Market Cap
US$29.5b
Last Updated
2020/06/01 04:47 UTC
Data Sources
Company Financials +
Executive Summary
Splunk Inc. develops and markets software solutions that enable organizations to gain real-time operational intelligence in the United States and internationally.
Rewards
Risk Analysis
Currently unprofitable and not forecast to become profitable over the next 3 years
Snowflake Analysis
Mediocre balance sheet with limited growth.
Similar Companies
Share Price & News
How has Splunk's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: SPLK's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
0.9%
SPLK
1.4%
US Software
3.0%
US Market
1 Year Return
70.4%
SPLK
36.5%
US Software
9.9%
US Market
Return vs Industry: SPLK exceeded the US Software industry which returned 36.5% over the past year.
Return vs Market: SPLK exceeded the US Market which returned 9.9% over the past year.
Shareholder returns
| SPLK | Industry | Market | |
|---|---|---|---|
| 7 Day | 0.9% | 1.4% | 3.0% |
| 30 Day | 38.6% | 11.0% | 8.2% |
| 90 Day | 25.1% | 12.5% | 0.4% |
| 1 Year | 70.4%70.4% | 37.5%36.5% | 12.4%9.9% |
| 3 Year | 197.1%197.1% | 126.0%118.3% | 31.0%22.3% |
| 5 Year | 173.5%173.5% | 207.8%189.2% | 58.1%40.3% |
Price Volatility Vs. Market
How volatile is Splunk's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Is Splunk Inc. (NASDAQ:SPLK) Excessively Paying Its CEO?4 weeks ago | Simply Wall St
Is There An Opportunity With Splunk Inc.'s (NASDAQ:SPLK) 21% Undervaluation?1 month ago | Simply Wall St
Is Splunk's (NASDAQ:SPLK) 110% Share Price Increase Well Justified?Valuation
Is Splunk undervalued compared to its fair value and its price relative to the market?
16.17x
Price to Book (PB) ratio
Share Price vs. Fair Value
Below Fair Value: SPLK ($185.84) is trading above our estimate of fair value ($137.57)
Significantly Below Fair Value: SPLK is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: SPLK is unprofitable, so we can't compare its PE Ratio to the Software industry average.
PE vs Market: SPLK 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 SPLK's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: SPLK is overvalued based on its PB Ratio (16.2x) compared to the US Software industry average (6x).
Next Steps
Future Growth
How is Splunk forecast to perform in the next 1 to 3 years based on estimates from 35 analysts?
40.3%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SPLK is forecast to remain unprofitable over the next 3 years.
Earnings vs Market: SPLK is forecast to remain unprofitable over the next 3 years.
High Growth Earnings: SPLK is forecast to remain unprofitable over the next 3 years.
Revenue vs Market: SPLK's revenue (20.3% per year) is forecast to grow faster than the US market (8.8% per year).
High Growth Revenue: SPLK's revenue (20.3% per year) is forecast to grow faster than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: SPLK's Return on Equity is forecast to be low in 3 years time (13.3%).
Next Steps
Past Performance
How has Splunk performed over the past 5 years?
-4.2%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SPLK is currently unprofitable.
Growing Profit Margin: SPLK is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: SPLK is unprofitable, and losses have increased over the past 5 years at a rate of -4.2% per year.
Accelerating Growth: Unable to compare SPLK's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: SPLK is unprofitable, making it difficult to compare its past year earnings growth to the Software industry (9.6%).
Return on Equity
High ROE: SPLK has a negative Return on Equity (-26.9%), as it is currently unprofitable.
Next Steps
Financial Health
How is Splunk's financial position?
Financial Position Analysis
Short Term Liabilities: SPLK's short term assets ($2.6B) exceed its short term liabilities ($1.2B).
Long Term Liabilities: SPLK's short term assets ($2.6B) exceed its long term liabilities ($2.3B).
Debt to Equity History and Analysis
Debt Level: SPLK's debt to equity ratio (93.4%) is considered high.
Reducing Debt: Insufficient data to determine if SPLK's debt to equity ratio has reduced over the past 5 years.
Balance Sheet
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: SPLK has sufficient cash runway for more than 3 years based on its current free cash flow.
Forecast Cash Runway: Insufficient data to determine if SPLK has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.
Next Steps
Dividend
What is Splunk's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate SPLK's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate SPLK'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 SPLK's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if SPLK'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 SPLK'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?
3.4yrs
Average management tenure
CEO
Doug Merritt (55yo)
4.58yrs
Tenure
US$15,710,645
Compensation
Mr. Douglas Merritt, also known as Doug, has been the Chief Executive Officer, President and Director at Splunk Inc. since November 19, 2015. Mr. Merritt served as Senior Vice President of Field Operations ...
CEO Compensation Analysis
Compensation vs Market: Doug 's total compensation ($USD15.71M) is above average for companies of similar size in the US market ($USD11.60M).
Compensation vs Earnings: Doug 's compensation has increased whilst the company is unprofitable.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO, President & Director | 4.58yrs | US$15.71m | 0.025% $7.5m | |
| Senior VP & CFO | 1.08yrs | US$17.49m | 0.0078% $2.3m | |
| Senior VP & CTO | 3.42yrs | US$8.80m | 0.089% $26.2m | |
| Senior VP | 3.42yrs | US$6.47m | 0.054% $16.1m | |
| President of Worldwide Field Operations | 3.42yrs | US$9.34m | 0.13% $39.2m | |
| Senior VP of Business Operations & Strategy and GM of IoT Markets | 3.42yrs | no data | no data | |
| Chief Accounting Officer | 0.75yr | no data | 0.016% $4.7m | |
| Chief Information Officer | no data | no data | no data | |
| Head of Investor Relations | no data | no data | no data | |
| Senior VP & Chief Marketing Officer | 1.33yrs | no data | no data |
3.4yrs
Average Tenure
51yo
Average Age
Experienced Management: SPLK's management team is considered experienced (3.4 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO, President & Director | 4.58yrs | US$15.71m | 0.025% $7.5m | |
| Independent Director | 7.42yrs | US$300.92k | 0.024% $7.1m | |
| Independent Non-Executive Chairman | 1.25yrs | US$335.42k | 0.026% $7.7m | |
| Independent Director | 12.83yrs | US$309.36k | 0.043% $12.7m | |
| Independent Director | 7.17yrs | US$301.70k | 0.018% $5.2m | |
| Member of Advisory Board | no data | no data | no data | |
| Member of Advisory Board | no data | no data | no data | |
| Member of Advisory Board | no data | no data | no data | |
| Member of Advisory Board | no data | no data | no data | |
| Member of Advisory Board | no data | no data | no data |
7.2yrs
Average Tenure
60yo
Average Age
Experienced Board: SPLK's board of directors are considered experienced (7.2 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: SPLK insiders have only sold shares 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 5.8%.
Top Shareholders
Company Information
Splunk Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Splunk Inc.
- Ticker: SPLK
- Exchange: NasdaqGS
- Founded: 2003
- Industry: Application Software
- Sector: Software
- Market Cap: US$29.518b
- Shares outstanding: 158.84m
- Website: https://www.splunk.com
Number of Employees
Location
- Splunk Inc.
- 270 Brannan Street
- San Francisco
- California
- 94107
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| SPLK | NasdaqGS (Nasdaq Global Select) | Yes | Common Stock | US | USD | Apr 2012 |
| S0U | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Apr 2012 |
| SPLK | SWX (SIX Swiss Exchange) | Yes | Common Stock | CH | CHF | Apr 2012 |
| 0R09 | LSE (London Stock Exchange) | Yes | Common Stock | GB | USD | Apr 2012 |
| SPLK * | BMV (Bolsa Mexicana de Valores) | Yes | Common Stock | MX | MXN | Apr 2012 |
Biography
Splunk Inc. develops and markets software solutions that enable organizations to gain real-time operational intelligence in the United States and internationally. The company offers Splunk Enterprise, a real-time data platform, which include collection, indexing, search, reporting, analysis, alerting, monitoring, and data management capabilities; and Splunk Cloud, a cloud service for machine data. It also provides Splunk Enterprise Security that addresses security threats and information, and event management use cases; SignalFx, which provide real-time observability and troubleshooting for cloud infrastructure and applications; Splunk IT Service Intelligence that monitors health and key performance indicators of critical IT and business services; Splunk Phantom that automates and orchestrates incident response workflows; VictorOps for collaboration and IT issue resolution; Splunk Data Stream Processor, which collects, process, and distribute data with real-time stream processing; and Splunk Data Fabric Search that enables highly complex and high-performance searches of massive datasets. In addition, the company provides Splunk App for Amazon Web Services that collects and analyzes data from amazon web services data sources; Cisco Firepower App for Splunk that Incorporates advanced visualizations and investigative capabilities for Cisco Firepower and Firepower Management Console; Splunk Machine Learning Toolkit, which Includes custom visualizations and guided workflows; Splunk Connected Experiences that provides access to data, alerts, and actions on mobile and connected devices; and Splunk apps and add-ons. Further, the company offers application programming interfaces and software development kits; and maintenance and customer support, training, and consulting and implementation services, as well as operates Splunkbase and Splunk Answers Websites. Splunk Inc. was incorporated in 2003 and is headquartered in San Francisco, California.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/06/01 04:47 |
| End of Day Share Price | 2020/05/29 00:00 |
| Earnings | 2020/04/30 |
| Annual Earnings | 2020/01/31 |
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.