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Zix

Nasdaq:ZIXI
Snowflake Description

Reasonable growth potential and slightly overvalued.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
ZIXI
Nasdaq
$404M
Market Cap
  1. Home
  2. US
  3. Software
Company description

Zix Corporation provides email encryption, data loss prevention (DLP), threat protection, archiving, and bring-your-own-device mobile security solutions for the healthcare, financial services, insurance, and government sectors primarily in the United States. The last earnings update was 29 days ago. More info.


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ZIXI Share Price and Events
7 Day Returns
-5.5%
NasdaqGS:ZIXI
-2.5%
US Software
-1.4%
US Market
1 Year Returns
14.9%
NasdaqGS:ZIXI
28%
US Software
14.5%
US Market
ZIXI Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Zix (ZIXI) -5.5% 6.3% -4.3% 14.9% 54.6% 107.3%
US Software -2.5% 4% 3.7% 28% 117% 159%
US Market -1.4% 1.3% 4.6% 14.5% 35.7% 48.6%
1 Year Return vs Industry and Market
  • ZIXI underperformed the Software industry which returned 28% over the past year.
  • ZIXI matched the United States of America Market (14.5%) over the past year.
Price Volatility
ZIXI
Industry
5yr Volatility vs Market
Related Companies

Value

 Is Zix 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 Zix 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 Zix.

NasdaqGS:ZIXI Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 5 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 9.2%
Perpetual Growth Rate 10-Year US Government Bond Rate 1.7%

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 NasdaqGS:ZIXI
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 1.7%
Equity Risk Premium S&P Global 5.4%
Software Unlevered Beta Simply Wall St/ S&P Global 1.13
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.129 (1 + (1- 21%) (47.51%))
1.371
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.37
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.74% + (1.371 * 5.44%)
9.2%

Discounted Cash Flow Calculation for NasdaqGS:ZIXI using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Zix 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.

NasdaqGS:ZIXI DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 9.2%)
2020 32.20 Analyst x1 29.49
2021 41.80 Analyst x1 35.06
2022 50.50 Analyst x1 38.79
2023 60.20 Analyst x1 42.34
2024 67.31 Est @ 11.81% 43.36
2025 73.23 Est @ 8.79% 43.20
2026 78.12 Est @ 6.68% 42.20
2027 82.18 Est @ 5.2% 40.65
2028 85.60 Est @ 4.16% 38.78
2029 88.54 Est @ 3.43% 36.73
Present value of next 10 years cash flows $390.00
NasdaqGS:ZIXI DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= $88.54 × (1 + 1.74%) ÷ (9.2% – 1.74%)
$1,208.07
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $1,208.07 ÷ (1 + 9.2%)10
$501.20
NasdaqGS:ZIXI Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $390.00 + $501.20
$891.20
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $891.20 / 53.75
$16.58
NasdaqGS:ZIXI Discount to Share Price
Calculation Result
Value per share (USD) From above. $16.58
Current discount Discount to share price of $7.11
= -1 x ($7.11 - $16.58) / $16.58
57.1%

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

Current Discount
Amount off the current price Zix is available for.
Intrinsic value
>50%
Share price is $7.11 vs Future cash flow value of $16.58
Current Discount Checks
For Zix to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Zix's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Zix's share price is below the future cash flow value, and at a substantial discount (> 40%).
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 Zix's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Zix's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NasdaqGS:ZIXI PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-09-30) in USD $-0.19
NasdaqGS:ZIXI Share Price ** NasdaqGS (2019-12-05) in USD $7.11
United States of America Software Industry PE Ratio Median Figure of 73 Publicly-Listed Software Companies 44.9x
United States of America Market PE Ratio Median Figure of 2,924 Publicly-Listed Companies 18.23x

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

** Primary Listing of Zix.

NasdaqGS:ZIXI PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqGS:ZIXI Share Price ÷ EPS (both in USD)

= 7.11 ÷ -0.19

-36.82x

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

  • Zix is loss making, we can't compare its value to the US Software industry average.
  • Zix 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 Zix's expected growth come at a high price?
Raw Data
NasdaqGS:ZIXI PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section -36.82x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 5 Analysts
76.6%per year
United States of America Software Industry PEG Ratio Median Figure of 61 Publicly-Listed Software Companies 2.41x
United States of America Market PEG Ratio Median Figure of 2,045 Publicly-Listed Companies 1.45x

*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 Zix, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Zix's assets?
Raw Data
NasdaqGS:ZIXI PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-09-30) in USD $0.83
NasdaqGS:ZIXI Share Price * NasdaqGS (2019-12-05) in USD $7.11
United States of America Software Industry PB Ratio Median Figure of 214 Publicly-Listed Software Companies 5.81x
United States of America Market PB Ratio Median Figure of 5,086 Publicly-Listed Companies 1.77x
NasdaqGS:ZIXI PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqGS:ZIXI Share Price ÷ Book Value per Share (both in USD)

= 7.11 ÷ 0.83

8.56x

* Primary Listing of Zix.

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

  • Zix is overvalued based on assets compared to the US Software industry average.
X
Value checks
We assess Zix'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. Zix has a total score of 2/6, 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 Zix expected to perform in the next 1 to 3 years based on estimates from 5 analysts?

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
76.6%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Zix expected to grow at an attractive rate?
  • Zix's earnings growth is expected to exceed the low risk savings rate of 1.7%.
Growth vs Market Checks
  • Zix's earnings growth is expected to exceed the United States of America market average.
  • Zix's revenue growth is expected to exceed the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NasdaqGS:ZIXI Future Growth Rates Data Sources
Data Point Source Value (per year)
NasdaqGS:ZIXI Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 5 Analysts 76.6%
NasdaqGS:ZIXI Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 5 Analysts 15.2%
United States of America Software Industry Earnings Growth Rate Market Cap Weighted Average 14.5%
United States of America Software Industry Revenue Growth Rate Market Cap Weighted Average 12%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14.2%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.4%

*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
NasdaqGS:ZIXI Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 5 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NasdaqGS:ZIXI Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31 302 75 20 1
2022-12-31 272 64 11 1
2021-12-31 238 54 4 3
2020-12-31 213 43 -1 5
2019-12-31 173 13 -13 5
2019-12-05
NasdaqGS:ZIXI Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-09-30 141 13 -10
2019-06-30 112 14 -4
2019-03-31 83 15 5
2018-12-31 70 17 15
2018-09-30 69 16 -7
2018-06-30 68 15 -7
2018-03-31 66 15 -8
2017-12-31 66 18 -8
2017-09-30 64 16 7
2017-06-30 63 15 7
2017-03-31 62 15 6
2016-12-31 60 15 6

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Zix's earnings are expected to grow significantly at over 20% yearly.
  • Zix's revenue is expected to grow by 15.2% yearly, however this is not considered high growth (20% yearly).
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
NasdaqGS:ZIXI Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 5 Analyst Estimates (S&P Global) See Below

All data from Zix Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:ZIXI Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31 0.37 0.37 0.37 1.00
2022-12-31 0.21 0.21 0.21 1.00
2021-12-31 0.04 0.07 0.00 2.00
2020-12-31 -0.02 0.05 -0.06 3.00
2019-12-31 -0.24 -0.24 -0.24 2.00
2019-12-05
NasdaqGS:ZIXI Past Financials Data
Date (Data in USD Millions) EPS *
2019-09-30 -0.19
2019-06-30 -0.08
2019-03-31 0.09
2018-12-31 0.29
2018-09-30 -0.13
2018-06-30 -0.14
2018-03-31 -0.15
2017-12-31 -0.15
2017-09-30 0.13
2017-06-30 0.12
2017-03-31 0.11
2016-12-31 0.11

*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 Zix will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Zix'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.
Zix has a total score of 4/6, 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 Zix 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 Zix'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.
  • Zix does not make a profit and their year on year earnings growth rate was negative over the past 5 years.
  • Unable to compare Zix's 1-year earnings growth to the 5-year average as it is not currently profitable.
  • Unable to compare Zix's 1-year growth to the US Software industry average as it is not currently profitable.
Earnings and Revenue History
Zix'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 Zix Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:ZIXI Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-09-30 141.50 -10.21 61.87 17.65
2019-06-30 111.54 -4.06 59.54 14.83
2019-03-31 83.12 4.85 46.23 12.49
2018-12-31 70.48 15.44 33.52 11.32
2018-09-30 68.83 -6.69 32.73 11.65
2018-06-30 67.55 -7.24 32.22 11.81
2018-03-31 66.42 -7.94 31.44 11.53
2017-12-31 65.66 -8.06 31.87 10.98
2017-09-30 64.44 6.76 30.09 10.48
2017-06-30 63.16 6.62 30.06 10.18
2017-03-31 61.71 6.04 31.30 9.80
2016-12-31 60.14 5.84 30.74 9.55
2016-09-30 58.89 4.70 31.62 9.19
2016-06-30 57.60 4.85 30.56 8.62
2016-03-31 55.97 5.41 28.58 8.39
2015-12-31 54.71 5.02 28.89 8.32
2015-09-30 53.25 5.12 26.99 8.64
2015-06-30 51.95 4.36 27.12 8.83
2015-03-31 51.26 4.22 26.85 8.96
2014-12-31 50.35 4.10 26.22 9.05
2014-09-30 49.79 8.04 24.45 8.77
2014-06-30 49.31 10.05 22.57 8.88
2014-03-31 48.54 10.95 21.32 9.15
2013-12-31 48.14 10.45 21.65 9.56
2013-09-30 47.52 9.60 22.47 9.88
2013-06-30 46.31 8.37 22.83 9.58
2013-03-31 44.82 9.14 21.67 8.55
2012-12-31 43.36 11.00 19.39 7.42

*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 Zix has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
  • It is difficult to establish if Zix 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 Zix 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 Zix'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.
Zix 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 Zix'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 Zix's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Zix's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Zix's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Zix'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 not covered by short term assets, assets are 0.1x 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 Zix Company Filings, last reported 2 months ago.

NasdaqGS:ZIXI Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-09-30 149.07 178.26 10.07
2019-06-30 148.99 178.41 11.32
2019-03-31 151.12 168.67 16.69
2018-12-31 60.95 0.00 27.11
2018-09-30 50.76 0.00 23.98
2018-06-30 47.32 0.00 17.70
2018-03-31 46.97 0.00 29.27
2017-12-31 43.52 0.00 33.01
2017-09-30 58.23 0.00 32.76
2017-06-30 56.89 0.00 29.51
2017-03-31 51.28 0.00 23.43
2016-12-31 49.07 0.00 26.46
2016-09-30 46.86 0.00 24.77
2016-06-30 45.74 0.00 20.73
2016-03-31 53.27 0.00 27.09
2015-12-31 56.77 0.00 28.66
2015-09-30 53.63 0.00 24.06
2015-06-30 61.52 0.00 27.97
2015-03-31 59.22 0.00 24.90
2014-12-31 56.27 0.00 21.69
2014-09-30 54.73 0.00 20.26
2014-06-30 62.85 0.00 26.16
2014-03-31 61.41 0.00 22.50
2013-12-31 66.23 0.00 27.52
2013-09-30 69.53 0.00 32.88
2013-06-30 65.25 0.00 26.31
2013-03-31 62.61 0.00 24.21
2012-12-31 61.25 0.00 22.99
  • Zix's level of debt (119.6%) compared to net worth is high (greater than 40%).
  • Unable to establish if Zix's debt level has increased without past 5-year debt data.
  • Debt is not well covered by operating cash flow (7.2%, less than 20% of total debt).
  • Zix is making a loss, therefore interest payments are not well covered by earnings.
X
Financial health checks
We assess Zix'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. Zix has a total score of 0/6, 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 Zix'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 Zix dividends.
If you bought $2,000 of Zix 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 Zix's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Zix'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
NasdaqGS:ZIXI 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 5 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 1958 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 3.7%

Industry and Market average data is calculated daily.

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

NasdaqGS:ZIXI Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31
2020-12-31
2019-12-31
2019-12-05

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

  • Unable to perform a dividend volatility check as Zix has not reported any payouts.
  • Unable to verify if Zix's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Zix's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Zix 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 Zix'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 Zix afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Zix 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 Zix'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
Dave Wagner
COMPENSATION $1,408,392
AGE 54
TENURE AS CEO 3.9 years
CEO Bio

Mr. David J. Wagner, also known as Dave, has been the Chief Executive Officer and President of Zix Corporation since January 2016. Mr. Wagner served as the President of Entrust, Inc. He served as Chief Financial Officer and Senior Vice President of Finance at Entrust Inc. since April 22, 2003 until 2013 and served as its Principal Accounting Officer. Mr. Wagner served as Chief Financial Officer and Senior Vice President of Finance of Entrust Limited. He served as Entrust Inc.'s Vice President, Controller and Treasurer since 1999. He joined Entrust in 1996 as Controller when he helped guide Entrust Inc., through a private placement and onto becoming a public entity. Prior to joining Entrust Inc. he held various finance and accounting positions at Nortel Networks from 1991 to 1995 and at Raytheon Systems from 1982 to 1991. He has been a Director of Zix Corporation since January 2016. Mr. Wagner is a graduate of Pennsylvania State University, where he received an undergraduate degree in accounting and a masters of business administration.

CEO Compensation
  • Dave's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Dave's remuneration is about average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Zix management team in years:

3.5
Average Tenure
50
Average Age
  • The tenure for the Zix management team is about average.
Management Team

Dave Wagner

TITLE
President
COMPENSATION
$1M
AGE
54
TENURE
3.9 yrs

David Rockvam

TITLE
VP, CFO & Treasurer
COMPENSATION
$699K
AGE
50
TENURE
3.5 yrs

Noah Webster

TITLE
VP, General Counsel & Corporate Secretary
COMPENSATION
$797K
AGE
46
TENURE
1.5 yrs

Geoff Bibby

TITLE
Vice President of Marketing

Steve Irons

TITLE
Vice President of Sales
TENURE
4.9 yrs

Bhavin Merchant

TITLE
Vice President of Corporate Development
TENURE
2.6 yrs

Matt Glover

TITLE
Investor Relations
Board of Directors Tenure

Average tenure and age of the Zix board of directors in years:

9
Average Tenure
64
Average Age
  • The tenure for the Zix board of directors is about average.
Board of Directors

Bob Hausmann

TITLE
Independent Chairman of the Board
COMPENSATION
$185K
AGE
56
TENURE
5 yrs

Dave Wagner

TITLE
President
COMPENSATION
$1M
AGE
54
TENURE
3.9 yrs

Maribess Miller

TITLE
Independent Director
COMPENSATION
$165K
AGE
66
TENURE
9.7 yrs

Taher Elgamal

TITLE
Independent Director
COMPENSATION
$159K
AGE
63
TENURE
8.4 yrs

Rick Spurr

TITLE
Non-Employee Director
COMPENSATION
$146K
AGE
65
TENURE
14.6 yrs

Amit Yoran

TITLE
Member of Advisory Board
AGE
48
TENURE
14.9 yrs

Gail Wilensky

TITLE
Member of Advisory Board
AGE
76
TENURE
14.9 yrs

Marc Mazur

TITLE
Member of Advisory Board
AGE
60
TENURE
14.9 yrs

Mark Bonney

TITLE
Independent Director
COMPENSATION
$156K
AGE
65
TENURE
6.9 yrs

James Greene

TITLE
Independent Director
AGE
68
TENURE
0.8 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month open market individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
X
Management checks
We assess Zix'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. Zix 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 Institutions Own Shares In Zix Corporation (NASDAQ:ZIXI)?

Our analysis of the ownership of the company, below, shows that institutional investors have bought into the company. … Insider Ownership Of Zix The definition of company insiders can be subjective, and does vary between jurisdictions. … In their own names, insiders own US$14m worth of stock in the US$403m company.

Simply Wall St -

Zix Corporation (NASDAQ:ZIXI): What Does Its Beta Value Mean For Your Portfolio?

A stock with a beta greater than one is more sensitive to broader market movements than a stock with a beta of less than one. … This means that -- if history is a guide -- buying the stock would reduce the impact of overall market volatility in many portfolios (depending on the beta of the portfolio, of course). … What this means for you: One potential advantage of owning low beta stocks like Zix is that your overall portfolio won't be too sensitive to overall market movements.

Simply Wall St -

Announcing: Zix (NASDAQ:ZIXI) Stock Increased An Energizing 159% In The Last Five Years

But on the bright side, if you buy shares in a high quality company at the right price, you can gain well over 100%. … One imperfect but simple way to consider how the market perception of a company has shifted is to compare the change in the earnings per share (EPS) with the share price movement. … Sometimes, the start of profitability is a major inflection point that can signal fast earnings growth to come, which in turn justifies very strong share price gains.

Simply Wall St -

Is Zix Corporation's (NASDAQ:ZIXI) CEO Being Overpaid?

This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. … See our latest analysis for Zix How Does Dave Wagner's Compensation Compare With Similar Sized Companies? … Boasting a total shareholder return of 140% over three years, Zix Corporation has done well by shareholders.

Simply Wall St -

Based On Its ROE, Is Zix Corporation (NASDAQ:ZIXI) A High Quality Stock?

In my book the highest quality companies have high return on equity, despite low debt. … If two companies have around the same level of debt to equity, and one has a higher ROE, I'd generally prefer the one with higher ROE. … If you would prefer check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity and low debt.

Simply Wall St -

Is Zix Corporation's (NASDAQ:ZIXI) Balance Sheet Strong Enough To Weather A Storm?

On top of this, ZIXI has generated US$15m in operating cash flow in the last twelve months, leading to an operating cash to total debt ratio of 8.5%, meaning that ZIXI’s current level of operating cash is not high enough to cover debt. … Looking at ZIXI’s US$73m in current liabilities, it appears that the company may not be able to easily meet these obligations given the level of current assets of US$32m, with a current ratio of 0.44x. … Next Steps: ZIXI’s high cash coverage means that, although its debt levels are high, the company is able to utilise its borrowings efficiently in order to generate cash flow.

Simply Wall St -

What Kind Of Shareholders Own Zix Corporation (NASDAQ:ZIXI)?

Our analysis of the ownership of the company, below, shows that institutions own shares in the company. … View our latest analysis for Zix NasdaqGS:ZIXI Ownership Summary, May 20th 2019 What Does The Institutional Ownership Tell Us About Zix? … NasdaqGS:ZIXI Income Statement, May 20th 2019 Investors should note that institutions actually own more than half the company, so they can collectively wield significant power.

Simply Wall St -

Does Zix Corporation's (NASDAQ:ZIXI) CEO Salary Reflect Performance?

First, this article will compare CEO compensation with compensation at similar sized companies. … How Does Dave Wagner's Compensation Compare With Similar Sized Companies. … At the time of writing our data says that Zix Corporation has a market cap of US$303m, and is paying total annual CEO compensation of US$1.4m.

Simply Wall St -

Do Directors Own Zix Corporation (NASDAQ:ZIXI) Shares?

Generally speaking, as a company grows, institutions will increase their ownership. … Conversely, insiders often decrease their ownership over time. … Taking a look at the our data on the ownership groups (below), it's seems that.

Simply Wall St -

How Financially Strong Is Zix Corporation (NASDAQ:ZIXI)?

The direct benefit for Zix Corporation (NASDAQ:ZIXI), which sports a zero-debt capital structure, to include debt in its capital structure is the reduced cost of capital. … Is financial flexibility worth the lower cost of capital. … There are well-known benefits of including debt in capital structure, primarily a lower cost of capital

Simply Wall St -

Company Info

Description

Zix Corporation provides email encryption, data loss prevention (DLP), threat protection, archiving, and bring-your-own-device mobile security solutions for the healthcare, financial services, insurance, and government sectors primarily in the United States. The company offers ZixEncrypt that bundles email encryption and DLP capabilities to enable the secure exchange of email; ZixProtect, a cloud-based service that defends organizations from zero-day malware, ransomware, phishing, CEO fraud, W-2 phishing attacks, spam, and viruses in email; and ZixArchive, a cloud-based email retention solution that enables user retrieval, compliance, and e-discovery. It also provides ZixOne, a mobile email app, which offers mobile access to corporate email and does not allow data to be persistently stored on employee’s device. Zix Corporation sells its services through a direct sales force; and a network of resellers and other distribution partners. The company was formerly known as ZixIt Corporation and changed its name to Zix Corporation in 2002. Zix Corporation was incorporated in 1988 and is headquartered in Dallas, Texas.

Details
Name: Zix Corporation
ZIXI
Exchange: NasdaqGS
Founded: 1988
$404,195,360
53,749,383
Website: http://www.zixcorp.com
Address: Zix Corporation
2711 North Haskell Avenue,
Suite 2200,
Dallas,
Texas, 75204,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqGS ZIXI Common Stock Nasdaq Global Select US USD 09. Nov 1989
DB CMY Common Stock Deutsche Boerse AG DE EUR 09. Nov 1989
Number of employees
Current staff
Staff numbers
265
Zix employees.
Industry
Application Software
Software
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/12/05 23:48
End of day share price update: 2019/12/05 00:00
Last estimates confirmation: 2019/11/07
Last earnings filing: 2019/11/06
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.