OneSpan Inc. (OSPN)
Valuation Overview•Is OneSpan Inc. Overvalued or Undervalued?
Trading at a relative discount to industry peers, suggesting a specific risk premium is applied.
High-quality fundamentals with a strong composite quality score of 75/100, backed by robust profitability and solvency.
Analysts remain bullish, forecasting further upside expansion with consensus targets suggesting solid gains.
Verdict: Solid fundamental quality, though profitability presents a headwind.
Wall Street is broadly bullish, projecting solid upside. This outlook is strongly supported by highly attractive capital returns, driven by a balanced mix of reliable dividends and share buybacks.
OSPN demonstrates strong business quality with robust profitability and healthy margins (highlighted by a massive 21.7% ROIC). This is backed by a fortress balance sheet, holding significant net cash ($64M) and minimal debt risk.
The company exhibits steady, low-single-digit revenue growth paired with stable bottom-line earnings. The company maintains healthy operational efficiency with a 19.4% operating margin.
| Financial Metric | Trend (12Q) | Latest Qtr | 1Y Growth | 3Y CAGR | 5Y CAGR | 10Y CAGR |
|---|---|---|---|---|---|---|
| Revenue | $65.9M | +0.0% | +3.6% | +2.4% | +0.1% | |
| EBITDA | $14.8M | — | — | — | — | |
| Net Income | $11.6M | +27.7% | — | — | +5.6% | |
| EPS (Diluted) | $0.30 | +30.1% | — | — | +6.0% | |
| Free Cash Flow | $25.1M | +8.8% | — | +33.7% | — |
| Metric | TTM | 3Y Avg | 5Y Avg | 10Y Avg |
|---|---|---|---|---|
| Gross Margin | 70.5% | 69.9% | 68.8% | 68.8% |
| Operating Margin | 19.4% | 8.9% | 0.4% | 1.4% |
| Net Margin | 28.5% | 13.6% | 4.0% | 1.6% |
| FCF Margin | 19.0% | 10.0% | 4.5% | 5.2% |
| Quarter | EPS Est. | EPS Act. | Surprise | EPS | Rev |
|---|---|---|---|---|---|
| Q2'26Latest | $0.36 | $0.39 | +8.3% | ||
| Q1'26 | $0.30 | $0.36 | +20.0% | ||
| Q4'25 | $0.28 | $0.33 | +17.9% | ||
| Q3'25 | $0.27 | $0.34 | +25.9% | ||
| Q2'25 | $0.31 | $0.45 | +45.2% | ||
| Q1'25 | $0.27 | $0.24 | -11.1% | ||
| Q4'24 | $0.21 | $0.33 | +57.1% | ||
| Q3'24 | $0.19 | $0.31 | +63.2% |
Total return is -9.3% (1Y), lagging the benchmark by -34.3%
| Period | Total Return | vs S&P 500 (Alpha) | Dividend Contribution |
|---|---|---|---|
| YTD | +12.0% | +2.7% | — |
| 1Y | -9.3% | -34.3% | +3.2% |
| 3YCAGR | -2.5% | -21.5% | +4.8% |
| 5YCAGR | -11.4% | -24.2% | +2.8% |
| 10YCAGR | -1.9% | -14.9% | — |
The S&P 500 is at 31.3x trailing P/E — Expensive relative to historical averages.
Quick answers to common questions about OneSpan Inc. (OSPN) valuation, health, and returns.
Based on peer relative multiples, OneSpan Inc. appears Cheap versus peers compared to industry peers.
OneSpan Inc. has multiple valuation anchors: Peer Relative Fair Value: $27.36 | Wall Street Analyst Target: $15.50 (implying +14.8% upside). A convergence of these signals offers higher conviction.
OneSpan Inc. displays good financial health with a composite quality score of 75/100, supported by a Altman Z-Score of 4.3 (safe zone), Piotroski F-Score of 5/9, Return on Invested Capital (ROIC) of 21.7%.
OneSpan Inc. pays a 3.6% dividend yield, covered by a 25% payout ratio with 1 years of growth, supplemented by a 2.6% buyback yield.
OneSpan Inc.'s current growth trajectory is Decelerating. The company achieved +0.0% 1Y revenue growth and +30.1% 1Y EPS growth, compared to its 3Y revenue CAGR of +3.6%.
Wall Street consensus is Buy based on 15 analysts, beating EPS expectations in 83% of recent quarters with a 5-quarter streak. The consensus price target represents a +14.8% change from current levels.
Investment risks for OneSpan Inc. include: -43.8% 1-year max drawdown. Volatility risk is characterized by a beta of 1.20x.
No. These computations are purely quantitative model outputs for informational purposes. They do not account for qualitative management shifts or macro events. Always consult a licensed RIA before buying or selling shares.
Disclaimer: This page is for informational purposes only and does not constitute financial advice. All valuation models, scores, and target estimates are automated computations under stated assumptions and should not be relied upon as the sole basis for any investment decision.