Enghouse Systems (FRA:3E4) Risk Assessment

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

FRA:3E4 Enghouse Systems Ltd FRA:3E4
64 GF Score
Price €10.90
GF Value €16.45
Valuation Significantly Undervalued
! 4 Warning Signs
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What is Enghouse Systems Risk Assessment?

Risk Assessment represents the investment risk of a stock derived from our exclusive method. It suggests how risky the investment opportunity is based on the valuation and the fundamental performance of the stock. It is derived from following key aspects:

1. GuruFocus internally developed valuations of the stock, such as GF valuation.
2. Quality Rank, a business quality indicator developed by GuruFocus.
3. Fundamental performance: Piotroski F-Score, Altman Z-Score, Beneish M-Score, etc.
4. Growth opportunities: 5-year revenue growth rate, 5-Year EPS without NRI Growth Rate, etc.

Value investors are always willing to find undervalued stocks. However, not all the undervalued stocks are good deals, we should also be careful of how risky the investment opportunity is. We believe that if the company's financial strength and profitability are strong, and the stock price is within a reasonable range of the GF valuation, or stock has a high return with its price being undervalued, then it might be a good investment opportunity with low risk.

Based on those aspects listed above, GuruFocus believes the risk assessment of Enghouse Systems is: Low Risk: Strong fundamentals, worth long-term holding.

Enghouse Systems  (FRA:3E4) Risk Assessment Explanation

Based on the four aspects listed above, GuruFocus provides the following 7 evaluations:

All-in-One Screener Examples (1)
Low Risk: Strong fundamentals, worth long-term holding
Moderate Risk: Sensitive, better choose undervalued stock
High Risk: High uncertainty with risk-return tradeoff
High Risk: Good fundamentals, beware of shrinking business
High Risk: Sensitive to economic or industry trends
High Risk: High uncertainty
No Data: Cannot be evaluated

(1) These are some simple examples. You can access our Risk Assessment filter under All-in-One Screener’s Fundamental tab and set your own criteria.

Enghouse Systems Risk Assessment Related Terms

FRA:3E4 vs QH, SHOP, UBER: Risk Assessment Comparison

For the Software - Application subindustry, Enghouse Systems's Risk Assessment, along with its competitors' market caps and Risk Assessment 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.

Enghouse Systems Risk Assessment vs Software Industry

For the Software industry and Technology sector, Enghouse Systems's Risk Assessment distribution charts can be found below:

* The bar in red indicates where Enghouse Systems's Risk Assessment falls into.


FRA:3E4
64GF Score
Enghouse Systems Ltd FRA:3E4
Risk Assessment is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Is Enghouse Systems (FRA:3E4) Overvalued in 2026?

Based on GuruFocus' analysis, Enghouse Systems stock appears to be undervalued. The current stock price of €10.90 is trading 33.7% below its estimated GF Value™ of €16.45. GuruFocus considers Enghouse Systems to be Significantly Undervalued.

Key valuation signals for FRA:3E4:

  • Risk Assessment:
  • GF Value™: €16.45 vs. price of €10.90 (33.7% below fair value)
  • GF Score™: 64/100 with 4 warning signs

No single metric tells the full story. See the FRA:3E4 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Enghouse Systems Business Description

Address 80 Tiverton Court, Suite 800, Investor Relations, Markham, ON, CAN, L3R 0G4
Enghouse Systems Ltd is a Canada-based provider of software and services to a variety of end markets. The firm's operations are organized in two segments, namely, the Interactive Management Group (IMG) and the Asset Management Group (AMG). It earns the majority of its revenue from Interactive Management Group. IMG specializes in contact center and video software and services designed to enhance customer service by increasing efficiency and managing customer communications across multiple types of interactions, including voice, email, social channels, web chats, text, and videos. The firm has operations in Canada, the United States, the United Kingdom, Europe, excluding Scandinavia, Germany, Asia-Pacific, and other regions, with maximum revenue from the USA.
64GF Score

Get the complete analysis for FRA:3E4

Risk Assessment is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€10.90
Price
€16.45
GF Value