Fundamental analysis: Blucora, Inc. (AVTA)

Awarener score: 7.8

Conclusion

The higher the Awarener score, the more bang you get for the buck. It measures how much genuine funds the company generates for the stock price paid (Very good), the business stability (Excellent) and growth (Average), and the company's inclination to return cash to the stockholders (Superb).

Note: All scores range from 1 (worst) to 10 (best). Conclusions are updated daily with closing stock prices and new reported quarterly financial statements.

Revenue score: 7.5

Business has been growing at a low pace. It's been almost average when measured against peer companies.
Blucora, Inc. business trend stability is excellent. The higher the stability, the lower the risk. It looks top-notch against rivals.

Margins score: 5.5

AVTA profit margins -on goods and services sold- are usually good. They stand somewhat better than rival companies.
Business profit on sales tends to be meagre. It's substantially worse when measured against competitors.
Profits on sales made -available to repay debt and purchase properties- are usually sufficient. They remain in a very weak position compared to peers.
Earnings -before income taxes and interests on loans taken- tend to be sufficient in relation to total revenues. They're still worse than most similar companies.
Profits -before income taxes- are usually meagre considering total sales, and remain last-in-rank when measured against rivals.
Total net profit tends to be sufficient when confronted to sales. Company stands substantially worse when measured against comparable firms.

Growth score: 1.7

Blucora, Inc. profit -on goods and services sold- has been growing at a normal pace. It's been rather normal in relation to competitors.
In recent years, the firm hasn't always been able to profit from operations, which has been bottom tier against comparable firms.
In past years, the company couldn't always turn a profit -available to repay debt and purchase properties-, which compares last-in-rank when measured against peer enterprises.
In the previous years, the firm couldn't always make a profit -before income taxes and interests on loans taken-. It turns to be a disappointment compared to similar stocks.
In past years, at least once the company lost money -before income taxes-. It was bottom tier against rivals.
In the previous years, the firm had at least a total net loss, and last-in-rank when measured against peer companies.
The company lost money at least once in the past years. It's been a disappointment compared to industry peers.

Miscellaneous score: 6.0

AVTA had still to pay income taxes, even though in recent past years mostly lost money. It's been bottom tier against peers.
Research and development expenses consume a very little portion of revenues. It's last-in-rank when measured against competitors.
The company shows good business growth in relation to research and development efforts. It stands in a very weak position compared to rival companies.

Profitability score: 7.8

Blucora, Inc. usually gets excellent returns on the resources it controls. It proves more than average in relation to peer firms.
The company normally gets good proceeds -on the resources directly invested in the business-. They remain close to average when compared to similar companies.
Profitability -in relation to owned resources- is usually modest. It ranks substantially worse when measured against competitors.
In the past, got huge returns -on the tangible resources it controls-. This metric is usually related to the industry in which operates and combines profitability versus reinvestment needs. It's top tier when measured against comparable enterprises.

Usage of Funds score: 6.0

AVTA usually uses a large portion of genuine funds generated to buy or replace property, plant, or equipment. The need for reinvestments is large. It stands top tier when measured against rival firms.
The company is usually replacing part of the property, plant, and equipment that gets old, keeping some funds for something else. It can't keep forever, which is more than average in relation to industry peers.
In the past twelve months the stock paid no dividends. It came bottom tier against competitors.
The company pays no dividend, so measuring its growth is meaningless. The company has behaved in an conservative way compared to similar firms.
As no dividends are paid, it is useless trying to estimate their sustainability in time. Sustainability looks not applicable in regard to comparable companies.
The company usually significantly reduces the pool of investors, resulting in fewer mouths feeding on the pie of profits. It remains impressive in relation to peer enterprises.
Repurchase effectiveness metric is very complex. Run again in analytical mode if you're interested in a technical explanation. It stands impressive in relation to rivals.
The company uses a low portion of genuine fund generation to reward investors, which can most likely be sustained. It still looks more than average in relation to competitors.

Balance Sheet score: 6.6

Blucora, Inc. intangible assets (like brands and goodwill) represent a portion of resources controlled, according to accounting books. There could be difficulties in liquidating them if the company ever gets in financial distress. It happens to be substantially worse when measured against peer companies.
The company has roughly triple short-term resources than short-term obligations. Liquidity concerns are most likely unimportant. It turns to be close to average when compared to similar firms.
A very minor portion of resources controlled were provided for with financial debt. Financial strength is solid. Company could increase debt if it wished so, to reinvest in business, to buy a smaller company or to reward stockholders. It remains slightly worse than rival firms.
Most controlled resources take time to be turned into cash and equivalents, which is somewhat risky. It looks below average when measured against rivals.
For every dollar of short-term obligations, the company has more than enough dollars in cash and short-term receivables. It's close to average when compared to peer firms.
For every dollar of short-term obligations, the company has enough dollars in cash and equivalents, which is somewhat worse than similar enterprises.
Usually, sales are on less than a month credit. It still ranks more than average in relation to peers.
Normally has no inventories. It comes up as impressive in relation to competitors.
On average, it takes less than one month from the purchase to charging customers. It happens to be somewhat better than peers.
On average pays suppliers during the first couple of weeks from the purchase. It ranks similar to industry peers.
The company pays its suppliers almost when charging its customers, so there's very little money invested in working capital. It's close to average when compared to similar companies.
Net interest expenses consume a significant portion of usual business earnings, but are mostly bearable. It stands worse than most rival firms.
Business earnings have usually been excellent when measured against loans taken. It could take less than two years to repay the obligations with current profitability. It ranks more than average in relation to comparable enterprises.
Revenues are excellent in relation to property, plant, and equipment required to operate. This metric is likely dependent on the industry the company operates in. Low property, plant, and equipment requirements, allows the company to keep more money to reward stockholders in the long run. It looks a slight improvement compared to similar firms.
Resource exploitation is excellent when yearly sales are considered. This metric is normally tied to the industry where the firm belongs. It's still top-notch against peer companies.

Valuation score: 7.7

Blucora, Inc. looks extremely cheap in relation to profits and financial position. It happens to be top tier when measured against competitors.
Price-to-Tangible-Book-Value is a fairly complex metric. Run again in analytical mode if you're interested in a technical explanation. It remains in a weak position compared to peers.
In the past twelve months, the company generated some slightly better free funds in relation to the stock price, which stands somewhat worse than similar companies.
The company usually generates reasonably more than enough genuine funds to cover up for its business needs. Surplus cash may be used to repay loans, to eventually buy new businesses, or to reward investors. Considering the financial position and stock price, the current valuation might be fair. It's still below average when measured against industry firms.
In the past twelve months, the company has significantly rewarded investors, considering both dividends and share on the pie of earnings. It came up excellent in relation to peer ventures.
The company has substantial more cash than debt. It might be poised to increase stockholder payments, or to fund new business projects. It looks somewhat better than similar enterprises.
Considering the past twelve months, traditional Price-to-Earnings relation looks extremely cheap. Possible reasons are that the market might be betting current earnings will be very hard to sustain through time, or that the company has very high fund needs, a weak financial position, or that earnings aren't representative. If that isn't the case, the stock price could be extremely attractive. It ranks top tier when measured against peer companies.
Comparing the current stock price with the past twelve-months revenues gives a roughly two to one relationship. This is an important metric to check its evolution through time, and to compare to industry peers. It looks excellent in relation to rival firms.
The relation between the stock price and accounting book value is somewhat high. It's important both to check this metric through time and to compare it with rival companies. The company remains somewhat worse than peer firms.
In the past twelve months, the operating business earned huge money when compared to the current stock price and financial position. It happens to be top tier when measured against industry peers.
In an alternate metric of bang for the buck, the company has usually shown a very good earnings power ability when measured against the current stock price and financial position. It's still lacking compared to peer companies.

Total score: 6.1

Company at a glance: Blucora, Inc. (AVTA)

Sector, industry: Financial Services, Asset Management

Market Cap: 1.31 billions

Revenues TTM: 0.92 billions

Blucora, Inc. provides technology-enabled financial solutions to consumers, small business owners, tax professionals, financial advisors, and certified public accounting firms in the United States. The company operates through two segments, Wealth Management and Tax Preparation. The Wealth Management segment offers an integrated platform of brokerage, investment advisory, and insurance services to financial advisors. The Tax Preparation segment provides digital do-it-yourself tax preparation solutions through TaxAct.com; and ancillary services, including refund payment transfer, audit defense, stored value cards, retirement plan services, and e-filing services. This segment also offers professional tax preparer software that allows professional tax preparers to prepare and file individual and business returns. The company was formerly known as InfoSpace, Inc. and changed its name to Blucora, Inc. in June 2012. Blucora, Inc. was founded in 1996 and is headquartered in Dallas, Texas.