JUNIPER NETWORKS INC (JNPR)
US48203R1041 - Common Stock
Overall JNPR gets a fundamental rating of 4 out of 10. We evaluated JNPR against 51 industry peers in the Communications Equipment industry. JNPR has only an average score on both its financial health and profitability. JNPR has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year JNPR was profitable.
JNPR had a positive operating cash flow in the past year.
Each year in the past 5 years JNPR has been profitable.
Each year in the past 5 years JNPR had a positive operating cash flow.
1.2 Ratios
JNPR's Return On Assets of 2.61% is fine compared to the rest of the industry. JNPR outperforms 74.51% of its industry peers.
JNPR's Return On Equity of 5.39% is fine compared to the rest of the industry. JNPR outperforms 76.47% of its industry peers.
With a decent Return On Invested Capital value of 3.96%, JNPR is doing good in the industry, outperforming 68.63% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for JNPR is below the industry average of 11.02%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.61% | ||
| ROE | 5.39% | ||
| ROIC | 3.96% |
ROA(3y)3.72%
ROA(5y)3.56%
ROE(3y)7.76%
ROE(5y)7.29%
ROIC(3y)6.39%
ROIC(5y)6.06%
1.3 Margins
JNPR's Profit Margin of 4.97% is fine compared to the rest of the industry. JNPR outperforms 76.47% of its industry peers.
In the last couple of years the Profit Margin of JNPR has declined.
Looking at the Operating Margin, with a value of 6.59%, JNPR is in the better half of the industry, outperforming 72.55% of the companies in the same industry.
JNPR's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 58.60%, JNPR belongs to the top of the industry, outperforming 82.35% of the companies in the same industry.
JNPR's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.59% | ||
| PM (TTM) | 4.97% | ||
| GM | 58.6% |
OM growth 3Y2.53%
OM growth 5Y-3.92%
PM growth 3Y-1.31%
PM growth 5Y-14.5%
GM growth 3Y-0.21%
GM growth 5Y-0.49%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so JNPR is destroying value.
JNPR has less shares outstanding than it did 1 year ago.
The number of shares outstanding for JNPR has been reduced compared to 5 years ago.
Compared to 1 year ago, JNPR has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 1.98 indicates that JNPR is not a great score, but indicates only limited risk for bankruptcy at the moment.
JNPR has a Altman-Z score (1.98) which is comparable to the rest of the industry.
The Debt to FCF ratio of JNPR is 4.15, which is a neutral value as it means it would take JNPR, 4.15 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 4.15, JNPR is in line with its industry, outperforming 54.90% of the companies in the same industry.
JNPR has a Debt/Equity ratio of 0.35. This is a healthy value indicating a solid balance between debt and equity.
With a Debt to Equity ratio value of 0.35, JNPR is not doing good in the industry: 60.78% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.35 | ||
| Debt/FCF | 4.15 | ||
| Altman-Z | 1.98 |
ROIC/WACC0.41
WACC9.74%
2.3 Liquidity
JNPR has a Current Ratio of 1.72. This is a normal value and indicates that JNPR is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.72, JNPR is not doing good in the industry: 62.75% of the companies in the same industry are doing better.
A Quick Ratio of 1.30 indicates that JNPR should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.30, JNPR is doing worse than 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.72 | ||
| Quick Ratio | 1.3 |
3. Growth
3.1 Past
JNPR shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -26.84%.
JNPR shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 3.73% yearly.
Looking at the last year, JNPR shows a very negative growth in Revenue. The Revenue has decreased by -10.87% in the last year.
JNPR shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.67% yearly.
EPS 1Y (TTM)-26.84%
EPS 3Y13.32%
EPS 5Y3.73%
EPS Q2Q%-20%
Revenue 1Y (TTM)-10.87%
Revenue growth 3Y7.77%
Revenue growth 5Y3.67%
Sales Q2Q%-4.78%
3.2 Future
The Earnings Per Share is expected to decrease by -3.48% on average over the next years.
Based on estimates for the next years, JNPR will show a decrease in Revenue. The Revenue will decrease by -1.15% on average per year.
EPS Next Y-24.4%
EPS Next 2Y-5.62%
EPS Next 3Y-3.48%
EPS Next 5YN/A
Revenue Next Year-9.15%
Revenue Next 2Y-2.34%
Revenue Next 3Y-1.15%
Revenue Next 5YN/A
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
The Price/Earnings ratio is 22.04, which indicates a rather expensive current valuation of JNPR.
Based on the Price/Earnings ratio, JNPR is valued a bit cheaper than the industry average as 72.55% of the companies are valued more expensively.
JNPR is valuated rather cheaply when we compare the Price/Earnings ratio to 27.73, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 18.42, which indicates a rather expensive current valuation of JNPR.
Compared to the rest of the industry, the Price/Forward Earnings ratio of JNPR indicates a somewhat cheap valuation: JNPR is cheaper than 62.75% of the companies listed in the same industry.
JNPR is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 22.83, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.04 | ||
| Fwd PE | 18.42 |
4.2 Price Multiples
62.75% of the companies in the same industry are more expensive than JNPR, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of JNPR indicates a somewhat cheap valuation: JNPR is cheaper than 64.71% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 31.14 | ||
| EV/EBITDA | 24.9 |
4.3 Compensation for Growth
The decent profitability rating of JNPR may justify a higher PE ratio.
A cheap valuation may be justified as JNPR's earnings are expected to decrease with -3.48% in the coming years.
PEG (NY)N/A
PEG (5Y)5.9
EPS Next 2Y-5.62%
EPS Next 3Y-3.48%
5. Dividend
5.1 Amount
JNPR has a Yearly Dividend Yield of 2.38%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 10.86, JNPR pays a better dividend. On top of this JNPR pays more dividend than 82.35% of the companies listed in the same industry.
JNPR's Dividend Yield is comparable with the S&P500 average which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.38% |
5.2 History
The dividend of JNPR has a limited annual growth rate of 3.39%.
JNPR has paid a dividend for at least 10 years, which is a reliable track record.
JNPR has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)3.39%
Div Incr Years2
Div Non Decr Years10
5.3 Sustainability
JNPR pays out 114.27% of its income as dividend. This is not a sustainable payout ratio.
The Dividend Rate of JNPR has been growing, while earnings will be declining. This means the dividend growth is most likely not sustainable.
DP114.27%
EPS Next 2Y-5.62%
EPS Next 3Y-3.48%
JUNIPER NETWORKS INC
NYSE:JNPR (12/20/2024, 8:20:30 PM)
After market: 37.24 0 (0%)37.24
+0.24 (+0.65%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)
Earnings (Next)
Inst Owners82.13%
Inst Owner Change5.33%
Ins Owners1.23%
Ins Owner Change0.33%
Market Cap12.26B
Analysts69.52
Price Target40.34 (8.32%)
Short Float %2.83%
Short Ratio2.31
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.38% |
Dividend Growth(5Y)3.39%
DP114.27%
Div Incr Years2
Div Non Decr Years10
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-11.87%
Min EPS beat(2)-30.7%
Max EPS beat(2)6.97%
EPS beat(4)1
Avg EPS beat(4)-14.65%
Min EPS beat(4)-30.7%
Max EPS beat(4)6.97%
EPS beat(8)4
Avg EPS beat(8)-4.94%
EPS beat(12)6
Avg EPS beat(12)-2.84%
EPS beat(16)9
Avg EPS beat(16)-0.6%
Revenue beat(2)1
Avg Revenue beat(2)-1.63%
Min Revenue beat(2)-6.84%
Max Revenue beat(2)3.58%
Revenue beat(4)1
Avg Revenue beat(4)-4.37%
Min Revenue beat(4)-9.39%
Max Revenue beat(4)3.58%
Revenue beat(8)2
Avg Revenue beat(8)-2.95%
Revenue beat(12)4
Avg Revenue beat(12)-1.88%
Revenue beat(16)6
Avg Revenue beat(16)-1.56%
PT rev (1m)-0.68%
PT rev (3m)-0.64%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-8.02%
EPS NY rev (1m)0%
EPS NY rev (3m)6.68%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.59%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.04 | ||
| Fwd PE | 18.42 | ||
| P/S | 2.43 | ||
| P/FCF | 31.14 | ||
| P/OCF | 23.69 | ||
| P/B | 2.64 | ||
| P/tB | 14.33 | ||
| EV/EBITDA | 24.9 |
EPS(TTM)1.69
EY4.54%
EPS(NY)2.02
Fwd EY5.43%
FCF(TTM)1.2
FCFY3.21%
OCF(TTM)1.57
OCFY4.22%
SpS15.29
BVpS14.1
TBVpS2.6
PEG (NY)N/A
PEG (5Y)5.9
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.61% | ||
| ROE | 5.39% | ||
| ROCE | 4.39% | ||
| ROIC | 3.96% | ||
| ROICexc | 4.73% | ||
| ROICexgc | 11.83% | ||
| OM | 6.59% | ||
| PM (TTM) | 4.97% | ||
| GM | 58.6% | ||
| FCFM | 7.82% |
ROA(3y)3.72%
ROA(5y)3.56%
ROE(3y)7.76%
ROE(5y)7.29%
ROIC(3y)6.39%
ROIC(5y)6.06%
ROICexc(3y)7.63%
ROICexc(5y)7.58%
ROICexgc(3y)21.83%
ROICexgc(5y)22.88%
ROCE(3y)7.08%
ROCE(5y)6.72%
ROICexcg growth 3Y-5.13%
ROICexcg growth 5Y-21.27%
ROICexc growth 3Y5.76%
ROICexc growth 5Y-8.95%
OM growth 3Y2.53%
OM growth 5Y-3.92%
PM growth 3Y-1.31%
PM growth 5Y-14.5%
GM growth 3Y-0.21%
GM growth 5Y-0.49%
F-Score4
Asset Turnover0.52
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.35 | ||
| Debt/FCF | 4.15 | ||
| Debt/EBITDA | 3.28 | ||
| Cap/Depr | 74.12% | ||
| Cap/Sales | 2.46% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 103.79% | ||
| Profit Quality | 157.35% | ||
| Current Ratio | 1.72 | ||
| Quick Ratio | 1.3 | ||
| Altman-Z | 1.98 |
F-Score4
WACC9.74%
ROIC/WACC0.41
Cap/Depr(3y)57.42%
Cap/Depr(5y)54.33%
Cap/Sales(3y)2.32%
Cap/Sales(5y)2.34%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-26.84%
EPS 3Y13.32%
EPS 5Y3.73%
EPS Q2Q%-20%
EPS Next Y-24.4%
EPS Next 2Y-5.62%
EPS Next 3Y-3.48%
EPS Next 5YN/A
Revenue 1Y (TTM)-10.87%
Revenue growth 3Y7.77%
Revenue growth 5Y3.67%
Sales Q2Q%-4.78%
Revenue Next Year-9.15%
Revenue Next 2Y-2.34%
Revenue Next 3Y-1.15%
Revenue Next 5YN/A
EBIT growth 1Y-46.88%
EBIT growth 3Y10.5%
EBIT growth 5Y-0.4%
EBIT Next Year-11.22%
EBIT Next 3Y3.24%
EBIT Next 5YN/A
FCF growth 1Y4076.77%
FCF growth 3Y11.72%
FCF growth 5Y-0.01%
OCF growth 1Y450.43%
OCF growth 3Y12.56%
OCF growth 5Y0.27%