Proofpoint, Inc. operates as a security-as-a-service provider that enables large and mid-sized organizations to defend, protect, archive, and govern their sensitive data worldwide. More Details
Excellent balance sheet and slightly overvalued.
Share Price & News
How has Proofpoint's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: PFPT is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: PFPT's weekly volatility (5%) has been stable over the past year.
7 Day Return
1 Year Return
Return vs Industry: PFPT underperformed the US Software industry which returned 64.1% over the past year.
Return vs Market: PFPT underperformed the US Market which returned 56.3% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Proofpoint's share price compared to the market and industry in the last 5 years?
Simply Wall St News
5 hours ago | Simply Wall StIs Proofpoint (NASDAQ:PFPT) A Risky Investment?
3 weeks ago | Simply Wall StDid Business Growth Power Proofpoint's (NASDAQ:PFPT) Share Price Gain of 149%?
1 month ago | Simply Wall StWhat Is Proofpoint, Inc.'s (NASDAQ:PFPT) Share Price Doing?
Is Proofpoint undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: PFPT ($131.33) is trading below our estimate of fair value ($192)
Significantly Below Fair Value: PFPT is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: PFPT is unprofitable, so we can't compare its PE Ratio to the US Software industry average.
PE vs Market: PFPT is unprofitable, so we can't compare its PE Ratio to the US market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate PFPT's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: PFPT is overvalued based on its PB Ratio (17x) compared to the US Software industry average (8.9x).
How is Proofpoint forecast to perform in the next 1 to 3 years based on estimates from 21 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: PFPT is forecast to remain unprofitable over the next 3 years.
Earnings vs Market: PFPT is forecast to remain unprofitable over the next 3 years.
High Growth Earnings: PFPT is forecast to remain unprofitable over the next 3 years.
Revenue vs Market: PFPT's revenue (12.4% per year) is forecast to grow faster than the US market (9.9% per year).
High Growth Revenue: PFPT's revenue (12.4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: PFPT's Return on Equity is forecast to be high in 3 years time (31.9%)
How has Proofpoint performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: PFPT is currently unprofitable.
Growing Profit Margin: PFPT is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: PFPT is unprofitable, and losses have increased over the past 5 years at a rate of 11.6% per year.
Accelerating Growth: Unable to compare PFPT's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: PFPT is unprofitable, making it difficult to compare its past year earnings growth to the Software industry (16.3%).
Return on Equity
High ROE: PFPT has a negative Return on Equity (-37.08%), as it is currently unprofitable.
How is Proofpoint's financial position?
Financial Position Analysis
Short Term Liabilities: PFPT's short term assets ($1.3B) exceed its short term liabilities ($865.2M).
Long Term Liabilities: PFPT's short term assets ($1.3B) exceed its long term liabilities ($1.2B).
Debt to Equity History and Analysis
Debt Level: PFPT's debt to equity ratio (177.4%) is considered high.
Reducing Debt: PFPT's debt to equity ratio has reduced from 417.2% to 177.4% over the past 5 years.
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.
Stable Cash Runway: Whilst unprofitable PFPT has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.
Forecast Cash Runway: PFPT is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 37.4% per year.
What is Proofpoint current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate PFPT's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate PFPT'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 PFPT's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if PFPT'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 PFPT's dividend in 3 years as they are not forecast to pay a notable one for the US market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Gary Steele (58 yo)
Mr. Gary L. Steele serves as Chief Executive Officer of Proofpoint, Inc., since 2002 and its Chairman of the Board since July 9, 2018. Before joining Proofpoint in 2002, Mr. Steele has many technology indu...
CEO Compensation Analysis
Compensation vs Market: Gary's total compensation ($USD8.41M) is above average for companies of similar size in the US market ($USD6.40M).
Compensation vs Earnings: Gary's compensation has been consistent with company performance over the past year.
Experienced Management: PFPT's management team is considered experienced (2.2 years average tenure).
Experienced Board: PFPT's board of directors are considered experienced (3.5 years average tenure).
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
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Proofpoint, Inc.'s company bio, employee growth, exchange listings and data sources
- Name: Proofpoint, Inc.
- Ticker: PFPT
- Exchange: NasdaqGS
- Founded: 2002
- Industry: Systems Software
- Sector: Software
- Market Cap: US$7.538b
- Shares outstanding: 57.39m
- Website: https://www.proofpoint.com
Number of Employees
- Proofpoint, Inc.
- 925 West Maude Avenue
- United States
Proofpoint, Inc. operates as a security-as-a-service provider that enables large and mid-sized organizations to defend, protect, archive, and govern their sensitive data worldwide. It offers protection aga...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/04/11 22:14|
|End of Day Share Price||2021/04/09 00:00|
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.