NasdaqCM:SPNS

Stock Analysis Report

Executive Summary

Sapiens International Corporation N.V. provides software solutions for the insurance and financial services industries in North America, Europe, the Asia Pacific, and South Africa.

Snowflake

Fundamentals

Excellent balance sheet and good value.


Similar Companies

Share Price & News

How has Sapiens International's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

1.1%

NasdaqCM:SPNS

-0.5%

US Software

0.2%

US Market


1 Year Return

68.4%

NasdaqCM:SPNS

18.6%

US Software

-0.7%

US Market

SPNS outperformed the Software industry which returned 19.3% over the past year.

SPNS outperformed the Market in United States of America which returned 0.3% over the past year.


Share holder returns

SPNSIndustryMarket
7 Day1.1%-0.5%0.2%
30 Day19.9%-3.6%-2.7%
90 Day25.3%2.3%1.6%
1 Year73.3%68.4%20.3%18.6%1.6%-0.7%
3 Year41.8%35.5%114.9%106.4%40.0%30.9%
5 Year147.0%128.3%162.0%143.1%53.8%36.8%

Price Volatility Vs. Market

How volatile is Sapiens International's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Sapiens International undervalued based on future cash flows and its price relative to the stock market?

>50%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Sapiens International's share price is below the future cash flow value, and at a moderate discount (> 20%).

Sapiens International's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

Sapiens International is good value based on earnings compared to the US Software industry average.

Sapiens International is overvalued based on earnings compared to the United States of America market.


Price Based on Expected Growth

Sapiens International is poor value based on expected growth next year.


Price Based on Value of Assets

Sapiens International is good value based on assets compared to the US Software industry average.


Next Steps

Future Growth

How is Sapiens International expected to perform in the next 1 to 3 years based on estimates from 4 analysts?

19.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Sapiens International's revenue is expected to grow by 9.9% yearly, however this is not considered high growth (20% yearly).

Sapiens International's earnings are expected to grow by 19.2% yearly, however this is not considered high growth (20% yearly).

Sapiens International's revenue growth is expected to exceed the United States of America market average.

Sapiens International's earnings growth is expected to exceed the United States of America market average.

Sapiens International's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if Sapiens International will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has Sapiens International performed over the past 5 years?

-7.3%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Sapiens International's year on year earnings growth rate was negative over the past 5 years, however the most recent earnings are above average.

Sapiens International's 1-year earnings growth exceeds its 5-year average (90.4% vs -7.3%)

Sapiens International's earnings growth has exceeded the US Software industry average in the past year (90.4% vs 45.5%).


Return on Equity

Sapiens International has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Sapiens International used its assets less efficiently than the US Software industry average last year based on Return on Assets.


Return on Capital Employed

Sapiens International's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

  • Explore strong past performing companies in the Software industry.

Financial Health

How is Sapiens International's financial position?


Financial Position Analysis

Sapiens International is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Sapiens International's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Sapiens International's level of debt (31.2%) compared to net worth is satisfactory (less than 40%).

Unable to establish if Sapiens International's debt level has increased without past 5-year debt data.

Debt is well covered by operating cash flow (64%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 13x coverage).


Balance Sheet

Low level of unsold assets.

Debt is covered by short term assets, assets are 2.1x debt.


Next Steps

Dividend

What is Sapiens International's current dividend yield, its reliability and sustainability?


Dividend Yield and Payments Analysis

Unable to evaluate Sapiens International's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate Sapiens International's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as Sapiens International has not reported any payouts.

Unable to verify if Sapiens International's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Sapiens International 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.


Next Steps

Management

What is the CEO of Sapiens International's salary, the management and board of directors tenure and is there insider trading?

3.5yrs

Average management tenure


CEO

Roni Al-Dor (58yo)

13.8yrs

Tenure

0

Mr. Roni Al-Dor, also known as Ron, has been the Chief Executive Officer and President of Sapiens International Corporation N.V. since November 2005. Mr. Al-Dor serves as President, Chief Executive Officer ...


Management Age and Tenure

3.5yrs

Average Tenure

57yo

Average Age

The tenure for the Sapiens International management team is about average.


Board Age and Tenure

13.8yrs

Average Tenure

58yo

Average Age

The average tenure for the Sapiens International board of directors is over 10 years, this suggests they are a seasoned and experienced board.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Roni Al-Dor (58yo)

    President

    • Tenure: 13.8yrs
  • Roni Giladi (48yo)

    CFO & VP

    • Tenure: 12.1yrs
  • Harold Westervelt

    Managing Director of DECISION

    • Tenure: 1.8yrs
  • Yaffa Cohen-Ifrah

    Chief Marketing Officer & Head of Corporate Communications

    • Tenure: 5.6yrs
  • Osnat Segev-Harel (57yo)

    Head of Corporate Development

    • Tenure: 10.6yrs
  • Hagit Ashkenazi

    Executive VP & Head of Professional Services

    • Tenure: 0.0yrs
  • Liana Gelikas

    President of P&C/General Insurance and Reinsurance Division

    • Tenure: 3.5yrs
  • Tamar Alon-Verber

    Chief Business Finance Officer

    • Tenure: 1.4yrs
  • Ben Shory

    Corporate CTO & Digital Division Manager

    • Tenure: 1.4yrs
  • Tal Sharon

    President of Sapiens Israel & East Europe

    • Tenure: 1.6yrs

Board Members

  • Naamit Salomon (55yo)

    Director

    • Tenure: 15.9yrs
  • Roni Al-Dor (58yo)

    President

    • Tenure: 13.8yrs
  • Andre Boisvert (65yo)

    Chairman of Sapiens Decision

    • Tenure: 3.1yrs
  • Guy Bernstein (51yo)

    Chairman of the Board

    • Tenure: 9.8yrs
  • Yacov Elinav (75yo)

    Director

    • Tenure: 14.4yrs
  • Uzi Netanel (83yo)

    Director

    • Tenure: 14.4yrs
  • Eyal Ben-Chlouche (58yo)

    Director

    • Tenure: 11.0yrs

Company Information

Sapiens International Corporation N.V.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Sapiens International Corporation N.V.
  • Ticker: SPNS
  • Exchange: NasdaqCM
  • Founded: 1982
  • Industry: Application Software
  • Sector: Software
  • Market Cap: US$939.469m
  • Shares outstanding: 50.00m
  • Website: https://www.sapiens.com

Number of Employees


Location

  • Sapiens International Corporation N.V.
  • Azrieli Center
  • 26 Harokmim Street
  • Holon
  • 5885800
  • Israel

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SPNSNasdaqCM (Nasdaq Capital Market)YesCommon SharesUSUSDMay 1992
SPNSTASE (The Tel-Aviv Stock Exchange)YesCommon SharesILILSMay 1992
S3PDB (Deutsche Boerse AG)YesCommon SharesDEEURMay 1992

Biography

Sapiens International Corporation N.V. provides software solutions for the insurance and financial services industries in North America, Europe, the Asia Pacific, and South Africa. The company offers softw ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/20 23:50
End of Day Share Price2019/08/20 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.