SolarWinds Corporation Stock Price and Value Analysis

Should you buy SolarWinds Corporation stock? (NYSE:SWI). Let's see how it does in our automated value investing analysis system.

SWI Free Cash Flow Trend

Free Cash Flow trendline for SWI
Free Cash Flow trendline for SolarWinds Corporation

Based on historical returns, we believe that SolarWinds Corporation can grow its free cash at a rate of about 3%. That's positive!

AdvantagesDisadvantagesNeutral
  • This company is solid.
  • This company has fluctuating growth.
  • This company is making money at a modest rate.
  • This stock looks overpriced.
  • This company pays no dividend.

Inside the SWI Numbers

SWI Price
(SolarWinds Corporation stock price per share)
$16.13
[?] SWI Fair Price
(based on intrinsic value)
$12.15
[?] SWI Safety Price (based on a variable margin of safety) $7.90
[?] PE Ratio versus Sector 96% higher than other Technology stocks
[?] PE Ratio versus Industry 0% lower than other Unknown stocks
[?] Cash Yield 3.55%
[?] Free Cash Flow Jitter 32%

This stock has short interest! This means that people have shorted it.

Why does that matter? They've made a bet that price will decrease from where they bought it. Maybe there are financial problems, or maybe there's a value play.

As of the latest analysis, there are 5,866,976 shares shorted. With 88,917,588 shares available for purchase and an average trading volume over the past 10 trading days of 1,785,142, it would take at least 3.287 days for all of the short holders to cover their shorts.

Is SolarWinds Corporation Stock on Sale?

We believe that SolarWinds Corporation may be worth examining further. It's making money, which is a very positive sign. Is it on sale?

SolarWinds Corporation looks overpriced right now. If you're looking for a bargain in the stock market, you should probably look elsewhere for a great deal. This might still be a great stock to own—but it's not on sale right now.

Should You Buy SWI Stock?

Does SolarWinds Corporation have a coherent story? Does it have a plan to continue to make money? Is it worth your time? Only you can decide where to go from here. Our investment guide helps you ask the right questions, including how to buy stocks. Use these research links for more information.