Why is 8x8, Inc. ?
1
Poor Management Efficiency with a low ROCE of 0.78%
- The company has been able to generate a Return on Capital Employed (avg) of 0.78% signifying low profitability per unit of total capital (equity and debt)
2
Low ability to service debt as the company has a high Debt to EBITDA ratio of 6.78 times
- Poor long term growth as Operating profit has grown by an annual rate 16.16% of over the last 5 years
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 6.78 times
- The company has reported losses. Due to this company has reported negative ROE
3
With a growth in Net Sales of 0.11%, the company declared Very Positive results in Mar 26
- The company has declared positive results for the last 7 consecutive quarters
- PRE-TAX PROFIT(Q) At USD 3.73 MM has Grown at 702.67%
- NET PROFIT(Q) At USD 3.86 MM has Grown at 413.79%
- ROCE(HY) Highest at 1.23%
4
With ROE of -3.45%, it has a attractive valuation with a 1.58 Price to Book Value
- Over the past year, while the stock has generated a return of NA, its profits have risen by 86.1%
How much should you hold?
- Overall Portfolio exposure to 8x8, Inc. should be less than 10%
- Overall Portfolio exposure to Software Products should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Software Products)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
No Data Found
Quality key factors
Factor
Value
Sales Growth (5y)
7.40%
EBIT Growth (5y)
16.16%
EBIT to Interest (avg)
-3.28
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
2.23
Sales to Capital Employed (avg)
1.42
Tax Ratio
13.09%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
93.65%
ROCE (avg)
0.78%
ROE (avg)
0
Valuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
Price to Book Value
1.58
EV to EBIT
28.78
EV to EBITDA
9.60
EV to Capital Employed
1.21
EV to Sales
0.65
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
4.22%
ROE (Latest)
-3.45%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bearish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Mildly Bullish
Dow Theory
Mildly Bullish
No Trend
OBV
Mildly Bullish
No Trend
Technical Movement
24What is working for the Company
PRE-TAX PROFIT(Q)
At USD 3.73 MM has Grown at 702.67%
NET PROFIT(Q)
At USD 3.86 MM has Grown at 413.79%
ROCE(HY)
Highest at 1.23%
DEBT-EQUITY RATIO
(HY)
Lowest at 188.24 %
NET SALES(Q)
Highest at USD 185.25 MM
DEBTORS TURNOVER RATIO(HY)
Highest at 12.28 times
-5What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at USD 55.78 MM
RAW MATERIAL COST(Y)
Grown by 6.41% (YoY
CASH AND EQV(HY)
Lowest at USD 183.16 MM
Here's what is working for 8x8, Inc.
Pre-Tax Profit
At USD 3.73 MM has Grown at 702.67%
over average net sales of the previous four periods of USD -0.62 MMMOJO Watch
Near term Pre-Tax Profit trend is very positive
Pre-Tax Profit (USD MM)
Net Profit
At USD 3.86 MM has Grown at 413.79%
over average net sales of the previous four periods of USD -1.23 MMMOJO Watch
Near term Net Profit trend is very positive
Net Profit (USD MM)
Net Sales
Highest at USD 185.25 MM and Grown
In each period in the last five periodsMOJO Watch
Near term sales trend is very positive
Net Sales (USD MM)
Debt-Equity Ratio
Lowest at 188.24 % and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Debtors Turnover Ratio
Highest at 12.28 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Here's what is not working for 8x8, Inc.
Operating Cash Flow
Lowest at USD 55.78 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (USD MM)
Cash and Eqv
Lowest at USD 183.16 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
Raw Material Cost
Grown by 6.41% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin
Raw Material Cost as a percentage of Sales






