CSG Systems International, Inc. (CSGS) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

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Why is CSG Systems International, Inc. ?

High Management Efficiency with a high ROCE of 20.49%

Strong ability to service debt as the company has a low Debt to EBITDA ratio of 2.53 times

Poor long term growth as Net Sales has grown by an annual rate of 4.31% and Operating profit at 3.92% over the last 5 years

With a growth in Net Profit of 241.28%, the company declared Very Positive results in Mar 26

DIVIDEND PER SHARE(HY) Highest at USD 3.4
INTEREST COVERAGE RATIO(Q) Highest at 923.35
RAW MATERIAL COST(Y) Fallen by -0.92% (YoY)

With ROCE of 23.01%, it has a expensive valuation with a 8.57 Enterprise value to Capital Employed

The stock is trading at a fair value compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 23.45%, its profits have fallen by -24.9%

High Institutional Holdings at 100%

These investors have better capability and resources to analyse fundamentals of companies than most retail investors.

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to CSG Systems International, Inc. should be less than 10%
Overall Portfolio exposure to Commercial Services & Supplies should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Commercial Services & Supplies)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is CSG Systems International, Inc. for you?

Low Risk, High Return

Absolute

Risk Adjusted

Volatility

CSG Systems International, Inc.

23.45%

4.72

21.47%

S&P 500

25.41%

2.22

12.69%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

4.31%

EBIT Growth (5y)

3.92%

EBIT to Interest (avg)

6.13

Debt to EBITDA (avg)

1.48

Net Debt to Equity (avg)

1.44

Sales to Capital Employed (avg)

1.43

Tax Ratio

21.43%

Dividend Payout Ratio

64.64%

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

20.49%

ROE (avg)

24.31%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

18.30

EV to EBIT

37.27

EV to EBITDA

25.80

EV to Capital Employed

8.57

EV to Sales

4.54

PEG Ratio

Dividend Yield

58.88%

ROCE (Latest)

23.01%

ROE (Latest)

25.67%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Sideways

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

No Trend

OBV

No Trend

Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

13What is working for the Company

DIVIDEND PER SHARE(HY)

Highest at USD 3.4

INTEREST COVERAGE RATIO(Q)

Highest at 923.35

RAW MATERIAL COST(Y)

Fallen by -0.92% (YoY

DEBTORS TURNOVER RATIO(HY)

Highest at 3.4 times

OPERATING PROFIT(Q)

Highest at USD 63.27 MM

OPERATING PROFIT MARGIN(Q)

Highest at 20.17 %

PRE-TAX PROFIT(Q)

Highest at USD 44.06 MM

NET PROFIT(Q)

Highest at USD 32.63 MM

EPS(Q)

Highest at USD 0.83

-2What is not working for the Company

NET PROFIT(HY)

At USD 43.53 MM has Grown at -23.58%

Here's what is working for CSG Systems International, Inc.

Interest Coverage Ratio

Highest at 923.35

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Dividend per share

Highest at USD 3.4 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Operating Profit

Highest at USD 63.27 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (USD MM)

Operating Profit Margin

Highest at 20.17 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at USD 44.06 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

Pre-Tax Profit

At USD 44.06 MM has Grown at 45.06%

over average net sales of the previous four periods of USD 30.37 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

Net Profit

Highest at USD 32.63 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

Net Profit

At USD 32.63 MM has Grown at 79.22%

over average net sales of the previous four periods of USD 18.21 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

EPS

Highest at USD 0.83

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (USD)

Debtors Turnover Ratio

Highest at 3.4 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -0.92% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales