SolarWinds Corp
NYSE:SWI
Intrinsic Value
SolarWinds Corp. engages in the provision of information technology (IT)infrastructure management software. [ Read More ]
The intrinsic value of one SWI stock under the Base Case scenario is 23.63 USD. Compared to the current market price of 12.62 USD, SolarWinds Corp is Undervalued by 47%.
Valuation Backtest
SolarWinds Corp
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Fundamental Analysis
Robust Q4 Growth Leads to Positive Outlook
2023-Q4 Earnings Call
The company closed Q4 with $198 million in total revenue, up 6% year-over-year, beating the high end of guidance. Subscription revenue surged 36%, and subscription annual recurring revenue (ARR) grew by 34%, contributing to a robust 15% increase in customers with over $100,000 of total ARR. Adjusted EBITDA stood at $87 million, 17% higher than the previous year, with a 44% margin. Strong performance cemented a 95-96% maintenance renewal rate. For Q1, they foresee revenues of $187-192 million (2% growth) and adjusted EBITDA of $81.5-84.5 million (7% growth). The outlook for the full year is optimistic, projecting total revenue of $771-786 million (3% growth) and adjusted EBITDA of $350-360 million (8% growth). Earnings per share are estimated at $0.95 to $1.
Balance Sheet Decomposition
SolarWinds Corp
Current Assets | 421.3m |
Cash & Short-Term Investments | 289.2m |
Receivables | 103.9m |
Other Current Assets | 28.2m |
Non-Current Assets | 2.8B |
PP&E | 63.4m |
Intangibles | 2.6B |
Other Non-Current Assets | 184.9m |
Current Liabilities | 468.8m |
Accounts Payable | 9.7m |
Accrued Liabilities | 72.5m |
Other Current Liabilities | 386.6m |
Non-Current Liabilities | 1.3B |
Long-Term Debt | 1.2B |
Other Non-Current Liabilities | 149.1m |
Earnings Waterfall
SolarWinds Corp
Revenue
|
758.7m
USD
|
Cost of Revenue
|
-87m
USD
|
Gross Profit
|
671.7m
USD
|
Operating Expenses
|
-521.4m
USD
|
Operating Income
|
150.4m
USD
|
Other Expenses
|
-159.5m
USD
|
Net Income
|
-9.1m
USD
|
Free Cash Flow Analysis
SolarWinds Corp
What is Free Cash Flow?
SWI Profitability Score
Profitability Due Diligence
SolarWinds Corp's profitability score is 44/100. The higher the profitability score, the more profitable the company is.
Score
SolarWinds Corp's profitability score is 44/100. The higher the profitability score, the more profitable the company is.
SWI Solvency Score
Solvency Due Diligence
SolarWinds Corp's solvency score is 29/100. The higher the solvency score, the more solvent the company is.
Score
SolarWinds Corp's solvency score is 29/100. The higher the solvency score, the more solvent the company is.
Wall St
Price Targets
SWI Price Targets Summary
SolarWinds Corp
According to Wall Street analysts, the average 1-year price target for SWI is 15.43 USD with a low forecast of 12.63 USD and a high forecast of 27.3 USD.
Ownership
SWI Insider Trading
Buy and sell transactions by insiders
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Shareholder Return
SWI Price
SolarWinds Corp
Average Annual Return | -14.87% |
Standard Deviation of Annual Returns | 16.88% |
Max Drawdown | -67% |
Market Capitalization | 2.1B USD |
Shares Outstanding | 166 671 008 |
Percentage of Shares Shorted | 1.19% |
Company Profile
Country
Industry
Market Cap
Dividend Yield
Description
SolarWinds Corp. engages in the provision of information technology (IT)infrastructure management software. The company is headquartered in Austin, Texas and currently employs 2,147 full-time employees. The company went IPO on 2018-10-19. The firm is focused on building products that enable technology professionals to manage all IT things. Its SolarWinds Model enables it to market and sell its products directly to network and systems engineers, database administrators, storage administrators, DevOps and SecOps service desk professionals. The firm engages with its registered members through THWACK, which is its online community designed to train and inform technology professionals about its products. The Company’s IT products provide hybrid IT performance management with visibility into application and IT infrastructure. The Company’s suite of network management software provides real-time visibility into network utilization and bandwidth, as well as the ability to detect, diagnose and resolve network performance problems.
Contact
IPO
Employees
Officers
The intrinsic value of one SWI stock under the Base Case scenario is 23.63 USD.
Compared to the current market price of 12.62 USD, SolarWinds Corp is Undervalued by 47%.