Insight Enterprises, Inc. (NSIT) 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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Insight Enterprises, Inc.

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Parsons Corp.

Wix.com Ltd.

Why is Insight Enterprises, Inc. ?

High Management Efficiency with a high ROCE of 15.98%

The company is Net-Debt Free

Flat results in Mar 26

OPERATING CASH FLOW(Y) Lowest at USD 258.16 MM
INTEREST(HY) At USD 47.2 MM has Grown at 55.87%
DEBTORS TURNOVER RATIO(HY) Lowest at 1.48 times

With ROCE of 14.26%, it has a fair valuation with a 1.14 Enterprise value to Capital Employed

The stock is trading at a premium compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -17.13%, its profits have fallen by -16.8%

High Institutional Holdings at 100%

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

Underperformed the market in the last 1 year

Even though the market (S&P 500) has generated returns of 22.24% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -17.13% returns

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Insight Enterprises, Inc. 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 Insight Enterprises, Inc. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Insight Enterprises, Inc.

-17.13%

-0.92

47.06%

S&P 500

22.24%

1.67

13.28%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-0.22%

EBIT Growth (5y)

7.62%

EBIT to Interest (avg)

8.57

Debt to EBITDA (avg)

1.77

Net Debt to Equity (avg)

0.57

Sales to Capital Employed (avg)

2.96

Tax Ratio

27.89%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

15.98%

ROE (avg)

15.29%

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

1.24

EV to EBIT

7.96

EV to EBITDA

6.33

EV to Capital Employed

1.14

EV to Sales

0.40

PEG Ratio

Dividend Yield

ROCE (Latest)

14.26%

ROE (Latest)

12.84%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bullish

No Trend

OBV

No Trend

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

8What is working for the Company

NET PROFIT(HY)

At USD 122.2 MM has Grown at 62.51%

RAW MATERIAL COST(Y)

Fallen by -13.1% (YoY

CASH AND EQV(HY)

Highest at USD 798.65 MM

NET SALES(Q)

Highest at USD 2,127.99 MM

-14What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD 258.16 MM

INTEREST(HY)

At USD 47.2 MM has Grown at 55.87%

DEBTORS TURNOVER RATIO(HY)

Lowest at 1.48 times

INTEREST COVERAGE RATIO(Q)

Lowest at 564.08

DEBT-EQUITY RATIO (HY)

Highest at 80.37 %

INVENTORY TURNOVER RATIO(HY)

Lowest at 32.21 times

Here's what is working for Insight Enterprises, Inc.

Net Profit

At USD 122.2 MM has Grown at 62.51%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

Net Sales

Highest at USD 2,127.99 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

Cash and Eqv

Highest at USD 798.65 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Raw Material Cost

Fallen by -13.1% (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

Depreciation

Highest at USD 28.48 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)

Here's what is not working for Insight Enterprises, Inc.

Operating Cash Flow

Lowest at USD 258.16 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Interest Coverage Ratio

Lowest at 564.08

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest

At USD 47.2 MM has Grown at 55.87%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Debtors Turnover Ratio

Lowest at 1.48 times and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Debt-Equity Ratio

Highest at 80.37 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Inventory Turnover Ratio

Lowest at 32.21 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio