EGAIN Corp (NASDAQ: EGAN)

Sector: Technology Industry: Software - Application CIK: 0001066194
Market Cap 309.52 Mn
P/B 3.71
P/E 8.99
P/S 3.43
ROIC (Qtr) 5.93
Div Yield % 0.00
Rev 1y % (Qtr) 7.84
Total Debt (Qtr) 3.39 Mn
Debt/Equity (Qtr) 0.04

About

Price action

Investment thesis

Bull case

  • Strong operating cash flow of 14.74M provides robust 4.35x coverage of total debt 3.39M, indicating excellent debt servicing capability and financial flexibility.
  • Healthy cash reserves of 70.91M provide 57.37x coverage of short-term debt 1.24M, demonstrating strong liquidity position and minimal refinancing risk.
  • Strong tangible asset base of 129.06M provides 38.05x coverage of total debt 3.39M, indicating robust asset backing and low credit risk.
  • Robust free cash flow of 14.06M exceeds capital expenditure of 680000 by 20.68x, indicating strong organic growth funding capability.
  • Robust tangible asset base of 129.06M provides 3.05x coverage of working capital 42.31M, indicating strong operational backing.

Bear case

  • Operating cash flow of 14.74M barely covers its investment activities of (680000), with a coverage ratio of -21.68, indicating heavy reliance on external financing for growth which may not be sustainable in a tighter credit environment.
  • Investment activities of (680000) provide weak support for R&D spending of 29.50M, which is -0.02x, suggesting potentially insufficient investment in innovation relative to other capital deployment.
  • Operating cash flow of 14.74M provides insufficient coverage of deferred revenue obligations of 47.41M, which is 0.31x, raising concerns about future service delivery capabilities.
  • Operating cash flow of 14.74M provides minimal -0.56x coverage of tax expenses of (26.18M), suggesting potential tax planning inefficiencies or unsustainable tax positions.
  • Operating cash flow of 14.74M is outpaced by equity issuance of (11.20M) (-1.32 ratio), indicating concerning reliance on equity markets for funding operations.

Geographical Breakdown of Revenue (2025)

Product and Service Breakdown of Revenue (2025)

Peer comparison

Companies in the Software - Application
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 SAP Sap Se 288.31 Bn 34.60 6.72 10.73 Bn
2 CRM Salesforce, Inc. 248.32 Bn 34.38 6.16 11.14 Bn
3 SHOP Shopify Inc. 212.27 Bn 119.19 19.85 1.12 Bn
4 INTU Intuit Inc. 180.73 Bn 43.89 9.30 6.78 Bn
5 UBER Uber Technologies, Inc 178.38 Bn 10.72 3.60 12.19 Bn
6 NOW ServiceNow, Inc. 146.98 Bn 84.91 11.60 2.40 Bn
7 ADBE Adobe Inc. 144.48 Bn 20.77 6.23 6.64 Bn
8 ADP Automatic Data Processing Inc 108.20 Bn 26.16 5.18 9.77 Bn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets 1.73 2.65
EV to Cash from Ops. EV/CFO 16.98 13.37
EV to Debt EV to Debt 73.78 57.69
EV to EBIT EV/EBIT 30.35 19.12
EV to EBITDA EV/EBITDA 30.75 15.00
EV to Free Cash Flow [EV/FCF] EV/FCF 17.80 14.69
EV to Market Cap EV to Market Cap 0.81 -92.28
EV to Revenue EV/Rev 2.78 4.60
Price to Book Value [P/B] P/B 3.71 4.26
Price to Earnings [P/E] P/E 8.99 -136.90
Dividend Metrics Value Ind Avg Percentile
Dividend Coverage Ratio Dividend Coverage Ratio 0.00 -3.95
Dividend Payout Ratio % Div Payout % (Qtr) 0.00 4.25
Dividend per Basic Share Div per Share (Qtr) 0.00 0.15
FCF Dividend Payout Ratio % FCF Div Payout % (Qtr) 0.00 2.52
Interest Coverage Int. cover (Qtr) 0.00 -52.32
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex 1y % (Qtr) -147.27 -259.78
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) 5.50 9,763.58
Dividend Growth (1y) % Dividend Growth (1y) % 0.00 1.61
EBIAT Growth (1y) % EBIAT 1y % (Qtr) 489.82 -263.15
EBITDA Growth (1y) % EBITDA 1y % (Qtr) 24.94 56.46
EBIT Growth (1y) % EBIT 1y % (Qtr) 4.62 -225.15
EBT Growth (1y) % EBT 1y % (Qtr) 4.62 -86.10
EPS Growth (1y) % EPS 1y % (Qtr) 542.11 123.84
FCF Growth (1y) % FCF 1y % (Qtr) 181.11 -36.82
Gross Profit Growth (1y) % Gross Profit 1y % (Qtr) 2.45 95.08
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 0.62 0.58
Cash Payout Ratio Cash Payout (Qtr) 0.00 0.02
Cash Ratio Cash Ratio (Qtr) 1.27 3.75
Current Ratio Curr Ratio (Qtr) 1.76 8.16
Debt to Equity Ratio Debt/Equity (Qtr) 0.04 0.17
Interest Cover Ratio Int Coverage (Qtr) 0.00 -52.32
Times Interest Earned Times Interest Earned (Qtr) 0.00 -52.32
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % (Qtr) 10.70 -100.06
EBIT Margin % EBIT Margin % (Qtr) 9.15 -164.24
EBT Margin % EBT Margin % (Qtr) 9.15 -116.94
Gross Margin % Gross Margin % (Qtr) 71.60 58.20
Net Profit Margin % Net Margin % (Qtr) 38.20 -121.65