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Evolving Systems

Nasdaq:EVOL
Snowflake Description

Mediocre balance sheet with moderate growth potential.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
EVOL
Nasdaq
$12M
Market Cap
  1. Home
  2. US
  3. Software
Company description

Evolving Systems, Inc. provides real-time digital engagement solutions and services to the wireless, wireline, and cable network operators in the United Kingdom and internationally. The last earnings update was 6 days ago. More info.


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  • Evolving Systems has significant price volatility in the past 3 months.
EVOL Share Price and Events
7 Day Returns
-16.4%
NasdaqCM:EVOL
2.5%
US Software
0.7%
US Market
1 Year Returns
-34%
NasdaqCM:EVOL
32.7%
US Software
13.7%
US Market
EVOL Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Evolving Systems (EVOL) -16.4% -14.9% 36.4% -34% -75.4% -90.2%
US Software 2.5% 9.9% 4.7% 32.7% 116.8% 154.3%
US Market 0.7% 4.7% 6.1% 13.7% 39.2% 44.5%
1 Year Return vs Industry and Market
  • EVOL underperformed the Software industry which returned 32.7% over the past year.
  • EVOL underperformed the Market in United States of America which returned 13.7% over the past year.
Price Volatility
EVOL
Industry
5yr Volatility vs Market

Value

 Is Evolving Systems undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Evolving Systems to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Evolving Systems.

NasdaqCM:EVOL Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Extrapolated from most recent financials. See below
Discount Rate (Cost of Equity) See below 10.6%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NasdaqCM:EVOL
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Software Unlevered Beta Simply Wall St/ S&P Global 1.13
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.126 (1 + (1- 21%) (38.47%))
1.314
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.31
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.314 * 5.96%)
10.56%

Discounted Cash Flow Calculation for NasdaqCM:EVOL using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Evolving Systems is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

NasdaqCM:EVOL DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 10.56%)
2020 0.06 Est @ -52.08% 0.05
2021 0.04 Est @ -35.63% 0.03
2022 0.03 Est @ -24.13% 0.02
2023 0.02 Est @ -16.07% 0.02
2024 0.02 Est @ -10.43% 0.01
2025 0.02 Est @ -6.48% 0.01
2026 0.02 Est @ -3.72% 0.01
2027 0.02 Est @ -1.78% 0.01
2028 0.02 Est @ -0.43% 0.01
2029 0.02 Est @ 0.52% 0.01
Present value of next 10 years cash flows $0.00
NasdaqCM:EVOL DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= $0.02 × (1 + 2.73%) ÷ (10.56% – 2.73%)
$0.25
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $0.25 ÷ (1 + 10.56%)10
$0.09
NasdaqCM:EVOL Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $0.00 + $0.09
$0.09
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $0.09 / 12.16
$0.01
NasdaqCM:EVOL Discount to Share Price
Calculation Result
Value per share (USD) From above. $0.01
Current discount Discount to share price of $0.97
= -1 x ($0.97 - $0.01) / $0.01
-12646.3%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Evolving Systems is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Evolving Systems's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Evolving Systems's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NasdaqCM:EVOL PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-09-30) in USD $-2.00
NasdaqCM:EVOL Share Price ** NasdaqCM (2019-11-18) in USD $0.97
United States of America Software Industry PE Ratio Median Figure of 71 Publicly-Listed Software Companies 44.43x
United States of America Market PE Ratio Median Figure of 2,924 Publicly-Listed Companies 18.25x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Evolving Systems.

NasdaqCM:EVOL PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqCM:EVOL Share Price ÷ EPS (both in USD)

= 0.97 ÷ -2.00

-0.48x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Evolving Systems is loss making, we can't compare its value to the US Software industry average.
  • Evolving Systems is loss making, we can't compare the value of its earnings to the United States of America market.
Price based on expected Growth
Does Evolving Systems's expected growth come at a high price?
Raw Data
NasdaqCM:EVOL PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section -0.48x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts
75.3%per year
United States of America Software Industry PEG Ratio Median Figure of 60 Publicly-Listed Software Companies 2.54x
United States of America Market PEG Ratio Median Figure of 2,038 Publicly-Listed Companies 1.46x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for Evolving Systems, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Evolving Systems's assets?
Raw Data
NasdaqCM:EVOL PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-09-30) in USD $0.84
NasdaqCM:EVOL Share Price * NasdaqCM (2019-11-18) in USD $0.97
United States of America Software Industry PB Ratio Median Figure of 214 Publicly-Listed Software Companies 5.84x
United States of America Market PB Ratio Median Figure of 5,086 Publicly-Listed Companies 1.76x
NasdaqCM:EVOL PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqCM:EVOL Share Price ÷ Book Value per Share (both in USD)

= 0.97 ÷ 0.84

1.16x

* Primary Listing of Evolving Systems.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Evolving Systems is good value based on assets compared to the US Software industry average.
X
Value checks
We assess Evolving Systems's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Software industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Software industry average (and greater than 0)? (1 check)
  5. Evolving Systems has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Evolving Systems expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

  • No analysts cover Evolving Systems, future earnings growth has been estimated based on fundamentals.
The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
75.3%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Evolving Systems expected to grow at an attractive rate?
  • Evolving Systems's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Evolving Systems's earnings growth is expected to exceed the United States of America market average.
  • Unable to compare Evolving Systems's revenue growth to the United States of America market average as no estimate data is available.
Annual Growth Rates Comparison
Raw Data
NasdaqCM:EVOL Future Growth Rates Data Sources
Data Point Source Value (per year)
NasdaqCM:EVOL Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts 75.3%
United States of America Software Industry Earnings Growth Rate Market Cap Weighted Average 14.7%
United States of America Software Industry Revenue Growth Rate Market Cap Weighted Average 11.9%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14.4%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.3%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NasdaqCM:EVOL Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NasdaqCM:EVOL Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-09-30 26 0 -24
2019-06-30 27 0 -24
2019-03-31 29 0 -16
2018-12-31 31 3 -15
2018-09-30 33 4 1
2018-06-30 33 6 1
2018-03-31 31 5 2
2017-12-31 29 3 3
2017-09-30 26 4 4
2017-06-30 24 4 4
2017-03-31 24 8 4
2016-12-31 25 7 3

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Evolving Systems's earnings are expected to grow significantly at over 20% yearly.
  • Unable to determine if Evolving Systems is high growth as no revenue estimate data is available.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NasdaqCM:EVOL Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below

All data from Evolving Systems Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqCM:EVOL Past Financials Data
Date (Data in USD Millions) EPS *
2019-09-30 -2.00
2019-06-30 -1.94
2019-03-31 -1.35
2018-12-31 -1.22
2018-09-30 0.07
2018-06-30 0.09
2018-03-31 0.17
2017-12-31 0.21
2017-09-30 0.35
2017-06-30 0.36
2017-03-31 0.34
2016-12-31 0.29

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Evolving Systems will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Evolving Systems's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Evolving Systems has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Evolving Systems performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Evolving Systems's growth in the last year to its industry (Software).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Evolving Systems does not make a profit and their year on year earnings growth rate was negative over the past 5 years.
  • Unable to compare Evolving Systems's 1-year earnings growth to the 5-year average as it is not currently profitable.
  • Unable to compare Evolving Systems's 1-year growth to the US Software industry average as it is not currently profitable.
Earnings and Revenue History
Evolving Systems's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Evolving Systems Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqCM:EVOL Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-09-30 25.99 -24.30 12.49 4.96
2019-06-30 27.29 -23.53 12.87 4.86
2019-03-31 29.18 -16.39 13.76 4.61
2018-12-31 30.64 -14.79 13.27 4.17
2018-09-30 32.88 0.87 14.58 3.43
2018-06-30 33.01 1.08 14.40 2.71
2018-03-31 31.10 2.03 12.62 2.42
2017-12-31 28.81 2.52 11.28 2.04
2017-09-30 25.76 4.12 9.28 2.03
2017-06-30 24.32 4.30 8.47 2.37
2017-03-31 24.17 3.98 8.51 2.53
2016-12-31 24.78 3.44 8.82 3.01
2016-09-30 25.73 3.23 9.05 3.45
2016-06-30 25.40 2.86 9.21 3.66
2016-03-31 25.40 2.86 9.70 3.79
2015-12-31 25.58 3.30 9.85 3.85
2015-09-30 26.10 3.81 9.75 3.74
2015-06-30 27.89 4.92 9.65 3.78
2015-03-31 29.76 5.82 9.37 3.77
2014-12-31 29.68 5.61 9.37 3.64
2014-09-30 28.65 4.81 9.55 3.63
2014-06-30 27.16 4.05 9.56 3.40
2014-03-31 25.01 3.28 9.31 3.13
2013-12-31 25.09 3.81 9.01 2.96
2013-09-30 25.37 4.44 8.46 3.00
2013-06-30 26.14 4.76 8.42 2.96
2013-03-31 27.01 5.98 8.63 3.05
2012-12-31 26.25 5.56 8.68 3.07

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • It is difficult to establish if Evolving Systems has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
  • It is difficult to establish if Evolving Systems has efficiently used its assets last year compared to the US Software industry average (Return on Assets) as it is loss-making.
  • It is difficult to establish if Evolving Systems improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
X
Past performance checks
We assess Evolving Systems's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Software industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Evolving Systems has a total score of 0/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Evolving Systems's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Evolving Systems's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Evolving Systems is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Evolving Systems's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Evolving Systems's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 5x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Evolving Systems Company Filings, last reported 1 month ago.

NasdaqCM:EVOL Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-09-30 10.20 3.25 4.25
2019-06-30 10.50 4.27 5.31
2019-03-31 17.76 5.15 5.56
2018-12-31 18.42 5.94 6.73
2018-09-30 34.69 6.97 8.52
2018-06-30 34.61 7.73 9.29
2018-03-31 35.99 8.23 8.67
2017-12-31 34.41 8.75 7.56
2017-09-30 34.16 9.41 7.58
2017-06-30 32.87 4.99 5.51
2017-03-31 30.75 5.48 7.51
2016-12-31 29.33 6.00 7.61
2016-09-30 29.20 5.99 6.94
2016-06-30 28.94 5.99 5.91
2016-03-31 30.80 5.98 3.66
2015-12-31 32.16 10.00 8.40
2015-09-30 31.81 10.00 9.41
2015-06-30 33.47 0.00 10.25
2015-03-31 32.54 0.00 11.04
2014-12-31 34.05 0.00 9.78
2014-09-30 34.11 0.00 10.98
2014-06-30 34.35 0.00 12.38
2014-03-31 32.76 0.00 12.41
2013-12-31 32.74 0.00 13.79
2013-09-30 31.53 0.00 13.72
2013-06-30 30.17 0.00 13.37
2013-03-31 30.06 0.00 11.46
2012-12-31 30.84 0.00 8.84
  • Evolving Systems's level of debt (31.9%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (0% vs 31.9% today).
  • Debt is not well covered by operating cash flow (9.6%, less than 20% of total debt).
  • Unable to confirm if the interest payments on Evolving Systems's debt are well covered by earnings due to lack of past financial data.
X
Financial health checks
We assess Evolving Systems's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Evolving Systems has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Evolving Systems's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Evolving Systems dividends.
If you bought $2,000 of Evolving Systems shares you are expected to receive $0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Evolving Systems's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Evolving Systems's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NasdaqCM:EVOL Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
United States of America Software Industry Average Dividend Yield Market Cap Weighted Average of 21 Stocks 1.4%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 1956 Stocks 2.3%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.6%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NasdaqCM:EVOL Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2018-04-03 0.000 0.000
2018-04-02 0.000 0.000
2017-11-14 0.000 0.000
2017-11-13 0.000 0.000
2017-08-08 0.000 0.000
2017-05-11 0.000 0.000
2017-03-28 0.000 0.000
2016-11-08 0.000 0.000
2016-05-03 0.440 9.395
2016-03-15 0.440 7.649
2015-08-04 0.440 7.832
2015-05-05 0.440 4.968
2015-03-17 0.440 4.765
2014-08-05 0.440 4.650
2014-05-06 0.400 4.649
2014-03-11 0.400 4.523
2013-11-12 0.400 4.146
2013-08-13 0.400 4.238
2013-05-07 0.320 4.720
2013-03-12 2.170 35.246
2012-11-13 0.200 3.096
2012-08-07 0.200 3.121
2012-01-06 0.200 3.559
2011-08-11 0.200 2.911
2011-05-11 0.200 2.824
2011-03-03 0.200 2.735
2010-11-04 0.200 2.487
2010-08-05 0.200 2.757

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Evolving Systems has not reported any payouts.
  • Unable to verify if Evolving Systems's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Evolving Systems's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Evolving Systems has not reported any payouts.
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Evolving Systems's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Evolving Systems afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Evolving Systems has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Evolving Systems's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Matthew Stecker
COMPENSATION $309,940
AGE 51
TENURE AS CEO 1.3 years
CEO Bio

Mr. Matthew Stecker has been the President and Chief Executive Officer of Evolving Systems, Inc. since July 16, 2018. He served as a Senior Policy Advisor to the United States Department of Commerce from 2014 to 2017. Mr. Stecker served as the Chief Executive Officer and President of Live Microsystems, Inc., from November 30, 2009 to December 2013. He has 20 years of experience with a deep background in the telecommunications and wireless industries and a successful track record in turnarounds, M&A and operations. From October 2014 through August 2015, Mr. Stecker served as Founder and Chief Executive Officer of Kaneland, LLC. From May 2013 through October 2014, Mr. Stecker served as Vice President, Mobile Content—North America for RealNetworks, Inc., a telecommunications and media firm. He has served as Vice President and leader of CSMG/TMNG's technology strategy practice, consulting to some of the world's leading brands as they navigate the convergence of the Media and Telecom industries. Mr. Stecker’s expertise in areas such as corporate governance, mobile advertising and turnarounds as well as his service as an entrepreneur and executive in the mobile and telecommunications industries. He served as Chief Technology Officer of Uphonia, Inc. (formerly, Smartserv Online) since April 2004 and was responsible for developing and managing its Mobile Applications Technology and retail and web-based mobile content delivery network. He served as a senior advisor in the United States Department of Commerce since September of 2015. Mr. Stecker served as a Technology Director of Vindigo, Inc., from 2000 to 2003, where he led the team that built one of the first mobile advertising systems to consistently generate annual revenue. He served as President of Marble Associates, Inc. of Boston, MA. Mr. Stecker served as the Vice President of Mobile Entertainment for RealNetworks from January 2014 to November 2014, where he oversaw the SMS interoperability business and a Senior Executive in both Telecom Operations and Strategy at Cartesian, Inc. from April 2005 to November 2009. He has proven experience as a technology executive and telecom policy advisor to the US government. Mr. Stecker has executive experience includes assignments in the telecommunications and technology sectors. He served as the Chief Executive Officer of Livewire Mobile. since August 2009 to May 2013. He began his career with NeXT Computer, Inc. At TMNG, Mr. Stecker has worked exclusively in the MVNO space, helping carriers, MVNOs, MVNEs, as well as substantial content brands in all aspects of the economy of wireless resale ranging from business strategy to implementation and marketing. He serves as Chairman of the Board of Live Microsystems. He has been Executive Chairman of Evolving Systems Inc. since April 3, 2018 and has been its Director since March 17, 2016. He was the Chairman of Evolving Systems Inc. from August 16, 2016 to April 3, 2018. He serves as a Director of Live Microsystems, Inc. He served as a Director of SITO Mobile, Ltd. from June 5, 2017 to September 6, 2017. He served as Director of MRV Communications, Inc. from April 9, 2013 to June 15, 2016. He served as a Director of HealthWarehouse.com, Inc. from December 8, 2010 to August 15, 2013. Mr. Stecker holds the BA Degree in Computer Science and Political Science from Duke University and a JD degree from the University of North Carolina at Chapel Hill School of Law.

CEO Compensation
  • Matthew's compensation has increased whilst company is loss making.
  • Matthew's remuneration is lower than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure of the Evolving Systems management team in years:

2.1
Average Tenure
  • The tenure for the Evolving Systems management team is about average.
Management Team

Matthew Stecker

TITLE
President
COMPENSATION
$310K
AGE
51
TENURE
1.3 yrs

Mark Szynkowski

TITLE
Senior VP of Finance & Secretary
COMPENSATION
$185K
AGE
51
TENURE
1.9 yrs

Don Stone

TITLE
Senior Vice President of Research & Development
TENURE
3.7 yrs

Richard Lewis

TITLE
Senior Vice President of Sales
TENURE
2.3 yrs

Mo Firouzabadian

TITLE
Senior Vice President of Sales

Adhish Kulkarni

TITLE
Senior Vice President of Solutions

Eric Hatton

TITLE
Senior Vice President of Solutions
Board of Directors Tenure

Average tenure and age of the Evolving Systems board of directors in years:

8.3
Average Tenure
54.5
Average Age
  • The tenure for the Evolving Systems board of directors is about average.
Board of Directors

Matthew Stecker

TITLE
President
COMPENSATION
$310K
AGE
51
TENURE
3.3 yrs

David Nicol

TITLE
Independent Director
COMPENSATION
$30K
AGE
73
TENURE
15.7 yrs

Julian Singer

TITLE
Independent Director
COMPENSATION
$20K
AGE
35
TENURE
4.8 yrs

David Oros

TITLE
Independent Director
COMPENSATION
$20K
AGE
58
TENURE
11.7 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by Evolving Systems individual insiders in the past 3 months, but not in substantial volumes.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
16. Sep 19 Buy David Nicol Individual 12. Sep 19 13. Sep 19 16,999 $0.86 $14,273
12. Sep 19 Buy David Nicol Individual 10. Sep 19 11. Sep 19 5,000 $0.84 $4,200
05. Sep 19 Buy David Nicol Individual 30. Aug 19 30. Aug 19 4,000 $0.78 $3,100
29. Aug 19 Buy David Nicol Individual 23. Aug 19 23. Aug 19 4,000 $0.75 $3,000
17. Jun 19 Buy David Nicol Individual 14. Jun 19 14. Jun 19 1,400 $0.85 $1,190
17. Jun 19 Buy David Nicol Individual 13. Jun 19 14. Jun 19 18,881 $0.88 $16,598
14. Jun 19 Buy David Nicol Individual 12. Jun 19 12. Jun 19 5 $0.85 $4
12. Jun 19 Buy David Nicol Individual 20. May 19 10. Jun 19 37,000 $0.89 $31,970
X
Management checks
We assess Evolving Systems's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Evolving Systems has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Do Insiders Own Shares In Evolving Systems, Inc. (NASDAQ:EVOL)?

View our latest analysis for Evolving Systems NasdaqCM:EVOL Ownership Summary, July 29th 2019 What Does The Institutional Ownership Tell Us About Evolving Systems? … We can see that Evolving Systems does have institutional investors; and they hold 23% of the stock. … Insider Ownership Of Evolving Systems The definition of company insiders can be subjective, and does vary between jurisdictions.

Simply Wall St -

Does Evolving Systems (NASDAQ:EVOL) Have A Healthy Balance Sheet?

Given that Evolving Systems has more cash than debt, we're pretty confident it can manage its debt safely. … Evolving Systems may have net cash on the balance sheet, but it is still interesting to look at how well the business converts its earnings before interest and tax (EBIT) to free cash flow, because that will influence both its need for, and its capacity to manage debt. … Happily for any shareholders, Evolving Systems actually produced more free cash flow than EBIT over the last three years.

Simply Wall St -

Is There More To Evolving Systems, Inc. (NASDAQ:EVOL) Than Its 7.9% Returns On Capital?

To be precise, we'll consider its Return On Capital Employed (ROCE), as that will inform our view of the quality of the business. … Understanding Return On Capital Employed (ROCE). … How Do You Calculate Return On Capital Employed

Simply Wall St -

Did Changing Sentiment Drive Evolving Systems's Share Price Down A Painful 85%?

One way to examine how market sentiment has changed over time is to look at the interaction between a company's share price and its earnings per share (EPS). … During the five years over which the share price declined, Evolving Systems's earnings per share (EPS) dropped by 32% each year. … In this case, the EPS change is really very close to the share price drop of 31% a year.

Simply Wall St -

What You Must Know About Evolving Systems, Inc.'s (NASDAQ:EVOL) Beta Value

Beta is a widely used metric to measure a stock's exposure to market risk (volatility). … Before we go on, it's worth noting that Warren Buffett pointed out in his 2014 letter to shareholders that 'volatility is far from synonymous with risk.' Having said that, beta can still be rather useful. … Any stock with a beta of greater than one is considered more volatile than the market, while those with a beta below one are either less volatile or poorly correlated with the market.

Simply Wall St -

Why Evolving Systems Inc's (NASDAQ:EVOL) Investor Composition Impacts Your Returns

In this article, I'm going to take a look at Evolving Systems Inc’s (NASDAQ:EVOL) latest ownership structure, a non-fundamental factor which is important, but remains a less discussed subject among investors. … The effect of an active institutional investor with a similar ownership as a passive pension-fund can be vastly different on a company's corporate governance and accountability to shareholders. … Therefore, it is beneficial for us to examine EVOL's ownership structure in more detail.

Simply Wall St -

Is Evolving Systems Inc's (NASDAQ:EVOL) Balance Sheet A Threat To Its Future?

Investors are always looking for growth in small-cap stocks like Evolving Systems Inc (NASDAQ:EVOL), with a market cap of US$32.11m. … However, an important fact which most ignore is: how financially healthy is the business?

Simply Wall St -

Should You Be Tempted To Buy Evolving Systems Inc (NASDAQ:EVOL) Because Of Its PE Ratio?

I am writing today to help inform people who are new to the stock market. … and want to learn about the link between company’s fundamentals and stock market performance. … While EVOL might seem like an attractive stock to buy, it is important to understand the assumptions behind the P/E ratio before you make any investment decisions.

Simply Wall St -

You Should Consider Evolving Systems Inc (NASDAQ:EVOL) Because Of These Reasons

Evolving Systems Inc (NASDAQ:EVOL) is a stock with outstanding fundamental characteristics. … When we build an investment case, we need to look at the stock with a holistic perspective. … report on Evolving Systems here

Simply Wall St -

Why You Need To Look At This Factor Before Buying Evolving Systems Inc (NASDAQ:EVOL)

The second type is market risk, one that you cannot diversify away, since it arises from macroeconomic factors which directly affects all the stocks in the market. … A widely-used metric to measure a stock's market risk is beta, and the broad market index represents a beta value of one. … With a market cap of US$39.98M, EVOL falls within the small-cap spectrum of stocks, which are found to experience higher relative risk compared to larger companies.

Simply Wall St -

Company Info

Description

Evolving Systems, Inc. provides real-time digital engagement solutions and services to the wireless, wireline, and cable network operators in the United Kingdom and internationally. The company offers acquisition and activation solutions, including Smart Dealer, a tool set that enables SIM retailers to sell SIM cards; and Dynamic SIM Allocation, a SIM/eSIM activation solution. Its acquisition and activation solutions also comprise Tertio Service Activation solution used to activate a new subscriber or to add a new service to an existing subscriber; and Number Inventory and Management solution, an automated solution that enables operators to manage their telephone numbers and other communication identifiers. In addition, the company offers customer analytics and value management solutions, such as the Profiling Engine, a rules-driven flexible aggregator, which supports static and ongoing dynamic profiling of subscribers; Campaign Engine that is used to configure and deliver marketing campaigns, and offers to subscribers; and Campaign Module, which provides predefined templates for specific types of real-time mobile marketing tactics. Further, it provides Social Media Integration solution, which enables carriers to expand their engagement with subscribers; and App Promotion solution. Additionally, the company offers Customer Retention and Loyalty solutions; Mobile Data Enablement solution that provides a data consumption and policy management solution for wireless carriers and mobile virtual network operators that monitor the usage and consumption of data services; and Total Number Management solution, an automated database solution that enables operators to manage their telephone numbers, and other communication identifiers. It also provides marketing, IT, and managed services; and customer value management and engagement solutions. The company was founded in 1985 and is headquartered in Englewood, Colorado.

Details
Name: Evolving Systems, Inc.
EVOL
Exchange: NasdaqCM
Founded: 1985
$11,798,159
12,163,051
Website: http://www.evolving.com
Address: Evolving Systems, Inc.
9800 Pyramid Court,
Suite 400,
Englewood,
Colorado, 80112,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqCM EVOL Common Stock Nasdaq Capital Market US USD 12. May 1998
Number of employees
Current staff
Staff numbers
280
Evolving Systems employees.
Industry
Application Software
Software
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/11/18 23:35
End of day share price update: 2019/11/18 00:00
Last earnings filing: 2019/11/12
Last earnings reported: 2019/09/30
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.