BKTI gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 48 industry peers in the Communications Equipment industry. While BKTI has a great health rating, its profitability is only average at the moment. BKTI is not valued too expensively and it also shows a decent growth rate.

Quickly go to:

1. Profitability

2. Health

3. Growth

4. Valuation

5. Dividend

1. Profitability

1.1 Basic Checks

In the past year BKTI was profitable.
BKTI had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: BKTI reported negative net income in multiple years.
The reported operating cash flow has been mixed in the past 5 years: BKTI reported negative operating cash flow in multiple years.

1.2 Ratios

The Return On Assets of BKTI (19.67%) is better than 97.92% of its industry peers.
The Return On Equity of BKTI (32.33%) is better than 95.83% of its industry peers.
BKTI's Return On Invested Capital of 20.83% is amongst the best of the industry. BKTI outperforms 93.75% of its industry peers.

		Industry Rank	Sector Rank
ROA	19.67%
ROE	32.33%
ROIC	20.83%

ROA(3y)-4.03%

ROA(5y)-2.97%

ROE(3y)-13.4%

ROE(5y)-8.87%

ROIC(3y)N/A

ROIC(5y)N/A

1.3 Margins

BKTI has a better Profit Margin (15.18%) than 85.42% of its industry peers.
BKTI has a better Operating Margin (14.98%) than 85.42% of its industry peers.
With a Gross Margin value of 43.66%, BKTI perfoms like the industry average, outperforming 56.25% of the companies in the same industry.
BKTI's Gross Margin has been stable in the last couple of years.

		Industry Rank	Sector Rank
OM	14.98%
PM (TTM)	15.18%
GM	43.66%

OM growth 3YN/A

OM growth 5YN/A

PM growth 3YN/A

PM growth 5YN/A

GM growth 3Y1.9%

GM growth 5Y-0.57%

More info and screens

ROA

ROE

ROIC

Operating and Profit Margin

Show most profitable peers

2. Health

2.1 Basic Checks

The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so BKTI is creating value.
The number of shares outstanding for BKTI remains at a similar level compared to 1 year ago.
BKTI has more shares outstanding than it did 5 years ago.
There is no outstanding debt for BKTI. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.

2.2 Solvency

An Altman-Z score of 10.32 indicates that BKTI is not in any danger for bankruptcy at the moment.
BKTI has a better Altman-Z score (10.32) than 89.58% of its industry peers.
BKTI has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.

		Industry Rank	Sector Rank
Debt/Equity	0
Debt/FCF	0
Altman-Z	10.32

ROIC/WACC2.17

WACC9.59%

2.3 Liquidity

BKTI has a Current Ratio of 2.82. This indicates that BKTI is financially healthy and has no problem in meeting its short term obligations.
BKTI has a Current ratio of 2.82. This is in the better half of the industry: BKTI outperforms 75.00% of its industry peers.
A Quick Ratio of 1.74 indicates that BKTI should not have too much problems paying its short term obligations.
BKTI has a Quick ratio (1.74) which is in line with its industry peers.

		Industry Rank	Sector Rank
Current Ratio	2.82
Quick Ratio	1.74

More info and screens

WACC

Debt/Equity

How to determine the health of a company

Altman-Z score

Show peers with great health

3. Growth

3.1 Past

The Earnings Per Share has grown by an impressive 298.27% over the past year.
BKTI shows a small growth in Revenue. In the last year, the Revenue has grown by 4.63%.
Measured over the past years, BKTI shows a quite strong growth in Revenue. The Revenue has been growing by 13.82% on average per year.

EPS 1Y (TTM)298.27%

EPS 3YN/A

EPS 5YN/A

EPS Q2Q%176.6%

Revenue 1Y (TTM)4.63%

Revenue growth 3Y19.08%

Revenue growth 5Y13.82%

Sales Q2Q%4.52%

3.2 Future

Based on estimates for the next years, BKTI will show a very strong growth in Earnings Per Share. The EPS will grow by 47.37% on average per year.
BKTI is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 11.34% yearly.

EPS Next Y105.21%

EPS Next 2Y47.37%

EPS Next 3YN/A

EPS Next 5YN/A

Revenue Next Year11.39%

Revenue Next 2Y11.34%

Revenue Next 3YN/A

Revenue Next 5YN/A

3.3 Evolution

The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.

More info and screens

Find the best growth stocks

Show best growing peers

4. Valuation

4.1 Price/Earnings Ratio

Based on the Price/Earnings ratio of 25.88, the valuation of BKTI can be described as expensive.
Based on the Price/Earnings ratio, BKTI is valued a bit cheaper than 66.67% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.21. BKTI is around the same levels.
With a Price/Forward Earnings ratio of 18.62, BKTI is valued on the expensive side.
BKTI's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. BKTI is cheaper than 70.83% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of BKTI to the average of the S&P500 Index (24.26), we can say BKTI is valued slightly cheaper.

		Industry Rank	Sector Rank
PE	25.88
Fwd PE	18.62

4.2 Price Multiples

BKTI's Enterprise Value to EBITDA ratio is in line with the industry average.
BKTI's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. BKTI is cheaper than 62.50% of the companies in the same industry.

		Industry Rank	Sector Rank
P/FCF	24.05
EV/EBITDA	22.65

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 BKTI may justify a higher PE ratio.
A more expensive valuation may be justified as BKTI's earnings are expected to grow with 47.37% in the coming years.