* Note: Prices are in Million (M) USD.
Description:
Confluent, Inc. is dedicated to developing a cloud-native platform for data in motion that helps companies connect their applications with real-time streams in the United States and internationally. The company is headquartered in Mountain View, California.
These criteria used Company's Cash, EBITDA and Debt balance to determines its fair value:
Cash : $386 M
Debt : $1,092 M
EBITDA : $-387 M
Net Debt (Debt - Cash): $706 M
Since Ebitda is less than 0, 0 points assigned.
This criteria used industry in which company operates:
Sector: Information
Industry: Software Publishers
Based on industry, 5 points assigned.
This criteria used Company's Price To Earning (P/E) Ratio to determines its fair value:
Forward PE Ratio: 45.87
Since Forward PE Ratio is greater than 35, 0 point assigned.
This criteria used Company's ability to convert Sales into free cash flow to determine fair value:
Average Free Cash Flow: $-93 M
Average Revenue: $517 M
Revenue Converted To Free Cash FLow(%): -18%
Avg Free Cash Flow Growth Per Year (Last 5 Years): 6.45%
Since Free Cash Flow (FCF) to Revenue percentage is negative, 0 point assigned.
This criteria used company's growth potential to calculate its fair value:
Latest Revenue (2024-12-31): $964 M
Revenue 4 Years Ago (2020-12-31): $237 M
Last 5 Years Average Revenue Growth: 61%
Since Revenue Growth is greater than 20, 5 points assigned.
This criteria used Company's ability to buy back its own share:
Latest Share Count (2024-12-31): $322 M
Share Count 5 Years Ago (2020-12-31): $252 M
Company is not buying back its own shares, 0 points assigned.
This criteria used Company's dividend payout ratio to determine its fair value:
Next Year Earnings Per Share (EPS): $0.39
Trailing 12-Month Earnings Per Share (EPS): $0.36
Average Earnings Per Share (EPS): $0.38
Dividend Per Share (DPS): $0
Payout Ratio: 0%
Dividend Yield: 0%
Since Dividend Per Share is less than or equal to 0, 0 point assigned.
Since Dividend Yield is less than 1, 0 point assigned.
This criteria used Company's Return On Equity (ROE%) to determine its fair value:
Average ROE: -47%
Since Average ROE is negative, 0 point assigned.
This criteria used Company's current price to its 52 week low price to determines its fair value:
Current Price: $17
52-Week Low: $18
Threshold Price (15% Above 52-Week Low): $20
Since Current price is within 15% threshold, 5 points assigned.
This criteria used Company's Market Cap to determines its fair value:
Market Capitalization: $8,639 M
Since Market Cap is less than 10B, 1 point assigned.
% Exposure to Total Portfolio
Based on the market cap, we recommend do not exceed 2% exposure of Total Portfolio.
Value-Trade has assigned 16 points to above Confluent Inc (CFLT) stock.
Value-Trades has assined P/E value 20. Since an average (Current Year EPS + Next Year EPS) earning per share is $0.375.
The fair value of Confluent Inc (CFLT) stock should be (20 x $0.375) = $7.5
