Vonage Holdings Corp. [NYSE:VG]: Analyst Rating and Earnings
Expert stock traders often make certain they pay attention what leading Wall Street analysts think regarding a potential stock purchase. As it relates to Vonage Holdings Corp. [VG] currently, the latest ratings from Wall St. experts that can be seen publicly is related to the fiscal quarter that’s scheduled to end in December. On average, stock market experts give VG an Outperform rating. Its stock price has been found in the range of 7.91 to 14.73. This is compared to its latest closing price of $11.55.
Wall Street analysts provide their ratings on a scale of 1 to 5, and the current average score for Vonage Holdings Corp. [VG] is sitting at 1.64. This is compared to 1 month ago, when its average rating was 1.64.
For the quarter ending in Mar-19 Vonage Holdings Corp. [VG] generated $0.28 billion in sales. That’s 0.64% higher than the average estimate of $0.28 billion as provided by Wall Street analysts. The three indicators above suggest that overall, this stock is demonstrating a mixed bag of positive appeal and some drawbacks, making it a somewhat risky investment that also has the potential to generate high ROI in the long run.
Pay attention to the next-scheduled financial results for this company to be released, which is slated for Wed 7 Aug (In 82 Days).
Fundamental Analysis of Vonage Holdings Corp. [VG]
Now let’s turn to look at profitability: with a current Operating Margin for Vonage Holdings Corp. [VG] sitting at +6.26 and its Gross Margin at +52.52, this company’s Net Margin is now 1.00%. These metrics indicate that this company is not generating as much profit, after accounting for expenses, compared to its market peers.
This company’s Return on Total Capital is 7.46, and its Return on Invested Capital has reached 4.80%. Its Return on Equity is 7.08, and its Return on Assets is 3.37. These metrics suggest that this Vonage Holdings Corp. does a poor job of managing its assets, and likely won’t be able to provide successful business outcomes for its investors in the near term.
Turning to investigate this organization’s capital structure, Vonage Holdings Corp. [VG] has generated a Total Debt to Total Equity ratio of 96.91. Similarly, its Total Debt to Total Capital is 49.22, while its Total Debt to Total Assets stands at 41.23. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 95.05, and its Long-Term Debt to Total Capital is 48.27. This company has a healthy balance between its debt and its current holdings, suggesting it is a reliable investment due to its ability to leverage debt in an efficient way.
What about valuation? This company’s Enterprise Value to EBITDA is 24.37 and its Total Debt to EBITDA Value is 3.80. The Enterprise Value to Sales for this firm is now 3.10, and its Total Debt to Enterprise Value stands at 0.19. Vonage Holdings Corp. [VG] has a Price to Book Ratio of 3.91, a Price to Cash Flow Ratio of 17.64 and P/E Ratio of 282.42. These metrics show that this company has a mixed appeal, and ROI could be a gain or a loss.
Shifting the focus to workforce efficiency, Vonage Holdings Corp. [VG] earns $466,540 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 17.55 and its Total Asset Turnover is 0.99. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 0.56 and its Current Ratio is 0.57. This company is not investing its short-term assets in an optimally efficient way, making it a riskier investment.
Vonage Holdings Corp. [VG] has 239.91M shares outstanding, amounting to a total market cap of $2.77B. Its stock price has been found in the range of 7.91 to 14.73. At its current price, it has moved by -20.06% from its 52-week high, and it has moved 48.77% from its 52-week low.
This stock’s Beta value is currently 0.52, which indicates that it is more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 75.17. This RSI suggests that Vonage Holdings Corp. is currently Overbought.
Conclusion: Is Vonage Holdings Corp. [VG] a Reliable Buy?
Shares of Vonage Holdings Corp. [VG], on the whole, present investors with both positive and negative signals. Wall Street analysts have mixed reviews when it comes to the 12-month price outlook, and this company’s financials show a combination of strengths and weaknesses. Based on the price performance, this investment is somewhat risky while presenting reasonable potential for ROI.