EGain Valuation

EGAN Stock  USD 5.18  0.26  5.28%   
At this time, the firm appears to be undervalued. eGain shows a prevailing Real Value of $6.6 per share. The current price of the firm is $5.18. Our model computes the value of eGain from evaluating the firm fundamentals such as Profit Margin of 0.08 %, return on equity of 0.13, and Operating Margin of 0.05 % as well as inspecting its technical indicators and probability of bankruptcy. Key fundamental drivers impacting EGain's valuation include:
Price Book
2.4014
Enterprise Value
74.2 M
Enterprise Value Ebitda
9.9568
Price Sales
1.592
Forward PE
27.3973
Undervalued
Today
5.18
Please note that EGain's price fluctuation is slightly risky at this time. Calculation of the real value of eGain is based on 3 months time horizon. Increasing EGain's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since EGain is currently traded on the exchange, buyers and sellers on that exchange determine the market value of EGain Stock. However, EGain's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
Historical Market  5.18 Real  6.6 Target  11.0 Hype  5.18
The intrinsic value of EGain's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence EGain's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
6.60
Real Value
10.12
Upside
Estimating the potential upside or downside of eGain helps investors to forecast how EGain stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of EGain more accurately as focusing exclusively on EGain's fundamentals will not take into account other important factors:
Earnings
Estimates (0)
LowProjectedHigh
0.000.000.01
Details
Hype
Prediction
LowEstimatedHigh
1.665.188.70
Details
2 Analysts
Consensus
LowTarget PriceHigh
10.0111.0012.21
Details
Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use EGain's intrinsic value based on its ongoing forecasts of EGain's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against EGain's closest peers.

EGain Cash

73.51 Million

EGain Valuation Trend

Knowing EGain's actual value is paramount for traders when making sound investment determinations. Using both EGain's enterprise value as well as its market capitalization is the best way to estimate the value of the company and is usually enough for investors to make market timing decisions.

EGain Revenue by Product

EGain Total Value Analysis

eGain is currently forecasted to have valuation of 74.24 M with market capitalization of 147.74 M, debt of 3.77 M, and cash on hands of 72.17 M. Please note that valuation may be misleading and is a subject to auditing or accounting errors. We encourage investors to vigilantly validate all of the EGain fundamentals before making equity appraisal based on enterprise value of the company
  Takeover PriceMarket CapDebt ObligationsCash
74.24 M
147.74 M
3.77 M
72.17 M

EGain Investor Information

About 35.0% of the company shares are held by company insiders. The book value of EGain was currently reported as 2.01. The company has Price/Earnings To Growth (PEG) ratio of 0.99. eGain had not issued any dividends in recent years. The entity had 1:10 split on the 20th of August 2003. Based on the analysis of EGain's profitability, liquidity, and operating efficiency, eGain is doing better financially today then in previous quarter. It has a moderate chance of reporting better financial numbers in December.

EGain Asset Utilization

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. EGain has an asset utilization ratio of 72.57 percent. This suggests that the Company is making $0.73 for each dollar of assets. An increasing asset utilization means that eGain is more efficient with each dollar of assets it utilizes for everyday operations.
 
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Covid

EGain Ownership Allocation

Over half of EGain's outstanding shares are owned by other corporate entities. These other corporate entities are typically referred to as corporate investors that obtain positions in a given instrument to benefit from reduced trade commissions.

EGain Profitability Analysis

The company reported the previous year's revenue of 92.8 M. Net Income was 7.78 M with profit before overhead, payroll, taxes, and interest of 70.7 M.

About EGain Valuation

We use absolute and relative valuation methodologies to arrive at the intrinsic value of eGain. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of eGain based exclusively on its fundamental and basic technical indicators. By analyzing EGain's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of EGain's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of EGain. We calculate exposure to EGain's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of EGain's related companies.
Last ReportedProjected for Next Year
Gross Profit65.2 M34.2 M
Pretax Profit Margin 0.10  0.11 
Operating Profit Margin 0.06  0.07 
Net Profit Margin 0.08  0.09 
Gross Profit Margin 0.70  0.46 

EGain Growth Indicators

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
Common Stock Shares Outstanding31.5 M
Quarterly Earnings Growth Y O Y-0.386
Forward Price Earnings27.3973

EGain Current Valuation Indicators

EGain's valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final EGain's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as EGain, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use EGain's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes EGain's worth.
When determining whether eGain offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of EGain's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Egain Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Egain Stock:
Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in eGain. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in nation.
To learn how to invest in EGain Stock, please use our How to Invest in EGain guide.
You can also try the Financial Widgets module to easily integrated Macroaxis content with over 30 different plug-and-play financial widgets.
Is Application Software space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of EGain. If investors know EGain will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about EGain listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
(0.39)
Earnings Share
0.25
Revenue Per Share
3.009
Quarterly Revenue Growth
(0.09)
Return On Assets
0.0289
The market value of eGain is measured differently than its book value, which is the value of EGain that is recorded on the company's balance sheet. Investors also form their own opinion of EGain's value that differs from its market value or its book value, called intrinsic value, which is EGain's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because EGain's market value can be influenced by many factors that don't directly affect EGain's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between EGain's value and its price as these two are different measures arrived at by different means. Investors typically determine if EGain is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, EGain's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.