company background image
PAR

PAR TechnologyNYSE:PAR Stock Report

Market Cap

US$1.8b

7D

3.8%

1Y

82.7%

Updated

19 Oct, 2021

Data

Company Financials +
PAR fundamental analysis
Snowflake Score
Valuation0/6
Future Growth1/6
Past Performance0/6
Financial Health3/6
Dividends0/6

PAR Overview

PAR Technology Corporation, together with its subsidiaries, provides point-of-sale (POS) solutions to the restaurant and retail industries worldwide.

PAR Technology Competitors

Oracle

NYSE:ORCL

US$265.3b

Toast

NYSE:TOST

US$26.4b

NCR

NYSE:NCR

US$5.7b

Price History & Performance

Summary of all time highs, changes and price drops for PAR Technology
Historical stock prices
Current Share PriceUS$68.41
52 Week HighUS$36.00
52 Week LowUS$90.35
Beta1.9
1 Month Change9.23%
3 Month Change4.28%
1 Year Change82.67%
3 Year Change240.01%
5 Year Change1,137.07%
Change since IPO1,902.24%

Recent News & Updates

Sep 16

PAR Technology's Misunderstood Capital Raising Creates An Opportunity

The direct offering and the convertible debt is priced reasonably and it does not dilute shareholders heavily; therefore, it does not warrant a heavy sell-down. Shareholders are much better off after this new capital raise because of lower interest rate and lesser dilution. PAR's risk/reward ratio remains favorably skewed to investors who are in it for the long haul.

Aug 17

PAR Tech: An Undervalued Software Platform For The Restaurant Industry

PAR's transformation from software as a service (SaaS) to unified commerce platform as a service (PaaS) is underway. It's helmed by a capable CEO with a proven track record who has a disciplined focus on high returns on capital activities such as merger and acquisition opportunities. PAR's profitable unit economics of the software business is still undiscovered by the general market. We believe there is an immediate 34% upside if Par Tech trades at P/S of 20x.

Jun 30

PAR Technology Corporation - Pro Et Contra

PAR's SaaS-based comprehensive tech solutions for the restaurant segment and its growing ARR profile give its operating model an edge. PAR does not appear to be a fundamentally sound stock with plenty of flaws. PAR does not have the financial profile to flourish in the Defense market and would be better served by divesting the unit. Valuations are not cheap and the price action on the charts is rather ambiguous.

Shareholder Returns

PARUS ElectronicUS Market
7D3.8%4.7%4.0%
1Y82.7%35.1%30.5%

Return vs Industry: PAR exceeded the US Electronic industry which returned 34.7% over the past year.

Return vs Market: PAR exceeded the US Market which returned 30% over the past year.

Price Volatility

Is PAR's price volatile compared to industry and market?
PAR volatility
PAR Beta1.9
Industry Beta1.33
Market Beta1

Stable Share Price: PAR is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: PAR's weekly volatility (8%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19681,031Savneet Singhhttps://www.partech.com

PAR Technology Corporation, together with its subsidiaries, provides point-of-sale (POS) solutions to the restaurant and retail industries worldwide. The company operates in two segments, Restaurant/Retail and Government. The Restaurant/Retail segment offers POS technology solutions, including Brink POS, an open solution that integrates with third party products and in-house systems; PixelPoint, an on-premise integrated software solution that provides a self-service ordering, back-office management, and enterprise level loyalty and gift card information sharing services; PAR merchant card payment services; Data Central, a cloud software platform of back-office applications; and PAR EverServ POS platforms.

PAR Technology Fundamentals Summary

How do PAR Technology's earnings and revenue compare to its market cap?
PAR fundamental statistics
Market CapUS$1.84b
Earnings (TTM)-US$34.90m
Revenue (TTM)US$236.78m

7.8x

P/S Ratio

-52.7x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
PAR income statement (TTM)
RevenueUS$236.78m
Cost of RevenueUS$192.28m
Gross ProfitUS$44.50m
ExpensesUS$79.41m
Earnings-US$34.90m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-1.30
Gross Margin18.79%
Net Profit Margin-14.74%
Debt/Equity Ratio64.1%

How did PAR perform over the long term?

See historical performance and comparison

Valuation

Is PAR Technology undervalued compared to its fair value and its price relative to the market?

4.21x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate PAR's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate PAR's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: PAR is unprofitable, so we can't compare its PE Ratio to the US Electronic industry average.

PE vs Market: PAR is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate PAR's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: PAR is overvalued based on its PB Ratio (4.2x) compared to the US Electronic industry average (2.6x).


Future Growth

How is PAR Technology forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

3.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PAR is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: PAR is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: PAR is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: PAR's revenue (17.2% per year) is forecast to grow faster than the US market (9.9% per year).

High Growth Revenue: PAR's revenue (17.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Past Performance

How has PAR Technology performed over the past 5 years?

-52.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PAR is currently unprofitable.

Growing Profit Margin: PAR is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: PAR is unprofitable, and losses have increased over the past 5 years at a rate of 52.4% per year.

Accelerating Growth: Unable to compare PAR's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: PAR is unprofitable, making it difficult to compare its past year earnings growth to the Electronic industry (44.3%).


Return on Equity

High ROE: PAR has a negative Return on Equity (-7.99%), as it is currently unprofitable.


Financial Health

How is PAR Technology's financial position?


Financial Position Analysis

Short Term Liabilities: PAR's short term assets ($177.0M) exceed its short term liabilities ($60.4M).

Long Term Liabilities: PAR's short term assets ($177.0M) do not cover its long term liabilities ($300.8M).


Debt to Equity History and Analysis

Debt Level: PAR's debt to equity ratio (64.1%) is considered high.

Reducing Debt: PAR's debt to equity ratio has increased from 3.9% to 64.1% over the past 5 years.


Balance Sheet


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.

Stable Cash Runway: PAR has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: PAR has sufficient cash runway for more than 3 years if free cash flow continues to reduce at historical rates of 46.4% each year


Dividend

What is PAR Technology current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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


Stability and Growth of Payments

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

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

3.8yrs

Average management tenure


CEO

Savneet Singh (38 yo)

2.83yrs

Tenure

US$8,220,228

Compensation

Mr. Savneet Singh serves as a General Partner at Crossbeam Venture Partners LLC. He is a Partner at CoVentur. He serves as Independent Director at SharpSpring, Inc. since August 17, 2020.He serves as an I...


CEO Compensation Analysis

Compensation vs Market: Savneet's total compensation ($USD8.22M) is above average for companies of similar size in the US market ($USD3.53M).

Compensation vs Earnings: Savneet's compensation has increased whilst the company is unprofitable.


Leadership Team

Experienced Management: PAR's management team is considered experienced (3.8 years average tenure).


Board Members

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


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

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


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 24.4%.


Top Shareholders

Company Information

PAR Technology Corporation's employee growth, exchange listings and data sources


Key Information

  • Name: PAR Technology Corporation
  • Ticker: PAR
  • Exchange: NYSE
  • Founded: 1968
  • Industry: Electronic Equipment and Instruments
  • Sector: Tech
  • Market Cap: US$1.838b
  • Shares outstanding: 26.87m
  • Website: https://www.partech.com

Number of Employees


Location

  • PAR Technology Corporation
  • PAR Technology Park
  • 8383 Seneca Turnpike
  • New Hartford
  • New York
  • 13413-4991
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/19 23:36
End of Day Share Price2021/10/19 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.