6.99 USD
-0.01 (-0.14%)
6.99 USD
0 (0%)
Taking everything into account, PCTI scores 5 out of 10 in our fundamental rating. PCTI was compared to 48 industry peers in the Communications Equipment industry. While PCTI has a great health rating, its profitability is only average at the moment. PCTI has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
- PCTI had positive earnings in the past year.
- In the past year PCTI had a positive cash flow from operations.
1.2 Ratios
- PCTI has a better Return On Assets (5.13%) than 76.27% of its industry peers.
- PCTI's Return On Equity of 6.31% is fine compared to the rest of the industry. PCTI outperforms 71.19% of its industry peers.
- With a decent Return On Invested Capital value of 4.25%, PCTI is doing good in the industry, outperforming 62.71% of the companies in the same industry.
- Measured over the past 3 years, the Average Return On Invested Capital for PCTI is significantly below the industry average of 12.17%.
- The last Return On Invested Capital (4.25%) for PCTI is above the 3 year average (2.82%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.13% | ||
| ROE | 6.31% | ||
| ROIC | 4.25% |
ROA(3y)2.45%
ROA(5y)-0.83%
ROE(3y)3.09%
ROE(5y)-0.82%
ROIC(3y)2.82%
ROIC(5y)N/A
1.3 Margins
- Looking at the Profit Margin, with a value of 4.90%, PCTI is in the better half of the industry, outperforming 66.10% of the companies in the same industry.
- PCTI's Profit Margin has declined in the last couple of years.
- PCTI has a Operating Margin (4.37%) which is in line with its industry peers.
- PCTI's Operating Margin has improved in the last couple of years.
- The Gross Margin of PCTI (48.68%) is better than 71.19% of its industry peers.
- In the last couple of years the Gross Margin of PCTI has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.37% | ||
| PM (TTM) | 4.9% | ||
| GM | 48.68% |
OM growth 3Y-2.07%
OM growth 5Y17.43%
PM growth 3Y-11.4%
PM growth 5Y-6.84%
GM growth 3Y0.12%
GM growth 5Y1.61%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), PCTI is destroying value.
- The number of shares outstanding for PCTI has been increased compared to 1 year ago.
- PCTI has a better debt/assets ratio than last year.
2.2 Solvency
- An Altman-Z score of 6.12 indicates that PCTI is not in any danger for bankruptcy at the moment.
- PCTI has a Altman-Z score of 6.12. This is amongst the best in the industry. PCTI outperforms 91.53% of its industry peers.
- PCTI has a debt to FCF ratio of 0.02. This is a very positive value and a sign of high solvency as it would only need 0.02 years to pay back of all of its debts.
- Looking at the Debt to FCF ratio, with a value of 0.02, PCTI belongs to the top of the industry, outperforming 88.14% of the companies in the same industry.
- A Debt/Equity ratio of 0.00 indicates that PCTI is not too dependend on debt financing.
- PCTI has a Debt to Equity ratio of 0.00. This is in the better half of the industry: PCTI outperforms 74.58% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.02 | ||
| Altman-Z | 6.12 |
ROIC/WACC0.5
WACC8.53%
2.3 Liquidity
- A Current Ratio of 5.19 indicates that PCTI has no problem at all paying its short term obligations.
- PCTI has a better Current ratio (5.19) than 89.83% of its industry peers.
- PCTI has a Quick Ratio of 3.85. This indicates that PCTI is financially healthy and has no problem in meeting its short term obligations.
- With an excellent Quick ratio value of 3.85, PCTI belongs to the best of the industry, outperforming 88.14% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 5.19 | ||
| Quick Ratio | 3.85 |
3. Growth
3.1 Past
- The earnings per share for PCTI have decreased by -7.89% in the last year.
- The Earnings Per Share has been growing by 10.07% on average over the past years. This is quite good.
- The Revenue for PCTI has decreased by -12.72% in the past year. This is quite bad
- The Revenue has been growing slightly by 1.69% on average over the past years.
EPS 1Y (TTM)-7.89%
EPS 3Y-3.68%
EPS 5Y10.07%
EPS Q2Q%-100%
Revenue 1Y (TTM)-12.72%
Revenue growth 3Y3.14%
Revenue growth 5Y1.69%
Sales Q2Q%-33.09%
3.2 Future
- The Earnings Per Share is expected to decrease by -7.80% on average over the next years.
- Based on estimates for the next years, PCTI will show a decrease in Revenue. The Revenue will decrease by -3.06% on average per year.
EPS Next Y-29.57%
EPS Next 2Y-7.8%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-14.62%
Revenue Next 2Y-3.06%
Revenue Next 3YN/A
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.
- 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
- PCTI is valuated rather expensively with a Price/Earnings ratio of 19.97.
- Compared to the rest of the industry, the Price/Earnings ratio of PCTI indicates a somewhat cheap valuation: PCTI is cheaper than 61.02% of the companies listed in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 27.25, PCTI is valued a bit cheaper.
- The Price/Forward Earnings ratio is 19.58, which indicates a rather expensive current valuation of PCTI.
- The rest of the industry has a similar Price/Forward Earnings ratio as PCTI.
- PCTI is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 25.98, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.97 | ||
| Fwd PE | 19.58 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, PCTI is valued a bit cheaper than 74.58% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, PCTI is valued cheaply inside the industry as 83.05% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.1 | ||
| EV/EBITDA | 11.41 |
4.3 Compensation for Growth
- A cheap valuation may be justified as PCTI's earnings are expected to decrease with -7.80% in the coming years.
PEG (NY)N/A
PEG (5Y)1.98
EPS Next 2Y-7.8%
EPS Next 3YN/A
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 3.15%, PCTI has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 0.77, PCTI pays a better dividend. On top of this PCTI pays more dividend than 89.83% of the companies listed in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.82, PCTI pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.15% |
5.2 History
- The dividend of PCTI has a limited annual growth rate of 0.90%.
- PCTI has been paying a dividend for at least 10 years, so it has a reliable track record.
- PCTI has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)0.9%
Div Incr Years0
Div Non Decr Years11
5.3 Sustainability
- PCTI pays out 97.89% of its income as dividend. This is not a sustainable payout ratio.
- PCTI's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP97.89%
EPS Next 2Y-7.8%
EPS Next 3YN/A
PCTEL INC / PCTI FAQ
Can you provide the ChartMill fundamental rating for PCTEL INC?
ChartMill assigns a fundamental rating of 5 / 10 to PCTI.
What is the valuation status for PCTI stock?
ChartMill assigns a valuation rating of 4 / 10 to PCTEL INC (PCTI). This can be considered as Fairly Valued.
How profitable is PCTEL INC (PCTI) stock?
PCTEL INC (PCTI) has a profitability rating of 6 / 10.
What is the expected EPS growth for PCTEL INC (PCTI) stock?
The Earnings per Share (EPS) of PCTEL INC (PCTI) is expected to decline by -29.57% in the next year.
How sustainable is the dividend of PCTEL INC (PCTI) stock?
The dividend rating of PCTEL INC (PCTI) is 5 / 10 and the dividend payout ratio is 97.89%.