Vonage Holdings
Market Cap
US$3.3b
Last Updated
2021/01/22 23:39 UTC
Data Sources
Company Financials +
Executive Summary
Vonage Holdings Corp. provides cloud communications services for businesses and consumers. More Details
Rewards
Risk Analysis
Snowflake Analysis
Slightly overvalued with weak fundamentals.
Similar Companies
Share Price & News
How has Vonage Holdings's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: VG is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.
Volatility Over Time: VG's weekly volatility (6%) has been stable over the past year.
Market Performance
7 Day Return
0.6%
VG
-0.7%
US Telecom
1.4%
US Market
1 Year Return
54.8%
VG
-13.1%
US Telecom
22.6%
US Market
Return vs Industry: VG exceeded the US Telecom industry which returned -13.4% over the past year.
Return vs Market: VG exceeded the US Market which returned 22.8% over the past year.
Shareholder returns
| VG | Industry | Market | |
|---|---|---|---|
| 7 Day | 0.6% | -0.7% | 1.4% |
| 30 Day | -1.4% | 0.1% | 4.9% |
| 90 Day | 26.0% | 3.3% | 14.6% |
| 1 Year | 54.8%54.8% | -8.3%-13.1% | 25.4%22.6% |
| 3 Year | 20.5%20.5% | 4.1%-10.7% | 46.8%37.0% |
| 5 Year | 162.6%162.6% | 22.2%-5.5% | 132.0%106.1% |
Long-Term Price Volatility Vs. Market
How volatile is Vonage Holdings's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Did Vonage Holdings Corp. (NASDAQ:VG) Insiders Buy Up More Shares?1 month ago | Simply Wall St
Vonage Holdings (NASDAQ:VG) Shareholders Have Enjoyed An Impressive 138% Share Price Gain2 months ago | Simply Wall St
Vonage Holdings Corp. (NASDAQ:VG) Just Released Its Third-Quarter Earnings: Here's What Analysts ThinkValuation
Is Vonage Holdings 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: VG ($13.13) is trading below our estimate of fair value ($27.51)
Significantly Below Fair Value: VG is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: VG is unprofitable, so we can't compare its PE Ratio to the US Telecom industry average.
PE vs Market: VG 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 VG's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: VG is overvalued based on its PB Ratio (5.6x) compared to the US Telecom industry average (1.8x).
Next Steps
Future Growth
How is Vonage Holdings forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?
91.1%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: VG is forecast to remain unprofitable over the next 3 years.
Earnings vs Market: VG is forecast to remain unprofitable over the next 3 years.
High Growth Earnings: VG is forecast to remain unprofitable over the next 3 years.
Revenue vs Market: VG's revenue (6.4% per year) is forecast to grow slower than the US market (10.5% per year).
High Growth Revenue: VG's revenue (6.4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: VG's Return on Equity is forecast to be low in 3 years time (11.3%).
Next Steps
Past Performance
How has Vonage Holdings performed over the past 5 years?
-51.0%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: VG is currently unprofitable.
Growing Profit Margin: VG is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: VG is unprofitable, and losses have increased over the past 5 years at a rate of 51% per year.
Accelerating Growth: Unable to compare VG's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: VG is unprofitable, making it difficult to compare its past year earnings growth to the Telecom industry (27.1%).
Return on Equity
High ROE: VG has a negative Return on Equity (-4.27%), as it is currently unprofitable.
Next Steps
Financial Health
How is Vonage Holdings's financial position?
Financial Position Analysis
Short Term Liabilities: VG's short term assets ($228.1M) do not cover its short term liabilities ($258.2M).
Long Term Liabilities: VG's short term assets ($228.1M) do not cover its long term liabilities ($552.5M).
Debt to Equity History and Analysis
Debt Level: VG's debt to equity ratio (91.4%) is considered high.
Reducing Debt: VG's debt to equity ratio has increased from 64.3% to 91.4% over the past 5 years.
Debt Coverage: VG's debt is not well covered by operating cash flow (16%).
Interest Coverage: Insufficient data to determine if VG's interest payments on its debt are well covered by EBIT.
Balance Sheet
Next Steps
Dividend
What is Vonage Holdings's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate VG's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate VG'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 VG's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if VG'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 VG'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?
3.9yrs
Average management tenure
CEO
Rory Read (58 yo)
0.50
Tenure
Mr. Rory P. Read serves as Chief Executive Officer at Vonage Holdings Corp. since July 1, 2020. Mr. Read served as President and Chief Executive Officer at Virtustream, Inc. He is Chief Operating Executive...
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Founder & Independent Chairman of the Board | 20yrs | US$297.45k | 3.8% $ 127.3m | |
| Chief Technology Officer | 2.83yrs | US$1.90m | 0.15% $ 4.9m | |
| Chief Human Resources Officer | 5.17yrs | US$1.51m | 0.094% $ 3.1m | |
| President of API Platform Group | 5.42yrs | US$4.49m | 0.19% $ 6.5m | |
| CEO & Director | 0.50yr | no data | 0.63% $ 20.9m | |
| Interim Chief Financial Officer | 0.42yr | no data | no data | |
| Chief Operating Officer | no data | no data | no data | |
| Senior VP | 3.75yrs | no data | 0.028% $ 929.3k | |
| Vice President of Investor Relations | no data | no data | no data | |
| Chief Legal Officer & Corporate Secretary | 4.08yrs | no data | 0.083% $ 2.8m | |
| Chief Marketing Officer | 0.42yr | no data | 0.018% $ 612.8k | |
| Chief Strategy Officer | 4.5yrs | no data | 0.063% $ 2.1m |
3.9yrs
Average Tenure
51yo
Average Age
Experienced Management: VG's management team is considered experienced (3.9 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Founder & Independent Chairman of the Board | 20yrs | US$297.45k | 3.8% $ 127.3m | |
| CEO & Director | 0.50yr | no data | 0.63% $ 20.9m | |
| Independent Director | 1.83yrs | US$154.16k | 0.015% $ 486.7k | |
| Independent Director | 4.5yrs | US$194.98k | 0.023% $ 782.7k | |
| Lead Independent Director | 5.92yrs | US$244.98k | 0.069% $ 2.3m | |
| Independent Director | 7yrs | US$214.98k | 0.046% $ 1.5m | |
| Independent Director | 0.50yr | no data | 0.00090% $ 30.1k | |
| Independent Director | 1.42yrs | US$27.82k | 0.0065% $ 216.4k | |
| Independent Director | 8yrs | US$194.98k | 0.020% $ 685.4k | |
| Independent Director | 1.33yrs | US$21.52k | 0.0065% $ 216.4k | |
| Independent Director | 4.08yrs | US$194.98k | 0.017% $ 561.3k |
4.1yrs
Average Tenure
58yo
Average Age
Experienced Board: VG's board of directors are considered experienced (4.1 years average tenure).
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 2.4%.
Top Shareholders
Company Information
Vonage Holdings Corp.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Vonage Holdings Corp.
- Ticker: VG
- Exchange: NasdaqGS
- Founded: 2000
- Industry: Alternative Carriers
- Sector: Telecom
- Market Cap: US$3.345b
- Shares outstanding: 248.33m
- Website: https://www.vonage.com
Number of Employees
Location
- Vonage Holdings Corp.
- 23 Main Street
- Holmdel
- New Jersey
- 7733
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| VG | NasdaqGS (Nasdaq Global Select) | Yes | Common Stock | US | USD | May 2006 |
| V1Y | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | May 2006 |
Biography
Vonage Holdings Corp. provides cloud communications services for businesses and consumers. It operates through two segments, Business and Consumer. The Business segment offers cloud-based applications comp...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/01/22 23:39 |
| End of Day Share Price | 2021/01/22 00:00 |
| Earnings | 2020/09/30 |
| Annual Earnings | 2019/12/31 |
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.