Intrinsic value of ShiftPixy, Inc. - PIXY

Previous Close

$1.41

  Intrinsic Value

$0.00

stock screener

  Rating & Target

str. sell

-100%

Previous close

$1.41

 
Intrinsic value

$0.00

 
Up/down potential

-100%

 
Rating

str. sell

We calculate the intrinsic value of PIXY stock by summing up the current values of future distributable cash flows generated by the company and dividing the sum by the number of outstanding shares. As such, the intrinsic value calculation depends entirely on projections. The more accurate your projections of the company's performance are - the more reliable is the intrinsic value calculation result. Please make sure to check the stock valuation input data below and adjust it if necessary. The quality of the output (intrinsic valuation result) is only as good as the quality of the input. See also DISCLAIMERS.

STOCK VALUATION INPUT DATA

Revenue (in 0001), $M
Initial revenue growth rate, %
Terminal revenue growth rate, %
Revenue decline factor
Initial discount rate, %
Discount rate multiplier
Variable cost ratio, %
Fixed operating expenses, $M
Interest rate on debt, %
Effective corporate tax rate, %
Production assets / Revenue, %
Life of production assets, yrs
Working capital / Revenue, %
Revenue / Adjusted assets
Adjusted equity ratio
Cash flow adjustment, % of Revenue
Book value of equity, $M
Shares outstanding, mln
Market capitalization, $bln 0.0

 

FINANCIAL STATEMENTS FORECAST and PRESENT VALUE CALCULATION

Fiscal year
   2
   3
   4
   5
   6
   7
   8
   9
   10
   11
   12
   13
   14
   15
   16
   17
   18
   19
   20
   21
   22
   23
   24
   25
   26
   27
   28
   29
   30
   31

INCOME STATEMENT

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Revenue growth rate, %
  60.00
  54.50
  49.55
  45.10
  41.09
  37.48
  34.23
  31.31
  28.68
  26.31
  24.18
  22.26
  20.53
  18.98
  17.58
  16.32
  15.19
  14.17
  13.26
  12.43
  11.69
  11.02
  10.42
  9.87
  9.39
  8.95
  8.55
  8.20
  7.88
  7.59
Revenue, $m
  56
  87
  129
  188
  265
  364
  489
  642
  826
  1,043
  1,295
  1,584
  1,909
  2,271
  2,670
  3,106
  3,578
  4,085
  4,627
  5,202
  5,810
  6,450
  7,122
  7,825
  8,560
  9,326
  10,123
  10,953
  11,816
  12,713
Variable operating expenses, $m
  77
  119
  177
  257
  363
  499
  670
  880
  1,132
  1,430
  1,776
  2,171
  2,617
  3,114
  3,661
  4,259
  4,906
  5,601
  6,343
  7,132
  7,965
  8,843
  9,764
  10,728
  11,735
  12,786
  13,879
  15,017
  16,200
  17,430
Fixed operating expenses, $m
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Total operating expenses, $m
  77
  119
  177
  257
  363
  499
  670
  880
  1,132
  1,430
  1,776
  2,171
  2,617
  3,114
  3,661
  4,259
  4,906
  5,601
  6,343
  7,132
  7,965
  8,843
  9,764
  10,728
  11,735
  12,786
  13,879
  15,017
  16,200
  17,430
Operating income, $m
  -21
  -32
  -48
  -70
  -98
  -135
  -181
  -238
  -306
  -387
  -481
  -588
  -708
  -843
  -991
  -1,152
  -1,328
  -1,516
  -1,717
  -1,930
  -2,155
  -2,393
  -2,642
  -2,903
  -3,176
  -3,460
  -3,756
  -4,064
  -4,384
  -4,717
EBITDA, $m
  -20
  -31
  -47
  -68
  -96
  -132
  -178
  -233
  -300
  -379
  -471
  -575
  -693
  -825
  -970
  -1,129
  -1,300
  -1,484
  -1,681
  -1,890
  -2,111
  -2,343
  -2,587
  -2,843
  -3,110
  -3,388
  -3,678
  -3,979
  -4,293
  -4,619
Interest expense (income), $m
  0
  3
  2
  7
  15
  25
  38
  55
  76
  102
  134
  171
  214
  264
  319
  381
  449
  524
  605
  692
  784
  883
  987
  1,096
  1,211
  1,331
  1,457
  1,588
  1,724
  1,866
  2,014
Earnings before tax, $m
  -24
  -34
  -55
  -84
  -123
  -173
  -236
  -314
  -409
  -521
  -652
  -802
  -972
  -1,162
  -1,372
  -1,602
  -1,852
  -2,120
  -2,408
  -2,714
  -3,038
  -3,380
  -3,738
  -4,114
  -4,507
  -4,917
  -5,344
  -5,788
  -6,250
  -6,731
Tax expense, $m
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Net income, $m
  -24
  -34
  -55
  -84
  -123
  -173
  -236
  -314
  -409
  -521
  -652
  -802
  -972
  -1,162
  -1,372
  -1,602
  -1,852
  -2,120
  -2,408
  -2,714
  -3,038
  -3,380
  -3,738
  -4,114
  -4,507
  -4,917
  -5,344
  -5,788
  -6,250
  -6,731

BALANCE SHEET

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash and short-term investments, $m
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Total assets, $m
  25
  39
  58
  85
  120
  164
  221
  290
  373
  471
  585
  715
  862
  1,025
  1,206
  1,402
  1,615
  1,844
  2,089
  2,349
  2,623
  2,912
  3,215
  3,533
  3,864
  4,210
  4,570
  4,945
  5,335
  5,740
Adjusted assets (=assets-cash), $m
  25
  39
  58
  85
  120
  164
  221
  290
  373
  471
  585
  715
  862
  1,025
  1,206
  1,402
  1,615
  1,844
  2,089
  2,349
  2,623
  2,912
  3,215
  3,533
  3,864
  4,210
  4,570
  4,945
  5,335
  5,740
Revenue / Adjusted assets
  2.240
  2.231
  2.224
  2.212
  2.208
  2.220
  2.213
  2.214
  2.214
  2.214
  2.214
  2.215
  2.215
  2.216
  2.214
  2.215
  2.215
  2.215
  2.215
  2.215
  2.215
  2.215
  2.215
  2.215
  2.215
  2.215
  2.215
  2.215
  2.215
  2.215
Average production assets, $m
  3
  4
  6
  9
  12
  17
  23
  30
  39
  49
  61
  74
  90
  107
  126
  146
  168
  192
  217
  244
  273
  303
  335
  368
  402
  438
  476
  515
  555
  598
Working capital, $m
  -12
  -19
  -28
  -41
  -58
  -80
  -108
  -141
  -182
  -229
  -285
  -348
  -420
  -500
  -587
  -683
  -787
  -899
  -1,018
  -1,144
  -1,278
  -1,419
  -1,567
  -1,722
  -1,883
  -2,052
  -2,227
  -2,410
  -2,600
  -2,797
Total debt, $m
  5
  18
  35
  59
  90
  131
  181
  243
  318
  406
  509
  626
  758
  905
  1,068
  1,245
  1,437
  1,643
  1,863
  2,096
  2,343
  2,603
  2,876
  3,162
  3,461
  3,772
  4,096
  4,433
  4,784
  5,148
Total liabilities, $m
  23
  35
  53
  76
  108
  148
  199
  261
  336
  424
  526
  643
  776
  923
  1,085
  1,262
  1,454
  1,660
  1,880
  2,114
  2,361
  2,621
  2,894
  3,180
  3,478
  3,789
  4,113
  4,451
  4,801
  5,166
Total equity, $m
  3
  4
  6
  8
  12
  16
  22
  29
  37
  47
  58
  71
  86
  103
  121
  140
  162
  184
  209
  235
  262
  291
  322
  353
  386
  421
  457
  495
  533
  574
Total liabilities and equity, $m
  26
  39
  59
  84
  120
  164
  221
  290
  373
  471
  584
  714
  862
  1,026
  1,206
  1,402
  1,616
  1,844
  2,089
  2,349
  2,623
  2,912
  3,216
  3,533
  3,864
  4,210
  4,570
  4,946
  5,334
  5,740
Debt-to-equity ratio
  2.120
  4.550
  6.020
  6.950
  7.550
  7.940
  8.210
  8.400
  8.530
  8.630
  8.700
  8.760
  8.800
  8.830
  8.860
  8.880
  8.890
  8.910
  8.920
  8.930
  8.930
  8.940
  8.950
  8.950
  8.960
  8.960
  8.960
  8.960
  8.970
  8.970
Adjusted equity ratio
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100
  0.100

CASH FLOW

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net income, $m
  -24
  -34
  -55
  -84
  -123
  -173
  -236
  -314
  -409
  -521
  -652
  -802
  -972
  -1,162
  -1,372
  -1,602
  -1,852
  -2,120
  -2,408
  -2,714
  -3,038
  -3,380
  -3,738
  -4,114
  -4,507
  -4,917
  -5,344
  -5,788
  -6,250
  -6,731
Depreciation, amort., depletion, $m
  0
  1
  1
  1
  2
  3
  4
  5
  6
  8
  10
  12
  15
  17
  21
  24
  28
  31
  36
  40
  45
  50
  55
  60
  66
  72
  78
  84
  91
  98
Funds from operations, $m
  -23
  -34
  -54
  -83
  -121
  -170
  -233
  -309
  -402
  -513
  -642
  -790
  -957
  -1,144
  -1,351
  -1,578
  -1,824
  -2,089
  -2,372
  -2,674
  -2,993
  -3,330
  -3,683
  -4,054
  -4,441
  -4,845
  -5,266
  -5,704
  -6,159
  -6,633
Change in working capital, $m
  -5
  -7
  -9
  -13
  -17
  -22
  -27
  -34
  -40
  -48
  -55
  -63
  -72
  -80
  -88
  -96
  -104
  -112
  -119
  -127
  -134
  -141
  -148
  -155
  -162
  -169
  -175
  -183
  -190
  -197
Cash from operations, $m
  -19
  -27
  -45
  -70
  -104
  -148
  -205
  -276
  -362
  -465
  -586
  -726
  -885
  -1,065
  -1,263
  -1,482
  -1,720
  -1,977
  -2,253
  -2,547
  -2,860
  -3,189
  -3,536
  -3,899
  -4,279
  -4,676
  -5,090
  -5,521
  -5,969
  -6,435
Maintenance CAPEX, $m
  0
  0
  -1
  -1
  -1
  -2
  -3
  -4
  -5
  -6
  -8
  -10
  -12
  -15
  -17
  -21
  -24
  -28
  -31
  -36
  -40
  -45
  -50
  -55
  -60
  -66
  -72
  -78
  -84
  -91
New CAPEX, $m
  -1
  -1
  -2
  -3
  -4
  -5
  -6
  -7
  -9
  -10
  -12
  -14
  -15
  -17
  -19
  -20
  -22
  -24
  -25
  -27
  -29
  -30
  -32
  -33
  -35
  -36
  -37
  -39
  -41
  -42
Cash from investing activities, $m
  -1
  -1
  -3
  -4
  -5
  -7
  -9
  -11
  -14
  -16
  -20
  -24
  -27
  -32
  -36
  -41
  -46
  -52
  -56
  -63
  -69
  -75
  -82
  -88
  -95
  -102
  -109
  -117
  -125
  -133
Free cash flow, $m
  -20
  -29
  -48
  -74
  -109
  -155
  -214
  -287
  -376
  -482
  -606
  -750
  -913
  -1,096
  -1,300
  -1,523
  -1,766
  -2,029
  -2,310
  -2,610
  -2,928
  -3,264
  -3,617
  -3,987
  -4,374
  -4,778
  -5,200
  -5,638
  -6,094
  -6,569
Issuance/(repayment) of debt, $m
  -2
  12
  17
  24
  31
  40
  51
  62
  75
  88
  102
  117
  132
  147
  162
  177
  192
  206
  220
  234
  247
  260
  273
  286
  298
  311
  324
  337
  351
  364
Issuance/(repurchase) of shares, $m
  35
  36
  57
  87
  127
  178
  242
  321
  417
  531
  663
  815
  986
  1,178
  1,390
  1,622
  1,873
  2,143
  2,433
  2,740
  3,065
  3,408
  3,769
  4,146
  4,540
  4,951
  5,380
  5,826
  6,289
  6,771
Cash from financing (excl. dividends), $m  
  33
  48
  74
  111
  158
  218
  293
  383
  492
  619
  765
  932
  1,118
  1,325
  1,552
  1,799
  2,065
  2,349
  2,653
  2,974
  3,312
  3,668
  4,042
  4,432
  4,838
  5,262
  5,704
  6,163
  6,640
  7,135
Total cash flow (excl. dividends), $m
  13
  19
  27
  37
  49
  63
  79
  97
  116
  137
  159
  182
  206
  229
  252
  276
  298
  321
  342
  364
  384
  405
  425
  445
  464
  484
  504
  525
  546
  567
Retained Cash Flow (-), $m
  -35
  -36
  -57
  -87
  -127
  -178
  -242
  -321
  -417
  -531
  -663
  -815
  -986
  -1,178
  -1,390
  -1,622
  -1,873
  -2,143
  -2,433
  -2,740
  -3,065
  -3,408
  -3,769
  -4,146
  -4,540
  -4,951
  -5,380
  -5,826
  -6,289
  -6,771
Prev. year cash balance distribution, $m
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Cash flow adjustment, $m
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
  0
Cash available for distribution, $m
  -22
  -16
  -30
  -50
  -78
  -115
  -163
  -225
  -301
  -393
  -504
  -633
  -781
  -949
  -1,137
  -1,346
  -1,575
  -1,823
  -2,090
  -2,376
  -2,681
  -3,004
  -3,344
  -3,701
  -4,076
  -4,467
  -4,875
  -5,301
  -5,744
  -6,204
Discount rate, %
  5.60
  5.88
  6.17
  6.48
  6.81
  7.15
  7.50
  7.88
  8.27
  8.69
  9.12
  9.58
  10.06
  10.56
  11.09
  11.64
  12.22
  12.84
  13.48
  14.15
  14.86
  15.60
  16.38
  17.20
  18.06
  18.96
  19.91
  20.91
  21.95
  23.05
PV of cash for distribution, $m
  -21
  -15
  -25
  -39
  -56
  -76
  -98
  -122
  -147
  -171
  -193
  -211
  -225
  -233
  -235
  -231
  -222
  -207
  -189
  -168
  -146
  -124
  -102
  -82
  -64
  -49
  -36
  -26
  -18
  -12
Current shareholders' claim on cash, %
  50.0
  3.3
  0.2
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0
  0.0

ShiftPixy Inc. is a human capital management (HCM) services provider. The Company is engaged in delivering a next-gen platform for workforce management that helps shift-based employers navigate regulatory mandates, minimize administrative burdens, and connects them with a ready-for-hire workforce. The Company absorbs the employer's shifters as its employees and makes these employees available to the former employer to work the same jobs, as employees of ShiftPixy. The Company offers a scheduling and recruiting platform. The shifters placed with one of its clients can access other shift work with other ShiftPixy clients through the ShiftPixy mobile application. The Company's platform offers various services, including access mobile workforce in real-time; turn open shifts into a broadcast to various qualified and available shifter candidates; managing workers compensation costs, and shifters can access and pick shifts real-time through the ShiftPixy mobile application.

FINANCIAL RATIOS  of  ShiftPixy, Inc. (PIXY)

Valuation Ratios
P/E Ratio -5.8
Price to Sales 2
Price to Book 6.8
Price to Tangible Book
Price to Cash Flow -5.1
Price to Free Cash Flow -5.1
Growth Rates
Sales Growth Rate 150%
Sales - 3 Yr. Growth Rate %
EPS Growth Rate %
EPS - 3 Yr. Growth Rate %
Capital Spending Gr. Rate NaN%
Cap. Spend. - 3 Yr. Gr. Rate NaN%
Financial Strength
Quick Ratio NaN
Current Ratio 0
LT Debt to Equity 0%
Total Debt to Equity 0%
Interest Coverage 0
Management Effectiveness
Return On Assets -127.3%
Ret/ On Assets - 3 Yr. Avg. -109.1%
Return On Total Capital -233.3%
Ret/ On T. Cap. - 3 Yr. Avg. -77.8%
Return On Equity -233.3%
Return On Equity - 3 Yr. Avg. -77.8%
Asset Turnover 3.6
Profitability Ratios
Gross Margin 5%
Gross Margin - 3 Yr. Avg. 5.8%
EBITDA Margin -35%
EBITDA Margin - 3 Yr. Avg. -20%
Operating Margin -40%
Oper. Margin - 3 Yr. Avg. -21.7%
Pre-Tax Margin -35%
Pre-Tax Margin - 3 Yr. Avg. -20%
Net Profit Margin -35%
Net Profit Margin - 3 Yr. Avg. -20%
Effective Tax Rate 0%
Eff/ Tax Rate - 3 Yr. Avg. 0%
Payout Ratio 0%

PIXY stock valuation input parameters

Revenue. Company's revenue (or sales) is always the starting point of any cash flow forecast. In the PIXY stock intrinsic value calculation we used $35 million for the last fiscal year's total revenue generated by ShiftPixy, Inc.. The default revenue input number comes from 0001 income statement of ShiftPixy, Inc.. You may change it if you feel that it should be adjusted for some unusual circumstances that are not expected to be repeated in the future or if you already know (from interim financial statements, for example) that this year's revenue is going to be quite different.

Revenue growth rate. Forecasted future revenue growth rate is the most important input parameter for the intrinsic value calculation. Unlike other input parameters that are reasonably expected to be in line with their historic averages or their historic trends, the revenue growth rate by and large is a wild card: nobody really knows what the company's revenue will be in the future. Of course, the level of unpredictability is different for different industries (utility companies being the most predictable and, thus, less risky).
    We use three input parameters to forecast the revenue growth rate in our PIXY stock valuation model: a) initial revenue growth rate of 60% whose default value is the revenue growth rate in the most recent quarter compared to the quarterly revenue a year ago; b) terminal revenue growth rate of 5% whose default value is chosen to be close to the average nominal (i.e. not adjusted for inflation) GDP growth rate; and c) revenue decline factor of 0.9, which stipulates that revenue growth rate in each forecasted year will be equal to the difference of the revenue growth rate in the preceding year and the terminal revenue growth rate multiplied by this revenue decline factor (with the passage of time the revenue growth rate will be approaching the terminal revenue growth rate, but not quite reaching it - though the difference could be infinitesimally small).
    At the revenue decline factor of 1, the future revenue growth rate is forecasted to be constant and equal to the initial revenue growth rate. The smaller the revenue decline factor, the faster the revenue growth rate will approach the terminal revenue growth.

Discount rate. The discount rate is used for determining the present value of future cash flows: future cash flows are "discounted" as at normal conditions (that translate into positive expected return on investment) one dollar today is worth more than the same dollar in the future. Unlike all other valuation models, we use variable discount rate, i.e. it increases for each consecutive year. This is done to account for higher risk of cash flows coming in further in the future.
    The initial discount rate of 5.6%, whose default value for PIXY is calculated based on our internal credit rating of ShiftPixy, Inc., is applied to the cash flow expected to be received a year from now (well, actually, to be precise, in the financial year following the base year - the last year for which we have financial statements). For each consecutive year the discount rate is multiplied by the discount rate multiplier of 1.05, e.i. each year it increases by 5%. Feel free to change this number to correspond to your level of risk assessment of ShiftPixy, Inc..
    By the way, it is easy to set the discount rate to be constant (this would make comparison with other valuation models easier): just set the discount rate multiplier equal to 1 and chose the magnitude of the initial discount rate to your liking.

Variable cost ratio is the ratio of variable costs (i.e. costs that fluctuate with fluctuation of the volume of production) to the revenue expressed as a percentage. In the calculation of intrinsic value of PIXY stock the variable cost ratio is equal to 137.1%.

Fixed operating expenses is just that - expenses that are not dependant on the volume of production. They are set to $0 million in the base year in the intrinsic value calculation for PIXY stock. These expenses increase with the level of inflation in subsequent years.

Interest rate on debt is the average all-in rate of interest paid by the company on its debt. It is set at 42.1% for ShiftPixy, Inc..

Corporate tax rate of 27% is the nominal tax rate for ShiftPixy, Inc.. In reality, companies find ways to pay much less taxes than that or not to pay them at all.

Cash flow adjustment could be used for any adjustment the investor deems necessary. Most commonly we use this field to account for stock options-related effects in excess of what is reported on the company's income statement. The cash flow adjustment is expressed as a percentage of the revenue, and in the current valuation of the PIXY stock is equal to 0%.

Production assets are the company's assets used for manufacturing products or provision of services. In the valuation model input table they are expressed as a percentage of revenue and for PIXY are equal to 4.7%.

Life of production assets of 6.1 years is the average useful life of capital assets used in ShiftPixy, Inc. operations. It is used to calculate yearly capital expenditures needed to keep these assets in good order - we call it the maintenance CAPEX.

Working capital is the difference between the company's current assets and liabilities. In the model we use the ratio of working capital to revenue, which for PIXY is equal to -22%. A negative number means that the company is apt at using financial resources of its suppliers and customers; a large positive number, on the other hand, means that it either provides in-kind financing to others or is not good at managing its inventories.

Book value of equity - $-8.739901 million for ShiftPixy, Inc. - is used in calculation of the "floor" for intrinsic valuation based on the discounted cash flow (DCF) method. Even if the prospects are very bad for a company, its assets could always be sold now for their current fair market value.

Shares outstanding of 32.115 million for ShiftPixy, Inc. is needed to calculate the intrinsic value of one share.

Market capitalization is used here only for reference purposes and as a quick check that the share price and the number of shares outstanding numbers are correct - something especially to be cognizant about at stock splits. So, the market capitalization of ShiftPixy, Inc. at the current share price and the inputted number of shares is $0.0 billion.

CONTACT US      

About X-FIN       Privacy policy       Terms of use      

Copyright © X-FIN.com 2005-2019. All rigths reserved.