EVERTEC
Market Cap
US$2.9b
Last Updated
2021/04/16 22:52 UTC
Data Sources
Company Financials +
Executive Summary
EVERTEC, Inc. engages in transaction processing business in Latin America and the Caribbean. More Details
Rewards
Risk Analysis
Snowflake Analysis
Adequate balance sheet with questionable track record.
Similar Companies
Share Price & News
How has EVERTEC's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: EVTC is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: EVTC's weekly volatility (4%) has been stable over the past year.
Market Performance
7 Day Return
3.0%
EVTC
1.0%
US IT
1.3%
US Market
1 Year Return
70.3%
EVTC
58.8%
US IT
53.9%
US Market
Return vs Industry: EVTC exceeded the US IT industry which returned 58.8% over the past year.
Return vs Market: EVTC exceeded the US Market which returned 53.9% over the past year.
Shareholder returns
| EVTC | Industry | Market | |
|---|---|---|---|
| 7 Day | 3.0% | 1.0% | 1.3% |
| 30 Day | 4.3% | 3.3% | 3.3% |
| 90 Day | 6.1% | 10.5% | 8.9% |
| 1 Year | 71.4%70.3% | 60.3%58.8% | 56.6%53.9% |
| 3 Year | 133.8%129.5% | 108.3%100.8% | 64.4%53.6% |
| 5 Year | 205.0%188.3% | 211.5%190.4% | 120.4%95.7% |
Long-Term Price Volatility Vs. Market
How volatile is EVERTEC's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Estimating The Fair Value Of EVERTEC, Inc. (NYSE:EVTC)3 weeks ago | Simply Wall St
Trade Alert: The Executive VP and Chief Product & Innovation Officer Of EVERTEC, Inc. (NYSE:EVTC), Guillermo Rospigliosi, Has Sold Some Shares Recently1 month ago | Simply Wall St
EVERTEC (NYSE:EVTC) Seems To Use Debt Quite SensiblyValuation
Is EVERTEC undervalued compared to its fair value and its price relative to the market?
28.07x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: EVTC ($40.74) is trading above our estimate of fair value ($37.85)
Significantly Below Fair Value: EVTC is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: EVTC is good value based on its PE Ratio (28.1x) compared to the US IT industry average (39.7x).
PE vs Market: EVTC is poor value based on its PE Ratio (28.1x) compared to the US market (22.5x).
Price to Earnings Growth Ratio
PEG Ratio: EVTC is poor value based on its PEG Ratio (2.2x)
Price to Book Ratio
PB vs Industry: EVTC is overvalued based on its PB Ratio (8.6x) compared to the US IT industry average (5.3x).
Future Growth
How is EVERTEC forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?
12.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: EVTC's forecast earnings growth (12.5% per year) is above the savings rate (2%).
Earnings vs Market: EVTC's earnings (12.5% per year) are forecast to grow slower than the US market (18.1% per year).
High Growth Earnings: EVTC's earnings are forecast to grow, but not significantly.
Revenue vs Market: EVTC's revenue (5.5% per year) is forecast to grow slower than the US market (9.3% per year).
High Growth Revenue: EVTC's revenue (5.5% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: EVTC's Return on Equity is forecast to be high in 3 years time (21.3%)
Past Performance
How has EVERTEC performed over the past 5 years?
5.8%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: EVTC has high quality earnings.
Growing Profit Margin: EVTC's current net profit margins (20.5%) are lower than last year (21.2%).
Past Earnings Growth Analysis
Earnings Trend: EVTC's earnings have grown by 5.8% per year over the past 5 years.
Accelerating Growth: EVTC's earnings growth over the past year (1%) is below its 5-year average (5.8% per year).
Earnings vs Industry: EVTC earnings growth over the past year (1%) underperformed the IT industry 8.4%.
Return on Equity
High ROE: Whilst EVTC's Return on Equity (30.62%) is high, this metric is skewed due to their high level of debt.
Financial Health
How is EVERTEC's financial position?
Financial Position Analysis
Short Term Liabilities: EVTC's short term assets ($359.0M) exceed its short term liabilities ($153.0M).
Long Term Liabilities: EVTC's short term assets ($359.0M) do not cover its long term liabilities ($577.2M).
Debt to Equity History and Analysis
Debt Level: EVTC's debt to equity ratio (152.1%) is considered high.
Reducing Debt: EVTC's debt to equity ratio has reduced from 669.8% to 152.1% over the past 5 years.
Debt Coverage: EVTC's debt is well covered by operating cash flow (38.2%).
Interest Coverage: EVTC's interest payments on its debt are well covered by EBIT (6x coverage).
Balance Sheet
Dividend
What is EVERTEC current dividend yield, its reliability and sustainability?
0.49%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: EVTC's dividend (0.49%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.24%).
High Dividend: EVTC's dividend (0.49%) is low compared to the top 25% of dividend payers in the US market (3.46%).
Stability and Growth of Payments
Stable Dividend: EVTC is not paying a notable dividend for the US market, therefore no need to check if payments are stable.
Growing Dividend: EVTC is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.
Current Payout to Shareholders
Dividend Coverage: EVTC is not paying a notable dividend for the US market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of EVTC'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?
3.3yrs
Average management tenure
CEO
Mac Schuessler (47 yo)
6yrs
Tenure
US$4,552,043
Compensation
Mr. Morgan M. Schuessler, Jr., also known as Mac, has been the Chief Executive Officer and President at EVERTEC, Inc. since April 2015. Mr. Schuessler has over 20 years of payment industry experience. He s...
CEO Compensation Analysis
Compensation vs Market: Mac's total compensation ($USD4.55M) is about average for companies of similar size in the US market ($USD5.13M).
Compensation vs Earnings: Mac's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: EVTC's management team is considered experienced (3.3 years average tenure).
Board Members
Experienced Board: EVTC's board of directors are considered experienced (6.3 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: EVTC insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
EVERTEC, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: EVERTEC, Inc.
- Ticker: EVTC
- Exchange: NYSE
- Founded: 1988
- Industry: Data Processing and Outsourced Services
- Sector: Software
- Market Cap: US$2.931b
- Shares outstanding: 71.08m
- Website: https://www.evertecinc.com
Number of Employees
Location
- EVERTEC, Inc.
- Cupey Center Building
- Road 176
- San Juan
- Puerto Rico
- 926
- United States
Listings
Biography
EVERTEC, Inc. engages in transaction processing business in Latin America and the Caribbean. The company operates through four segments: Payment Services - Puerto Rico & Caribbean; Payment Services - Latin...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/04/16 22:52 |
| End of Day Share Price | 2021/04/16 00:00 |
| Earnings | 2020/12/31 |
| Annual Earnings | 2020/12/31 |
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.