AMEX:ISDR

Stock Analysis Report

Executive Summary

Issuer Direct Corporation provides shareholder communications and compliance platforms, technologies, and services in North America and Europe.

Snowflake

Fundamentals

Flawless balance sheet with reasonable growth potential.


Similar Companies

Share Price & News

How has Issuer Direct's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

2.1%

ISDR

1.5%

US Software

1.3%

US Market


1 Year Return

-30.0%

ISDR

23.1%

US Software

5.9%

US Market

Return vs Industry: ISDR underperformed the US Software industry which returned 23.1% over the past year.

Return vs Market: ISDR underperformed the US Market which returned 5.9% over the past year.


Shareholder returns

ISDRIndustryMarket
7 Day2.1%1.5%1.3%
30 Day-7.1%-0.8%-1.9%
90 Day0%-3.4%-1.8%
1 Year-30.0%-30.0%24.8%23.1%8.3%5.9%
3 Year42.2%37.7%122.8%114.1%45.6%36.2%
5 Year20.5%14.2%179.3%159.1%66.1%47.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Issuer Direct undervalued compared to its fair value and its price relative to the market?

69.84x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Undervalued: ISDR ($10.4) is trading above our estimate of fair value ($3.7)

Significantly Undervalued: ISDR is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: ISDR is poor value based on its PE Ratio (69.8x) compared to the Software industry average (48.2x).

PE vs Market: ISDR is poor value based on its PE Ratio (69.8x) compared to the US market (17.5x).


Price to Earnings Growth Ratio

Low PEG Ratio: ISDR is poor value based on its PEG Ratio (1.6x)


Price to Book Ratio

PB vs Industry: ISDR is good value based on its PB Ratio (1.5x) compared to the US Software industry average (5.1x).


Next Steps

Future Growth

How is Issuer Direct forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

44.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ISDR's forecast earnings growth (44.5% per year) is above the savings rate (2.7%).

Earnings vs Market: ISDR's earnings (44.5% per year) are forecast to grow faster than the US market (14.4% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: ISDR's revenue (8.7% per year) is forecast to grow faster than the US market (7.3% per year).

High Growth Revenue: ISDR's revenue (8.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: Insufficient data to determine if ISDR's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Issuer Direct performed over the past 5 years?

32.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: ISDR's earnings have grown significantly by 32.5% per year over the past 5 years.

Accelerating Growth: ISDR's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: ISDR had negative earnings growth (-67.4%) over the past year, making it difficult to compare to the Software industry average (19.1%).


Return on Equity

High ROE: ISDR's Return on Equity (2.2%) is considered low.


Return on Assets

ROA vs Industry: ISDR's Return on Assets is below or equal to the Software industry average last year.


Return on Capital Employed

ROCE Improving: ISDR's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Issuer Direct's financial position?


Financial Position Analysis

Short Term Liabilities: ISDR's short term assets ($18.0M) exceeds its short term liabilities ($3.0M)

Long Term Liabilities: ISDR's short term assets (18.0M) exceeds its long term liabilities (769.0K)


Debt to Equity History and Analysis

Debt Level: ISDR's debt to equity ratio (2.3%) is considered satisfactory

Reducing Debt: ISDR's debt to equity ratio has reduced from 23% to 2.3% over the past 5 years.

Debt Coverage: ISDR's debt is well covered by operating cash flow (341.3%).

Interest Coverage: ISDR earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: ISDR has a low level of unsold assets or inventory.

Debt Coverage by Assets: ISDR's debt is covered by short term assets (assets are 29.656250x debt).


Next Steps

Dividend

What is Issuer Direct's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

company0%marketbottom25%1.5%markettop25%3.8%industryaverage1.5%forecastin3Years0%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: Unable to evaluate ISDR's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate ISDR's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if ISDR's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if ISDR's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: ISDR is not paying a notable dividend for .


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of ISDR's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

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

2.7yrs

Average management tenure


CEO

Brian Balbirnie (48yo)

13.7yrs

Tenure

US$218,000

Compensation

Mr. Brian R. Balbirnie co-founded Issuer Direct Corporation in 2006. Mr. Balbirnie serves as the Chief Executive Officer and President at Issuer Direct Corporation. He Founded a Compliance and Consulting p ...


CEO Compensation Analysis

Compensation vs. Market: Brian's total compensation ($USD218.00K) is about average for companies of similar size in the US market ($USD495.77K).

Compensation vs Earnings: Brian's compensation has been consistent with company performance over the past year.


Management Age and Tenure

2.7yrs

Average Tenure

Experienced Management: ISDR's management team is considered experienced (2.7 years average tenure).


Board Age and Tenure

2.1yrs

Average Tenure

54yo

Average Age

Experienced Board: ISDR's board of directors are not considered experienced ( 2.1 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

SellUS$272,23706 Dec 18
EQS Group AG
EntityCompany
Shares23,018
Max PriceUS$12.36
SellUS$725,39009 Nov 18
EQS Group AG
EntityCompany
Shares53,576
Max PriceUS$15.76

Ownership Breakdown


Management Team

  • Brian Balbirnie (48yo)

    Founder

    • Tenure: 13.7yrs
    • Compensation: US$218.00k
  • Dick Bromley

    Executive Vice President of Sales

    • Tenure: 1yrs
  • Steve Knerr (43yo)

    Chief Financial Officer

    • Tenure: 4.4yrs
    • Compensation: US$176.55k
  • Dee Brown

    Director of Human Resources

    • Tenure: 0.7yrs

Board Members

  • Bill Everett (68yo)

    Independent Chairman of the Board

    • Tenure: 2.1yrs
    • Compensation: US$149.44k
  • Brian Balbirnie (48yo)

    Founder

    • Tenure: 13.7yrs
    • Compensation: US$218.00k
  • Michael Nowlan (60yo)

    Independent Director

    • Tenure: 2.1yrs
    • Compensation: US$131.44k
  • James Galleher (45yo)

    Independent Director

    • Tenure: 5.6yrs
    • Compensation: US$131.44k
  • Eric Frank (54yo)

    Independent Director

    • Tenure: 2.1yrs
    • Compensation: US$131.44k

Company Information

Issuer Direct Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Issuer Direct Corporation
  • Ticker: ISDR
  • Exchange: AMEX
  • Founded: 1988
  • Industry: Application Software
  • Sector: Software
  • Market Cap: US$40.171m
  • Shares outstanding: 3.86m
  • Website: https://www.issuerdirect.com

Number of Employees


Location

  • Issuer Direct Corporation
  • 500 Perimeter Park Drive
  • Suite D
  • Morrisville
  • North Carolina
  • 27560
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ISDRAMEX (NYSE MKT LLC)YesCommon StockUSUSDMay 1992

Biography

Issuer Direct Corporation provides shareholder communications and compliance platforms, technologies, and services in North America and Europe. The company provides Platform id, a cloud-based subscription  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/14 23:53
End of Day Share Price2019/10/14 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.