Stock fact sheet · data as of
8x8, Inc. (EGHT): fair value, margin of safety and Wheel Score
Technology · Software - Application · United States · Blend
Is EGHT undervalued?
At 2.07 (close of 16 Oct 2026), EGHT trades 23% over the GLS average fair value of 1.69. 1 of the 7 models land above the price and 6 below. A negative margin of safety costs Value points in the Wheel Score (3 of 25 here) - the models see no discount, which does not make the business a poor one, only the price a full one.
The 7 models disagree widely: Lynch gives 0.1895 while 10 Cap gives 7.57. A spread that wide means the average is sensitive to which methods you trust; the model table below shows where each one lands, and the Quote page lets you switch any of them off.
The nightly engine files EGHT under Blend.
Nine valuation models for EGHT
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | - | - | Present value of the projected free cash flows, discounted at the cost of capital; no value tonight |
| Graham Number | 0.8865 | -57% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 0.6494 | -69% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 0.1895 | -91% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 0.2535 | -88% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 7.57 | +266% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 1.88 | -9% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | - | - | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend; no value tonight |
| EPV | 0.3728 | -82% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -2.12 | -202% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 19.77 | +855% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
Financial health is average - EGHT passes 6 of the nine Piotroski tests, which passes the Sunday Scan's "6 or more" rule. The Financials tab on the Quote page shows which tests fail. The GLS Moat score is low at 2.7 out of 10, which says the ten-year record of revenue, earnings, margins and returns on capital has been inconsistent - growth and shocks rather than steady compounding.
Returns on capital are thin or negative - ROIC 0.3%, ROE 1.1%, ROA 0.2% - with debt at 2.53 times equity and a free-cash-flow yield of 16.6%. Debt of 2.53 times equity is on the high side for the sector and is worth checking against the cash flow before treating the stock as a long-term hold.
8x8, Inc. pays no dividend, so the DDM model does not apply and a covered-call holder earns only the premium and any price gain. Revenue comes mainly from Service Revenue 57%, Subscription Revenue 42%, Other Revenue 2% (quarter Q1 FY2027).
Institutional ownership scores 10/10, insider activity 1/10 and Congressional trading 5/10 on the GLS smart-money scales.
| Piotroski F-score | 6 / 9 | ROIC | 0.3% |
|---|---|---|---|
| GLS Moat | 2.7 / 10 | ROE | 1.1% |
| Debt / equity | 2.53 | ROA | 0.2% |
| Free-cash-flow yield | 16.6% | Payout ratio | 0% |
| Institutions | 10 / 10 | Insiders · Congress | 1 · 5 / 10 |
Wheel Score 45: Weak
EGHT scores 45 out of 100 on the Wheel Score, in the Weak band (under 50). Value 3/25, Health 13/20, Moat 4/15, Premium 14/20, Stability 10/20. The score is not a judgement on the company; it says the price, quality and premium do not line up for selling puts on it today.
Implied volatility is 84% on the near-the-money contracts 20-60 days out - above the 60% ceiling of the sweet spot. Premiums are large, but the Wheel Score tapers the Premium points (14 of 20) because volatility this high usually comes with a reason. Chain open interest is 4,222 contracts across all expiries - enough for the wheel at normal size.
Volume runs at 1.1M shares a day on a market cap of $299M, with a beta of 1.85 - a high beta, so the stock tends to move more than the market and a strike can be gapped through; the Stability part of the Wheel Score gives that 10 of 20.
| Part | Points | From | |
|---|---|---|---|
| Value | 3 / 25 | -23% margin of safety | |
| Health | 13 / 20 | Piotroski 6/9 | |
| Moat | 4 / 15 | moat 2.7/10 | |
| Premium | 14 / 20 | implied volatility 84% | |
| Stability | 10 / 20 | 1.1M shares/day, $299M cap, beta 1.85 |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls; it is updated nightly and is not a recommendation. The walkthrough lesson shows how the score fits into a trade, start to finish.
Upcoming events
The next earnings report is due on 3 Nov 2026 (after the close), 18 days away; a 30-45-day put sold today would expire after it, which is worth weighing against the premium.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Software - Application
The 12 companies below are the closest to 8x8, Inc. by market cap within the Software - Application industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| CURR Currenc Group, Inc. | 2.67 | 1.21 | -121% | 17No options | $300M |
| LAW CS Disco, Inc. | 4.69 | - | - | 35Weak | $301M |
| CMRC Commerce.com, Inc. | 3.56 | 13.27 | +73% | 45Weak | $295M |
| TRVG trivago N.V. | 4.01 | 5.49 | +27% | 53Fair | $283M |
| ARQQ Arqit Quantum Inc. | 15.90 | 2.58 | -516% | 27Weak | $277M |
| GLOO Gloo Holdings, Inc. | 3.26 | - | - | 39Weak | $268M |
| AIOT PowerFleet, Inc. | 2.49 | 3.66 | +32% | 45Weak | $334M |
| RBBN Ribbon Communications Inc. | 1.46 | 4.05 | +64% | 57Fair | $261M |
| AZ A2Z Cust2Mate Solutions Corp. | 5.76 | - | - | 40Weak | $254M |
| XPER Xperi Inc. | 5.04 | 2.95 | -71% | 38Weak | $246M |
| EXFY Expensify, Inc. | 2.53 | 3.95 | +36% | 45Weak | $244M |
| RWWI Rand Worldwide, Inc. | 7.15 | 18.20 | +61% | 39No options | $240M |
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Start free See the Sunday ScanQuestions about EGHT
Is EGHT undervalued right now?
No: at 2.07 the stock trades 23% above the GLS average fair value of 1.69 (data as of 16 Oct 2026). The margin of safety is negative.
What is the Wheel Score of EGHT and what does it mean?
EGHT scores 45 out of 100 (Weak). The Wheel Score blends the margin of safety (25 points), Piotroski health (20), the GLS moat (15), the option premium on offer (20) and trading stability (20) into one number that ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned. 80 and above is Prime, 65-79 Good, 50-64 Fair, under 50 Weak.
What is the GLS fair value for EGHT?
1.69 per share as of 16 Oct 2026 - the simple average of the 7 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does 8x8, Inc. report earnings next?
The next earnings report is due on 3 Nov 2026 (after the close), 18 days from the data date of 16 Oct 2026. The Calendars page lists every upcoming report with its time of day.
Does EGHT have listed options, and how liquid are they?
Yes. The nightly snapshot found 70 listed contracts with 4,222 open interest across all expiries and implied volatility of 84% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.