21.44 USD
+0.26 (+1.23%)
21.44 USD
0 (0%)
Overall AVNW gets a fundamental rating of 5 out of 10. We evaluated AVNW against 48 industry peers in the Communications Equipment industry. There are concerns on the financial health of AVNW while its profitability can be described as average. AVNW scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
AVNW had positive earnings in the past year.
In the past year AVNW had a positive cash flow from operations.
In the past 5 years AVNW has always been profitable.
Of the past 5 years AVNW 4 years had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 2.08%, AVNW is in the better half of the industry, outperforming 62.50% of the companies in the same industry.
Looking at the Return On Equity, with a value of 5.08%, AVNW is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
AVNW's Return On Invested Capital of 7.17% is fine compared to the rest of the industry. AVNW outperforms 75.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for AVNW is significantly below the industry average of 12.15%.
The last Return On Invested Capital (7.17%) for AVNW is above the 3 year average (6.30%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.08% | ||
| ROE | 5.08% | ||
| ROIC | 7.17% |
ROA(3y)1.79%
ROA(5y)9.78%
ROE(3y)3.31%
ROE(5y)16.1%
ROIC(3y)6.3%
ROIC(5y)7.79%
1.3 Margins
AVNW has a Profit Margin of 2.95%. This is in the better half of the industry: AVNW outperforms 64.58% of its industry peers.
AVNW's Profit Margin has improved in the last couple of years.
With a decent Operating Margin value of 7.71%, AVNW is doing good in the industry, outperforming 72.92% of the companies in the same industry.
In the last couple of years the Operating Margin of AVNW has remained more or less at the same level.
The Gross Margin of AVNW (34.25%) is worse than 62.50% of its industry peers.
In the last couple of years the Gross Margin of AVNW has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.71% | ||
| PM (TTM) | 2.95% | ||
| GM | 34.25% |
OM growth 3Y-30.05%
OM growth 5Y1.03%
PM growth 3Y-64.67%
PM growth 5Y19.67%
GM growth 3Y-3.8%
GM growth 5Y-2%
2. Health
2.1 Basic Checks
AVNW has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, AVNW has more shares outstanding
AVNW has more shares outstanding than it did 5 years ago.
The debt/assets ratio for AVNW is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.46, we must say that AVNW is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of 0.46, AVNW is not doing good in the industry: 62.50% of the companies in the same industry are doing better.
The Debt to FCF ratio of AVNW is 8.97, which is on the high side as it means it would take AVNW, 8.97 years of fcf income to pay off all of its debts.
AVNW has a Debt to FCF ratio of 8.97. This is comparable to the rest of the industry: AVNW outperforms 47.92% of its industry peers.
AVNW has a Debt/Equity ratio of 0.39. This is a healthy value indicating a solid balance between debt and equity.
With a Debt to Equity ratio value of 0.39, AVNW is not doing good in the industry: 68.75% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.39 | ||
| Debt/FCF | 8.97 | ||
| Altman-Z | 0.46 |
ROIC/WACC0.73
WACC9.88%
2.3 Liquidity
A Current Ratio of 1.84 indicates that AVNW should not have too much problems paying its short term obligations.
AVNW has a Current ratio of 1.84. This is comparable to the rest of the industry: AVNW outperforms 41.67% of its industry peers.
AVNW has a Quick Ratio of 1.51. This is a normal value and indicates that AVNW is financially healthy and should not expect problems in meeting its short term obligations.
AVNW has a Quick ratio (1.51) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.84 | ||
| Quick Ratio | 1.51 |
3. Growth
3.1 Past
AVNW shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 90.97%, which is quite impressive.
AVNW shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 17.38% yearly.
Looking at the last year, AVNW shows a quite strong growth in Revenue. The Revenue has grown by 10.89% in the last year.
The Revenue has been growing by 12.74% on average over the past years. This is quite good.
EPS 1Y (TTM)90.97%
EPS 3Y-15.18%
EPS 5Y17.38%
EPS Q2Q%149.43%
Revenue 1Y (TTM)10.89%
Revenue growth 3Y12.78%
Revenue growth 5Y12.74%
Sales Q2Q%21.36%
3.2 Future
AVNW is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -41.85% yearly.
AVNW is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.28% yearly.
EPS Next Y51.46%
EPS Next 2Y37.85%
EPS Next 3Y-41.85%
EPS Next 5YN/A
Revenue Next Year3.78%
Revenue Next 2Y5.27%
Revenue Next 3Y7.18%
Revenue Next 5Y6.28%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
AVNW is valuated cheaply with a Price/Earnings ratio of 7.24.
Based on the Price/Earnings ratio, AVNW is valued cheaper than 97.92% of the companies in the same industry.
When comparing the Price/Earnings ratio of AVNW to the average of the S&P500 Index (27.19), we can say AVNW is valued rather cheaply.
With a Price/Forward Earnings ratio of 6.80, the valuation of AVNW can be described as very cheap.
AVNW's Price/Forward Earnings ratio is rather cheap when compared to the industry. AVNW is cheaper than 100.00% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.88. AVNW is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.24 | ||
| Fwd PE | 6.8 |
4.2 Price Multiples
AVNW's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. AVNW is cheaper than 89.58% of the companies in the same industry.
68.75% of the companies in the same industry are more expensive than AVNW, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.2 | ||
| EV/EBITDA | 7.41 |
4.3 Compensation for Growth
AVNW's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of AVNW may justify a higher PE ratio.
A cheap valuation may be justified as AVNW's earnings are expected to decrease with -41.85% in the coming years.
PEG (NY)0.14
PEG (5Y)0.42
EPS Next 2Y37.85%
EPS Next 3Y-41.85%
5. Dividend
5.1 Amount
AVNW does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
21.44
+0.26 (+1.23%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)
Earnings (Next)
Inst Owners79.12%
Inst Owner Change0%
Ins Owners3.55%
Ins Owner Change3.95%
Market Cap275.29M
Revenue(TTM)453.50M
Net Income(TTM)13.38M
Analysts81.54
Price Target35.85 (67.21%)
Short Float %4.76%
Short Ratio5.3
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)53.89%
Min EPS beat(2)33.41%
Max EPS beat(2)74.37%
EPS beat(4)4
Avg EPS beat(4)1560.62%
Min EPS beat(4)33.41%
Max EPS beat(4)5930.92%
EPS beat(8)7
Avg EPS beat(8)422.85%
EPS beat(12)9
Avg EPS beat(12)283.85%
EPS beat(16)12
Avg EPS beat(16)214.96%
Revenue beat(2)1
Avg Revenue beat(2)0.57%
Min Revenue beat(2)-1.39%
Max Revenue beat(2)2.52%
Revenue beat(4)3
Avg Revenue beat(4)4.59%
Min Revenue beat(4)-1.39%
Max Revenue beat(4)11.87%
Revenue beat(8)5
Avg Revenue beat(8)1.25%
Revenue beat(12)7
Avg Revenue beat(12)0.81%
Revenue beat(16)9
Avg Revenue beat(16)0.82%
PT rev (1m)0%
PT rev (3m)2.5%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-24.17%
EPS NY rev (1m)0%
EPS NY rev (3m)-5.79%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.39%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.02%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.24 | ||
| Fwd PE | 6.8 | ||
| P/S | 0.61 | ||
| P/FCF | 23.2 | ||
| P/OCF | 13.02 | ||
| P/B | 1.04 | ||
| P/tB | 1.26 | ||
| EV/EBITDA | 7.41 |
EPS(TTM)2.96
EY13.81%
EPS(NY)3.15
Fwd EY14.71%
FCF(TTM)0.92
FCFY4.31%
OCF(TTM)1.65
OCFY7.68%
SpS35.32
BVpS20.53
TBVpS17
PEG (NY)0.14
PEG (5Y)0.42
Graham Number36.98
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.08% | ||
| ROE | 5.08% | ||
| ROCE | 9.07% | ||
| ROIC | 7.17% | ||
| ROICexc | 8.62% | ||
| ROICexgc | 10.04% | ||
| OM | 7.71% | ||
| PM (TTM) | 2.95% | ||
| GM | 34.25% | ||
| FCFM | 2.62% |
ROA(3y)1.79%
ROA(5y)9.78%
ROE(3y)3.31%
ROE(5y)16.1%
ROIC(3y)6.3%
ROIC(5y)7.79%
ROICexc(3y)7.36%
ROICexc(5y)9.6%
ROICexgc(3y)8.1%
ROICexgc(5y)10.04%
ROCE(3y)7.98%
ROCE(5y)9.86%
ROICexgc growth 3Y-29.93%
ROICexgc growth 5Y-16.07%
ROICexc growth 3Y-33.88%
ROICexc growth 5Y-18.94%
OM growth 3Y-30.05%
OM growth 5Y1.03%
PM growth 3Y-64.67%
PM growth 5Y19.67%
GM growth 3Y-3.8%
GM growth 5Y-2%
F-Score8
Asset Turnover0.7
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.39 | ||
| Debt/FCF | 8.97 | ||
| Debt/EBITDA | 2.41 | ||
| Cap/Depr | 125.4% | ||
| Cap/Sales | 2.05% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 49.94% | ||
| Profit Quality | 88.69% | ||
| Current Ratio | 1.84 | ||
| Quick Ratio | 1.51 | ||
| Altman-Z | 0.46 |
F-Score8
WACC9.88%
ROIC/WACC0.73
Cap/Depr(3y)475.32%
Cap/Depr(5y)303.81%
Cap/Sales(3y)7.26%
Cap/Sales(5y)4.68%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)90.97%
EPS 3Y-15.18%
EPS 5Y17.38%
EPS Q2Q%149.43%
EPS Next Y51.46%
EPS Next 2Y37.85%
EPS Next 3Y-41.85%
EPS Next 5YN/A
Revenue 1Y (TTM)10.89%
Revenue growth 3Y12.78%
Revenue growth 5Y12.74%
Sales Q2Q%21.36%
Revenue Next Year3.78%
Revenue Next 2Y5.27%
Revenue Next 3Y7.18%
Revenue Next 5Y6.28%
EBIT growth 1Y2215.64%
EBIT growth 3Y-21.12%
EBIT growth 5Y13.9%
EBIT Next Year80.18%
EBIT Next 3Y40.79%
EBIT Next 5Y29.05%
FCF growth 1Y-9.2%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y13.37%
OCF growth 3Y27.04%
OCF growth 5Y-20.03%
AVIAT NETWORKS INC / AVNW FAQ
What is the ChartMill fundamental rating of AVIAT NETWORKS INC (AVNW) stock?
ChartMill assigns a fundamental rating of 5 / 10 to AVNW.
Can you provide the valuation status for AVIAT NETWORKS INC?
ChartMill assigns a valuation rating of 8 / 10 to AVIAT NETWORKS INC (AVNW). This can be considered as Undervalued.
How profitable is AVIAT NETWORKS INC (AVNW) stock?
AVIAT NETWORKS INC (AVNW) has a profitability rating of 6 / 10.
How financially healthy is AVIAT NETWORKS INC?
The financial health rating of AVIAT NETWORKS INC (AVNW) is 2 / 10.
Can you provide the expected EPS growth for AVNW stock?
The Earnings per Share (EPS) of AVIAT NETWORKS INC (AVNW) is expected to grow by 51.46% in the next year.