Nisun International Enterprise Development Group (NasdaqCM:NISN) - Share price, News & Analysis

Q: What is the Fair Price of NISN when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

NISN ($0.63) is trading below our estimate of [[fair value]] ($90.24)

NISN fundamental analysis
Snowflake Score
Valuation	6/6
Future Growth	5/6
Past Performance	4/6
Financial Health	5/6
Dividends	0/6

NISN Stock Overview

Rewards

Trading at 99.3% below our estimate of its fair value

Earnings are forecast to grow 37.04% per year

Earnings grew by 207.5% over the past year

Risk Analysis

Highly volatile share price over the past 3 months

Shareholders have been substantially diluted in the past year

Does not have a meaningful market cap ($25M)

Nisun International Enterprise Development Group Competitors

MIND C.T.I

NasdaqGM:MNDO

US$47.8m

NetSol Technologies

NasdaqCM:NTWK

US$35.8m

Fernhill

OTCPK:FERN

US$14.6m

GSE Systems

NasdaqCM:GVP

US$26.3m

Price History & Performance

Summary of all time highs, changes and price drops for Nisun International Enterprise Development Group
Historical stock prices
Current Share Price	US$0.63
52 Week High	US$17.83
52 Week Low	US$0.53
Beta	1.27
1 Month Change	-15.76%
3 Month Change	-37.80%
1 Year Change	-94.26%
3 Year Change	-63.08%
5 Year Change	-75.15%
Change since IPO	-89.21%

Shareholder Returns

	NISN	US Software	US Market
7D	-13.5%	2.6%	1.6%
1Y	-94.3%	-22.4%	-20.8%

Return vs Industry: NISN underperformed the US Software industry which returned -22.4% over the past year.

Return vs Market: NISN underperformed the US Market which returned -20.8% over the past year.

Price Volatility

Is NISN's price volatile compared to industry and market?
NISN volatility
NISN Average Weekly Movement	17.1%
Software Industry Average Movement	11.0%
Market Average Movement	8.1%
10% most volatile stocks in US Market	16.8%
10% least volatile stocks in US Market	3.2%

Stable Share Price: NISN is more volatile than 90% of US stocks over the past 3 months, typically moving +/- 17% a week.

Volatility Over Time: NISN's weekly volatility (17%) has been stable over the past year, but is still higher than 75% of US stocks.

About the Company

Founded	Employees	CEO	Website
2005	178	Xiaoyun Huang	https://ir.nisun-nasdaq.com

Nisun International Enterprise Development Group Co., Ltd, an investment holding company, provides technology-driven integrated supply chain solutions for enterprises and financial institutions in the People’s Republic of China and internationally. It offers professional solutions for technology supply chain management, technology asset routing, and digital transformation of tech and finance institutions. The company also provides a range of technology-driven customized financing solutions to small- and mid-sized enterprises (SMEs) to enhance SMEs’ access to capital through its closed-loop ecosystem built on fintech platforms; and direct banking solutions to small- and medium-sized commercial banks and other financial institutions in their distribution and management of direct banking and other financial products.

Nisun International Enterprise Development Group Fundamentals Summary

How do Nisun International Enterprise Development Group's earnings and revenue compare to its market cap?
NISN fundamental statistics
Market Cap	US$25.48m
Earnings (TTM)	US$30.38m
Revenue (TTM)	US$160.20m

0.8x

P/E Ratio

0.2x

P/S Ratio

Is NISN overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
NISN income statement (TTM)
Revenue	US$160.20m
Cost of Revenue	US$105.62m
Gross Profit	US$54.58m
Other Expenses	US$24.20m
Earnings	US$30.38m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)	0.76
Gross Margin	34.07%
Net Profit Margin	18.96%
Debt/Equity Ratio	6.1%

How did NISN perform over the long term?

See historical performance and comparison

We’ve recently updated our valuation analysis.

Valuation

Is NISN undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

6/6

Valuation Score 6/6

Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for NISN?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for NISN. This is calculated by dividing NISN's market cap by their current preferred multiple.
What is NISN's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	US$25.48m

NISN key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	n/a
Enterprise Value/EBITDA	n/a
PEG Ratio	0.02x

Price to Earnings Ratio vs Peers

How does NISN's PE Ratio compare to its peers?

NISN PE Ratio vs Peers

The above table shows the PE ratio for NISN vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PE	Estimated Growth	Market Cap
Peer Average	58.8x
MNDO MIND C.T.I	8x	n/a	US$47.8m
NTWK NetSol Technologies	11.1x	n/a	US$35.8m
FERN Fernhill	213.3x	n/a	US$14.6m
GVP GSE Systems	2.8x	n/a	US$26.3m
NISN Nisun International Enterprise Development Group	0.8x	37.0%	US$25.1m

Forward PE

Price-To-Earnings vs Peers: NISN is good value based on its Price-To-Earnings Ratio (0.8x) compared to the peer average (58.8x).

Price to Earnings Ratio vs Industry

How does NISN's PE Ratio compare vs other companies in the US Software Industry?

Price-To-Earnings vs Industry: NISN is good value based on its Price-To-Earnings Ratio (0.8x) compared to the US Software industry average (38.4x)

Price to Earnings Ratio vs Fair Ratio

What is NISN's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

NISN PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	0.8x
Fair PE Ratio	34.6x

Price-To-Earnings vs Fair Ratio: NISN is good value based on its Price-To-Earnings Ratio (0.8x) compared to the estimated Fair Price-To-Earnings Ratio (34.6x).

Share Price vs Fair Value

What is the Fair Price of NISN when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: NISN ($0.63) is trading below our estimate of fair value ($90.24)

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

Price to Earnings Growth Ratio

PEG Ratio: NISN is good value based on its PEG Ratio (0x)

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Future Growth

How is Nisun International Enterprise Development Group forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

Future Growth Score

5/6

Future Growth Score 5/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

37.0%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: NISN's forecast earnings growth (37% per year) is above the savings rate (1.9%).

Earnings vs Market: NISN's earnings (37% per year) are forecast to grow faster than the US market (13.7% per year).

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

Revenue vs Market: NISN's revenue (24.6% per year) is forecast to grow faster than the US market (8.3% per year).

High Growth Revenue: NISN's revenue (24.6% per year) is forecast to grow faster than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: Insufficient data to determine if NISN's Return on Equity is forecast to be high in 3 years time

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Past Performance

How has Nisun International Enterprise Development Group performed over the past 5 years?

Past Performance Score

4/6

Past Performance Score 4/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

40.7%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: NISN has high quality earnings.

Growing Profit Margin: NISN's current net profit margins (19%) are lower than last year (23.4%).

Past Earnings Growth Analysis

Earnings Trend: NISN's earnings have grown significantly by 40.7% per year over the past 5 years.

Accelerating Growth: NISN's earnings growth over the past year (207.5%) exceeds its 5-year average (40.7% per year).

Earnings vs Industry: NISN earnings growth over the past year (207.5%) exceeded the Software industry 26.8%.

Return on Equity

High ROE: NISN's Return on Equity (16.5%) is considered low.

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Financial Health

How is Nisun International Enterprise Development Group's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: NISN's short term assets ($227.8M) exceed its short term liabilities ($88.7M).

Long Term Liabilities: NISN's short term assets ($227.8M) exceed its long term liabilities ($653.0K).

Debt to Equity History and Analysis

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

Reducing Debt: NISN's debt to equity ratio has increased from 2.6% to 6.1% over the past 5 years.

Debt Coverage: NISN's debt is well covered by operating cash flow (210.9%).

Interest Coverage: NISN earns more interest than it pays, so coverage of interest payments is not a concern.

Balance Sheet

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Dividend

What is Nisun International Enterprise Development Group current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

Dividend Yield vs Market

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

High Dividend: Unable to evaluate NISN'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 NISN's dividends per share have been stable in the past.

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

Earnings Payout to Shareholders

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

Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as NISN has not reported any payouts.

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Management

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

2.8yrs

Average management tenure

CEO

Xiaoyun Huang (36 yo)

1.75yrs

Tenure

US$120,000

Compensation

Mr. Xiaoyun Huang serves as Chairman and Chief Executive Officer at Nisun International Enterprise Development Group Co., Ltd (formerly known as Hebron Technology Co., Ltd.) since September 4, 2020. Mr. Hu...

CEO Compensation Analysis

Compensation vs Market: Xiaoyun's total compensation ($USD120.00K) is below average for companies of similar size in the US market ($USD760.83K).

Compensation vs Earnings: Xiaoyun's compensation has been consistent with company performance over the past year.

Leadership Team

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

Board Members

Experienced Board: NISN's board of directors are not considered experienced ( 1.8 years average tenure), which suggests a new board.

Ownership

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

Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.

Ownership Breakdown

Dilution of Shares: Shareholders have been substantially diluted in the past year, with total shares outstanding growing by 93.7%.

Data	Last Updated (UTC time)
Company Analysis	2022/06/30 00:00
End of Day Share Price	2022/06/30 00:00
Earnings	2021/12/31
Annual Earnings	2021/12/31