TSSW Fundamental Analysis: Source Ameritrade Valuations
Valuation
“ Because TSSW is in the Software & Programming industry and has positive earnings, the PE ratio is the most appropriate valuation measure. The Price to Book ratio is excluded since it likely underestimates the company's book value by overlooking hidden assets such as intellectual property. The Price to Sales ratio is not as meaningful as the PE ratio, due to the company's positive earnings. Therefore TSSW seems valued at a discount with a PE value of 24.87, one of the lowest in the Software & Programming industry. “
Valuation Ratios
Price to Earnings:
TSSW: 24.87 Industry Avg: 120.67 Lower is Better
Price to Sales:
TSSW: 5.42 Industry Avg: 5.85 Lower is Better
Profitability
“ Based on its gross margin, operating margin, and net margin, TSSW converts a larger percentage of its revenues to profits than most other companies in the Software & Programming industry. Furthermore, the company is profitable with an operating margin of 22.49%. “
Profitability Ratios
Gross Profit Margin
TSSW: 93.34% Industry Avg: 73.23 Higher is Better
Net Profit Margin
TSSW: 22.49% Industry Avg: 16.00% Higher is Better
Growth Rates
EPS Most Recent Qtr
TSSW: 132.01% Industry Avg: 59.69 Higher is Better
EPS TTL
TSSW: 3343% Industry Avg: 23.42% Higher is Better
Revenue Growth Most Recent Qtr
TSSW: 88.30% Industry Avg: 32.99% Higher is Better
Revenue Growth TTL
TSSW: 99.20% Industry Avg: 22.63 Higher is Better
Effectiveness
“TSSW is consistently one of the most efficient companies in the Software & Programming industry. With a Return on Assets, Revenues Per Employee, and Return on Equity of 58.81%, $321,900.00, and 88.45% respectively, they are among the most effective companies in the industry“
Effectiveness Ratios
Return On Equity
TSSW: 88.45% Industry: 24.55% Higher is Better
Return on Assets
TSSW: 58.81% Industry: 13.96% Higher is Better
Return on Income
TSSW: 75.89% Industry: 20.71% Higher is Better
Revenue Per Employee
TSSW: 321,900 Industry: 446,795 Higher is Better
Financial Strength
“ TSSW appears to have little financial risk as the liquid assets shown on its balance sheet are more than enough to eradicate its current debt load. “
Quick Ratio
TSSW: 3.3 Industry: 2.26 Higher is Better |
