Why is eGain Corp. ?
1
Company has a low Debt to Equity ratio (avg) at times
2
With ROE of 5.61%, it has a very expensive valuation with a 3.04 Price to Book Value
- Over the past year, while the stock has generated a return of 99.25%, its profits have fallen by -67.3%
3
High Institutional Holdings at 59.17%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
4
Market Beating Performance
- The stock has generated a return of 99.25% in the last 1 year, much higher than market (S&P 500) returns of 12.33%
How much should you buy?
- Overall Portfolio exposure to eGain Corp. should be less than 10%
- Overall Portfolio exposure to Computers - Software & Consulting should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Computers - Software & Consulting)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is eGain Corp. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
eGain Corp.
96.45%
1.00
71.94%
S&P 500
13.22%
0.61
20.17%
Quality key factors
Factor
Value
Sales Growth (5y)
3.99%
EBIT Growth (5y)
-9.78%
EBIT to Interest (avg)
3.26
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-1.31
Sales to Capital Employed (avg)
1.49
Tax Ratio
33.59%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
59.17%
ROCE (avg)
0
ROE (avg)
7.62%
Valuation Key Factors 
Factor
Value
P/E Ratio
54
Industry P/E
Price to Book Value
3.04
EV to EBIT
37.49
EV to EBITDA
17.22
EV to Capital Employed
-5.59
EV to Sales
1.02
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
Negative Capital Employed
ROE (Latest)
5.61%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
No Trend
Mildly Bullish
OBV
No Trend
No Trend
Technical Movement
26What is working for the Company
ROCE(HY)
Highest at 46.33%
RAW MATERIAL COST(Y)
Fallen by -4.9% (YoY
NET SALES(Q)
Highest at USD 23.23 MM
OPERATING PROFIT(Q)
Highest at USD 3.95 MM
OPERATING PROFIT MARGIN(Q)
Highest at 17.02 %
PRE-TAX PROFIT(Q)
Highest at USD 3.3 MM
NET PROFIT(Q)
Highest at USD 30.86 MM
EPS(Q)
Highest at USD 1.11
-2What is not working for the Company
DEBT-EQUITY RATIO
(HY)
Highest at -73.39 %
DEBTORS TURNOVER RATIO(HY)
Lowest at 2.74 times
Here's what is working for eGain Corp.
Pre-Tax Profit
At USD 3.3 MM has Grown at 202.55%
over average net sales of the previous four periods of USD 1.09 MMMOJO Watch
Near term Pre-Tax Profit trend is very positive
Pre-Tax Profit (USD MM)
Net Profit
At USD 30.86 MM has Grown at 4,164.59%
over average net sales of the previous four periods of USD 0.72 MMMOJO Watch
Near term Net Profit trend is very positive
Net Profit (USD MM)
Net Sales
Highest at USD 23.23 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (USD MM)
Operating Profit
Highest at USD 3.95 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (USD MM)
Operating Profit Margin
Highest at 17.02 %
in the last five periodsMOJO Watch
Company's profit margin has improved
Operating Profit to Sales
Pre-Tax Profit
Highest at USD 3.3 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (USD MM)
Net Profit
Highest at USD 30.86 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (USD MM)
EPS
Highest at USD 1.11
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (USD)
Raw Material Cost
Fallen by -4.9% (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
Here's what is not working for eGain Corp.
Debt-Equity Ratio
Highest at -73.39 %
in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Debtors Turnover Ratio
Lowest at 2.74 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling Debtors has slowed
Debtors Turnover Ratio






