Autodesk (ADSK) earnings report for the 3rd quarter of their 2022 fiscal year
Category: Autodesk (ADSK)
Date: 29 November 2021 Stock Price of Autodesk (ADSK): $254.17 Market Capital of Autodesk (ADSK): $55.9 billion We take a look at the 3rd quarter earnings report of their 2022 fiscal year of Autodesk (ADSK) a software firm. For the quarter the group reported revenues of $1.13 billion and net income of $136.7 million.
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- Our customers continue to embrace and prioritize digital transformation to drive growth, efficiency and sustainability, generating strong demand for Autodesk's platform - Andrew Anagnost, Autodesk president and CEO."
About Autodesk (ADSK)
Autodesk makes software for people who make things. If you've ever driven a high-performance car, admired a towering skyscraper, used a smartphone, or watched a great film, chances are you've experienced what millions of Autodesk customers are doing with our software. Autodesk gives you the power to make anything.
Overview of Autodesk (ADSK) 3rd quarter 2022 earnings report
Third Quarter Fiscal 2022 Financial Highlights
- Total revenue increased 18 percent to $1,126 million;
- GAAP operating margin was 17 percent, down 1 percentage point;
- Non-GAAP operating margin was up 2 percentage points to 32 percent;
- GAAP diluted EPS was $0.61; Non-GAAP diluted EPS was $1.33;
- Cash flow from operating activities was $270 million; free cash flow was $257 million.
Autodesk (ADSK) management commentary on their 3rd quarter 2022 earnings
SAN FRANCISCO, Nov. 23, 2021 /PRNewswire/ -- Autodesk, Inc. (NASDAQ: ADSK) today reported financial results for the third quarter of fiscal 2022.
"Our customers continue to embrace and prioritize digital transformation to drive growth, efficiency and sustainability, generating strong demand for Autodesk's platform," said Andrew Anagnost, Autodesk president and CEO. "We are rapidly innovating and optimizing our business to enable more customers to experience our ecosystem, and realize the opportunities ahead."
"Demand was robust in Q3, driving strong new subscriptions growth and renewal rates. We expect it to remain so in Q4," said Debbie Clifford, Autodesk CFO. "However, supply chain disruption and resulting inflationary pressures, a global labor shortage, and the ebb and flow of COVID, are impacting the pace of our recovery and outlook."
The following are forward-looking statements based on current expectations and assumptions, and involve risks and uncertainties, some of which are set forth below under "Safe Harbor Statement." Autodesk's business outlook for the fourth quarter and full-year fiscal 2022 takes into consideration the current economic environment and foreign exchange currency rate environment
FY22 Guidance Metrics
"Our customers continue to embrace and prioritize digital transformation to drive growth, efficiency and sustainability, generating strong demand for Autodesk's platform," said Andrew Anagnost, Autodesk president and CEO. "We are rapidly innovating and optimizing our business to enable more customers to experience our ecosystem, and realize the opportunities ahead."
"Demand was robust in Q3, driving strong new subscriptions growth and renewal rates. We expect it to remain so in Q4," said Debbie Clifford, Autodesk CFO. "However, supply chain disruption and resulting inflationary pressures, a global labor shortage, and the ebb and flow of COVID, are impacting the pace of our recovery and outlook."
The following are forward-looking statements based on current expectations and assumptions, and involve risks and uncertainties, some of which are set forth below under "Safe Harbor Statement." Autodesk's business outlook for the fourth quarter and full-year fiscal 2022 takes into consideration the current economic environment and foreign exchange currency rate environment
FY22 Guidance Metrics
- Billings (in millions: $4,740 - $4,800 Up 14% - 16%
- Revenue (in millions)$4,360 - $4,375 Up Approx. 15%
- GAAP operating margin: Approx. 15%
- Non-GAAP operating margin: Approx. 31%
- EPS GAAP: $2.54 - $2.60
- EPS non-GAAP (4): $4.98 - $5.04
- Free cash flow (in millions): $1,420 - $1,460
Autodesk (ADSK) stock price chart over the last 5 years
The image below shows the stock price history of Autodesk (ADKS). And its been a very good time for Autodesk stockholders. Over the last 5 years the stock of Autodesk increased by a very strong 240.8%.
The stock of Autodesk is trading at a lot closer to its 52 week high than it is to its 52 week low, which to us is a clear indication that the short term sentiment and momentum of Autodesk stock is positive at this point in time,
The stock of Autodesk is trading at a lot closer to its 52 week high than it is to its 52 week low, which to us is a clear indication that the short term sentiment and momentum of Autodesk stock is positive at this point in time,
Latest Autodesk (ADSK) stock valuation
So what do we value Autodesk (ADSK) stock at after the release of their latest earnings report? Based on Autodesk's latest earnings report our valuation models provides a target price (full value price) for Autodesk (ADSK) at $141.60 a stock. We therefore believe that the stock of Autodesk (ADSK) is overvalued.
We usually suggest that long term and fundamental investors get in at least 10% below our target (full value) price which in this case is $141.60 therefore we believe a good entry point into Autodesk (ADSK) stock is at $127.50 or below.
Since Autodesk s trading at well above our suggested entry price we rate the stock of Autodesk as a SELL
We usually suggest that long term and fundamental investors get in at least 10% below our target (full value) price which in this case is $141.60 therefore we believe a good entry point into Autodesk (ADSK) stock is at $127.50 or below.
Since Autodesk s trading at well above our suggested entry price we rate the stock of Autodesk as a SELL
Next earnings release of Autodesk (ADSK)
It is expected that Autodesk will publish their 4th quarter 2021 earnings report in late February 2022