PGS Software (LTS:0RK2) Earnings Yield (Joel Greenblatt) %: 8.98% (As of Sep. 2021) — 11% Above Median

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What is PGS Software Earnings Yield (Joel Greenblatt) %?

PGS Software LTS:0RK2 4 Earnings Yield (Joel Greenblatt) % is 8.98% as of Sep. 2021, which is 11% above its 10-year median of 8.06. GuruFocus rates LTS:0RK2 with a GF Score™ of 4/100. The stock has 6 warning signs investors should review.

PGS Software's Enterprise Value for the quarter that ended in Sep. 2021 was zł0.00 Mil. PGS Software's EBIT for the trailing twelve months (TTM) ended in Sep. 2021 was zł40.52 Mil. PGS Software's Earnings Yield (Joel Greenblatt) for the quarter that ended in Sep. 2021 was 8.98%.

The historical rank and industry rank for PGS Software's Earnings Yield (Joel Greenblatt) % or its related term are showing as below:

LTS:0RK2' s Earnings Yield (Joel Greenblatt) % Range Over the Past 10 Years
Min: 4.19   Med: 8.06   Max: 19.61
Current: 9.43

During the past 13 years, the highest Earnings Yield (Joel Greenblatt) of PGS Software was 19.61%. The lowest was 4.19%. And the median was 8.06%.

LTS:0RK2's Earnings Yield (Joel Greenblatt) % is not ranked
in the Software industry.
Industry Median: 1.94 vs LTS:0RK2: 9.43

Joel Greenblatt's definition of earnings yield has the same problems the regular earnings yield does. It does not consider the growth of the company. It only looks at one-year's business operation. For cyclical companies, the earnings yield is usually highest at the peak of the business cycle. But these earnings are rarely sustainable.

A better indicator of the attractiveness of an investment which takes growth into account is the Forward Rate of Return (Yacktman) %. PGS Software's Forward Rate of Return (Yacktman) % for the quarter that ended in Sep. 2021 was 13.19%. The Forward Rate of Return uses the normalized Free Cash Flow of the past five years, and considers growth. The forward rate of return can be thought of as the return that investors buying the stock today can expect from it in the future.


PGS Software  (LTS:0RK2) Earnings Yield (Joel Greenblatt) % Explanation

Joel Greenblatt defines the earnings yield using the above equation because it more accurately reflects the company's profitability relative to its stock price. Items like interest payment and tax etc. are not directly related to the company's operational profitability.

Enterprise Value instead of market cap (share price) is used in the calculation because it is the real price stock and bond investors together pay for the company.


Be Aware

Joel Greenblatt's definition of earnings yield has the same problems the regular earnings yield does. It does not consider the growth of the company. It only looks at one-year's business operation. For cyclical companies, the earnings yield is usually highest at the peak of the business cycle. But these earnings are rarely sustainable.

Forward Rate of Return (Yacktman) % based on Don Yacktman's definition is a better measure of the expected rate of return for a stock.


PGS Software Earnings Yield (Joel Greenblatt) % Related Terms


PGS Software Earnings Yield (Joel Greenblatt) % Historical Data

* Premium members only.

The historical data trend for PGS Software's Earnings Yield (Joel Greenblatt) % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

PGS Software Earnings Yield (Joel Greenblatt) % Chart

PGS Software Annual Data
Trend Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20
Earnings Yield (Joel Greenblatt) %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 5.42 5.91 10.74 10.65 6.89

PGS Software Quarterly Data
Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21
Earnings Yield (Joel Greenblatt) % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 6.76 6.89 8.58 8.01 8.98

LTS:0RK2 vs CRM, INTU, NOW: Earnings Yield (Joel Greenblatt) % Comparison

For the Software - Application subindustry, PGS Software's Earnings Yield (Joel Greenblatt) %, along with its competitors' market caps and Earnings Yield (Joel Greenblatt) % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


PGS Software Earnings Yield (Joel Greenblatt) % vs Software Industry

For the Software industry and Technology sector, PGS Software's Earnings Yield (Joel Greenblatt) % distribution charts can be found below:

* The bar in red indicates where PGS Software's Earnings Yield (Joel Greenblatt) % falls into.



PGS Software Earnings Yield (Joel Greenblatt) % Calculation

In his book, The Little That Beat the Market, hedge fund manager Joel Greenblatt defines Earnings Yield as operating income divided by enterprise value.

PGS Softwares Earnings Yield (Joel Greenblatt) for the fiscal year that ended in Dec. 2020 is calculated as

Earnings Yield (Joel Greenblatt)=EBIT/Enterprise Value
=22.751/0
= %

PGS Software's EBIT for the trailing twelve months (TTM) ended in Sep. 2021 adds up the quarterly data reported by the company within the most recent 12 months, which was zł40.52 Mil.


What does a Earnings Yield (Joel Greenblatt) % of 8.98% mean?
PGS Software (LTS:0RK2) has a Earnings Yield (Joel Greenblatt) % of 8.98% as of Sep. 2021. Joel Greenblatt's earnings yield equals the ratio of earnings before interest and taxes to enterprise value. View historical data on PGS Software and its competitors. This is 11% above median its historical median of 8.06. Over the past decade, PGS Software's Earnings Yield (Joel Greenblatt) % has ranged from 4.19 to 19.61.
Is PGS Software's Earnings Yield (Joel Greenblatt) % too high?
PGS Software's current Earnings Yield (Joel Greenblatt) % of 8.98% is 11% above median its 10-year median of 8.06. Over the past 10 years, this metric has ranged from a low of 4.19 to a high of 19.61. The Software industry median Earnings Yield (Joel Greenblatt) % is 1.94. PGS Software's value of 8.98% is 362.9% above this industry median. Overall, PGS Software has a GF Score™ of 4/100, reflecting its overall financial health beyond just this single metric.
How does PGS Software's Earnings Yield (Joel Greenblatt) % compare to CRM and INTU?
PGS Software's Earnings Yield (Joel Greenblatt) % of 8.98% can be compared against companies in the Software industry. The industry median Earnings Yield (Joel Greenblatt) % is 1.94. PGS Software's value of 8.98% is 362.9% above this benchmark. Historically, PGS Software's own Earnings Yield (Joel Greenblatt) % has ranged from 4.19 to 19.61 over the past decade. While the company's 10-year median is 8.06 vs. the industry median of 1.94, PGS Software has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Earnings Yield (Joel Greenblatt) % for a Software company?
The median Earnings Yield (Joel Greenblatt) % among Software companies is 1.94, based on 2,908 companies in the industry. Companies in the top quartile (top 25%) have a Earnings Yield (Joel Greenblatt) % significantly above this median, while those in the bottom quartile fall well below. However, Earnings Yield (Joel Greenblatt) % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. PGS Software's current Earnings Yield (Joel Greenblatt) % of 8.98% is 362.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Earnings Yield (Joel Greenblatt) % mean?
A high Earnings Yield (Joel Greenblatt) % can signal that a stock is expensive relative to its fundamentals. Joel Greenblatt's earnings yield equals the ratio of earnings before interest and taxes to enterprise value. View historical data on PGS Software and its competitors. For the Software industry, the median Earnings Yield (Joel Greenblatt) % is 1.94 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. PGS Software's current Earnings Yield (Joel Greenblatt) % is 8.98%, which is 11% above median its own 10-year median of 8.06. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is PGS Software stock overvalued right now?
PGS Software (LTS:0RK2) has a current Earnings Yield (Joel Greenblatt) % of 8.98%. The current Earnings Yield (Joel Greenblatt) % is 8.98%, which is 11% above median its 10-year median of 8.06 and 362.9% above the Software industry median of 1.94. PGS Software's overall GF Score™ is 4/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Earnings Yield (Joel Greenblatt) % calculated?
Earnings Yield (Joel Greenblatt) % is calculated from a company's financial statements. For PGS Software (LTS:0RK2), the current Earnings Yield (Joel Greenblatt) % is 8.98% as of Sep. 2021. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

PGS Software Business Description

Address ul. Klecinska 123, Wroclaw, POL, 54-413
PGS Software SA provides software development and IT outsourcing services in Poland. It offers nearshore software outsourcing; mobile and web; application development; continuous delivery, quality analysis, and automation; and cloud services.