AVYA:NYE-Avaya Holdings Corp (USD)

COMMON STOCK | Software—Application | NYE

Last Closing Price

USD 13.80

Change

0.00 (0.00)%

Market Cap

USD 1.15B

Volume

1.02M

Average Target Price

USD 17.10 (+23.91%)
Average Analyst Rating

Verdict

Fundamental Analysis

Verdict

About

Avaya Holdings Corp., through its subsidiaries, provides digital communications products, solutions, and services for businesses worldwide. The company operates through two segments, Products & Solutions, and Services. The Products & Solutions segment offers unified communications and contact center platforms, applications, and devices. It also provides an open development platform for customers and third parties to create custom applications and automated workflows for their needs; and contact center solutions that enable customers to build a customized portfolio of applications driving customer engagement and customer value. This segments communications solutions include voice, email, chat, social media, video, and performance management. The Services segment provides global support services, enterprise cloud and managed services, and professional services. The company also delivers cloud business communications services and solutions to connect with customers. Avaya Holdings Corp. sells directly through its sales force, as well as indirectly through its network of channel partners, including distributors, service providers, dealers, value-added resellers, system integrators, and business partners. The company has a strategic collaboration with RingCentral, Inc. to accelerate the company's transition to the cloud. The company is based in Santa Clara, California.

Technical Indicators

Unadjusted Closing Price

Adjusted Closing Price

Share Volume

Relative Performance (Total Returns)

Compare
Relative Returns (From:    To: 2020-09-26 )

Largest Industry Peers for Software—Application

Symbol Name Price(Change) Market Cap Price / Earning Ratio EV/EBITDA
CRM salesforce.com, inc

N/A

USD220.89B 95.02 81.35
SAP SAP SE

N/A

USD182.09B 34.29 21.94
SHOP Shopify Inc

N/A

USD116.79B N/A N/A
NOW ServiceNow, Inc

N/A

USD92.06B 124.69 163.56
UBER Uber Technologies, Inc

N/A

USD60.40B 2,387.22 N/A
RNG RingCentral, Inc

N/A

USD23.98B N/A 14,996.82
PAYC Paycom Software, Inc

N/A

USD16.61B 90.53 57.92
WORK Slack Technologies, Inc

N/A

USD15.55B N/A N/A
TYL Tyler Technologies, Inc

N/A

USD13.90B 72.66 54.30
HUBS HubSpot, Inc

N/A

USD13.40B N/A 8,474.84

ETFs Containing AVYA

Symbol Name Weight Mer Price(Change) Market Cap

N/A

Market Performance

  Market Performance vs.
Industry/Classification (Software—Application)
Market Performance vs. Exchange
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
YTD  
Capital Gain 2.22% 36% F 76% C
Dividend Return N/A N/A N/A N/A N/A
Total Return 2.22% 36% F 73% C
Trailing 12 Months  
Capital Gain 33.98% 52% F 90% A-
Dividend Return N/A N/A N/A N/A N/A
Total Return 33.98% 53% F 90% A-
Trailing 5 Years  
Capital Gain N/A N/A N/A N/A N/A
Dividend Return N/A N/A N/A N/A N/A
Total Return N/A N/A N/A N/A N/A
Average Annual (5 Year Horizon)  
Capital Gain -14.15% N/A N/A 8% F
Dividend Return N/A N/A N/A N/A N/A
Total Return -14.15% N/A N/A 7% F
Risk Return Profile  
Volatility (Standard Deviation) 20.82% N/A N/A 37% F
Risk Adjusted Return -67.94% N/A N/A 5% F
Market Capitalization 1.15B 29% F 58% F
Letter Grade Percentage Letter Grade Percentage Letter Grade Percentage
A+ 97%-100% A 93%-96% A- 90%-92%
B+ 97%-89% B 83%-86% B- 80%-82%
C+ 77%-79% C 73%-76% C- 70%-72%
D+ 67%-69% D 63%-66% D- 60%-62%
F 0%-59%

Key Financial Ratios

  Ratio vs. Industry/Classification
(Software—Application)
Ratio vs. Market
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
Market Value  
Price / Earning Ratio 7.19 96% A 83% B
Price/Book Ratio 5.44 77% C+ 14% F
Price / Cash Flow Ratio 4.75 68% D+ 55% F
EV/EBITDA 304.70 21% F 2% F
Management Effectiveness  
Return on Equity -83.03% 10% F 5% F
Return on Invested Capital 4.44% 71% C- 44% F
Return on Assets 2.00% 77% C+ 49% F
Debt to Equity Ratio 237.69% 7% F 12% F
Technical Ratios  
Short Ratio 13.03 11% F 4% F
Short Percent 28.65% 3% F 25% F
Beta 1.99 8% F 12% F
Letter Grade Percentage Letter Grade Percentage Letter Grade Percentage
A+ 97%-100% A 93%-96% A- 90%-92%
B+ 97%-89% B 83%-86% B- 80%-82%
C+ 77%-79% C 73%-76% C- 70%-72%
D+ 67%-69% D 63%-66% D- 60%-62%
F 0%-59%

Annual Financials (USD)

Quarterly Financials (USD)

Analyst Rating

Target Price Action Rating Action Analyst Rating Price Date

Fundamental Analysis Breakdown

This is a composite scorecard based on the application of evaluation criteria deemed most important by analysts. This is not a buy or sell recommendation.

What to like:
Underpriced compared to earnings

The stock is trading low compared to its peers on a price to earning basis and is in the top quartile. It may be underpriced but do check its financial performance to make sure there is no specific reason.

Underpriced compared to book value

The stock is trading low compared to its peers on a price to book value basis and is in the top quartile. It may be underpriced but do check its financial performance to make sure there is no specific reason.

Superior return on assets

The company management has delivered better return on assets in the most recent 4 quarters than its peers, placing it in the top quartile.

Positive cash flow

The company had positive total cash flow in the most recent four quarters.

Positive free cash flow

The company had positive total free cash flow in the most recent four quarters.

What to not like:
Low market capitalization

This is among the smaller entities in its sectors with below median market capitalization. That may make it less stable in the long run unless it has a unique technology or market which can help it grow or get acquired in future.

Higly leveraged

The company is in the bottom half compared to its sector peers on debt to equity and is highly leveraged. However, do check the news and look at its sector and management statements. Sometimes this is high because the company is trying to grow aggressively.

Overpriced on free cash flow basis

The stock is trading high compared to its peers on a price to free cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.

Low Earnings Growth

This stock has shown below median earnings growth in the previous 5 years compared to its sector

Low Revenue Growth

This stock has shown below median revenue growth in the previous 5 years compared to its sector