PCTEL INC (PCTI) Stock Fundamental Analysis
USA - NASDAQ:PCTI - US69325Q1058 - Common Stock
6.99 USD
-0.01 (-0.14%)
6.99 USD
0 (0%)
Overall PCTI gets a fundamental rating of 5 out of 10. We evaluated PCTI against 48 industry peers in the Communications Equipment industry. PCTI is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. PCTI is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year PCTI was profitable.
PCTI had a positive operating cash flow in the past year.
Of the past 5 years PCTI 4 years were profitable.
PCTI had a positive operating cash flow in each of the past 5 years.
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.
PCTI has a better Return On Invested Capital (4.25%) than 62.71% of its industry peers.
PCTI had an Average Return On Invested Capital over the past 3 years of 2.82%. This is significantly below the industry average of 12.97%.
The 3 year average ROIC (2.82%) for PCTI is below the current ROIC(4.25%), indicating increased profibility in the last year.
| 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.
Looking at the Operating Margin, with a value of 4.37%, PCTI is in line with its industry, outperforming 59.32% of the companies in the same industry.
In the last couple of years the Operating Margin of PCTI has grown nicely.
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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so PCTI is destroying value.
The number of shares outstanding for PCTI has been increased compared to 1 year ago.
The debt/assets ratio for PCTI has been reduced compared to a year ago.
2.2 Solvency
PCTI has an Altman-Z score of 6.12. This indicates that PCTI is financially healthy and has little risk of bankruptcy at the moment.
PCTI's Altman-Z score of 6.12 is amongst the best of 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.
Looking at the Debt to Equity ratio, with a value of 0.00, PCTI is in the better half of the industry, outperforming 74.58% of the companies in the same industry.
| 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.
A Quick Ratio of 3.85 indicates that PCTI has no problem at all paying its short term obligations.
Looking at the Quick ratio, with a value of 3.85, PCTI belongs to the top 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
Measured over the past years, PCTI shows a small growth in Revenue. The Revenue has been growing by 1.69% on average per year.
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
Based on estimates for the next years, PCTI will show a decrease in Earnings Per Share. The EPS will decrease by -7.80% on average per year.
PCTI is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -3.06% yearly.
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
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
PCTI is valuated rather expensively with a Price/Earnings ratio of 19.97.
61.02% of the companies in the same industry are more expensive than PCTI, based on the Price/Earnings ratio.
PCTI's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.55.
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.
When comparing the Price/Forward Earnings ratio of PCTI to the average of the S&P500 Index (23.04), we can say PCTI is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.97 | ||
| Fwd PE | 19.58 |
4.2 Price Multiples
PCTI's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. PCTI is cheaper than 74.58% of the companies in the same industry.
PCTI's Price/Free Cash Flow ratio is rather cheap when compared to the industry. PCTI is cheaper than 83.05% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.1 | ||
| EV/EBITDA | 11.41 |
4.3 Compensation for Growth
PCTI has a very decent profitability rating, which may justify a higher PE ratio.
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
PCTI has a Yearly Dividend Yield of 3.15%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 3.62, 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 2.43, PCTI pays a bit more dividend than the S&P500 average.
| 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 paid a dividend for at least 10 years, which is 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
97.89% of the earnings are spent on dividend by PCTI. This is not a sustainable payout ratio.
The Dividend Rate of PCTI has been growing, while earnings will be declining. This means the dividend growth is most likely not sustainable.
DP97.89%
EPS Next 2Y-7.8%
EPS Next 3YN/A
6.99
-0.01 (-0.14%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)
Earnings (Next)
Inst Owners0.34%
Inst Owner Change0%
Ins Owners5.47%
Ins Owner Change0%
Market Cap135.26M
Analysts43.33
Price Target7.14 (2.15%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.15% |
Yearly Dividend0.22
Dividend Growth(5Y)0.9%
DP97.89%
Div Incr Years0
Div Non Decr Years11
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)14.38%
Min EPS beat(2)-100%
Max EPS beat(2)128.76%
EPS beat(4)2
Avg EPS beat(4)40.52%
Min EPS beat(4)-100%
Max EPS beat(4)135.29%
EPS beat(8)6
Avg EPS beat(8)75.74%
EPS beat(12)9
Avg EPS beat(12)66.61%
EPS beat(16)11
Avg EPS beat(16)55.36%
Revenue beat(2)0
Avg Revenue beat(2)-9.21%
Min Revenue beat(2)-16.83%
Max Revenue beat(2)-1.58%
Revenue beat(4)1
Avg Revenue beat(4)-5.15%
Min Revenue beat(4)-16.83%
Max Revenue beat(4)0.09%
Revenue beat(8)3
Avg Revenue beat(8)-1.58%
Revenue beat(12)4
Avg Revenue beat(12)-1.44%
Revenue beat(16)4
Avg Revenue beat(16)-2.24%
PT rev (1m)0%
PT rev (3m)-22.22%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)99900%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.97 | ||
| Fwd PE | 19.58 | ||
| P/S | 1.56 | ||
| P/FCF | 14.1 | ||
| P/OCF | 12.19 | ||
| P/B | 2.01 | ||
| P/tB | 2.22 | ||
| EV/EBITDA | 11.41 |
EPS(TTM)0.35
EY5.01%
EPS(NY)0.36
Fwd EY5.11%
FCF(TTM)0.5
FCFY7.09%
OCF(TTM)0.57
OCFY8.21%
SpS4.49
BVpS3.48
TBVpS3.14
PEG (NY)N/A
PEG (5Y)1.98
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.13% | ||
| ROE | 6.31% | ||
| ROCE | 5.37% | ||
| ROIC | 4.25% | ||
| ROICexc | 8.05% | ||
| ROICexgc | 9.78% | ||
| OM | 4.37% | ||
| PM (TTM) | 4.9% | ||
| GM | 48.68% | ||
| FCFM | 11.04% |
ROA(3y)2.45%
ROA(5y)-0.83%
ROE(3y)3.09%
ROE(5y)-0.82%
ROIC(3y)2.82%
ROIC(5y)N/A
ROICexc(3y)5.1%
ROICexc(5y)N/A
ROICexgc(3y)5.89%
ROICexgc(5y)N/A
ROCE(3y)3.57%
ROCE(5y)N/A
ROICexcg growth 3Y-1.03%
ROICexcg growth 5Y22.36%
ROICexc growth 3Y-3.65%
ROICexc growth 5Y21.11%
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%
F-Score6
Asset Turnover1.05
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.02 | ||
| Debt/EBITDA | 0.02 | ||
| Cap/Depr | 59.68% | ||
| Cap/Sales | 1.74% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 175.36% | ||
| Profit Quality | 225.12% | ||
| Current Ratio | 5.19 | ||
| Quick Ratio | 3.85 | ||
| Altman-Z | 6.12 |
F-Score6
WACC8.53%
ROIC/WACC0.5
Cap/Depr(3y)75.25%
Cap/Depr(5y)71.31%
Cap/Sales(3y)2.92%
Cap/Sales(5y)2.91%
Profit Quality(3y)686.53%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-7.89%
EPS 3Y-3.68%
EPS 5Y10.07%
EPS Q2Q%-100%
EPS Next Y-29.57%
EPS Next 2Y-7.8%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-12.72%
Revenue growth 3Y3.14%
Revenue growth 5Y1.69%
Sales Q2Q%-33.09%
Revenue Next Year-14.62%
Revenue Next 2Y-3.06%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y44.49%
EBIT growth 3Y1%
EBIT growth 5Y19.42%
EBIT Next Year-3.23%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y48.91%
FCF growth 3Y-27.21%
FCF growth 5Y-11.92%
OCF growth 1Y21.05%
OCF growth 3Y-27.57%
OCF growth 5Y-14.29%