Zix Corporation provides email encryption, data loss prevention, and Bring-Your-Own-Device solutions to the healthcare, financial services, insurance, and government sectors in the United States. The company was founded in 1983 and is based in Dallas, Texas.
ZIXI Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for ZIXI, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Zix Corp ranked in the 5th percentile in terms of potential gain offered. Our DCF analysis suggests the stock is overvalued by about 96%. In terms of the factors that were most noteworthy in this DCF analysis for ZIXI, they are:
The stock's equity weight, or the proportion of capital from equity relative to debt, is 60. Its equity weight surpasses that of just 10.68% of free cash flow generating stocks in the Technology sector.
The company's compound free cash flow growth rate over the past 5.75 years comes in at -0.13%; that's greater than just 12.14% of US stocks we're applying DCF forecasting to.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
AVYA, AIRG, CASA, GWRE, and HLIT can be thought of as valuation peers to ZIXI, in the sense that they are in the Technology sector and have a similar price forecast based on DCF valuation.
Zix (ZIXI) has improved its capabilities and competitive positioning to ride favorable tech tailwinds. The market continues to discount its huge cost of capital and its ability to generate substantial free cash flow. Zix's strengthened sales strategy shows it is more than capable of driving sustainable growth. Given its subdued...
Kayode Omotosho on Seeking Alpha | August 31, 2020
LONDON--(BUSINESS WIRE)--Zix Corporation (Zix), (Nasdaq: ZIXI), a leading provider of cloud email security solutions has today announced the release of its Advanced Email Threat Protection service for the UK market. Using machine learning capabilities, this state-of-the-art tool offers multi-layered filtering that safeguards corporate inboxes against malicious threats; including phishing, impersonation, malware, ransomware and spam-type messages. The Advanced Email Threat Protection Service fro
DALLAS--(BUSINESS WIRE)--Zix Corporation (Zix) (NASDAQ: ZIXI), a leading provider of cloud email security, productivity and compliance solutions, today announced financial results for the second quarter ended June 30, 2020. Second Quarter 2020 Financial Highlights (results compared to the same year-ago quarter) Revenue increased 16% to $53.3 million. Annual recurring revenue (ARR) increased 11% to $215.9 million. GAAP net loss attributable to common stockholders totaled ($4.1) million compared