SUPER MICRO COMPUTER INC (1SMCI.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1SMCI - US86800U3023 - Common Stock
28.01 EUR
+0.66 (+2.41%)
Overall 1SMCI gets a fundamental rating of 5 out of 10. We evaluated 1SMCI against 33 industry peers in the Technology Hardware, Storage & Peripherals industry. Both the profitability and the financial health of 1SMCI get a neutral evaluation. Nothing too spectacular is happening here. 1SMCI is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! These ratings would make 1SMCI suitable for growth investing!
1. Profitability
1.1 Basic Checks
- In the past year 1SMCI was profitable.
- In the past year 1SMCI had a positive cash flow from operations.
- 1SMCI had positive earnings in each of the past 5 years.
- In multiple years 1SMCI reported negative operating cash flow during the last 5 years.
1.2 Ratios
- 1SMCI has a Return On Assets of 5.51%. This is in the better half of the industry: 1SMCI outperforms 60.61% of its industry peers.
- 1SMCI has a better Return On Equity (12.15%) than 75.76% of its industry peers.
- 1SMCI has a Return On Invested Capital (5.77%) which is in line with its industry peers.
- The Average Return On Invested Capital over the past 3 years for 1SMCI is below the industry average of 17.59%.
- The 3 year average ROIC (15.00%) for 1SMCI is well above the current ROIC(5.77%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.51% | ||
| ROE | 12.15% | ||
| ROIC | 5.77% |
ROA(3y)12.21%
ROA(5y)10.1%
ROE(3y)23.46%
ROE(5y)20.12%
ROIC(3y)15%
ROIC(5y)13.38%
1.3 Margins
- 1SMCI has a Profit Margin (3.77%) which is in line with its industry peers.
- In the last couple of years the Profit Margin of 1SMCI has grown nicely.
- 1SMCI has a Operating Margin (4.40%) which is comparable to the rest of the industry.
- In the last couple of years the Operating Margin of 1SMCI has grown nicely.
- 1SMCI has a worse Gross Margin (10.08%) than 87.88% of its industry peers.
- 1SMCI's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.4% | ||
| PM (TTM) | 3.77% | ||
| GM | 10.08% |
OM growth 3Y-4.21%
OM growth 5Y17.33%
PM growth 3Y-4.54%
PM growth 5Y13.59%
GM growth 3Y-10.44%
GM growth 5Y-6.84%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so 1SMCI is creating value.
- Compared to 1 year ago, 1SMCI has more shares outstanding
- 1SMCI has more shares outstanding than it did 5 years ago.
- Compared to 1 year ago, 1SMCI has a worse debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 4.38 indicates that 1SMCI is not in any danger for bankruptcy at the moment.
- 1SMCI has a Altman-Z score of 4.38. This is in the better half of the industry: 1SMCI outperforms 78.79% of its industry peers.
- 1SMCI has a debt to FCF ratio of 21.92. This is a negative value and a sign of low solvency as 1SMCI would need 21.92 years to pay back of all of its debts.
- With a Debt to FCF ratio value of 21.92, 1SMCI perfoms like the industry average, outperforming 45.45% of the companies in the same industry.
- 1SMCI has a Debt/Equity ratio of 0.72. This is a neutral value indicating 1SMCI is somewhat dependend on debt financing.
- 1SMCI has a Debt to Equity ratio (0.72) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 21.92 | ||
| Altman-Z | 4.38 |
ROIC/WACC0.77
WACC7.47%
2.3 Liquidity
- A Current Ratio of 5.39 indicates that 1SMCI has no problem at all paying its short term obligations.
- 1SMCI has a Current ratio of 5.39. This is amongst the best in the industry. 1SMCI outperforms 93.94% of its industry peers.
- 1SMCI has a Quick Ratio of 2.95. This indicates that 1SMCI is financially healthy and has no problem in meeting its short term obligations.
- 1SMCI has a Quick ratio of 2.95. This is amongst the best in the industry. 1SMCI outperforms 93.94% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 5.39 | ||
| Quick Ratio | 2.95 |
3. Growth
3.1 Past
- The earnings per share for 1SMCI have decreased strongly by -35.38% in the last year.
- 1SMCI shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 50.41% yearly.
- 1SMCI shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 11.94%.
- 1SMCI shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 45.76% yearly.
EPS 1Y (TTM)-35.38%
EPS 3Y54.17%
EPS 5Y50.41%
EPS Q2Q%-52.7%
Revenue 1Y (TTM)11.94%
Revenue growth 3Y61.71%
Revenue growth 5Y45.76%
Sales Q2Q%-15.49%
3.2 Future
- The Earnings Per Share is expected to grow by 12.24% on average over the next years. This is quite good.
- The Revenue is expected to grow by 21.77% on average over the next years. This is a very strong growth
EPS Next Y1.87%
EPS Next 2Y23.93%
EPS Next 3Y22.79%
EPS Next 5Y12.24%
Revenue Next Year62.62%
Revenue Next 2Y40.84%
Revenue Next 3Y32.84%
Revenue Next 5Y21.77%
3.3 Evolution
- The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
- Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
- 1SMCI is valuated rather expensively with a Price/Earnings ratio of 19.59.
- Based on the Price/Earnings ratio, 1SMCI is valued a bit cheaper than 60.61% of the companies in the same industry.
- 1SMCI's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.32.
- With a Price/Forward Earnings ratio of 10.35, the valuation of 1SMCI can be described as very reasonable.
- 1SMCI's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. 1SMCI is cheaper than 69.70% of the companies in the same industry.
- 1SMCI's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 24.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.59 | ||
| Fwd PE | 10.35 |
4.2 Price Multiples
- The rest of the industry has a similar Enterprise Value to EBITDA ratio as 1SMCI.
- Based on the Price/Free Cash Flow ratio, 1SMCI is valued a bit more expensive than 60.61% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 89.82 | ||
| EV/EBITDA | 20.51 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- A more expensive valuation may be justified as 1SMCI's earnings are expected to grow with 22.79% in the coming years.
PEG (NY)10.47
PEG (5Y)0.39
EPS Next 2Y23.93%
EPS Next 3Y22.79%
5. Dividend
5.1 Amount
- No dividends for 1SMCI!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
SUPER MICRO COMPUTER INC / 1SMCI.MI FAQ
Can you provide the ChartMill fundamental rating for SUPER MICRO COMPUTER INC?
ChartMill assigns a fundamental rating of 6 / 10 to 1SMCI.MI.
What is the valuation status for 1SMCI stock?
ChartMill assigns a valuation rating of 5 / 10 to SUPER MICRO COMPUTER INC (1SMCI.MI). This can be considered as Fairly Valued.
What is the profitability of 1SMCI stock?
SUPER MICRO COMPUTER INC (1SMCI.MI) has a profitability rating of 5 / 10.
What is the valuation of SUPER MICRO COMPUTER INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for SUPER MICRO COMPUTER INC (1SMCI.MI) is 19.59 and the Price/Book (PB) ratio is 3.
Can you provide the expected EPS growth for 1SMCI stock?
The Earnings per Share (EPS) of SUPER MICRO COMPUTER INC (1SMCI.MI) is expected to grow by 1.87% in the next year.