Ansys Stock Valuation

ANSS
 Stock
  

USD 279.99  3.73  1.31%   

How much is Ansys Inc worth today? Calculating the true value of any business is not as easy as it may seem. While the market cap of a public entity, such as Ansys, is its stock price multiplied by the total number of shares outstanding, calculating Ansys' enterprise value requires a different approach. It uses Ansys' balance sheet items such as long-term debt, the book value of the preferred stock, minority interest, and other important financials.
As of 08/17/2022, Enterprise Value is likely to grow to about 37.5 B, while Free Cash Flow is likely to drop slightly above 503.5 M.
Ansys Inc shows a prevailing Real Value of $334.77 per share. The current price of the firm is $279.99. At this time, the firm appears to be undervalued. Our model approximates the value of Ansys Inc from analyzing the firm fundamentals such as Return On Equity of 10.69 %, current valuation of 24.5 B, and Profit Margin of 23.02 % as well as examining its technical indicators and Probability Of Bankruptcy. In general, we favor buying undervalued instruments and selling overvalued instruments since, at some point, asset prices and their ongoing real values will blend.
  
Ansys Valuation Module provides a unique way to ballpark how much the company is worth today. It is done using both, our quantitative analysis of the company fundamentals as well as its intrinsic market price estimation to project the real value. We also take into consideration other essential factors such as Ansys's management style, its c-level domain expertise and tenure, its overall leadership history as well as current capital structure, and future earnings potential.

Ansys Most Recent Valuation Data

Price Book
5.48
EPS Estimate Next Quarter
1.66
Price Sales
12.38
EBITDA
672.4 M
Beta
1.29
Fiscal Year End
December
Undervalued
Today 279.99
Please note that Ansys' price fluctuation is very steady at this time. Calculation of the real value of Ansys Inc is based on 3 months time horizon. Increasing Ansys' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Ansys Inc is useful when determining the fair value of the Ansys stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Ansys. Since Ansys is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Ansys Stock. However, Ansys' intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
252.69
Downside
334.77
Real Value
337.29
Upside
Estimating the potential upside or downside of Ansys Inc helps investors to forecast how Ansys stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Ansys more accurately as focusing exclusively on Ansys' fundamentals will not take into account other important factors:
Earnings
Estimates (4)
LowProjected EPSHigh
5.545.655.76
Details
Hype
Prediction
LowEstimated ValueHigh
279.98282.50285.02
Details
Naive
Forecast
LowNext ValueHigh
275.38277.90280.42
Details
12 Analysts
Consensus
LowTarget PriceHigh
305.00400.00475.00
Details
Traditionally analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Ansys' intrinsic value based on its ongoing forecasts of Ansys' financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Ansys' closest peers. When choosing an evaluation method for Ansys Inc, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using both methods to arrive at a better estimate.

Ansys Investments

370,211

Ansys Valuation Drivers Correlation

Many accounts on the financial statements of Ansys Inc are highly interrelated and sometimes correlated. Consequently, when conducting Ansys's valuation analysis, one should examine all of the accounts reported to obtain a complete picture of its financial situation. We provide a unique feature to present a conventional correlation table purposely composed against different valuation-related drivers of Ansys
Click cells to compare fundamentals

Ansys Valuation Trend

Knowing Ansys' actual value is paramount for traders to make sound investment determinations. Ansys' real value is not only important for the investor to make better decisions but also for a more accurate overall view of Ansys' financial worth over time since having this information enables investors and analysts to forecast the earnings more efficiently. Using both Ansys' enterprise value as well as its market capitalization is the best way to gauging the value of the company and is usually enough for investors to make market timing descisions.

Ansys Market Cap

Ansys Inc is number one stock in market capitalization category among related companies. Market capitalization of Software—Application industry is presently estimated at about 1.27 Trillion. Ansys claims roughly 24.44 Billion in market capitalization contributing just under 2% to equities listed under Software—Application industry.
Capitalization  Valuation  Total debt  Workforce  Revenue

Ansys Valuation Ratios as Compared to Competition

Comparative valuation techniques use various fundamental indicators to help in determining Ansys's current stock value. Our valuation model uses many indicators to compare Ansys value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Ansys competition to find correlations between indicators driving Ansys's intrinsic value. More Info.
Ansys Inc is number one stock in price to earning category among related companies. It is number one stock in beta category among related companies totaling about  0.02  of Beta per Price to Earning. The ratio of Price to Earning to Beta for Ansys Inc is roughly  41.48 . Comparative valuation analysis is a catch-all model that can be used if you cannot value Ansys by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Ansys' Stock . Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Ansys' earnings, one of the primary drivers of an investment's value.
Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Ansys' worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Ansys and how it compares across the competition.

About Ansys Valuation

The stock valuation mechanism determines the current worth of Ansys Inc on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of Ansys Inc. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Ansys Inc based exclusively on its fundamental and basic technical indicators. By analyzing Ansys's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Ansys's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Ansys. We calculate exposure to Ansys's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Ansys's related companies.
Fiscal Year End
December
Industry
Software-Application
Concentration
Application Software
Full Time Employees
5.3 K
Service Category
Software
Employer Id Number
04-3219960
Last ReportedProjected for 2022
Gross Profit1.6 B1.4 B
Profit Margin 0.24  0.28 
ANSYS, Inc. develops and markets engineering simulation software and services worldwide. The company was founded in 1970 and is headquartered in Canonsburg, Pennsylvania. Ansys operates under SoftwareApplication classification in the United States and is traded on NASDAQ Exchange. It employs 5200 people.

Ansys Quarterly Enterprise Value

21.03 Billion

Ansys Valuation Growth Rates

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as Ansys does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
Quick Ratio2.17
Earnings Quarterly Growth-1.90%
Revenue Growth17.00%
Enterprise Value To Ebitda37.17
Earnings Growth-1.20%
Enterprise Value To Revenue12.45

Ansys Current Valuation Indicators

Valuation refers to the process of determining the present value of Ansys Inc and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Ansys we look at many different elements of the entity such as Ansys's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. Ansys' valuation analysis is also a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Ansys' valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Ansys, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Ansys' valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Ansys' worth.
Please continue to Trending Equities. Note that the Ansys Inc information on this page should be used as a complementary analysis to other Ansys' statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Equity Analysis module to research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities.

Complementary Tools for Ansys Stock analysis

When running Ansys Inc price analysis, check to measure Ansys' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Ansys is operating at the current time. Most of Ansys' value examination focuses on studying past and present price action to predict the probability of Ansys' future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Ansys' price. Additionally, you may evaluate how the addition of Ansys to your portfolios can decrease your overall portfolio volatility.
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Is Ansys' industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Ansys. If investors know Ansys will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Ansys listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth YOY
0.066
Market Capitalization
24.7 B
Quarterly Revenue Growth YOY
0.061
Return On Assets
0.0585
Return On Equity
0.11
The market value of Ansys Inc is measured differently than its book value, which is the value of Ansys that is recorded on the company's balance sheet. Investors also form their own opinion of Ansys' value that differs from its market value or its book value, called intrinsic value, which is Ansys' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Ansys' market value can be influenced by many factors that don't directly affect Ansys' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Ansys' value and its price as these two are different measures arrived at by different means. Investors typically determine Ansys value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Ansys' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.