 $10.95 $24,090
17. Apr 18 Sell GAMCO Investors, Inc. Company 11. Apr 18 16. Apr 18 -10,025 $11.37 $-112,521
17. Apr 18 Buy GAMCO Investors, Inc. Company 12. Apr 18 16. Apr 18 21,346 $11.27 $237,439
11. Apr 18 Sell GAMCO Investors, Inc. Company 20. Mar 18 04. Apr 18 -78,075 $12.74 $0
11. Apr 18 Buy GAMCO Investors, Inc. Company 20. Mar 18 10. Apr 18 286,875 $12.68 $2,304,821
20. Mar 18 Buy GAMCO Investors, Inc. Company 23. Jan 18 19. Mar 18 296,856 $46.71 $439,027
X
Management checks
We assess Internap'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. Internap 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

Simply Wall St News

Easy Come, Easy Go: How Internap Shareholders Got Unlucky And Saw 83% Of Their Cash Evaporate

Imagine if you held Internap Corporation (NASDAQ:INAP) for half a decade as the share price tanked 83%. … Over half a decade Internap reduced its trailing twelve month revenue by 1.1% for each year. … The share price fall of 30% (per year, over five years) is a stern reminder that money-losing companies are expected to grow revenue.

Simply Wall St -

Is Internap Corporation (NASDAQ:INAP) Expensive For A Reason? A Look At The Intrinsic Value

by taking the expected future cash flows and discounting them to their present value. … Discounted Cash Flows (DCF). … If you want to learn more about discounted cash flow, the basis for my calcs can be read in detail in the Simply Wall St analysis model

Simply Wall St -

Who Has Been Buying Internap Corporation (NASDAQ:INAP) Shares?

So we'll take a look at whether insiders have been buying or selling shares in Internap Corporation (NASDAQ:INAP). … But logic dictates you should pay some attention to whether insiders are buying or selling shares. … Over the last year, we can see that insiders have bought 64.57k shares worth US$492k

Simply Wall St -

Do Insiders Own Lots Of Shares In Internap Corporation (NASDAQ:INAP)?

If you want to know who really controls Internap Corporation (NASDAQ:INAP), then you'll have to look at the makeup of its share registry. … Taking a look at the our data on the ownership groups (below), it's seems that. … institutions are noticeable on the share registry

Simply Wall St -

Are Insiders Too Confident In Internap Corporation (NASDAQ:INAP)?

Internap is one of United States’s small-cap stocks that saw some insider buying over the past three months, with insiders investing in 609,877 shares during this period. … NasdaqGS:INAP Insider_trading May 16th 18 More shares have been bought than sold by Internap insiders in the past three months. … Insiders that have recently bought more shares are: Name Management Board Total Annual Compensation Peter Rogers ✔ Richard Ramlall ✔ $174,730 Robert Dennerlein ✔ $763,704 The entity that bought on the open market in the last three months was GAMCO Investors Inc..

Simply Wall St -

Should You Buy Internap Corporation (NASDAQ:INAP) Now?

Internap Corporation (NASDAQ:INAP), a internet company based in United States, saw significant share price volatility over the past couple of months on the NasdaqGS, rising to the highs of $14.21 and falling to the lows of $10.53. … Buying a great company with a robust outlook at a cheap price is always a good investment, so let’s also take a look at the company's future expectations. … If you are no longer interested in Internap, you can use our free platform to see my list of over 50 other stocks with a high growth potential.

Simply Wall St -

Has Internap Corporation (NASDAQ:INAP) Improved Earnings Growth In Recent Times?

See our latest analysis for Internap Were INAP's earnings stronger than its past performances and the industry? … For the purpose of this commentary, I like to use the ‘latest twelve-month’ data, which either annualizes the most recent 6-month earnings update, or in some cases, the most recent annual report is already the latest available financial data. … You should continue to research Internap to get a more holistic view of the stock by looking at: Future Outlook: What are well-informed industry analysts predicting for INAP’s future growth?

Simply Wall St -

How Does Investing In Internap Corporation (NASDAQ:INAP) Impact Your Portfolio?

Internap has a beta of 1.93, which means that the percentage change in its stock value will be higher than the entire market in times of booms and busts. … INAP, with its market capitalisation of $337.24M, is a small-cap stock, which generally have higher beta than similar companies of larger size. … As a result, this aspect of INAP indicates a higher beta than a similar size company with a lower portion of fixed assets on their balance sheet.

Simply Wall St -

Who Are The Major Shareholders In Internap Corporation (NASDAQ:INAP)?

Insider Ownership I find insiders are another important group of stakeholders, who are directly involved in making key decisions related to the use of capital. … With 5.58% ownership, INAP insiders is an important ownership type. … NasdaqGS:INAP Insider_trading Dec 28th 17 General Public Ownership The general public holds a minor stake of less than 1% in INAP, representing a relatively small class of owners.

Simply Wall St -

Is Internap Corporation’s (NASDAQ:INAP) Cash Outlook Optimistic?

The two ways to assess whether Internap’s FCF is sufficient, is to compare the FCF yield to the market index yield, as well as determine whether the top-line operating cash flows will continue to grow. … Free Cash Flow = Operating Cash Flows – Net Capital Expenditure Free Cash Flow Yield = Free Cash Flow / Enterprise Value where Enterprise Value = Market Capitalisation + Net Debt Along with a positive operating cash flow, Internap also generates a positive free cash flow. … Low free cash flow yield means you are not currently well-compensated for the risk you’re taking on by holding onto Internap relative to a well-diversified market index.

Simply Wall St -

Company Info

Description

Internap Corporation provides Internet infrastructure services. It operates through two business segments, INAP COLO and INAP CLOUD. The INAP COLO segment offers colocation services, including physical space within data centers and related services, such as power, interconnection, environmental controls, monitoring, and security; and Internet protocol (IP) connectivity services comprising its patented Performance IP and content delivery network services, IP routing hardware and software platforms, and Managed Internet Route Optimizer controllers. This segment offers its colocation services through 56 data centers and 97 points of presence worldwide. The INAP CLOUD segment provides hosted Infrastructure-as-a-Service as a cloud platform or through managed hosting that includes the provision and maintenance of hardware, data center infrastructure, and interconnection that enables its customers to own and manage their software applications and content. This segment offers cloud and managed hosting services, which comprise compute and storage services, as well as a single tenant infrastructure environment through an integrated platform that includes servers, storage, and network. The company serves various industries, including healthcare; advertising technology; financial; technology infrastructure; and gaming and software. The company was formerly known as Internap Network Services Corporation and changed its name to Internap Corporation in November 2014. Internap Corporation was founded in 1996 and is headquartered in Reston, Virginia.

Details
Name: Internap Corporation
INAP
Exchange: NasdaqGS
Founded: 1996
$110,373,450
24,365,000
Website: http://www.inap.com
Address: Internap Corporation
12120 Sunset Hills Road,
Suite 330,
Reston,
Virginia, 20190,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqGS INAP Common Stock Nasdaq Global Select US USD 29. Sep 1999
DB IP9N Common Stock Deutsche Boerse AG DE EUR 29. Sep 1999
Number of employees
Current staff
Staff numbers
503
Internap employees.
Industry
Internet Services and Infrastructure
Software
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/03/17 23:37
End of day share price update: 2019/03/15 00:00
Last estimates confirmation: 2019/03/15
Last earnings filing: 2019/03/14
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


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.