Technology • NYSE
According to Zyberno, IDT CORP (IDT) shows a Value Trap signal — GREAT BUSINESS (82/100) with an apparent Margin of Safety of +42.6%, but a Brina Gap of -6.8% reveals the current price still assumes faster growth than the business can deliver.
According to Zyberno's DCF model, IDT CORP (IDT) trades at $68.99 against an estimated intrinsic value per share of $120.20 — a +42.6% Margin of Safety based on Owner Earnings of $96.16M TTM, projected at 31.7% growth for 10 years with a 2.5% terminal growth rate. The Brina Gap of -6.8% weakens the case: based on the company's ROIC (42.4%) and reinvestment rate (-0.3%), the business can fundamentally grow at -0.1% — but the current enterprise value implies the market expects 6.6%. This places IDT in the Value Trap quadrant of the Brina Matrix — a value-trap signal where the apparent discount is undermined by overpriced growth expectations. Zyberno's model translates this into a 5-year expected return of 34.1% annually.
Over the trailing twelve months, IDT generated $96.16M in Owner Earnings. Capital was deployed as follows: $7.60M returned via share buybacks, $5.80M paid as dividends, $21.31M invested in capital expenditures. Reinvestment rate: -0.3%. Owner Earnings have grown at 31.7% annually over the trailing five years using log-linear regression.