Compucom Software Limited
Compucom Software Limited Fundamental Analysis
Compucom Software Limited (COMPUSOFT.BO) shows weak financial fundamentals with a PE ratio of 37.06, profit margin of 7.37%, and ROE of 1.88%. The company generates $0.4B in annual revenue with strong year-over-year growth of 28.73%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 53.2/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze COMPUSOFT.BO's fundamental strength across five key dimensions:
Efficiency Score
WeakCOMPUSOFT.BO struggles to generate sufficient returns from assets.
Valuation Score
ModerateCOMPUSOFT.BO shows balanced valuation metrics.
Growth Score
ModerateCOMPUSOFT.BO shows steady but slowing expansion.
Financial Health Score
ExcellentCOMPUSOFT.BO maintains a strong and stable balance sheet.
Profitability Score
WeakCOMPUSOFT.BO struggles to sustain strong margins.
Key Financial Metrics
Is COMPUSOFT.BO Expensive or Cheap?
P/E Ratio
COMPUSOFT.BO trades at 37.06 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, COMPUSOFT.BO's PEG of -2.12 indicates potential undervaluation.
Price to Book
The market values Compucom Software Limited at 0.69 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 5.09 times EBITDA. This is generally considered low.
How Well Does COMPUSOFT.BO Make Money?
Net Profit Margin
For every $100 in sales, Compucom Software Limited keeps $7.37 as profit after all expenses.
Operating Margin
Core operations generate 1.86 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $1.88 in profit for every $100 of shareholder equity.
ROA
Compucom Software Limited generates $1.26 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Compucom Software Limited generates limited operating cash flow of $10.88M, signaling weaker underlying cash strength.
Free Cash Flow
Compucom Software Limited generates weak or negative free cash flow of $-48.25M, restricting financial flexibility.
FCF Per Share
Each share generates $-0.61 in free cash annually.
FCF Yield
COMPUSOFT.BO converts -4.93% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
37.06
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-2.12
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.69
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.73
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.33
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.20
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.02
vs 25 benchmark
ROA
Return on assets percentage
0.01
vs 25 benchmark
ROCE
Return on capital employed
0.004
vs 25 benchmark
How COMPUSOFT.BO Stacks Against Its Sector Peers
| Metric | COMPUSOFT.BO Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 37.06 | 22.35 | Worse (Expensive) |
| ROE | 1.88% | 1280.00% | Weak |
| Net Margin | 7.37% | -5505.00% (disorted) | Weak |
| Debt/Equity | 0.33 | 0.83 | Strong (Low Leverage) |
| Current Ratio | 2.20 | 2.43 | Strong Liquidity |
| ROA | 1.26% | -199583.00% (disorted) | Weak |
COMPUSOFT.BO outperforms its industry in 2 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Compucom Software Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
3.12%
Industry Style: Defensive, Dividend, Low Volatility
GrowingEPS CAGR
47.21%
Industry Style: Defensive, Dividend, Low Volatility
High GrowthFCF CAGR
-416.38%
Industry Style: Defensive, Dividend, Low Volatility
Declining