This report should not be construed as providing investment advice. It is for educational purposes only.  Before making any investment decision, you should always do your own research or consult a investment professional.  
See my website on stocks or see my blog at the following sites.    www.spbrunner.com/stocks.html   www.spbrunner.blogspot.com/                
Enghouse Systems Ltd   www.enghouse.com     ESL     Fiscal Yr: Oct 31     1/31/11              
Year 10/31/99 10/31/00 10/31/01 10/31/02 10/31/03 10/31/04 10/31/05 10/31/06 10/31/07 10/31/08 10/31/09 10/31/10 10/31/11 10/30/12       #Y    
Accounting Rules         C GAAP C GAAP              
Split 2                        
Revenue* $19.79 $27.58 $18.551 $13.865 $47.702 $60.228 $48.430 $62.462 $55.201 $53.009 $78.418 $94.208 $103.241 <-12 mths   241.58% <-Total Growth 10 Revenue  
Increase -6.12% 39.36% -32.74% -25.26% 244.05% 26.26% -19.59% 28.97% -11.62% -3.97% 47.93% 20.14% 9.59% <-12 mths   13.07% <-IRR #YR-> 10 Revenue  
Rev per Share $1.40 $1.29 $0.87 $0.55 $1.89 $2.37 $1.90 $2.45 $2.19 $2.08 $3.15 $3.74 $4.10 <-12 mths   14.23% <-IRR #YR-> 5 Revenue  
P/S (Price/Sales) 1.83 4.26 5.02 8.53 3.70 3.77 4.24 3.20 3.42 2.55 2.16 2.34 2.46 <-12 mths   11.24% <-IRR #YR-> 10 Rev Per share  
Median             P/S 10 yr  3.56 5 yr  2.55       14.53% <-IRR #YR-> 5 Rev Per share  
*Revenue in M CDN $                                       
    -$27.6 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $94.2                
              -$48.4 $0.0 $0.0 $0.0 $0.0 $94.2                
    -$1.3 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $0.0 $3.7                
              -$1.9 $0.0 $0.0 $0.0 $0.0 $3.7                
                          Yr 2011 Yr 2012            
EPS* $0.26 $0.31 $0.34 $0.23 $0.38 $0.43 $0.22 $0.42 $0.21 $0.23 $0.27 $0.40 $0.52 $0.63   29.03% <-Total Growth 10 Earnings  
Increase -38.10% 19.23% 9.68% -32.35% 65.22% 13.16% -48.84% 90.91% -50.00% 9.52% 17.39% 48.15% 30.00% 21.15%   2.58% <-IRR #YR-> 10 Earnings  
* ESP per share (Cdn GAAP)                             12.70% <-IRR #YR-> 5 Earnings  
    -$0.31 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.40                
              -$0.22 $0.00 $0.00 $0.00 $0.00 $0.40                
                                         
Actual                   2 divs                    
Div*                   $0.05 $0.11 $0.15 $0.18 $0.20   #DIV/0! <-Total Growth 3 Dividends  
Increase                     10.00% 36.36% 20.00% 11.11%   23.18% <-Median-> 2 Dividends  
Yield H/L                   0.84% 1.96% 1.87% #DIV/0! #DIV/0!   1.87% <-Median-> 3 Dividends  
Yield on Cl                   0.94% 1.62% 1.71% 1.78% 1.98%   1.62% <-Median-> 3 Dividends  
Payout Ratio                   21.7% 40.7% 37.5% 34.6% 31.7%   37.50% <-Median-> 3 Payout  
Payout Ratio CF                   13.8% 17.3% 20.3% 17.4% #VALUE!   17.27% <-Median-> 3 Payout  
Median 5 Yrs Div Yd 3.59% in 5 yrs 7.22% in 10 yrs Yield  1.87% 1.62% Payout 37.50% 17.27%       #NUM! <-IRR #YR-> 10 Dividends  
* Dividends per share  15.0% 5 15.0% 10         Div Inc ------> $0.04 $0.05 25.00%   #NUM! <-IRR #YR-> 5 Dividends  
                                         
    $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.15                
              $0.00 $0.00 $0.00 $0.00 $0.00 $0.15                
                                         
H/LYield held 5 yrs 0.78% 1.26% 1.84% 1.91% 2.54%   Ave H/L Yield on your    Dividends  
H/LYield held 10 yrs 0.84% 3.06% 3.17% 3.53% 4.20%   Ave H/L original money   Dividends  
                                         
Graham No. $3.90 $4.19 $4.69 $3.99 $5.45 $6.11 $4.50 $6.47 $4.49 $4.96 $5.33 $6.56 $7.53 $8.29   Cl Pr higher/lower by?   Graham Price  
Prem /Disc. High 21.72% 69.05% 34.73% 36.52% 50.80% 71.92% 97.33% 72.14% 86.09% 57.05% 44.55% 39.46%       53.93% <-Median-> 10 Graham Price  
Prem /Disc. Ave H/L -7.75% 12.90% 8.64% 19.30% 17.20% 43.27% 80.97% 45.87% 75.52% 20.36% 5.22% 22.32%       21.34% <-Median-> 10 Graham Price  
Prem /Disc. Low -37.22% -43.25% -17.46% 2.08% -16.39% 14.62% 64.62% 19.60% 64.94% -16.34% -34.11% 5.17%       3.62% <-Median-> 10 Graham Price  
Prem /Disc. Cl -34.66% 31.42% -6.80% 17.73% 28.34% 46.05% 79.08% 21.30% 67.17% 6.85% 27.66% 33.37% 34.02% 21.76%   28.00% <-Median-> 10 Graham Price  
                                         
Pre-split 2004 $5.10 $11.00 $8.75 $9.40 $14.00                              
Price Cl $2.55 $5.50 $4.38 $4.70 $7.00 $8.92 $8.05 $7.85 $7.51 $5.30 $6.80 $8.75 $10.09 $10.09   59.09% <-Total Growth 10 Stock Price  
Increase -44.57% 115.69% -20.45% 7.43% 48.94% 27.43% -9.75% -2.48% -4.33% -29.43% 28.30% 28.68% 15.31% 0.00%   4.75% <-IRR #YR-> 10 Stock Price  
P/E 9.81 17.74 12.87 20.43 18.42 20.74 36.59 18.69 35.76 23.04 25.19 21.88 19.40 16.02   1.68% <-IRR #YR-> 5 Stock Price  
Trailing P/E 6.07 21.15 14.11 13.82 30.43 23.47 18.72 35.68 17.88 25.24 29.57 32.41 25.23 19.40   5.13% <-IRR #YR-> 10 Price & Div  
Median 5 Yrs     0.72% 0.38% Div %  5, 10 yrs   Price Inc -2.48% P/E: Y-T 23.04 29.57   2.40% <-IRR #YR-> 5 Price & Div  
                                         
    -$5.50 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $8.75                
              -$8.05 $0.00 $0.00 $0.00 $0.00 $8.75                
    -$5.50 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.05 $0.11 $8.90                
              -$8.05 $0.00 $0.00 $0.05 $0.11 $8.90                
                                         
Price H/L Median $3.60 $4.73 $5.10 $4.76 $6.39 $8.75 $8.14 $9.44 $7.89 $5.97 $5.61 $8.03       69.84% <-Total Growth 10 Stock Price  
Increase -39.62% 31.25% 7.94% -6.62% 34.23% 36.88% -7.03% 16.04% -16.47% -24.29% -6.11% 43.18%       5.44% <-IRR #YR-> 10 Stock Price  
P/E 13.85 15.24 15.00 20.71 16.82 20.35 36.98 22.48 37.55 25.96 20.76 20.06       -0.27% <-IRR #YR-> 5 Stock Price  
Trailing P/E 8.57 18.17 16.45 14.01 27.79 23.03 18.92 42.91 18.77 28.43 24.37 29.72       5.86% <-IRR #YR-> 10 Price & Div  
Median 5 Yrs     0.76% 0.42% Div %  5, 10 yrs   Price Inc -6.11% P/E: Y-T 22.48 28.43   0.49% <-IRR #YR-> 5 Price & Div  
                                         
    -$4.73 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $8.03                
              -$8.14 $0.00 $0.00 $0.00 $0.00 $8.03                
    -$4.73 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.05 $0.11 $8.18                
              -$8.14 $0.00 $0.00 $0.05 $0.11 $8.18                
                                         
Hi Mths Jan 99 Sep 00 Feb 01 Jul 02 Sep 03 Jun 04 Nov 04 Apr 06 Mar 07 Nov 07 May 09 Jun 10             Stock Price  
Pre-split 2004 $9.50 $14.15 $12.65 $10.90 $16.45 $21.00                            
Price Hi $4.75 $7.08 $6.33 $5.45 $8.23 $10.50 $8.87 $11.14 $8.36 $7.79 $7.70 $9.15       29.33% <-Total Growth 10 Stock Price  
Increase -41.90% 48.95% -10.60% -13.83% 50.92% 27.66% -15.52% 25.59% -24.96% -6.82% -1.16% 18.83%       2.61% <-IRR #YR-> 10 Stock Price  
P/E 18.27 22.82 18.60 23.70 21.64 24.42 40.32 26.52 39.81 33.87 28.52 22.88       0.62% <-IRR #YR-> 5 Stock Price  
Trailing P/E 11.31 27.21 20.40 16.03 35.76 27.63 20.63 50.64 19.90 37.10 33.48 33.89             Stock Price  
Median 5 Yrs             Price Inc -1.16% P/E: Y-T 28.52 33.89         Stock Price  
                                         
    -$7.08 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $9.15                
              -$8.87 $0.00 $0.00 $0.00 $0.00 $9.15                
                                         
Low Mths Jun 99 Nov 99 Oct 01 Nov 01 Nov 02 Nov03 Aug 05 Aug 06 Aug 07 Oct 08 Nov 08 Nov 09             Stock Price  
Pre-split 2004 $4.90 $4.75 $7.75 $8.15 $9.12 $14.00                            
Price Low $2.45 $2.38 $3.88 $4.08 $4.56 $7.00 $7.40 $7.74 $7.41 $4.15 $3.51 $6.90       190.53% <-Total Growth 10 Stock Price  
Increase -34.67% -3.06% 63.16% 5.16% 11.90% 53.51% 5.71% 4.59% -4.26% -43.99% -15.42% 96.58%       11.25% <-IRR #YR-> 10 Stock Price  
P/E 9.42 7.66 11.40 17.72 12.00 16.28 33.64 18.43 35.29 18.04 13.00 17.25       -1.39% <-IRR #YR-> 5 Stock Price  
Trailing P/E 5.83 9.13 12.50 11.99 19.83 18.42 17.21 35.18 17.64 19.76 15.26 25.56             Stock Price  
Median 5 Yrs             Price Inc -4.26% P/E: Y-T 18.04 19.76         Stock Price  
                                         
    -$2.38 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $6.90                
                                         
Market Cap $36 $118 $93 $118 $176 $227 $205 $200 $189 $135 $169 $220                
                                         
# of Sh in M 14.17 21.38 21.29 25.16 25.20 25.43 25.50 25.50 25.17 25.49 24.88 25.17 25.17 25.17       Shares  
Increase -17.52% 50.88% -0.42% 18.18% 0.16% 0.91% 0.28% 0.00% -1.29% 1.27% -2.39% 1.17% 0.00% 0.00%   0.22% <-Median-> 10 Shares  
CF fr Op $M $5.53 $13.29 $7.61 $4.607 $11.873 $11.960 $8.384 $19.886 $12.956 $9.218 $15.846 $18.630 $26.074 <-12 mths   Covers Investing C.F. and dividends? Cash Flow  
OPS $0.39 $0.62 $0.36 $0.18 $0.47 $0.47 $0.33 $0.78 $0.51 $0.36 $0.64 $0.74 $1.04 <-12 mths   19.07% <-Total Growth 10 Cash Flow  
CF bef Non-Cash  $0.83 -$5.00 $0.89 $5.215 $14.598 $17.481 $11.742 $19.935 $13.258 $13.800 $17.483 $21.257 $23.552 <-12 mths   1.76% <-IRR #YR-> 10 Cash Flow  
OPS non-cash $0.45 $0.39 $0.40 $0.21 $0.58 $0.69 $0.46 $0.78 $0.53 $0.54 $0.70 $0.84 $0.94 <-12 mths   17.62% <-IRR #YR-> 5 Cash Flow  
P/OCF on Close 5.68 14.18 10.96 22.68 12.08 12.98 17.48 10.04 14.26 9.79 9.68 10.36 10.78 <-12 mths 8.10% <-IRR #YR-> 10 CF - non cash  
Median       P/CF 10 yr 11.52 5 yr  10.04     12.90% <-IRR #YR-> 5 CF - non cash  
*Operational Cash Flow per share                
-$0.62 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.74          
-$0.33 $0.00 $0.00 $0.00 $0.00 $0.74          
-$0.39 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.84      
-$0.46 $0.00 $0.00 $0.00 $0.00 $0.84      
                                         
OPM 27.94% 48.19% 41.02% 33.23% 24.89% 19.86% 17.31% 31.84% 23.47% 17.39% 20.21% 19.78%   should be zero, it is a check on calculations        
Diff from Median 28.0% 120.6% 87.8% 52.1% 14.0% -9.1% -20.7% 45.8% 7.5% -20.4% -7.5% -9.4%       0.00 <-Median-> 10 #DIV/0!  
*Operational Profit Margin (CF/Revenue) Ratio OPM 10 Yrs 21.84% 5 Yrs 20.21%            
                          Q1 2011              
Curr Assets $37.85 $59.65 $66.41 $81.20 $87.74 $101.91 $109.41 $119.03 $113.73 $116.79 $113.58 $107.17 $115.37     Liq ratio of 1.5 and up, best   Assets  
Curr Liab. $4.92 $9.23 $7.98 $8.25 $23.39 $28.45 $26.06 $36.46 $29.38 $40.67 $35.09 $47.16 $50.54     3.67 <-Median-> 10 Liabilities  
Liquidity 7.69 6.46 8.32 9.84 3.75 3.58 4.20 3.26 3.87 2.87 3.24 2.27 2.28     3.24 <-Median-> 5 Ratio  
                                         
Assets $41.81 $62.92 $69.31 $85.74 $117.69 $133.52 $136.72 $159.76 $146.26 $171.81 $161.23 $181.43 $185.59     A/L ratio of 1.5 and up, best   Assets  
Liabilities $4.92 $9.23 $7.98 $8.25 $30.01 $35.48 $32.63 $46.75 $38.75 $50.62 $45.02 $61.05 $63.64     3.77 <-Median-> 10 Liabilities  
A/L Ratio 8.50 6.82 8.68 10.39 3.92 3.76 4.19 3.42 3.77 3.39 3.58 2.97 2.92     3.42 <-Median-> 5 Ratio  
                                         
Book Value $36.89 $53.69 $61.33 $77.48 $87.68 $98.04 $104.09 $113.01 $107.51 $121.19 $116.21 $120.38 $121.95 $121.95   124.22% <-Total Growth 10 Book Value  
BV per share $2.60 $2.51 $2.88 $3.08 $3.48 $3.86 $4.08 $4.43 $4.27 $4.75 $4.67 $4.78 $4.84 $4.84   90.46% <-Total Growth 10 Book Value  
Change 43.22% -3.54% 14.71% 6.90% 12.98% 10.81% 5.88% 8.56% -3.62% 11.31% -1.76% 2.40% 1.30% 0.00%   1.1801 Current/Historical   Book Value  
P/BV (CL) 0.98 2.19 1.52 1.53 2.01 2.31 1.97 1.77 1.76 1.11 1.46 1.83 2.08 2.08   6.65% <-IRR #YR-> 10 Book Value  
Change -61.29% 123.60% -30.66% 0.49% 31.83% 15.00% -14.77% -10.18% -0.74% -36.60% 30.60% 25.66% 13.84% 0.00% 3.22% <-IRR #YR-> 5 Book Value  
Leverage (A/BK) 1.13 1.17 1.13 1.11 1.34 1.36 1.31 1.41 1.36 1.42 1.39 1.51 1.52 0.00   1.36 <-Median-> 10 A/BV  
Debt/Eq Ratio 0.13 0.17 0.13 0.11 0.34 0.36 0.31 0.41 0.36 0.42 0.39 0.51 0.52 0.00   0.36 <-Median-> 10 Debt/Eq Ratio  
Median             P/BV 10 yr Ave 1.76 5 yr Ave 1.76              
                                   
-$2.51 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $4.78                
            -$4.08 $0.00 $0.00 $0.00 $0.00 $4.78                
                                       
ROE               8.2% -1.4% 12.9% 1.0% 5.5% 6.8% <-12 mths   5.51% <-Median-> 5 Compreh. Inc  
Comprehensive Inc               $9.31 -$1.50 $15.65 $1.19 $6.64 $8.33 <-12 mths         Compreh. Inc  
                                       
ROE 12.7% 12.4% 13.2% 7.1% 11.2% 11.5% 5.7% 9.7% 5.1% 5.0% 5.8% 8.5% 8.7% <-12 mths   Net Income/Shareholders' equity        
5Yr Median 17.8% 12.7% 13.2% 12.7% 12.4% 11.5% 11.2% 9.7% 9.7% 5.7% 5.7% 5.8% 5.8% <-12 mths            
                                       
Net Income $4.68 $6.65 $8.11 $5.53 $9.86 $11.32 $5.91 $11.00 $5.51 $6.00 $6.76 $10.24 $10.63 <-12 mths   53.95% <-Total Growth 10 Net Income  
Oper C. F. $5.53 $13.29 $7.61 $4.61 $11.87 $11.96 $8.38 $19.89 $12.96 $9.22 $15.85 $18.63 $26.07 <-12 mths     Cash Flow Statement   
Invest. C. F -$2.08 -$25.08 -$7.40 -$14.79 -$5.40 -$8.20 -$13.99 -$18.67 -$1.28 -$8.10 $19.79 -$7.35 $9.23 <-12 mths     Cash Flow Statement  
Total Accruals $1.23 $18.44 $7.90 $15.71 $3.39 $7.55 $11.52 $9.79 -$6.17 $4.89 -$28.87 -$1.04 -$24.68 <-12 mths            
Total Assets $41.81 $62.92 $69.31 $85.74 $117.69 $133.52 $136.72 $159.76 $146.26 $171.81 $161.23 $181.43 $185.59 <-12 mths     Balance Sheet      
Accruals Ratio 2.94% 29.31% 11.39% 18.33% 2.88% 5.65% 8.43% 6.13% -4.22% 2.84% -17.91% -0.57% -13.30% <-12 mths            
up/down/neutral                                        
Chge in Close -44.57% 115.69% -20.45% 7.43% 48.94% 27.43% -9.75% -2.48% -4.33% -29.43% 28.30% 28.68% 15.31%              
Any Predictions?                                      
                                         
Fin. C. F -$0.66 $10.14 -$0.46 $10.67 -$0.97 $0.83 $0.19 -$0.53 -$3.84 -$2.23 -$6.31 -$2.59 -$3.61 <-12 mths            
Total Accruals $1.89 $8.30 $8.36 $5.05 $4.36 $6.72 $11.33 $10.32 -$2.33 $7.11 -$22.57 $1.55 -$21.07 <-12 mths            
Accruals Ratio 4.52% 13.19% 12.06% 5.88% 3.70% 5.03% 8.29% 6.46% -1.59% 4.14% -14.00% 0.85% -11.36% <-12 mths            
                                       
You can only get the annual statements through press releases.                                
May 2011.  This stock has been recommended by Keystone as a good Small Cap tech stock with dividend.                        
                                         
How they make their money.                                    
Enghouse Systems Limited is a global provider of enterprise software solutions serving a variety of distinct vertical markets.  Its strategy is to build a large diverse enterprise software company through       
strategic acquisitions and managed growth.                                   
                                         
For most ratios, lower is better when looking for a good stock price.  However, there are exceptions such as for yield and asset/liability ratios and here you want a higher ratios to indicate a good stock price.        
Also, for the Operational Profit Margin, a higher percentage is better.  With the OPM, you should only compare companies in similar industries.                
                                         
Copyright © 2008 Website of SPBrunner. All rights reserved.