21.02 USD
+0.42 (+2.04%)
20.7504 USD
-0.27 (-1.28%)
Overall AVNW gets a fundamental rating of 5 out of 10. We evaluated AVNW against 48 industry peers in the Communications Equipment industry. While AVNW is still in line with the averages on profitability rating, there are concerns on its financial health. AVNW is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
AVNW had positive earnings in the past year.
AVNW had a positive operating cash flow in the past year.
Each year in the past 5 years AVNW has been profitable.
Of the past 5 years AVNW 4 years had a positive operating cash flow.
1.2 Ratios
AVNW's Return On Assets of 2.08% is fine compared to the rest of the industry. AVNW outperforms 60.42% of its industry peers.
AVNW has a Return On Equity of 5.08%. This is in the better half of the industry: AVNW outperforms 64.58% of its industry peers.
Looking at the Return On Invested Capital, with a value of 7.17%, AVNW is in the better half of the industry, outperforming 70.83% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for AVNW is significantly below the industry average of 12.32%.
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
With a decent Profit Margin value of 2.95%, AVNW is doing good in the industry, outperforming 60.42% of the companies in the same industry.
AVNW's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 7.71%, AVNW is in the better half of the industry, outperforming 70.83% 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.
Looking at the Gross Margin, with a value of 34.25%, AVNW is doing worse than 60.42% of the companies in the same industry.
AVNW's Gross Margin has declined in the last couple of years.
| 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
AVNW has an Altman-Z score of 0.46. This is a bad value and indicates that AVNW is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.46, AVNW is doing worse than 62.50% of the companies in the same industry.
AVNW has a debt to FCF ratio of 8.97. This is a slightly negative value and a sign of low solvency as AVNW would need 8.97 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 8.97, AVNW is in line with its industry, outperforming 50.00% of the companies in the same industry.
A Debt/Equity ratio of 0.39 indicates that AVNW is not too dependend on debt financing.
AVNW's Debt to Equity ratio of 0.39 is on the low side compared to the rest of the industry. AVNW is outperformed by 70.83% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.39 | ||
| Debt/FCF | 8.97 | ||
| Altman-Z | 0.46 |
ROIC/WACC0.73
WACC9.77%
2.3 Liquidity
AVNW has a Current Ratio of 1.84. 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 Current ratio of 1.84. This is in the lower half of the industry: AVNW underperforms 60.42% 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 comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.84 | ||
| Quick Ratio | 1.51 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 90.97% over the past year.
AVNW shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 17.38% yearly.
AVNW shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 10.89%.
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
Based on estimates for the next years, AVNW will show a very negative growth in Earnings Per Share. The EPS will decrease by -41.85% on average per year.
Based on estimates for the next years, AVNW will show a small growth in Revenue. The Revenue will grow by 6.28% on average per year.
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
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 7.10, the valuation of AVNW can be described as very cheap.
Based on the Price/Earnings ratio, AVNW is valued cheaply inside the industry as 97.92% of the companies are valued more expensively.
AVNW's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.46.
A Price/Forward Earnings ratio of 6.66 indicates a rather cheap valuation of AVNW.
100.00% of the companies in the same industry are more expensive than AVNW, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 36.10, AVNW is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.1 | ||
| Fwd PE | 6.66 |
4.2 Price Multiples
AVNW's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. AVNW is cheaper than 87.50% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, AVNW is valued a bit cheaper than 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.74 | ||
| EV/EBITDA | 7.36 |
4.3 Compensation for Growth
The 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)0.41
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 | N/A |
21.02
+0.42 (+2.04%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)
Earnings (Next)
Inst Owners79.2%
Inst Owner Change-2.48%
Ins Owners3.43%
Ins Owner Change2.8%
Market Cap269.90M
Revenue(TTM)453.50M
Net Income(TTM)13.38M
Analysts81.54
Price Target35.85 (70.55%)
Short Float %5.21%
Short Ratio6.14
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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)2.5%
PT rev (3m)2.07%
EPS NQ rev (1m)-3.23%
EPS NQ rev (3m)-36.46%
EPS NY rev (1m)-2.25%
EPS NY rev (3m)-8.42%
Revenue NQ rev (1m)-1.67%
Revenue NQ rev (3m)-6.59%
Revenue NY rev (1m)-0.02%
Revenue NY rev (3m)-1.33%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.1 | ||
| Fwd PE | 6.66 | ||
| P/S | 0.6 | ||
| P/FCF | 22.74 | ||
| P/OCF | 12.76 | ||
| P/B | 1.02 | ||
| P/tB | 1.24 | ||
| EV/EBITDA | 7.36 |
EPS(TTM)2.96
EY14.08%
EPS(NY)3.15
Fwd EY15.01%
FCF(TTM)0.92
FCFY4.4%
OCF(TTM)1.65
OCFY7.83%
SpS35.32
BVpS20.53
TBVpS17
PEG (NY)0.14
PEG (5Y)0.41
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
WACC9.77%
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 Year82.34%
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
Can you provide the ChartMill fundamental rating for AVIAT NETWORKS INC?
ChartMill assigns a fundamental rating of 5 / 10 to AVNW.
What is the valuation status of AVIAT NETWORKS INC (AVNW) stock?
ChartMill assigns a valuation rating of 9 / 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.
What is the financial health of AVIAT NETWORKS INC (AVNW) stock?
The financial health rating of AVIAT NETWORKS INC (AVNW) is 2 / 10.