24.41 USD
+0.29 (+1.2%)
24.41 USD
0 (0%)
Overall RDWR gets a fundamental rating of 5 out of 10. We evaluated RDWR against 277 industry peers in the Software industry. RDWR has an excellent financial health rating, but there are some minor concerns on its profitability. RDWR has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
- In the past year RDWR was profitable.
- RDWR had a positive operating cash flow in the past year.
- The reported net income has been mixed in the past 5 years: RDWR reported negative net income in multiple years.
- RDWR had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
- RDWR's Return On Assets of 2.52% is fine compared to the rest of the industry. RDWR outperforms 63.90% of its industry peers.
- With a decent Return On Equity value of 4.78%, RDWR is doing good in the industry, outperforming 68.23% of the companies in the same industry.
- RDWR's Return On Invested Capital of 1.47% is fine compared to the rest of the industry. RDWR outperforms 64.98% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.52% | ||
| ROE | 4.78% | ||
| ROIC | 1.47% |
ROA(3y)-0.94%
ROA(5y)-0.01%
ROE(3y)-1.92%
ROE(5y)-0.23%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- The Profit Margin of RDWR (5.66%) is better than 65.34% of its industry peers.
- RDWR's Profit Margin has declined in the last couple of years.
- RDWR has a better Operating Margin (3.05%) than 65.34% of its industry peers.
- RDWR's Gross Margin of 80.70% is amongst the best of the industry. RDWR outperforms 82.31% of its industry peers.
- In the last couple of years the Gross Margin of RDWR has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.05% | ||
| PM (TTM) | 5.66% | ||
| GM | 80.7% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-6.9%
PM growth 5Y-24.52%
GM growth 3Y-0.44%
GM growth 5Y-0.35%
2. Health
2.1 Basic Checks
- RDWR has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- Compared to 1 year ago, RDWR has more shares outstanding
- Compared to 5 years ago, RDWR has less shares outstanding
- RDWR has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
- An Altman-Z score of 3.01 indicates that RDWR is not in any danger for bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 3.01, RDWR is in the better half of the industry, outperforming 60.65% of the companies in the same industry.
- RDWR 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 | 3.01 |
ROIC/WACC0.16
WACC9.43%
2.3 Liquidity
- A Current Ratio of 1.68 indicates that RDWR should not have too much problems paying its short term obligations.
- RDWR has a Current ratio (1.68) which is in line with its industry peers.
- A Quick Ratio of 1.60 indicates that RDWR should not have too much problems paying its short term obligations.
- RDWR has a Quick ratio (1.60) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.68 | ||
| Quick Ratio | 1.6 |
3. Growth
3.1 Past
- RDWR shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 52.78%, which is quite impressive.
- Measured over the past 5 years, RDWR shows a small growth in Earnings Per Share. The EPS has been growing by 0.47% on average per year.
- RDWR shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 10.40%.
- The Revenue has been growing slightly by 1.75% on average over the past years.
EPS 1Y (TTM)52.78%
EPS 3Y2.02%
EPS 5Y0.47%
EPS Q2Q%21.74%
Revenue 1Y (TTM)10.4%
Revenue growth 3Y-1.37%
Revenue growth 5Y1.75%
Sales Q2Q%8.38%
3.2 Future
- Based on estimates for the next years, RDWR will show a quite strong growth in Earnings Per Share. The EPS will grow by 16.12% on average per year.
- Based on estimates for the next years, RDWR will show a quite strong growth in Revenue. The Revenue will grow by 9.42% on average per year.
EPS Next Y34.62%
EPS Next 2Y18.45%
EPS Next 3Y16.12%
EPS Next 5YN/A
Revenue Next Year9.82%
Revenue Next 2Y8.62%
Revenue Next 3Y8.75%
Revenue Next 5Y9.42%
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 accelerating.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- RDWR is valuated rather expensively with a Price/Earnings ratio of 22.19.
- Based on the Price/Earnings ratio, RDWR is valued a bit cheaper than 70.40% of the companies in the same industry.
- When comparing the Price/Earnings ratio of RDWR to the average of the S&P500 Index (27.32), we can say RDWR is valued inline with the index average.
- A Price/Forward Earnings ratio of 20.23 indicates a rather expensive valuation of RDWR.
- RDWR's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. RDWR is cheaper than 71.84% of the companies in the same industry.
- RDWR's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 24.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.19 | ||
| Fwd PE | 20.23 |
4.2 Price Multiples
- 66.79% of the companies in the same industry are more expensive than RDWR, based on the Enterprise Value to EBITDA ratio.
- Based on the Price/Free Cash Flow ratio, RDWR is valued a bit cheaper than 69.68% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 27.33 | ||
| EV/EBITDA | 31.49 |
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.
- RDWR's earnings are expected to grow with 16.12% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.64
PEG (5Y)47.04
EPS Next 2Y18.45%
EPS Next 3Y16.12%
5. Dividend
5.1 Amount
- No dividends for RDWR!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
24.41
+0.29 (+1.2%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)10-29 2025-10-29/bmo
Earnings (Next)02-11 2026-02-11/bmo
Inst Owners79.95%
Inst Owner Change0%
Ins Owners11.51%
Ins Owner ChangeN/A
Market Cap1.06B
Revenue(TTM)294.64M
Net Income(TTM)16.67M
Analysts80
Price Target31.28 (28.14%)
Short Float %2.41%
Short Ratio3.77
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)2
Avg EPS beat(2)2.77%
Min EPS beat(2)1.3%
Max EPS beat(2)4.25%
EPS beat(4)4
Avg EPS beat(4)8.13%
Min EPS beat(4)1.3%
Max EPS beat(4)15.43%
EPS beat(8)8
Avg EPS beat(8)11.64%
EPS beat(12)8
Avg EPS beat(12)4.51%
EPS beat(16)10
Avg EPS beat(16)2.67%
Revenue beat(2)0
Avg Revenue beat(2)-1.48%
Min Revenue beat(2)-1.95%
Max Revenue beat(2)-1.02%
Revenue beat(4)2
Avg Revenue beat(4)-0.62%
Min Revenue beat(4)-1.95%
Max Revenue beat(4)0.29%
Revenue beat(8)3
Avg Revenue beat(8)-0.37%
Revenue beat(12)3
Avg Revenue beat(12)-1.57%
Revenue beat(16)3
Avg Revenue beat(16)-1.92%
PT rev (1m)0.95%
PT rev (3m)0.95%
EPS NQ rev (1m)0%
EPS NQ rev (3m)5.11%
EPS NY rev (1m)0%
EPS NY rev (3m)2.47%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.65%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.23%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.19 | ||
| Fwd PE | 20.23 | ||
| P/S | 3.6 | ||
| P/FCF | 27.33 | ||
| P/OCF | 23.29 | ||
| P/B | 3.04 | ||
| P/tB | 3.9 | ||
| EV/EBITDA | 31.49 |
EPS(TTM)1.1
EY4.51%
EPS(NY)1.21
Fwd EY4.94%
FCF(TTM)0.89
FCFY3.66%
OCF(TTM)1.05
OCFY4.29%
SpS6.78
BVpS8.02
TBVpS6.25
PEG (NY)0.64
PEG (5Y)47.04
Graham Number14.09
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.52% | ||
| ROE | 4.78% | ||
| ROCE | 1.86% | ||
| ROIC | 1.47% | ||
| ROICexc | 2.93% | ||
| ROICexgc | 4.29% | ||
| OM | 3.05% | ||
| PM (TTM) | 5.66% | ||
| GM | 80.7% | ||
| FCFM | 13.17% |
ROA(3y)-0.94%
ROA(5y)-0.01%
ROE(3y)-1.92%
ROE(5y)-0.23%
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 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-6.9%
PM growth 5Y-24.52%
GM growth 3Y-0.44%
GM growth 5Y-0.35%
F-Score7
Asset Turnover0.45
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 57.15% | ||
| Cap/Sales | 2.28% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 219.6% | ||
| Profit Quality | 232.75% | ||
| Current Ratio | 1.68 | ||
| Quick Ratio | 1.6 | ||
| Altman-Z | 3.01 |
F-Score7
WACC9.43%
ROIC/WACC0.16
Cap/Depr(3y)140.31%
Cap/Depr(5y)111.59%
Cap/Sales(3y)5.74%
Cap/Sales(5y)4.53%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)52.78%
EPS 3Y2.02%
EPS 5Y0.47%
EPS Q2Q%21.74%
EPS Next Y34.62%
EPS Next 2Y18.45%
EPS Next 3Y16.12%
EPS Next 5YN/A
Revenue 1Y (TTM)10.4%
Revenue growth 3Y-1.37%
Revenue growth 5Y1.75%
Sales Q2Q%8.38%
Revenue Next Year9.82%
Revenue Next 2Y8.62%
Revenue Next 3Y8.75%
Revenue Next 5Y9.42%
EBIT growth 1Y183.32%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year160.98%
EBIT Next 3Y53.57%
EBIT Next 5Y29.36%
FCF growth 1Y890.12%
FCF growth 3Y0.08%
FCF growth 5Y8.22%
OCF growth 1Y1234.57%
OCF growth 3Y-0.07%
OCF growth 5Y6.26%
RADWARE LTD / RDWR FAQ
What is the fundamental rating for RDWR stock?
ChartMill assigns a fundamental rating of 5 / 10 to RDWR.
What is the valuation status of RADWARE LTD (RDWR) stock?
ChartMill assigns a valuation rating of 5 / 10 to RADWARE LTD (RDWR). This can be considered as Fairly Valued.
How profitable is RADWARE LTD (RDWR) stock?
RADWARE LTD (RDWR) has a profitability rating of 5 / 10.
How financially healthy is RADWARE LTD?
The financial health rating of RADWARE LTD (RDWR) is 7 / 10.