CERAGON NETWORKS LTD (CRNT) Stock Fundamental Analysis
USA - NASDAQ:CRNT - IL0010851660 - Common Stock
2.28 USD
-0.07 (-2.98%)
Taking everything into account, CRNT scores 4 out of 10 in our fundamental rating. CRNT was compared to 48 industry peers in the Communications Equipment industry. CRNT has only an average score on both its financial health and profitability. CRNT is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year CRNT was profitable.
CRNT had a positive operating cash flow in the past year.
In multiple years CRNT reported negative net income over the last 5 years.
The reported operating cash flow has been mixed in the past 5 years: CRNT reported negative operating cash flow in multiple years.
1.2 Ratios
Looking at the Return On Assets, with a value of 4.14%, CRNT is in the better half of the industry, outperforming 72.92% of the companies in the same industry.
With a decent Return On Equity value of 7.91%, CRNT is doing good in the industry, outperforming 77.08% of the companies in the same industry.
CRNT's Return On Invested Capital of 10.39% is fine compared to the rest of the industry. CRNT outperforms 79.17% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.14% | ||
| ROE | 7.91% | ||
| ROIC | 10.39% |
ROA(3y)0.75%
ROA(5y)-1.82%
ROE(3y)0.89%
ROE(5y)-3.97%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
CRNT's Profit Margin of 3.57% is fine compared to the rest of the industry. CRNT outperforms 66.67% of its industry peers.
CRNT's Operating Margin of 8.89% is fine compared to the rest of the industry. CRNT outperforms 75.00% of its industry peers.
CRNT's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 34.87%, CRNT is doing worse than 62.50% of the companies in the same industry.
CRNT's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.89% | ||
| PM (TTM) | 3.57% | ||
| GM | 34.87% |
OM growth 3Y71.41%
OM growth 5Y22.33%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y4.77%
GM growth 5Y0.06%
2. Health
2.1 Basic Checks
CRNT has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, CRNT has more shares outstanding
Compared to 5 years ago, CRNT has more shares outstanding
Compared to 1 year ago, CRNT has an improved debt to assets ratio.
2.2 Solvency
CRNT has an Altman-Z score of 1.62. This is a bad value and indicates that CRNT is not financially healthy and even has some risk of bankruptcy.
CRNT has a Altman-Z score of 1.62. This is comparable to the rest of the industry: CRNT outperforms 54.17% of its industry peers.
CRNT has a debt to FCF ratio of 1.77. This is a very positive value and a sign of high solvency as it would only need 1.77 years to pay back of all of its debts.
CRNT's Debt to FCF ratio of 1.77 is fine compared to the rest of the industry. CRNT outperforms 66.67% of its industry peers.
A Debt/Equity ratio of 0.12 indicates that CRNT is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.12, CRNT is in line with its industry, outperforming 54.17% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 1.77 | ||
| Altman-Z | 1.62 |
ROIC/WACC1.15
WACC9.07%
2.3 Liquidity
A Current Ratio of 1.86 indicates that CRNT should not have too much problems paying its short term obligations.
The Current ratio of CRNT (1.86) is comparable to the rest of the industry.
A Quick Ratio of 1.38 indicates that CRNT should not have too much problems paying its short term obligations.
CRNT has a Quick ratio (1.38) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.86 | ||
| Quick Ratio | 1.38 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 49.76% over the past year.
Measured over the past years, CRNT shows a very strong growth in Earnings Per Share. The EPS has been growing by 110.16% on average per year.
CRNT shows a small growth in Revenue. In the last year, the Revenue has grown by 5.06%.
Measured over the past years, CRNT shows a small growth in Revenue. The Revenue has been growing by 6.66% on average per year.
EPS 1Y (TTM)49.76%
EPS 3YN/A
EPS 5Y110.16%
EPS Q2Q%-72.73%
Revenue 1Y (TTM)5.06%
Revenue growth 3Y10.67%
Revenue growth 5Y6.66%
Sales Q2Q%-14.39%
3.2 Future
CRNT is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -14.64% yearly.
The Revenue is expected to decrease by -3.40% on average over the next years.
EPS Next Y-68.4%
EPS Next 2Y-25.77%
EPS Next 3Y-14.64%
EPS Next 5YN/A
Revenue Next Year-12.98%
Revenue Next 2Y-3.4%
Revenue Next 3YN/A
Revenue Next 5YN/A
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
With a Price/Earnings ratio of 7.35, the valuation of CRNT can be described as very cheap.
95.83% of the companies in the same industry are more expensive than CRNT, based on the Price/Earnings ratio.
CRNT's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.67.
With a Price/Forward Earnings ratio of 10.09, the valuation of CRNT can be described as very reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CRNT indicates a rather cheap valuation: CRNT is cheaper than 93.75% of the companies listed in the same industry.
CRNT's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 31.86.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.35 | ||
| Fwd PE | 10.09 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CRNT is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of CRNT indicates a somewhat cheap valuation: CRNT is cheaper than 77.08% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.72 | ||
| EV/EBITDA | 3.87 |
4.3 Compensation for Growth
CRNT's earnings are expected to decrease with -14.64% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.07
EPS Next 2Y-25.77%
EPS Next 3Y-14.64%
5. Dividend
5.1 Amount
CRNT does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NASDAQ:CRNT (11/7/2025, 1:45:38 PM)
2.28
-0.07 (-2.98%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)
Earnings (Next)
Inst Owners20.53%
Inst Owner Change-1.69%
Ins Owners13.85%
Ins Owner ChangeN/A
Market Cap204.95M
Revenue(TTM)380.52M
Net Income(TTM)13.58M
Analysts81.82
Price Target4.85 (112.72%)
Short Float %1.31%
Short Ratio1.56
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)1
Avg EPS beat(2)-4.11%
Min EPS beat(2)-25.86%
Max EPS beat(2)17.65%
EPS beat(4)2
Avg EPS beat(4)14.9%
Min EPS beat(4)-25.86%
Max EPS beat(4)74.29%
EPS beat(8)5
Avg EPS beat(8)12.74%
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)-5.67%
Min Revenue beat(2)-11.53%
Max Revenue beat(2)0.18%
Revenue beat(4)1
Avg Revenue beat(4)-3.13%
Min Revenue beat(4)-11.53%
Max Revenue beat(4)0.18%
Revenue beat(8)3
Avg Revenue beat(8)-1.65%
Revenue beat(12)5
Avg Revenue beat(12)-1.08%
Revenue beat(16)6
Avg Revenue beat(16)-1.24%
PT rev (1m)0%
PT rev (3m)-22.45%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-65.23%
EPS NY rev (1m)2.01%
EPS NY rev (3m)-54.8%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-19.37%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-14.31%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.35 | ||
| Fwd PE | 10.09 | ||
| P/S | 0.54 | ||
| P/FCF | 17.72 | ||
| P/OCF | 7.26 | ||
| P/B | 1.19 | ||
| P/tB | 1.48 | ||
| EV/EBITDA | 3.87 |
EPS(TTM)0.31
EY13.6%
EPS(NY)0.23
Fwd EY9.91%
FCF(TTM)0.13
FCFY5.64%
OCF(TTM)0.31
OCFY13.77%
SpS4.23
BVpS1.91
TBVpS1.54
PEG (NY)N/A
PEG (5Y)0.07
Graham Number3.65
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.14% | ||
| ROE | 7.91% | ||
| ROCE | 16.7% | ||
| ROIC | 10.39% | ||
| ROICexc | 11.96% | ||
| ROICexgc | 14.46% | ||
| OM | 8.89% | ||
| PM (TTM) | 3.57% | ||
| GM | 34.87% | ||
| FCFM | 3.04% |
ROA(3y)0.75%
ROA(5y)-1.82%
ROE(3y)0.89%
ROE(5y)-3.97%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y93.38%
ROICexgc growth 5Y31.98%
ROICexc growth 3Y86.61%
ROICexc growth 5Y29.42%
OM growth 3Y71.41%
OM growth 5Y22.33%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y4.77%
GM growth 5Y0.06%
F-Score6
Asset Turnover1.16
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 1.77 | ||
| Debt/EBITDA | 0.44 | ||
| Cap/Depr | 126.23% | ||
| Cap/Sales | 4.38% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 60.04% | ||
| Profit Quality | 85.15% | ||
| Current Ratio | 1.86 | ||
| Quick Ratio | 1.38 | ||
| Altman-Z | 1.62 |
F-Score6
WACC9.07%
ROIC/WACC1.15
Cap/Depr(3y)125.95%
Cap/Depr(5y)101.34%
Cap/Sales(3y)4.03%
Cap/Sales(5y)3.57%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)49.76%
EPS 3YN/A
EPS 5Y110.16%
EPS Q2Q%-72.73%
EPS Next Y-68.4%
EPS Next 2Y-25.77%
EPS Next 3Y-14.64%
EPS Next 5YN/A
Revenue 1Y (TTM)5.06%
Revenue growth 3Y10.67%
Revenue growth 5Y6.66%
Sales Q2Q%-14.39%
Revenue Next Year-12.98%
Revenue Next 2Y-3.4%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y6.86%
EBIT growth 3Y89.71%
EBIT growth 5Y30.47%
EBIT Next Year-26.13%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y261.96%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y316.24%
OCF growth 3YN/A
OCF growth 5YN/A
CERAGON NETWORKS LTD / CRNT FAQ
What is the ChartMill fundamental rating of CERAGON NETWORKS LTD (CRNT) stock?
ChartMill assigns a fundamental rating of 4 / 10 to CRNT.
What is the valuation status of CERAGON NETWORKS LTD (CRNT) stock?
ChartMill assigns a valuation rating of 6 / 10 to CERAGON NETWORKS LTD (CRNT). This can be considered as Fairly Valued.
Can you provide the profitability details for CERAGON NETWORKS LTD?
CERAGON NETWORKS LTD (CRNT) has a profitability rating of 4 / 10.
What is the valuation of CERAGON NETWORKS LTD based on its PE and PB ratios?
The Price/Earnings (PE) ratio for CERAGON NETWORKS LTD (CRNT) is 7.35 and the Price/Book (PB) ratio is 1.19.
What is the financial health of CERAGON NETWORKS LTD (CRNT) stock?
The financial health rating of CERAGON NETWORKS LTD (CRNT) is 5 / 10.