NasdaqGS:NSIT

Stock Analysis Report

Executive Summary

Insight Enterprises, Inc. provides information technology hardware, software, and services solutions in the United States, Canada, Europe, the Middle East, Africa, and the Asia-Pacific.


Snowflake Analysis

Very undervalued with reasonable growth potential.


Similar Companies

Share Price & News

How has Insight Enterprises's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: NSIT's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-6.7%

NSIT

-6.2%

US Electronic

-3.8%

US Market


1 Year Return

-31.4%

NSIT

-28.0%

US Electronic

-15.9%

US Market

Return vs Industry: NSIT underperformed the US Electronic industry which returned -27.9% over the past year.

Return vs Market: NSIT underperformed the US Market which returned -15.9% over the past year.


Shareholder returns

NSITIndustryMarket
7 Day-6.7%-6.2%-3.8%
30 Day-29.0%-21.7%-17.4%
90 Day-45.2%-33.1%-24.1%
1 Year-31.4%-31.4%-27.3%-28.0%-14.1%-15.9%
3 Year-5.1%-5.1%-4.7%-7.4%10.0%2.8%
5 Year37.8%37.8%15.2%9.5%27.6%13.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Insight Enterprises undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: NSIT ($39.3) is trading below our estimate of fair value ($160.5)

Significantly Below Fair Value: NSIT is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: NSIT is good value based on its PE Ratio (8.8x) compared to the Electronic industry average (13.9x).

PE vs Market: NSIT is good value based on its PE Ratio (8.8x) compared to the US market (12.2x).


Price to Earnings Growth Ratio

PEG Ratio: NSIT is good value based on its PEG Ratio (0.4x)


Price to Book Ratio

PB vs Industry: NSIT is good value based on its PB Ratio (1.2x) compared to the US Electronic industry average (1.5x).


Next Steps

Future Growth

How is Insight Enterprises forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

20.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: NSIT's forecast earnings growth (20.9% per year) is above the savings rate (1.7%).

Earnings vs Market: NSIT's earnings (20.9% per year) are forecast to grow faster than the US market (13.4% per year).

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

Revenue vs Market: NSIT's revenue (8.4% per year) is forecast to grow faster than the US market (7% per year).

High Growth Revenue: NSIT's revenue (8.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: NSIT's Return on Equity is forecast to be low in 3 years time (19.4%).


Next Steps

Past Performance

How has Insight Enterprises performed over the past 5 years?

19.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: NSIT has high quality earnings.

Growing Profit Margin: NSIT's current net profit margins (2.1%) are lower than last year (2.3%).


Past Earnings Growth Analysis

Earnings Trend: NSIT's earnings have grown by 19.9% per year over the past 5 years.

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

Earnings vs Industry: NSIT had negative earnings growth (-2.6%) over the past year, making it difficult to compare to the Electronic industry average (0.03%).


Return on Equity

High ROE: NSIT's Return on Equity (13.7%) is considered low.


Next Steps

Financial Health

How is Insight Enterprises's financial position?


Financial Position Analysis

Short Term Liabilities: NSIT's short term assets ($3.0B) exceed its short term liabilities ($1.9B).

Long Term Liabilities: NSIT's short term assets ($3.0B) exceed its long term liabilities ($1.1B).


Debt to Equity History and Analysis

Debt Level: NSIT's debt to equity ratio (95.6%) is considered high.

Reducing Debt: NSIT's debt to equity ratio has increased from 25.6% to 95.6% over the past 5 years.

Debt Coverage: NSIT's debt is not well covered by operating cash flow (11.5%).

Interest Coverage: NSIT's interest payments on its debt are well covered by EBIT (9x coverage).


Balance Sheet

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

Debt Coverage by Assets: NSIT's debt is covered by short term assets (assets are 2.7x debt).


Next Steps

Dividend

What is Insight Enterprises's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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


Stability and Growth of Payments

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

Growing Dividend: Insufficient data to determine if NSIT'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 NSIT'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?

6.3yrs

Average management tenure


CEO

Ken Lamneck (64yo)

10.25s

Tenure

US$4,968,504

Compensation

Mr. Kenneth T. Lamneck, also known as Ken, has been the Chief Executive Officer and President at Insight Enterprises, Inc. since January 01, 2010. Mr. Lamneck serves as the Chief Executive Officer and Pres ...


CEO Compensation Analysis

Compensation vs Market: Ken's total compensation ($USD4.97M) is about average for companies of similar size in the US market ($USD4.77M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Timothy Crown
Co-Founder & Chairman of the Board15.42yrsUS$260.04k0.22% $3.0m
Kenneth Lamneck
President10.25yrsUS$4.97m0.90% $12.4m
Glynis Bryan
Chief Financial Officer12.33yrsUS$1.96m0.22% $3.1m
Samuel Cowley
Senior VP3.83yrsUS$1.12m0.074% $1.0m
Steven Dodenhoff
President of Insight North America7.5yrsUS$1.71m0.17% $2.4m
Wolfgang Ebermann
President of Insight EMEA6.25yrsUS$1.78m0.25% $3.4m
Rachael Bertrandt
Principal Accounting Officer & Global Corporate Controller1.58yrsno datano data
Jeff Shumway
Chief Information Officer1.25yrsno data0.0099% $137.5k
Jen Vasin
Senior Vice President of Human Resources2.75yrsno datano data
Helen Johnson
Senior VP of Finance & CFO of North America12.5yrsno data0.062% $864.5k

6.3yrs

Average Tenure

55.5yo

Average Age

Experienced Management: NSIT's management team is seasoned and experienced (6.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Timothy Crown
Co-Founder & Chairman of the Board15.42yrsUS$260.04k0.22% $3.0m
Kenneth Lamneck
President10.25yrsUS$4.97m0.90% $12.4m
Bruce Armstrong
Independent Director4.08yrsUS$190.04k0.0085% $117.4k
Kathleen Pushor
Independent Director14.58yrsUS$210.04k0.026% $358.1k
Anthony Ibargüen
Presiding Directorno dataUS$200.04k0.028% $385.6k
Richard Allen
Independent Director8.25yrsUS$220.04k0.091% $1.3m
Linda Breard
Independent Director2.17yrsUS$207.26k0.0038% $52.4k
Catherine Courage
Independent Director4.25yrsUS$190.04k0.020% $281.6k
Girish Rishi
Independent Director2.33yrsUS$190.04k0.0046% $63.6k

6.3yrs

Average Tenure

57yo

Average Age

Experienced Board: NSIT'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: NSIT insiders have bought more shares than they have sold 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

Insight Enterprises, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Insight Enterprises, Inc.
  • Ticker: NSIT
  • Exchange: NasdaqGS
  • Founded: 1988
  • Industry: Technology Distributors
  • Sector: Tech
  • Market Cap: US$1.386b
  • Shares outstanding: 35.26m
  • Website: https://www.insight.com

Number of Employees


Location

  • Insight Enterprises, Inc.
  • 6820 South Harl Avenue
  • Tempe
  • Arizona
  • 85283
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
NSITNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDJan 1995
IEIDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1995
NSIT *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNJan 1995

Biography

Insight Enterprises, Inc. provides information technology hardware, software, and services solutions in the United States, Canada, Europe, the Middle East, Africa, and the Asia-Pacific. It sources, procures, stages, configures, integrates, tests, deploys, and maintains IT products spanning endpoints to infrastructure; and offers software life cycle, and hardware warranty and software maintenance services. The company also provides desktop, notebook, tablet, and mobile devices coupled with cloud-based productivity solutions; managed solutions, such as spanning messaging, voice, video, and content management; and workplace services, including desk side support, remote service desk, automated self-service, and self-healing solutions. In addition, it offers various services, such as hybrid cloud, migration and consolidation, workload-platform alignment, converged/hyper converged solutions, and software-defined data center; data platform modernization services; integrated network and security solutions; and consulting, professional, managed, and support services. Further, the company provides digital signage, kiosk, tablet, and smartphone endpoints; custom-developed applications to enable client-to-customer engagement; custom-developed mobile, cloud, and Internet-of-Things applications; and custom solutions, which enable clients review insights within their data. Additionally, it sells hardware and software products; and offers enterprise data center solutions. The company was founded in 1988 and is headquartered in Tempe, Arizona. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/06 01:03
End of Day Share Price2020/04/03 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.