Bill.com Holdings (BILL) AI Stock Analysis

• Market Cap: $5.42B
• Dividend Yield: N/A
• Average Volume (3M): 4.78M
• Price to Earnings (P/E): 482.3
• Beta (1Y): 1.24
• Revenue Growth: 13.36%
• EPS Growth: N/A
• Country: US
• Employees: 2,187
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 0.53
• Shares Outstanding: 101,628,610
• 10 Day Avg. Volume: 4,079,104
• 30 Day Avg. Volume: 4,778,183
• PEG Ratio: -1.09
• Price to Book (P/B): 1.22
• Price to Sales (P/S): 3.28
• P/FCF Ratio: 13.83
• Enterprise Value/Market Cap: 0.78
• Enterprise Value/Revenue: 2.98
• Enterprise Value/Gross Profit: 3.71
• Enterprise Value/Ebitda: 30.73
• 1Y Price Target: $59.30
• Price Target Upside: 10.88% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 21

• Rating: 69 Neutral
• Price Target: $56.00 ▲(4.71% Upside)

Bill.com Holdings demonstrates strong financial performance and positive corporate events, such as the share buyback program, which bolster investor confidence. However, technical indicators suggest caution due to potential overbought conditions, and valuation metrics highlight challenges with profitability. The earnings call provided a positive outlook, but concerns about the take rate and spending environment remain.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective business strategies, reinforcing Bill.com's competitive position in the fintech sector.

AI and Platform Expansion

The expansion into AI-driven solutions enhances Bill.com's product offerings, potentially increasing efficiency and attracting more SMB clients.

Share Buyback Program

The share buyback program signals management's confidence in the company's future prospects and can improve shareholder value over time.

Negative Factors

Challenges with Take Rate

A declining take rate could reduce revenue growth and profitability, as it reflects challenges in maintaining pricing power in a competitive market.

Muted Spend Environment

A constrained spending environment among SMBs could limit Bill.com's growth opportunities, affecting long-term revenue and profitability.

Subscription ARPU Decline

Declining ARPU suggests challenges in upselling or retaining higher-paying customers, potentially impacting revenue growth and customer lifetime value.

Bill.com Holdings Business Overview & Revenue Model

Company Description

Bill.com Holdings, Inc. provides cloud-based software that simplifies, digitizes, and automates back-office financial operations for small and midsize businesses worldwide. The company provides software-as-a-service, cloud-based payments, and spend management products, which allow users to automate accounts payable and accounts receivable transactions, as well as enable users to connect with their suppliers and/or customers to do business, eliminate expense reports, manage cash flows, and improve office efficiency. It also offers onboarding implementation support, and ongoing support and training services. The company serves accounting firms, financial institutions, and software companies. Bill.com Holdings, Inc. was incorporated in 2006 and is headquartered in San Jose, California.

How the Company Makes Money

Bill.com generates revenue primarily through subscription fees for its software services, which are offered in various tiers depending on the features and scale required by businesses. The company also earns money from transaction fees associated with payment processing, where it charges a fee for each payment made through its platform. Additionally, Bill.com has established strategic partnerships with accounting firms and financial institutions, which can enhance customer acquisition and retention, contributing to its earnings. The combination of subscription and transaction-based revenue models allows Bill.com to capitalize on the growing demand for digital financial solutions among businesses.

Bill.com Holdings Financial Statement Overview

Summary

Bill.com Holdings exhibits strong revenue growth and improving profitability, supported by a stable balance sheet and robust cash flow generation. While the company has made strides in enhancing its financial performance, there is potential for further improvement in operational efficiency and return on equity.

Income Statement

Bill.com Holdings has shown consistent revenue growth over the years, with a recent annual growth rate of 2.79%. The company has improved its profitability, transitioning from negative net profit margins to a positive 1.63% in the latest year. Gross profit margins remain strong at over 81%, indicating efficient cost management. However, EBIT and EBITDA margins are relatively low, suggesting room for operational efficiency improvements.

Balance Sheet

The company's debt-to-equity ratio is moderate at 0.45, indicating a balanced approach to leveraging. Return on equity is low at 0.61%, reflecting limited profitability relative to shareholder equity. The equity ratio stands at 38.88%, showing a stable capital structure. Overall, the balance sheet reflects a stable financial position with manageable debt levels.

Cash Flow

Bill.com Holdings has demonstrated positive free cash flow growth, with a recent increase of 2.35%. The operating cash flow to net income ratio is 7.64%, indicating that cash generation is aligned with reported earnings. The free cash flow to net income ratio is high at 98.76%, suggesting strong cash conversion. The company's cash flow position is solid, supporting its operational and strategic initiatives.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.42B	1.46B	1.29B	1.06B	641.96M	238.26M
Gross Profit	1.14B	1.19B	1.06B	864.49M	496.95M	176.46M
EBITDA	138.01M	72.71M	96.03M	-102.54M	-225.16M	-96.36M
Net Income	38.47M	23.80M	-28.88M	-223.72M	-326.36M	-98.72M
Balance Sheet
Total Assets	9.63B	10.06B	9.18B	9.64B	9.26B	5.97B
Cash, Cash Equivalents and Short-Term Investments	2.17B	2.32B	1.59B	2.66B	2.71B	1.16B
Total Debt	1.59B	1.77B	976.85M	1.91B	1.86B	1.08B
Total Liabilities	5.76B	6.15B	5.04B	5.55B	5.21B	3.44B
Stockholders Equity	3.87B	3.91B	4.13B	4.09B	4.04B	2.53B
Cash Flow
Free Cash Flow	338.38M	346.31M	257.88M	156.56M	-33.73M	-16.58M
Operating Cash Flow	345.45M	350.64M	278.77M	187.77M	-18.09M	4.62M
Investing Cash Flow	-816.79M	-817.39M	-409.37M	259.29M	-1.13B	-1.43B
Financing Cash Flow	-20.20M	657.11M	-742.60M	235.11M	2.88B	1.64B

Bill.com Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 53.48
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BILL, the sentiment is Positive. The current price of 53.48 is above the 20-day moving average (MA) of 49.62, above the 50-day MA of 45.67, and below the 200-day MA of 55.88, indicating a neutral trend. The MACD of 2.45 indicates Negative momentum. The RSI at 67.25 is Neutral, neither overbought nor oversold. The STOCH value of 60.41 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for BILL.

Bill.com Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BILL	69 Neutral	$5.42B	482.28	0.59%	―	13.36%	―
QTWO	68 Neutral	4.92B	1,252.04	0.84%	―	13.34%	―
GBTG	68 Neutral	3.87B	-63.80	-13.13%	―	3.61%	-44.99%
NCNO	64 Neutral	3.51B	-100.83	-3.48%	―	13.24%	-12.97%
VERX	56 Neutral	4.10B	-77.75	-20.32%	―	15.00%	-349.61%
OCFT	46 Neutral	287.43M	-2.90	-17.97%	―	-48.61%	-2291.48%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

Bill.com Holdings Corporate Events

Bill.com Announces $300 Million Share Buyback Program

On August 27, 2025, BILL announced a $300 million share repurchase program, reflecting confidence in its strategy and investment potential. The company reported strong financial results for the fourth quarter and fiscal year 2025, with total revenue reaching $1.5 billion, a 13% increase year-over-year, and core revenue at $1.3 billion, up 16%. The announcement highlights BILL’s strategic growth initiatives and market expansion, positioning it as a leader in intelligent financial operations for SMBs.