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MIME

MimecastNasdaqGS:MIME Stock Report

Last Price

US$80.36

Market Cap

US$5.4b

7D

1.6%

1Y

81.6%

Updated

17 Jan, 2022

Data

Company Financials +
MIME fundamental analysis
Snowflake Score
Valuation2/6
Future Growth4/6
Past Performance5/6
Financial Health5/6
Dividends0/6

MIME Stock Overview

Mimecast Limited provides cloud security and risk management services for corporate information and email.

Mimecast Competitors

Open Text

NasdaqGS:OTEX

US$12.9b

Zix

NasdaqGS:ZIXI

US$481.9m

Microsoft

NasdaqGS:MSFT

US$2.3t

Alphabet

NasdaqGS:GOOG.L

US$1.9t

Price History & Performance

Summary of all time highs, changes and price drops for Mimecast
Historical stock prices
Current Share PriceUS$80.36
52 Week HighUS$85.48
52 Week LowUS$38.84
Beta1.45
1 Month Change1.77%
3 Month Change18.18%
1 Year Change81.56%
3 Year Change132.59%
5 Year Change283.95%
Change since IPO695.64%

Recent News & Updates

Dec 28

Mimecast Is A Premium Business At A Premium Valuation

Mimecast provides a one-stop-shop for cybersecurity solutions focused on email. Its SaaS business model and attention to increasing its enterprise market share have produced market-beating gains over the last 12 months. With a growing addressable market and a huge tailwind created by the pandemic, I am bullish on Mimecast stock over the next three to five years.

Nov 23
What Is Mimecast Limited's (NASDAQ:MIME) Share Price Doing?

What Is Mimecast Limited's (NASDAQ:MIME) Share Price Doing?

Mimecast Limited ( NASDAQ:MIME ), is not the largest company out there, but it saw a significant share price rise of...

Shareholder Returns

MIMEUS SoftwareUS Market
7D1.6%-2.2%-0.3%
1Y81.6%17.2%13.7%

Return vs Industry: MIME exceeded the US Software industry which returned 17.2% over the past year.

Return vs Market: MIME exceeded the US Market which returned 13.7% over the past year.

Price Volatility

Is MIME's price volatile compared to industry and market?
MIME volatility
MIME Average Weekly Movement5.5%
Software Industry Average Movement8.7%
Market Average Movement6.6%
10% most volatile stocks in US Market15.9%
10% least volatile stocks in US Market2.4%

Stable Share Price: MIME is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: MIME's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
20031,765Peter Bauerhttps://www.mimecast.com

Mimecast Limited provides cloud security and risk management services for corporate information and email. The company offers Mimecast Email Security solution, which protects against the delivery of malware, malicious URLs and attachments, spam, viruses, impersonation attacks, phishing, and spear-phishing attacks, including business email compromise, identity theft, extortion, fraud, and other attacks, while also preventing data leaks and other internal threats, as well as provides awareness training services. It also provides Cyber Resilience Extensions, such as Mimecast Enterprise Information Archiving that unifies email data to support e-discovery, forensic analysis, and compliance initiatives; Mimecast Business Continuity and Sync & Recover, which protects email and data against the threat of downtime as a result of system failure, natural disasters, planned maintenance, system upgrades, and migrations; and Mimecast Web Security service that protects against malicious web activity initiated by user action or malware and blocks access to inappropriate websites based on acceptable use policies.

Mimecast Fundamentals Summary

How do Mimecast's earnings and revenue compare to its market cap?
MIME fundamental statistics
Market CapUS$5.38b
Earnings (TTM)US$44.21m
Revenue (TTM)US$553.31m

121.6x

P/E Ratio

9.7x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
MIME income statement (TTM)
RevenueUS$553.31m
Cost of RevenueUS$130.52m
Gross ProfitUS$422.79m
ExpensesUS$378.58m
EarningsUS$44.21m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

Feb 03, 2022

Earnings per share (EPS)0.66
Gross Margin76.41%
Net Profit Margin7.99%
Debt/Equity Ratio17.9%

How did MIME perform over the long term?

See historical performance and comparison

Valuation

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

28.5%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: MIME ($80.36) is trading below our estimate of fair value ($112.37)

Significantly Below Fair Value: MIME is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: MIME is poor value based on its PE Ratio (121.6x) compared to the US Software industry average (43.2x).

PE vs Market: MIME is poor value based on its PE Ratio (121.6x) compared to the US market (17.4x).


Price to Earnings Growth Ratio

PEG Ratio: MIME is poor value based on its PEG Ratio (4x)


Price to Book Ratio

PB vs Industry: MIME is overvalued based on its PB Ratio (11.7x) compared to the US Software industry average (5.1x).


Future Growth

How is Mimecast forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?

30.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MIME's forecast earnings growth (30.7% per year) is above the savings rate (2%).

Earnings vs Market: MIME's earnings (30.7% per year) are forecast to grow faster than the US market (13% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: MIME's revenue (14.6% per year) is forecast to grow faster than the US market (9.3% per year).

High Growth Revenue: MIME's revenue (14.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: MIME's Return on Equity is forecast to be low in 3 years time (18.6%).


Past Performance

How has Mimecast performed over the past 5 years?

65.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MIME has high quality earnings.

Growing Profit Margin: MIME's current net profit margins (8%) are higher than last year (3.4%).


Past Earnings Growth Analysis

Earnings Trend: MIME has become profitable over the past 5 years, growing earnings by 65.1% per year.

Accelerating Growth: MIME's earnings growth over the past year (177.7%) exceeds its 5-year average (65.1% per year).

Earnings vs Industry: MIME earnings growth over the past year (177.7%) exceeded the Software industry 20%.


Return on Equity

High ROE: MIME's Return on Equity (9.6%) is considered low.


Financial Health

How is Mimecast's financial position?


Financial Position Analysis

Short Term Liabilities: MIME's short term assets ($510.2M) exceed its short term liabilities ($336.5M).

Long Term Liabilities: MIME's short term assets ($510.2M) exceed its long term liabilities ($189.4M).


Debt to Equity History and Analysis

Debt Level: MIME has more cash than its total debt.

Reducing Debt: MIME's debt to equity ratio has increased from 5% to 17.9% over the past 5 years.

Debt Coverage: MIME's debt is well covered by operating cash flow (183.5%).

Interest Coverage: MIME's interest payments on its debt are well covered by EBIT (35.8x coverage).


Balance Sheet


Dividend

What is Mimecast current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate MIME's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate MIME's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if MIME's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if MIME's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

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

2.8yrs

Average management tenure


CEO

Peter Bauer (47 yo)

19yrs

Tenure

US$3,882,758

Compensation

Mr. Peter C. Bauer co-founded Mimecast Limited in 2003 and has been its Chairman & Chief Executive Officer since 2003 and serves as its President. Mr. Bauer is a technology marketer and business leader wit...


CEO Compensation Analysis

Compensation vs Market: Peter's total compensation ($USD3.88M) is below average for companies of similar size in the US market ($USD6.40M).

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


Leadership Team

Experienced Management: MIME's management team is considered experienced (2.8 years average tenure).


Board Members

Experienced Board: MIME's board of directors are considered experienced (4.4 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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 4.7%.


Top Shareholders

Company Information

Mimecast Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Mimecast Limited
  • Ticker: MIME
  • Exchange: NasdaqGS
  • Founded: 2003
  • Industry: Application Software
  • Sector: Software
  • Implied Market Cap: US$5.378b
  • Shares outstanding: 66.92m
  • Website: https://www.mimecast.com

Number of Employees


Location

  • Mimecast Limited
  • 1 Finsbury Avenue
  • London
  • Greater London
  • EC2M 2PF
  • United Kingdom

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/17 23:28
End of Day Share Price2022/01/14 00:00
Earnings2021/09/30
Annual Earnings2021/03/31


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.