Model N
Model N, Inc. provides revenue management cloud solutions for the life sciences and technology companies. The last earnings update was 70 days ago. More info.
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MODN Share Price and Events
7 Day Returns
1 Year Returns
MODN Shareholder Return
| 7 Day | 30 Day | 90 Day | 1 Year | 3 Year | 5 Year | |
|---|---|---|---|---|---|---|
| Model N (MODN) | 4.2% | 5.7% | 21.1% | 1.4% | 65.7% | 87.5% |
| US Software | 1.4% | 3.3% | 16.5% | 28% | 108.8% | 149.3% |
| US Market | 0.4% | 2.6% | 11% | 6.8% | 38.1% | 45.7% |
1 Year Return vs Industry and Market
- MODN underperformed the Software industry which returned 28% over the past year.
- MODN underperformed the Market in United States of America which returned 6.8% over the past year.
MODN Value
Is Model N undervalued based on future cash flows and its price relative to the stock market?
Value is all about what a company is worth versus what price it is
available for. If you went into a grocery store and all the bananas were on sale
at half price, they could be considered
undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current
share
price of
Model N
to its discounted cash flow analysis.value.The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Below are the data sources, inputs and calculation used to determine the intrinsic value for Model N.
| Data Point | Source | Value |
|---|---|---|
| Valuation Model | 2 Stage Free Cash Flow to Equity | |
| Levered Free Cash Flow | Average of 8 Analyst Estimates (S&P Global) | See below |
| Discount Rate (Cost of Equity) | See below | 9.6% |
| Perpetual Growth Rate | 10-Year US Government Bond Rate | 2.7% |
An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.
| Data Point | Calculation/ Source | Result |
|---|---|---|
| Risk-Free Rate | 10-Year US Govt Bond Rate | 2.7% |
| Equity Risk Premium | S&P Global | 6% |
| Software Unlevered Beta | Simply Wall St/ S&P Global | 1.14 |
| Re-levered Beta | = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.14 (1 + (1- 21%) (9.51%)) |
1.152 |
| Levered Beta | Levered Beta limited to 0.8 to 2.0 (practical range for a stable firm) |
1.15 |
| Discount Rate/ Cost of Equity |
= Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.152 * 5.96%) |
9.59% |
Discounted Cash Flow Calculation for NYSE:MODN using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for Model N is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.
| Levered FCF (USD, Millions) | Source |
Present Value Discounted (@ 9.59%) |
|
|---|---|---|---|
| 2019 | 9.53 | Analyst x4 | 8.70 |
| 2020 | 14.83 | Analyst x4 | 12.35 |
| 2021 | 18.35 | Analyst x2 | 13.94 |
| 2022 | 21.22 | Est @ 15.66% | 14.71 |
| 2023 | 23.72 | Est @ 11.78% | 15.00 |
| 2024 | 25.87 | Est @ 9.06% | 14.93 |
| 2025 | 27.72 | Est @ 7.16% | 14.60 |
| 2026 | 29.34 | Est @ 5.83% | 14.10 |
| 2027 | 30.78 | Est @ 4.9% | 13.50 |
| 2028 | 32.09 | Est @ 4.25% | 12.84 |
| Present value of next 10 years cash flows | $134.67 | ||
| Calculation | Result | |
|---|---|---|
| Terminal Value |
= FCF2028
× (1 + g) ÷ (Discount Rate – g)
= $32.09 × (1 + 2.73%) ÷ (9.59% – 2.73%) |
$480.30 |
| Present Value of Terminal Value |
= Terminal Value ÷ (1 + r)10
= $480.30 ÷ (1 + 9.59%)10 |
$192.17 |
| Calculation | Result | |
|---|---|---|
| Total Equity Value |
= Present value of next 10 years cash flows +
Terminal Value
= $134.67 + $192.17 |
$326.83 |
| Equity Value per Share (USD) |
= Total value / Shares Outstanding
= $326.83 / 31.54 |
$10.36 |
| Calculation | Result | |
|---|---|---|
| Value per share (USD) | From above. | $10.36 |
| Current discount | Discount to share price of
$17.85
= -1 x ($17.85 - $10.36) / $10.36 |
-72.3% |
Learn more about our DCF calculations in Simply Wall St’s analysis model .
- The current share price of Model N is above its future cash flow value.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.The amount the stock market is willing to pay for Model N's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are
Model N's earnings available for a low price, and how does
this compare to other companies in the same industry?
| Data Point | Source | Value |
|---|---|---|
| Earnings Per Share * | Company Filings (2018-12-31) in USD | $-0.90 |
| NYSE:MODN Share Price ** | NYSE (2019-04-16) in USD | $17.85 |
| United States of America Software Industry PE Ratio | Median Figure of 82 Publicly-Listed Software Companies | 55.79x |
| United States of America Market PE Ratio | Median Figure of 3,072 Publicly-Listed Companies | 18.08x |
* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.
** Primary Listing of Model N.
| Calculation | Outcome | |
|---|---|---|
| PE Ratio | = NYSE:MODN Share Price ÷ EPS (both in USD) = 17.85 ÷ -0.90 |
-19.92x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Model N is loss making, we can't compare its value to the US Software industry average.
- Model N is loss making, we can't compare the value of its earnings to the United States of America market.
Price based on expected Growth
Does
Model N's expected growth come at a high price?
| Data Point | Source | Value |
|---|---|---|
| PE Ratio | See PE Ratio Section | -19.92x |
| Net Income Annual Growth Rate | See Future Growth Section. Line of Best Fit* through Consensus Estimate Earnings of 8 Analysts |
18.7%per year |
| United States of America Software Industry PEG Ratio | Median Figure of 66 Publicly-Listed Software Companies | 3.4x |
| United States of America Market PEG Ratio | Median Figure of 2,107 Publicly-Listed Companies | 1.56x |
*Line of best fit is calculated by linear regression .
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Unable to calculate PEG ratio for Model N, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on
Model N's
assets?
| Data Point | Source | Value |
|---|---|---|
| Book Value per Share | Company Filings (2018-12-31) in USD | $1.59 |
| NYSE:MODN Share Price * | NYSE (2019-04-16) in USD | $17.85 |
| United States of America Software Industry PB Ratio | Median Figure of 220 Publicly-Listed Software Companies | 5.78x |
| United States of America Market PB Ratio | Median Figure of 5,176 Publicly-Listed Companies | 1.91x |
| Calculation | Outcome | |
|---|---|---|
| PB Ratio | = NYSE:MODN Share Price ÷ Book Value per Share (both in USD) = 17.85 ÷ 1.59 |
11.23x |
* Primary Listing of Model N.
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Model N is overvalued based on assets compared to the US Software industry average.
Value checks
We assess Model N's value by looking at:- Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
- Is the PE ratio less than the market average, and/ or less than the Software industry average (and greater than 0)? (2 checks)
- Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
- Is the PB ratio less than the Software industry average (and greater than 0)? (1 check) Model N has a total score of 0/6, see the detailed checks below.
Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.
Full details on the Value part of the Simply Wall St company analysis model.
MODN Future Performance
How is Model N expected to perform in the next 1 to 3 years based on estimates from 8 analysts?
The future performance of a company is measured in the same way as past
performance, by looking at estimated
growth
and how much profit it is expected to make.Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Earnings growth vs Low Risk Savings
- Unable to compare Model N's earnings growth to the low risk savings rate as it is expected to be loss making during the next 1-3 years.
Growth vs Market Checks
- Unable to compare Model N'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.
- Model N's revenue growth is expected to exceed the United States of America market average.
Annual Growth Rates Comparison
| Data Point | Source | Value (per year) |
|---|---|---|
| NYSE:MODN Future Earnings Growth Rate | Line of Best Fit* through Consensus Estimate Earnings of 8 Analysts | 18.7% |
| NYSE:MODN Future Revenue Growth Rate | Line of Best Fit* through Consensus Estimate Revenue of 8 Analysts | 8.6% |
| United States of America Software Industry Earnings Growth Rate | Market Cap Weighted Average | 15.9% |
| United States of America Software Industry Revenue Growth Rate | Market Cap Weighted Average | 10.9% |
| United States of America Market Earnings Growth Rate | Market Cap Weighted Average | 13.3% |
| United States of America Market Revenue Growth Rate | Market Cap Weighted Average | 7% |
*Line of best fit is calculated by linear regression .
Industry and Market average data is calculated daily.
Learn more about our growth rate calculations in Simply Wall St’s analysis model.
Analysts growth expectations
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (3 months ago) | See Below |
| Future Estimates | Average of up to 8 Analyst Estimates (S&P Global) | See Below |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * | Avg. No. Analysts |
|---|---|---|---|---|
| 2021-09-30 | 173 | 20 | -13 | 3 |
| 2020-09-30 | 156 | 15 | -15 | 8 |
| 2019-09-30 | 141 | 10 | -17 | 8 |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * |
|---|---|---|---|
| 2018-12-31 | 151 | 8 | -28 |
| 2018-09-30 | 155 | 3 | -28 |
| 2018-06-30 | 154 | 4 | -34 |
| 2018-03-31 | 148 | -3 | -29 |
| 2017-12-31 | 142 | -13 | -37 |
| 2017-09-30 | 131 | -12 | -40 |
| 2017-06-30 | 124 | -21 | -38 |
| 2017-03-31 | 118 | -18 | -36 |
| 2016-12-31 | 111 | -13 | -33 |
| 2016-09-30 | 107 | -12 | -33 |
| 2016-06-30 | 104 | -11 | -30 |
| 2016-03-31 | 100 | -10 | -27 |
*GAAP earnings excluding extraordinary items.
Past and Future Earnings per Share
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (3 months ago) | See Below |
| Future Estimates | Average of up to 8 Analyst Estimates (S&P Global) | See Below |
All data from Model N Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | EPS * | EPS High Estimate | EPS Low Estimate | Avg. No. Analysts |
|---|---|---|---|---|
| 2021-09-30 | -0.37 | -0.35 | -0.39 | 2.00 |
| 2020-09-30 | -0.46 | -0.29 | -0.60 | 6.00 |
| 2019-09-30 | -0.53 | -0.37 | -0.63 | 7.00 |
| Date (Data in USD Millions) | EPS * |
|---|---|
| 2018-12-31 | -0.90 |
| 2018-09-30 | -0.93 |
| 2018-06-30 | -1.13 |
| 2018-03-31 | -0.97 |
| 2017-12-31 | -1.28 |
| 2017-09-30 | -1.38 |
| 2017-06-30 | -1.35 |
| 2017-03-31 | -1.30 |
| 2016-12-31 | -1.19 |
| 2016-09-30 | -1.21 |
| 2016-06-30 | -1.12 |
| 2016-03-31 | -1.03 |
*GAAP earnings excluding extraordinary items.
Performance in 3 years
In the same way as past performance we look at the future estimated return
(profit) compared to the available
funds. We do this looking forward 3 years.
- Unable to establish if Model N will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
Future performance checks
We assess Model N's future performance by looking at:- Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
- Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
- Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
- Is the annual earnings growth rate expected to be above 20%? (1 check)
- Is the annual revenue growth rate expected to be above 20%? (1 check)
- Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Model N has a total score of 1/6, see the detailed checks below.
Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.
Full details on the Future part of the Simply Wall St company analysis model.
MODN Past Performance
How has Model N performed over the past 5 years?
The past performance of a company can be measured by how much
growth
it has experienced and how much profit it makes relative to the funds and assets
it has available.
Past earnings growth
Past Earnings growth analysis
- Model N does not make a profit and their year on year earnings growth rate was negative over the past 5 years.
- Unable to compare Model N's 1-year earnings growth to the 5-year average as it is not currently profitable.
- Unable to compare Model N's 1-year growth to the US Software industry average as it is not currently profitable.
Earnings and Revenue History
All data from Model N Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | Revenue | Net Income * | G+A Expenses | R&D Expenses |
|---|---|---|---|---|
| 2018-12-31 | 150.64 | -27.68 | 74.65 | 30.76 |
| 2018-09-30 | 154.63 | -28.21 | 77.66 | 32.42 |
| 2018-06-30 | 153.52 | -33.61 | 77.33 | 32.62 |
| 2018-03-31 | 148.15 | -28.61 | 69.79 | 33.27 |
| 2017-12-31 | 142.17 | -37.20 | 76.72 | 34.16 |
| 2017-09-30 | 131.17 | -39.55 | 75.42 | 31.06 |
| 2017-06-30 | 124.07 | -38.28 | 74.57 | 29.36 |
| 2017-03-31 | 117.75 | -36.49 | 71.82 | 27.16 |
| 2016-12-31 | 110.55 | -32.91 | 63.80 | 24.40 |
| 2016-09-30 | 106.97 | -33.11 | 62.01 | 23.71 |
| 2016-06-30 | 103.84 | -30.31 | 59.31 | 22.38 |
| 2016-03-31 | 99.54 | -27.45 | 56.29 | 20.63 |
| 2015-12-31 | 96.15 | -23.14 | 53.94 | 18.74 |
| 2015-09-30 | 93.77 | -19.64 | 52.15 | 17.91 |
| 2015-06-30 | 88.67 | -20.61 | 51.16 | 17.53 |
| 2015-03-31 | 84.32 | -21.62 | 50.16 | 17.90 |
| 2014-12-31 | 82.30 | -22.06 | 48.31 | 18.30 |
| 2014-09-30 | 81.76 | -20.88 | 45.67 | 18.71 |
| 2014-06-30 | 89.24 | -14.21 | 42.14 | 18.47 |
| 2014-03-31 | 97.21 | -5.87 | 39.21 | 17.72 |
| 2013-12-31 | 101.12 | -2.74 | 37.69 | 17.52 |
| 2013-09-30 | 101.90 | -0.93 | 37.21 | 16.77 |
| 2013-06-30 | 97.34 | -1.30 | 35.28 | 16.88 |
| 2013-03-31 | 92.86 | -4.07 | 34.11 | 17.31 |
| 2012-12-31 | 88.54 | -6.33 | 33.06 | 17.64 |
| 2012-09-30 | 84.26 | -5.69 | 30.22 | 17.70 |
*GAAP earnings excluding extraordinary items.
Performance last year
We want to ensure a company is making the most of what it has available. This is
done by comparing the return (profit) to a company's available
funds,
assets
and
capital.
- It is difficult to establish if Model N has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
- It is difficult to establish if Model N has efficiently used its assets last year compared to the US Software industry average (Return on Assets) as it is loss-making.
- It is difficult to establish if Model N improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
Past performance checks
We assess Model N's performance over the past 5 years by checking for:- Has earnings increased in past 5 years? (1 check)
- Has the earnings growth in the last year exceeded that of the Software industry? (1 check)
- Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
- Is the Return on Equity (ROE) higher than 20%? (1 check)
- Is the Return on Assets (ROA) above industry average? (1 check)
- Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
Model N has a total score of 0/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
Full details on the Past part of the Simply Wall St company analysis model.
MODN Health
How is Model N's financial health and their level of debt?
A company's financial position is much like your own financial position,
it includes everything you own
(assets)
and owe
(liabilities).The boxes below represent the relative size of what makes up Model N's finances.
The net worth of a company is the difference between its assets and liabilities.
- Model N is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
- Model N's cash and other short term assets cover its long term commitments.
Balance sheet
Assets
Liabilities and shares
- Low level of unsold assets.
- Debt is covered by short term assets, assets are 1.6x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t
bad,
however if the debt is too high, or the company can’t afford to pay the interest
on its debts this may have impacts in the future.The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.
If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
All data from Model N Company Filings, last reported 3 months ago.
| Date (Data in USD Millions) | Total Equity | Total Debt | Cash & Short Term Investments |
|---|---|---|---|
| 2018-12-31 | 50.12 | 53.57 | 52.18 |
| 2018-09-30 | 40.03 | 53.70 | 56.70 |
| 2018-06-30 | 38.62 | 58.84 | 57.65 |
| 2018-03-31 | 42.18 | 57.68 | 55.23 |
| 2017-12-31 | 40.70 | 57.44 | 48.32 |
| 2017-09-30 | 41.26 | 57.21 | 57.56 |
| 2017-06-30 | 45.17 | 57.03 | 51.83 |
| 2017-03-31 | 52.16 | 56.77 | 53.68 |
| 2016-12-31 | 60.40 | 0.00 | 52.45 |
| 2016-09-30 | 66.20 | 0.00 | 66.15 |
| 2016-06-30 | 68.41 | 0.00 | 70.13 |
| 2016-03-31 | 73.03 | 0.00 | 70.00 |
| 2015-12-31 | 77.92 | 0.00 | 70.35 |
| 2015-09-30 | 83.06 | 0.00 | 91.02 |
| 2015-06-30 | 84.03 | 0.00 | 93.81 |
| 2015-03-31 | 86.49 | 0.00 | 93.16 |
| 2014-12-31 | 87.19 | 0.00 | 96.41 |
| 2014-09-30 | 88.96 | 0.00 | 101.01 |
| 2014-06-30 | 91.24 | 0.03 | 103.17 |
| 2014-03-31 | 95.16 | 0.10 | 101.72 |
| 2013-12-31 | 93.94 | 0.19 | 102.79 |
| 2013-09-30 | 93.62 | 0.32 | 103.35 |
| 2013-06-30 | 91.21 | 0.46 | 105.14 |
| 2013-03-31 | 87.56 | 4.50 | 109.09 |
| 2012-12-31 | -10.39 | 5.28 | 12.70 |
| 2012-09-30 | -10.49 | 6.03 | 15.77 |
- Model N's level of debt (106.9%) compared to net worth is high (greater than 40%).
- The level of debt compared to net worth has increased over the past 5 years (0.2% vs 106.9% today).
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.
- Whilst loss making Model N has sufficient cash runway for more than 3 years if it maintains the current positive free cash flow level.
- Whilst loss making Model N has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by -60.9% per year.
Financial health checks
We assess Model N's financial health by checking for:- Are short term assets greater than short term liabilities? (1 check)
- Are short term assets greater than long term liabilities? (1 check)
- Has the debt to equity ratio increased in the past 5 years? (1 check)
- Is the debt to equity ratio over 40%? (1 check)
- Is the debt covered by operating cash flow? (1 check)
- Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check) Model N has a total score of 4/6, see the detailed checks below.
- Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
- Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
Full details on the Health part of the Simply Wall St company analysis model.
MODN Dividends
What is Model N's current dividend yield, its reliability and sustainability?
Dividends are regular cash payments to you from the company, similar to a
bank paying you interest on a savings account.
Annual Dividend Income
If you bought
$2,000 of
Model N
shares you are expected to receive
$0
in your first year as a dividend.
Dividend Amount
- Unable to evaluate Model N's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
- Unable to evaluate Model N's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not
wildly increasing/decreasing each year. This graph shows you the historical rate
to count toward your assessment of the stock.We also check to see if the dividend has increased in the past 10 years.
| Data Point | Source | Value |
|---|---|---|
| Past Annualized Dividend Yield | S&P Global Market Data | See Below |
| Past Dividends per Share | Company Filings/ Annualized Dividend Payments | See Below |
| Future Dividends per Share Estimates | Average of up to 8 Analyst Estimates (S&P Global) | See Below |
| United States of America Software Industry Average Dividend Yield | Market Cap Weighted Average of 23 Stocks | 1.5% |
| United States of America Market Average Dividend Yield | Market Cap Weighted Average of 2008 Stocks | 2.4% |
| United States of America Minimum Threshold Dividend Yield | 10th Percentile | 0.8% |
| United States of America Bottom 25% Dividend Yield | 25th Percentile | 1.4% |
| United States of America Top 25% Dividend Yield | 75th Percentile | 3.6% |
Industry and Market average data is calculated daily.
Note all dividend per share amounts are annualized and not quarterly or other period.
| Date (Data in $) | Dividend per Share (annual) | Avg. No. Analysts |
|---|---|---|
| 2021-09-30 | ||
| 2020-09-30 | ||
| 2019-09-30 |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Unable to perform a dividend volatility check as Model N has not reported any payouts.
- Unable to verify if Model N's dividend has been increasing as the company has not reported any payouts.
Income/ dividend checks
We assess Model N's dividend by checking for:- Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
- Is current dividend yield above the bottom 25% of dividend payers? (1 check)
- Is current dividend yield above the top 25% of dividend payers? (1 check)
- Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
- If they have paid a dividend for 10 years has it increased in this time? (1 check)
- How sustainable is the dividend, can Model N afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks) Model N has a total score of 0/6, see the detailed checks below.
Full details on the Dividends part of the Simply Wall St company analysis model.
MODN Management
CEO
| COMPENSATION | $5,934,041 |
| AGE | 46 |
| TENURE AS CEO | 0.9 years |
CEO Bio
Mr. Jason Blessing serves as Chief Executive Officer and Director of Model N, Inc. since effective May 10, 2018. Mr. Blessing served as Senior Vice President of product development at Oracle and oversees the product strategy and development of its cloud-based talent management applications. Mr. Blessing served as the Chief Executive Officer of Plex Systems, Inc. since January 2013 until December 2017. Mr. Blessing served as an Executive Vice President, Products and Technology at Taleo Corp. Mr. Blessing served as Senior Vice President - Products and Technology of Taleo Corp. since July, 2010. Mr. Blessing served as Group Vice President and General Manager for Small and Medium Business (SMB) Business Unit of Taleo Corp. since April 30, 2007. Mr. Blessing held a number of executive positions at Taleo, an HR cloud company, as well as several executive positions at PeopleSoft after starting his career with PricewaterhouseCoopers LLP’s management consulting practice. Mr. Blessing was responsible for strategy, sales, marketing, services, support and product development for all solutions targeted at the SMB market including the Taleo Business Edition(TM) and Taleo Hourly Express(TM) product lines. Prior to Taleo, Mr. Blessing served as a Regional Vice President in the small and medium business unit of Oracle Consulting with management responsibility for a number of US and Canadian regions. In this capacity, he was responsible for managing the direct and indirect sales force as well as client delivery and satisfaction. He served as a Director at Plex Systems, Inc. until October 9, 2017. Mr. Blessing should serve as a Director based on his position as Chief Executive Officer of Model N, Inc. and his understanding of the software industry. He has a deep technical background and understanding of product development and product lifecycles through more than a decade of experience in consulting at both PeopleSoft and Price Waterhouse. His services experience includes participation in a number of large ERP system rollouts and management responsibility for global software implementations. He has been a Member of Advisory Board at Bunchball Inc. since October 2012. Mr. Blessing holds a B.A. from the University of Michigan.
CEO Compensation
- Insufficient data for Jason to compare compensation growth.
- Jason's remuneration is higher than average for companies of similar size in United States of America.
Management Team Tenure
Average tenure and age of the Model N management team in years:
- The average tenure for the Model N management team is less than 2 years, this suggests a new team.
Management Team
Jason Blessing
CEO & Director
$6M
46
0.9 yrs
David Barter
Senior VP & CFO
$1M
46
1.9 yrs
Mark Anderson
Senior Vice President of Global Services
$842K
57
3 yrs
Neeraj Gokhale
Senior VP & Chief Product Officer
$812K
50
1.7 yrs
Errol Hunter
Senior VP & General Counsel
Leah Allen
Vice President of Marketing
1.4 yrs
Laura Selig
Senior VP & Chief People Officer
46
0.4 yrs
Chanan Greenberg
Senior VP & GM of High Tech
1.9 yrs
Chris Lyon
Chief Revenue Officer
Rehmann Rayani
Vice President of Corporate Strategy
0.7 yrs
Board of Directors Tenure
Average tenure and age of the Model N board of directors in years:
- The average tenure for the Model N board of directors is less than 3 years, this suggests a new board.
Board of Directors
Bal Dail
Chairman
$151K
50
0.2 yrs
Jason Blessing
CEO & Director
$6M
46
0.9 yrs
Alan Henricks
Director
$160K
67
3.9 yrs
Melissa Fisher
Director
$154K
45
2.7 yrs
Tim Adams
Director
$162K
58
2.3 yrs
Dave Yarnold
Director
57
0.3 yrs
Who owns this company?
Recent Insider Transactions
| Announced | Type | Name | Entity | Role | Start | End | Shares | Max Price ($) | Value ($) | |
|---|---|---|---|---|---|---|---|---|---|---|
| 23. Feb 19 | Sell | David Barter | Individual | 22. Feb 19 | 22. Feb 19 | -10,671 | $17.06 | $-182,047 | ||
| 23. Feb 19 | Sell | Mark Anderson | Individual | 22. Feb 19 | 22. Feb 19 | -12,114 | $17.06 | $-206,665 | ||
| 23. Feb 19 | Sell | Neeraj Gokhale | Individual | 22. Feb 19 | 22. Feb 19 | -7,725 | $17.06 | $-131,789 | ||
| 23. Feb 19 | Sell | Russell Mellott | Individual | 22. Feb 19 | 22. Feb 19 | -24,518 | $17.06 | $-418,277 | ||
| 22. Feb 19 | Sell | Neeraj Gokhale | Individual | 19. Feb 19 | 19. Feb 19 | -945 | $16.50 | $-15,593 | ||
| 22. Feb 19 | Sell | Russell Mellott | Individual | 19. Feb 19 | 19. Feb 19 | -5,319 | $16.50 | $-87,764 | ||
| 22. Feb 19 | Sell | Alan Henricks | Individual | 21. Feb 19 | 21. Feb 19 | -12,914 | $17.08 | $-220,571 | ||
| 22. Feb 19 | Sell | Jason Blessing | Individual | 19. Feb 19 | 19. Feb 19 | -1,733 | $16.50 | $-28,595 | ||
| 22. Feb 19 | Sell | Mark Anderson | Individual | 19. Feb 19 | 19. Feb 19 | -2,660 | $16.50 | $-43,890 | ||
| 22. Feb 19 | Sell | David Barter | Individual | 19. Feb 19 | 19. Feb 19 | -1,288 | $16.50 | $-21,252 | ||
| 10. Dec 18 | Buy | Laini Liberman | Individual | 08. Nov 18 | 15. Nov 18 | 143,721 | $14.17 | $1,999,947 | ||
| 10. Dec 18 | Buy | Justin Liberman | Individual | 08. Nov 18 | 12. Nov 18 | 71,852 | $14.17 | $999,812 | ||
| 10. Dec 18 | Sell | Nic Liberman | Individual | 03. Oct 18 | 03. Oct 18 | -4,000 | $15.75 | $-63,000 | ||
| 10. Dec 18 | Buy | Nic Liberman | Individual | 10. Jan 18 | 06. Dec 18 | 532,327 | $16.32 | $0 | ||
| 10. Dec 18 | Buy | Joshua Schwartz | Individual | 01. Feb 18 | 07. Dec 18 | 16,507 | $15.08 | $236,454 | ||
| 20. Nov 18 | Sell | Russell Mellott | Individual | 16. Nov 18 | 16. Nov 18 | -211 | $13.88 | $-2,929 | ||
| 20. Nov 18 | Sell | Neeraj Gokhale | Individual | 16. Nov 18 | 16. Nov 18 | -176 | $13.88 | $-2,443 | ||
| 20. Nov 18 | Sell | David Barter | Individual | 16. Nov 18 | 16. Nov 18 | -308 | $13.88 | $-4,275 | ||
| 20. Nov 18 | Sell | Mark Anderson | Individual | 16. Nov 18 | 16. Nov 18 | -169 | $13.88 | $-2,346 | ||
| 17. Aug 18 | Sell | Neeraj Gokhale | Individual | 16. Aug 18 | 16. Aug 18 | -6,456 | $16.08 | $-103,812 | ||
| 17. Aug 18 | Sell | Russell Mellott | Individual | 16. Aug 18 | 16. Aug 18 | -212 | $16.08 | $-3,409 | ||
| 17. Aug 18 | Sell | David Barter | Individual | 16. Aug 18 | 16. Aug 18 | -309 | $16.08 | $-4,969 | ||
| 17. Aug 18 | Sell | Mark Anderson | Individual | 16. Aug 18 | 16. Aug 18 | -170 | $16.08 | $-2,734 | ||
| 26. Jun 18 | Sell | Zack Rinat | Individual | 22. Jun 18 | 25. Jun 18 | -514,988 | $17.00 | $-8,754,796 | ||
| 13. Jun 18 | Sell | Zack Rinat | Individual | 11. Jun 18 | 12. Jun 18 | -26,125 | $18.00 | $-470,250 | ||
| 12. Jun 18 | Sell | Zack Rinat | Individual | 08. Jun 18 | 08. Jun 18 | -31,488 | $18.01 | $-567,099 | ||
| 17. May 18 | Sell | David Barter | Individual | 16. May 18 | 16. May 18 | -7,249 | $17.66 | $-128,017 | ||
| 17. May 18 | Sell | Neeraj Gokhale | Individual | 16. May 18 | 16. May 18 | -172 | $17.66 | $-3,038 | ||
| 17. May 18 | Sell | Russell Mellott | Individual | 16. May 18 | 16. May 18 | -212 | $17.66 | $-3,744 | ||
| 17. May 18 | Sell | Mark Anderson | Individual | 16. May 18 | 16. May 18 | -1,928 | $17.66 | $-34,048 | ||
Management checks
We assess Model N's management by checking for:- Is the CEO's compensation unreasonable compared to market cap? (1 check)
- Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
- Is the average tenure of the management team less than 2 years? (1 check)
- Is the average tenure of the board of directors team less than 3 years? (1 check) Model N has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.
Note: We use the top 6 management executives and board members in our calculations.
Note 2: Insider trading include any internal stakeholders and these transactions .
Full details on the Management part of the Simply Wall St company analysis model.
MODN News
Simply Wall St News
Is Model N, Inc.'s (NYSE:MODN) Balance Sheet A Threat To Its Future?
(NYSE:MODN) with its market cap of US$544m, are popular for their explosive growth, investors should also be aware of their balance sheet to judge whether the company can survive a downturn.
Simply Wall St - – Full articleIs Model N, Inc. (NYSE:MODN) Spending Too Much Money?
I’ve analysed below, the health and outlook of Model N’s cash flow, which will help you understand the stock from a cash standpoint. … What is free cash flow … Free cash flow (FCF) is the amount of cash Model N has left after it pays off its expenses, including its net capital expenditures, which is what the company needs to spend each year to maintain or grow its business operations.
Simply Wall St - – Full articleModel N Inc (NYSE:MODN): Time For A Financial Health Check
While small-cap stocks, such as Model N Inc (NYSE:MODN) with its market cap of US$447m, are popular for their explosive growth, investors should also be aware of their balance sheet to judge whether the company can survive a downturn.
Simply Wall St - – Full articleCan Model N Inc (NYSE:MODN) Compete With Tech Giant Peers?
software … While mobile and cloud computing become ubiquitous, there is a new wave of advancement emerging from innovations such as machine learning, robotics and augmented reality … Tech analysts are forecasting for the entire software tech industry,
Simply Wall St - – Full articleShould You Be Concerned About Model N Inc's (NYSE:MODN) Investors?
In this article, I'm going to take a look at Model N Inc’s (NYSE:MODN) latest ownership structure, a non-fundamental factor which is important, but remains a less discussed subject among investors. … Ownership structure has been found to have an impact on shareholder returns in both short- and long-term. … Differences in ownership structure of companies can have a profound effect on how management's incentives are aligned with shareholder returns, and whether they adhere to corporate governance best practices.
Simply Wall St - – Full articleWhen Should You Buy Model N Inc (NYSE:MODN)?
saw a decent share price growth in the teens level on the NYSE over the last few months. … With many analysts covering the stock, we may expect any price-sensitive announcements have already been factored into the stock’s share price? … Today I will analyse the most recent data on Model N’s outlook and valuation to see if the opportunity still exists
Simply Wall St - – Full articleAre Model N Inc's (NYSE:MODN) Interest Costs Too High?
While small-cap stocks, such as Model N Inc (NYSE:MODN) with its market cap of US$529.70m, are popular for their explosive growth, investors should also be aware of their balance sheet to judge whether the company can survive a downturn.
Simply Wall St - – Full articleModel N Inc (NYSE:MODN): Has Recent Earnings Growth Beaten Long-Term Trend?
Today I will assess MODN's recent performance announced on 31 March 2018 and compare these figures to its historical trend and industry movements. … Did MODN beat its long-term earnings growth trend and its industry. … MODN is loss-making, with the most recent trailing twelve-month earnings of -US$28.61m (from 31 March 2018), which compared to last year has become.
Simply Wall St - – Full articleIs Model N Inc's (NYSE:MODN) Balance Sheet A Threat To Its Future?
How does MODN’s operating cash flow stack up against its debt? … Can MODN meet its short-term obligations with the cash in hand? … Running high debt, while not yet making money, can be risky in unexpected downturns as liquidity may dry up, making it hard to operate.Next Steps: At its current level of cash flow coverage, MODN has room for improvement to better cushion for events which may require debt repayment.
Simply Wall St - – Full articleShould You Buy Model N Inc (NYSE:MODN) Now?
In addition to this, it seems like Model N’s share price is quite stable, which could mean two things: firstly, it may take the share price a while to fall back down to an attractive buying range, and secondly, there may be less chances to buy low in the future once it reaches that value. … Although value investors would argue that it’s the intrinsic value relative to the price that matter the most, a more compelling investment thesis would be high growth potential at a cheap price. … MODN’s optimistic future growth appears to have been factored into the current share price, with shares trading above its fair value.
Simply Wall St - – Full articleMODN Company Info
Description
Model N, Inc. provides revenue management cloud solutions for the life sciences and technology companies. The company’s cloud-based revenue management solutions include Revenue Cloud for Pharma, Revenue Cloud for Med Tech, and Revenue Cloud for Semiconductors and High Tech Manufacturing. It develops software applications, such as managed care and government pricing for life science companies; and channel incentives for technology companies. The company also offers revenue management processes, such as pricing, contracting, rebates, incentives, channel management, and regulatory compliance. In addition, Model N, Inc. provides implementation, managed, strategic, and customer support services. It primarily serves large and mid-sized organizations worldwide through its direct sales force. Model N, Inc. was founded in 1999 and is headquartered in San Mateo, California, with additional offices in the United States, India, and Switzerland.
Details
| Name: | Model N, Inc. |
| MODN | |
| Exchange: | NYSE |
| Founded: | 1999 |
| $563,034,196 | |
| 31,542,532 | |
| Website: | http://www.modeln.com |
| Address: |
Model N, Inc. 777 Mariners Island Boulevard, Suite 300, San Mateo, California, 94404, United States |
Listings
| Exchange Symbol | Ticker Symbol | Security | Exchange | Country | Currency | Listed on | |
|---|---|---|---|---|---|---|---|
| NYSE | MODN | Common Stock | New York Stock Exchange | US | USD | 20. Mar 2013 | |
| DB | 2MD | Common Stock | Deutsche Boerse AG | DE | EUR | 20. Mar 2013 | |
| LSE | 0K24 | Common Stock | London Stock Exchange | GB | USD | 20. Mar 2013 |
Number of employees
Current staff
Industry
| Application Software | |
| Software |
Company Analysis and Financial Data Status
| Area | Date (UTC time) |
|---|---|
| Company Analysis updated: | 2019/04/17 00:47 |
| End of day share price update: | 2019/04/16 00:00 |
| Last estimates confirmation: | 2019/03/26 |
| Last earnings filing: | 2019/02/06 |
| Last earnings reported: | 2018/12/31 |
| Last annual earnings reported: | 2018/09/30 |
All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.
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.
