NYSE:EGHT

Stock Analysis Report

Executive Summary

8x8, Inc. provides enterprise cloud communications and customer engagement solutions for small and mid-size businesses, mid-market, and distributed enterprises worldwide.

Snowflake

Fundamentals

Adequate balance sheet with limited growth.


Similar Companies

Share Price & News

How has 8x8's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

1.2%

NYSE:EGHT

0.6%

US Software

1.1%

US Market


1 Year Return

4.7%

NYSE:EGHT

13.0%

US Software

2.1%

US Market

EGHT underperformed the Software industry which returned 11.8% over the past year.

EGHT outperformed the Market in United States of America which returned 2% over the past year.


Share holder returns

EGHTIndustryMarket
7 Day1.2%0.6%1.1%
30 Day-7.8%0.3%3.7%
90 Day-8.0%-0.9%2.3%
1 Year4.7%4.7%14.6%13.0%4.4%2.1%
3 Year52.1%52.1%118.5%109.9%47.0%37.4%
5 Year227.8%227.8%162.4%143.0%61.6%43.8%

Price Volatility Vs. Market

How volatile is 8x8's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is 8x8 undervalued based on future cash flows and its price relative to the stock market?

9.6x

Price to Book (PB) ratio


Intrinsic Value Based on Future Cash Flows

Unable to calculate intrinsic value for 8x8 to establish if it is available at moderate discount.

Unable to calculate intrinsic value for 8x8 to establish if it is available at substantial discount.


Price Based on Earnings

8x8 is loss making, we can't compare its value to the US Software industry average.

8x8 is loss making, we can't compare the value of its earnings to the United States of America market.


Price Based on Expected Growth

Unable to calculate PEG ratio for 8x8, we can't assess if its growth is good value.


Price Based on Value of Assets

8x8 is overvalued based on assets compared to the US Software industry average.


Next Steps

Future Growth

How is 8x8 expected to perform in the next 1 to 3 years based on estimates from 14 analysts?

25.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

8x8's revenue is expected to grow significantly at over 20% yearly.

8x8 is not considered high growth as it is expected to be loss making for the next 1-3 years.

8x8's revenue growth is expected to exceed the United States of America market average.

Unable to compare 8x8's earnings growth to the United States of America market average as it is expected to be loss making during the next 1-3 years.

Unable to compare 8x8's earnings growth to the low risk savings rate as it is expected to be loss making during the next 1-3 years.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if 8x8 will efficiently use shareholders’ funds in the future (Return on Equity greater than 20%) as it is not expected to be profitable.


Next Steps

Past Performance

How has 8x8 performed over the past 5 years?

-71.4%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

8x8 does not make a profit and their year on year earnings growth rate was negative over the past 5 years.

Unable to compare 8x8's 1-year earnings growth to the 5-year average as it is not currently profitable.

Unable to compare 8x8's 1-year growth to the US Software industry average as it is not currently profitable.


Return on Equity

It is difficult to establish if 8x8 has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.


Return on Assets

It is difficult to establish if 8x8 has efficiently used its assets last year compared to the US Software industry average (Return on Assets) as it is loss-making.


Return on Capital Employed

It is difficult to establish if 8x8 improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.


Next Steps

Financial Health

How is 8x8's financial position?


Financial Position Analysis

8x8 is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

8x8's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

8x8's level of debt (95.2%) compared to net worth is high (greater than 40%).

Unable to establish if 8x8's debt level has increased without past 5-year debt data.


Balance Sheet

Low level of unsold assets.

Debt is covered by short term assets, assets are 1.6x debt.


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.

8x8 has sufficient cash runway for more than 3 years based on current free cash flow.

8x8 has sufficient cash runway for more than 3 years if free cash flow continues to grow at historical rates of 126.6% each year.


Next Steps

Dividend

What is 8x8's current dividend yield, its reliability and sustainability?


Dividend Yield and Payments Analysis

Unable to evaluate 8x8's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate 8x8's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as 8x8 has not reported any payouts.

Unable to verify if 8x8's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as 8x8 has not reported any payouts.


Future Payout to Shareholders

No need to calculate the sustainability of 8x8's dividends in 3 years as they are not expected to pay a notable one for United States of America.


Next Steps

Management

What is the CEO of 8x8's salary, the management and board of directors tenure and is there insider trading?

1.8yrs

Average management tenure


CEO

Vik Verma (54yo)

6yrs

Tenure

US$5,088,656

Compensation

Mr. Vikram Verma, also known as Vik, has been a Director at Cambium Networks Corporation since January 2019. He has been the Chief Executive Officer of 8x8 Inc. since September 9, 2013. Mr. Verma was the P ...


CEO Compensation Analysis

Vik's remuneration is about average for companies of similar size in United States of America.

Vik's compensation has increased whilst company is loss making.


Management Age and Tenure

1.8yrs

Average Tenure

51.5yo

Average Age

The average tenure for the 8x8 management team is less than 2 years, this suggests a new team.


Board Age and Tenure

3.2yrs

Average Tenure

52yo

Average Age

The tenure for the 8x8 board of directors is about average.


Insider Trading

More shares have been bought than sold by 8x8 individual insiders in the past 3 months.


Recent Insider Transactions

BuyUS$73,40503 Sep 19
Vikram Verma
EntityIndividual
Role
Chief Executive Officer
CEO & Director
Shares3,060
Max PriceUS$23.99
SellUS$13,59019 Aug 19
Dejan Deklich
EntityIndividual
Role
Senior Key Executive
Chief Product Officer
Shares548
Max PriceUS$24.80
BuyUS$98,87205 Aug 19
Vikram Verma
EntityIndividual
Role
Chief Executive Officer
CEO & Director
Shares4,200
Max PriceUS$23.54
BuyUS$97,94501 Nov 18
Vikram Verma
EntityIndividual
Role
Chief Executive Officer
CEO & Director
Shares5,730
Max PriceUS$17.09

Ownership Breakdown


Management Team

  • Mary Ellen Genovese (59yo)

    Managing Director of European Operations

    • Tenure: 0.9yrs
    • Compensation: US$444.21k
  • Bryan Martin (51yo)

    Executive Chairman & CTO

    • Tenure: 15.8yrs
    • Compensation: US$796.78k
  • Vik Verma (54yo)

    CEO & Director

    • Tenure: 6yrs
    • Compensation: US$5.09m
  • Matt Zinn (54yo)

    Senior VP

    • Tenure: 1yrs
    • Compensation: US$1.68m
  • Steven Gatoff (52yo)

    CFO & Principal Accounting Officer

    • Tenure: 0.8yrs
    • Compensation: US$3.18m
  • Darren Hakeman (49yo)

    Senior Vice President of Strategy

    • Tenure: 2yrs
    • Compensation: US$875.22k
  • Dejan Deklich (44yo)

    Chief Product Officer

    • Tenure: 2.6yrs
    • Compensation: US$2.00m
  • Amelia Generalis (48yo)

    Senior Vice President of Human Resources & Workplaces

    • Tenure: 1.7yrs
  • Joan Citelli

    Investor Relations Contact

    • Tenure: 0yrs
  • Victoria Hyde-Dunn

    Investor Relations

    • Tenure: 0yrs

Board Members

  • Vladimir Jacimovic (55yo)

    Director

    • Tenure: 5.5yrs
    • Compensation: US$215.01k
  • Bryan Martin (51yo)

    Executive Chairman & CTO

    • Tenure: 15.8yrs
    • Compensation: US$796.78k
  • Vik Verma (54yo)

    CEO & Director

    • Tenure: 6yrs
    • Compensation: US$5.09m
  • Todd Ford (52yo)

    Independent Director

    • Tenure: 0.7yrs
  • Eric Salzman (52yo)

    Director

    • Tenure: 7.6yrs
    • Compensation: US$247.51k
  • JP Singh (53yo)

    Lead Independent Director

    • Tenure: 0.3yrs
    • Compensation: US$222.01k
  • Monique Bonner (48yo)

    Independent Director

    • Tenure: 0.9yrs
    • Compensation: US$263.73k
  • Elizabeth Theophille (52yo)

    Independent Director

    • Tenure: 0.3yrs

Company Information

8x8, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: 8x8, Inc.
  • Ticker: EGHT
  • Exchange: NYSE
  • Founded: 1987
  • Industry: Application Software
  • Sector: Software
  • Market Cap: US$2.272b
  • Shares outstanding: 99.29m
  • Website: https://www.8x8.com

Number of Employees


Location

  • 8x8, Inc.
  • 2125 O'Nel Drive
  • San Jose
  • California
  • 95131
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
EGHTNYSE (New York Stock Exchange)YesCommon StockUSUSDJul 1997
EGTDB (Deutsche Boerse AG)YesCommon StockDEEURJul 1997
0IFSLSE (London Stock Exchange)YesCommon StockGBUSDJul 1997

Biography

8x8, Inc. provides enterprise cloud communications and customer engagement solutions for small and mid-size businesses, mid-market, and distributed enterprises worldwide. It offers unified communications,  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/16 23:34
End of Day Share Price2019/09/16 00:00
Earnings2019/06/30
Annual Earnings2019/03/31


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.