Stock fact sheet · data as of
NICE Ltd. (NICE): fair value, margin of safety and Wheel Score
Technology · Software - Application · Israel · ADR · Value
Is NICE undervalued?
At 114.91 (close of 16 Oct 2026), NICE trades 58% below the GLS average fair value of 273.14. That average comes from 8 models run on the latest filings, and 6 of them land above the current price. Margins of safety over 30% are the exception rather than the rule across the ~7,400 stocks we value each night, so the number earns NICE Ltd. the full Value points in the Wheel Score - and a closer look at what the market is pricing in.
There is a wide gap between EPV (79.76) and DCF (445.94). When the models are this far apart the "fair value" is really a range, and the margin of safety above should be read with that range in mind.
The nightly engine files NICE under Value: positive earnings at a P/E of 18 or less.
Nine valuation models for NICE
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 | 445.94 | +288% | Present value of the projected free cash flows, discounted at the cost of capital |
| Graham Number | 102.60 | -11% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 373.93 | +225% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 160.71 | +40% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 349.36 | +204% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 282.54 | +146% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 390.31 | +240% | 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 | 79.76 | -31% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | 2.42 | -98% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 124.20 | +8% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
NICE Ltd. scores 6 of 9 on the Piotroski F-score: a middling result that passes the Sunday Scan's "6 or more" rule. Some of the nine tests on profitability, leverage and efficiency are failed, so the accounts are worth a look before selling a put on the name. A GLS Moat score of 8.8/10 puts NICE among the more durable businesses we track: over ten years the metrics the score watches (revenue, EPS, book value, margins, cash flow, ROIC) have mostly moved the right way, year after year.
Returns on capital are high - ROIC 15.1%, ROE 15.8%, ROA 12.0% - with debt at 0.04 times equity and a free-cash-flow yield of 9.2%.
NICE Ltd. 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 Cloud 76%, Service 19%, Product 5% (fiscal year FY2025).
Institutional ownership scores 7/10, insider activity 1/10 and Congressional trading 10/10 on the GLS smart-money scales.
| Piotroski F-score | 6 / 9 | ROIC | 15.1% |
|---|---|---|---|
| GLS Moat | 8.8 / 10 | ROE | 15.8% |
| Debt / equity | 0.04 | ROA | 12.0% |
| Free-cash-flow yield | 9.2% | Payout ratio | 0% |
| Institutions | 7 / 10 | Insiders · Congress | 1 · 10 / 10 |
Wheel Score 87: Prime
With a Wheel Score of 87, NICE Ltd. sits in the Prime band - price, quality and premium all line up for the wheel strategy. The parts: Value 25/25, Health 13/20, Moat 13/15, Premium 20/20, Stability 15/20. A high score is a ranking, not a signal: it says nothing about timing, the earnings date or your position size.
Implied volatility is 60% 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 (20 of 20) because volatility this high usually comes with a reason. The option chain is deep: 58,897 contracts of open interest across all expiries, which means tight fills at most strikes.
Volume runs at 438k shares a day on a market cap of $7.1B, with a beta of 0.04 - a low beta, so day-to-day moves are smaller than the market's; the Stability part of the Wheel Score gives that 15 of 20.
| Part | Points | From | |
|---|---|---|---|
| Value | 25 / 25 | 58% margin of safety | |
| Health | 13 / 20 | Piotroski 6/9 | |
| Moat | 13 / 15 | moat 8.8/10 | |
| Premium | 20 / 20 | implied volatility 60% | |
| Stability | 15 / 20 | 438k shares/day, $7.1B cap, beta 0.04 |
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 12 Nov 2026 (before the open), 27 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 NICE Ltd. 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 |
|---|---|---|---|---|---|
| DUOL Duolingo, Inc. | 148.93 | 284.82 | +48% | 83Prime | $6.9B |
| TTAN ServiceTitan, Inc. | 72.69 | 66.05 | -10% | 45Weak | $6.9B |
| DSGX The Descartes Systems Group Inc. | 88.64 | 64.81 | -37% | 69Good | $7.6B |
| CVLT Commvault Systems, Inc. | 158.91 | 49.00 | -224% | 58Fair | $6.6B |
| APPF AppFolio Inc. | 218.61 | 168.63 | -30% | 62Fair | $7.7B |
| LYFT Lyft, Inc. | 17.16 | 194.22 | +91% | 80Prime | $6.5B |
| OTEX Open Text Corporation | 25.83 | 121.03 | +79% | 94Prime | $6.3B |
| ZETA Zeta Global Holdings Corp. | 32.27 | 19.96 | -62% | 45Weak | $8.1B |
| NAVN Navan, Inc. | 25.20 | 3.13 | -705% | 45Weak | $6.2B |
| PCTY Paylocity Holding Corporation | 159.10 | 180.04 | +12% | 81Prime | $8.4B |
| IDCC InterDigital, Inc. | 328.06 | 341.88 | +4% | 69Good | $8.5B |
| PCOR Procore Technologies, Inc. | 55.97 | 49.21 | -14% | 45Weak | $8.5B |
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Start free See the Sunday ScanQuestions about NICE
Is NICE undervalued right now?
By the GLS models, yes: at 114.91 the stock is 58% below the average fair value of 273.14 (data as of 16 Oct 2026). Whether the discount is deserved is the question to research next.
What is the Wheel Score of NICE and what does it mean?
NICE scores 87 out of 100 (Prime). 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 NICE?
273.14 per share as of 16 Oct 2026 - the simple average of the 8 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 NICE Ltd. report earnings next?
The next earnings report is due on 12 Nov 2026 (before the open), 27 days from the data date of 16 Oct 2026. The Calendars page lists every upcoming report with its time of day.
Does NICE have listed options, and how liquid are they?
Yes. The nightly snapshot found 502 listed contracts with 58,897 open interest across all expiries and implied volatility of 60% 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.