Market Cap
US$482.9m
Last Updated
2021/01/15 23:40 UTC
Data Sources
Company Financials +
Executive Summary
Zix Corporation provides email encryption, data loss prevention (DLP), threat protection, and archiving for the secure exchange of email in the United States. More Details
Rewards
Risk Analysis
Currently unprofitable and not forecast to become profitable over the next 3 years
Snowflake Analysis
Slightly overvalued with imperfect balance sheet.
Similar Companies
Share Price & News
How has Zix's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: ZIXI is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 8% a week.
Volatility Over Time: ZIXI's weekly volatility (8%) has been stable over the past year.
Market Performance
7 Day Return
2.2%
ZIXI
-0.7%
US Software
0.6%
US Market
1 Year Return
12.6%
ZIXI
39.4%
US Software
21.0%
US Market
Return vs Industry: ZIXI underperformed the US Software industry which returned 39.4% over the past year.
Return vs Market: ZIXI underperformed the US Market which returned 21% over the past year.
Shareholder returns
| ZIXI | Industry | Market | |
|---|---|---|---|
| 7 Day | 2.2% | -0.7% | 0.6% |
| 30 Day | 17.9% | 1.0% | 4.2% |
| 90 Day | 28.9% | 1.7% | 12.4% |
| 1 Year | 12.6%12.6% | 40.3%39.4% | 23.7%21.0% |
| 3 Year | 88.9%88.9% | 126.6%119.3% | 47.4%37.6% |
| 5 Year | 98.3%98.3% | 255.6%237.5% | 131.6%105.9% |
Long-Term Price Volatility Vs. Market
How volatile is Zix's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 days ago | Simply Wall St
Zix Corporation's (NASDAQ:ZIXI) Intrinsic Value Is Potentially 28% Above Its Share Price3 weeks ago | Simply Wall St
Zix Corporation (NASDAQ:ZIXI) Insiders Have Been Selling1 month ago | Simply Wall St
Update: Zix (NASDAQ:ZIXI) Stock Gained 74% In The Last Three YearsValuation
Is Zix undervalued compared to its fair value and its price relative to the market?
20.2%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: ZIXI ($8.79) is trading below our estimate of fair value ($11.01)
Significantly Below Fair Value: ZIXI is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: ZIXI is unprofitable, so we can't compare its PE Ratio to the US Software industry average.
PE vs Market: ZIXI 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 ZIXI's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: ZIXI is overvalued based on its PB Ratio (13.5x) compared to the US Software industry average (9.6x).
Next Steps
Future Growth
How is Zix forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?
130.6%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ZIXI is forecast to remain unprofitable over the next 3 years.
Earnings vs Market: ZIXI is forecast to remain unprofitable over the next 3 years.
High Growth Earnings: ZIXI is forecast to remain unprofitable over the next 3 years.
Revenue vs Market: ZIXI's revenue (11.4% per year) is forecast to grow faster than the US market (10.2% per year).
High Growth Revenue: ZIXI's revenue (11.4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if ZIXI's Return on Equity is forecast to be high in 3 years time
Next Steps
Past Performance
How has Zix performed over the past 5 years?
-54.0%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ZIXI is currently unprofitable.
Growing Profit Margin: ZIXI is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: ZIXI is unprofitable, and losses have increased over the past 5 years at a rate of 54% per year.
Accelerating Growth: Unable to compare ZIXI's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: ZIXI is unprofitable, making it difficult to compare its past year earnings growth to the Software industry (14.3%).
Return on Equity
High ROE: ZIXI has a negative Return on Equity (-4.4%), as it is currently unprofitable.
Next Steps
Financial Health
How is Zix's financial position?
Financial Position Analysis
Short Term Liabilities: ZIXI's short term assets ($43.0M) do not cover its short term liabilities ($75.1M).
Long Term Liabilities: ZIXI's short term assets ($43.0M) do not cover its long term liabilities ($192.4M).
Debt to Equity History and Analysis
Debt Level: ZIXI's debt to equity ratio (124.5%) is considered high.
Reducing Debt: Insufficient data to determine if ZIXI'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: Whilst unprofitable ZIXI has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.
Forecast Cash Runway: ZIXI is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by 10% per year.
Next Steps
Dividend
What is Zix current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate ZIXI's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate ZIXI'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 ZIXI's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if ZIXI'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 ZIXI'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?
1.6yrs
Average management tenure
CEO
Dave Wagner (55 yo)
5yrs
Tenure
US$2,358,185
Compensation
Mr. David J. Wagner, also known as Dave, has been the Chief Executive Officer and President of Zix Corporation since January 2016. Mr. Wagner served as the President of Entrust, Inc since 2013 until 2015. ...
CEO Compensation Analysis
Compensation vs Market: Dave's total compensation ($USD2.36M) is above average for companies of similar size in the US market ($USD1.65M).
Compensation vs Earnings: Dave's compensation has increased whilst the company is unprofitable.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 5yrs | US$2.36m | 1.57% $ 7.6m | |
| VP & CFO | 4.58yrs | US$1.30m | 0.86% $ 4.2m | |
| Chief Legal Officer & Corporate Secretary | 2.58yrs | US$814.56k | 0.41% $ 2.0m | |
| Chief Information Officer | 1.58yrs | no data | no data | |
| Chief Marketing Officer | no data | no data | no data | |
| Chief Business Officer | 1yr | no data | no data | |
| Chief Revenue Officer | 1.08yrs | no data | 0.36% $ 1.8m | |
| Chief Product Officer | 0.17yr | no data | 0.23% $ 1.1m | |
| Investor Relations | no data | no data | no data |
1.6yrs
Average Tenure
51yo
Average Age
Experienced Management: ZIXI's management team is not considered experienced ( 1.6 years average tenure), which suggests a new team.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 5yrs | US$2.36m | 1.57% $ 7.6m | |
| Independent Director | 8yrs | US$156.00k | 0.10% $ 480.5k | |
| Independent Director | 9.5yrs | US$158.50k | 0.079% $ 380.9k | |
| Independent Chairman of the Board | 6.08yrs | US$185.00k | 0.18% $ 888.8k | |
| Member of Advisory Board | 16yrs | no data | no data | |
| Member of Advisory Board | 16yrs | no data | no data | |
| Member of Advisory Board | 16yrs | no data | no data | |
| Independent Director | 1.92yrs | no data | no data | |
| Independent Director | 10.75yrs | US$165.00k | 0.13% $ 650.0k | |
| Independent Director | 0.83yr | no data | 0.055% $ 263.7k | |
| Independent Director | 1.92yrs | no data | no data |
8.0yrs
Average Tenure
61yo
Average Age
Experienced Board: ZIXI's board of directors are considered experienced (8 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 2.3%.
Top Shareholders
Company Information
Zix Corporation's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Zix Corporation
- Ticker: ZIXI
- Exchange: NasdaqGS
- Founded: 1988
- Industry: Application Software
- Sector: Software
- Market Cap: US$482.916m
- Shares outstanding: 54.97m
- Website: https://www.zix.com
Number of Employees
Location
- Zix Corporation
- 2711 North Haskell Avenue
- Suite 2200
- Dallas
- Texas
- 75204-2960
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| ZIXI | NasdaqGS (Nasdaq Global Select) | Yes | Common Stock | US | USD | Nov 1989 |
| CMY | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Nov 1989 |
Biography
Zix Corporation provides email encryption, data loss prevention (DLP), threat protection, and archiving for the secure exchange of email in the United States. The company offers Advanced Email Threat Prote...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/01/15 23:40 |
| End of Day Share Price | 2021/01/15 00:00 |
| Earnings | 2020/09/30 |
| Annual Earnings | 2019/12/31 |
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.