115.45 USD
-1.65 (-1.41%)
Taking everything into account, SIMO scores 6 out of 10 in our fundamental rating. SIMO was compared to 113 industry peers in the Semiconductors & Semiconductor Equipment industry. While SIMO has a great health rating, its profitability is only average at the moment. SIMO is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
- SIMO had positive earnings in the past year.
- In the past year SIMO had a positive cash flow from operations.
- Each year in the past 5 years SIMO has been profitable.
- SIMO had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- SIMO has a Return On Assets of 8.48%. This is in the better half of the industry: SIMO outperforms 76.99% of its industry peers.
- SIMO's Return On Equity of 11.57% is fine compared to the rest of the industry. SIMO outperforms 75.22% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 7.58%, SIMO is in the better half of the industry, outperforming 74.34% of the companies in the same industry.
- Measured over the past 3 years, the Average Return On Invested Capital for SIMO is in line with the industry average of 10.78%.
- The last Return On Invested Capital (7.58%) for SIMO is well below the 3 year average (12.40%), which needs to be investigated, but indicates that SIMO had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.48% | ||
| ROE | 11.57% | ||
| ROIC | 7.58% |
ROA(3y)10.62%
ROA(5y)12.64%
ROE(3y)14.1%
ROE(5y)17.4%
ROIC(3y)12.4%
ROIC(5y)16.34%
1.3 Margins
- With a decent Profit Margin value of 12.08%, SIMO is doing good in the industry, outperforming 68.14% of the companies in the same industry.
- SIMO's Profit Margin has declined in the last couple of years.
- Looking at the Operating Margin, with a value of 9.90%, SIMO is in the better half of the industry, outperforming 62.83% of the companies in the same industry.
- SIMO's Operating Margin has declined in the last couple of years.
- SIMO's Gross Margin of 47.39% is in line compared to the rest of the industry. SIMO outperforms 57.52% of its industry peers.
- SIMO's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.9% | ||
| PM (TTM) | 12.08% | ||
| GM | 47.39% |
OM growth 3Y-24.52%
OM growth 5Y-5.1%
PM growth 3Y-20%
PM growth 5Y-4.64%
GM growth 3Y-2.8%
GM growth 5Y-1.14%
2. Health
2.1 Basic Checks
- SIMO has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- SIMO has more shares outstanding than it did 1 year ago.
- The number of shares outstanding for SIMO has been reduced compared to 5 years ago.
- SIMO 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
- There is no outstanding debt for SIMO. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | N/A | ||
| Altman-Z | N/A |
ROIC/WACC0.69
WACC10.93%
2.3 Liquidity
- SIMO has a Current Ratio of 3.44. This indicates that SIMO is financially healthy and has no problem in meeting its short term obligations.
- SIMO has a Current ratio (3.44) which is comparable to the rest of the industry.
- A Quick Ratio of 2.10 indicates that SIMO has no problem at all paying its short term obligations.
- SIMO's Quick ratio of 2.10 is in line compared to the rest of the industry. SIMO outperforms 48.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.44 | ||
| Quick Ratio | 2.1 |
3. Growth
3.1 Past
- The earnings per share for SIMO have decreased by -7.25% in the last year.
- Measured over the past 5 years, SIMO shows a small growth in Earnings Per Share. The EPS has been growing by 5.78% on average per year.
- The Revenue has decreased by -2.02% in the past year.
- SIMO shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.94% yearly.
EPS 1Y (TTM)-7.25%
EPS 3Y-17.95%
EPS 5Y5.78%
EPS Q2Q%8.7%
Revenue 1Y (TTM)-2.02%
Revenue growth 3Y-4.48%
Revenue growth 5Y11.94%
Sales Q2Q%13.93%
3.2 Future
- The Earnings Per Share is expected to grow by 20.72% on average over the next years. This is a very strong growth
- The Revenue is expected to grow by 12.02% on average over the next years. This is quite good.
EPS Next Y6.72%
EPS Next 2Y18.44%
EPS Next 3Y20.72%
EPS Next 5YN/A
Revenue Next Year7.48%
Revenue Next 2Y11.97%
Revenue Next 3Y12.02%
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 36.08, the valuation of SIMO can be described as expensive.
- 77.88% of the companies in the same industry are more expensive than SIMO, based on the Price/Earnings ratio.
- Compared to an average S&P500 Price/Earnings ratio of 28.60, SIMO is valued a bit more expensive.
- SIMO is valuated rather expensively with a Price/Forward Earnings ratio of 23.99.
- SIMO's Price/Forward Earnings ratio is rather cheap when compared to the industry. SIMO is cheaper than 82.30% of the companies in the same industry.
- SIMO's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 25.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.08 | ||
| Fwd PE | 23.99 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, SIMO is valued a bit cheaper than 66.37% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 34.35 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- The decent profitability rating of SIMO may justify a higher PE ratio.
- SIMO's earnings are expected to grow with 20.72% in the coming years. This may justify a more expensive valuation.
PEG (NY)5.37
PEG (5Y)6.24
EPS Next 2Y18.44%
EPS Next 3Y20.72%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 1.73%, SIMO has a reasonable but not impressive dividend return.
- SIMO's Dividend Yield is rather good when compared to the industry average which is at 0.49. SIMO pays more dividend than 89.38% of the companies in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.82, SIMO has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.73% |
5.2 History
- The dividend of SIMO is nicely growing with an annual growth rate of 10.06%!
- SIMO has paid a dividend for at least 10 years, which is a reliable track record.
- SIMO has decreased its dividend recently.
Dividend Growth(5Y)10.06%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
- 69.74% of the earnings are spent on dividend by SIMO. This is not a sustainable payout ratio.
- SIMO's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP69.74%
EPS Next 2Y18.44%
EPS Next 3Y20.72%
SILICON MOTION TECHNOL-ADR / SIMO FAQ
Can you provide the ChartMill fundamental rating for SILICON MOTION TECHNOL-ADR?
ChartMill assigns a fundamental rating of 6 / 10 to SIMO.
What is the valuation status for SIMO stock?
ChartMill assigns a valuation rating of 3 / 10 to SILICON MOTION TECHNOL-ADR (SIMO). This can be considered as Overvalued.
How profitable is SILICON MOTION TECHNOL-ADR (SIMO) stock?
SILICON MOTION TECHNOL-ADR (SIMO) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for SIMO stock?
The Price/Earnings (PE) ratio for SILICON MOTION TECHNOL-ADR (SIMO) is 36.08 and the Price/Book (PB) ratio is 4.66.
Can you provide the dividend sustainability for SIMO stock?
The dividend rating of SILICON MOTION TECHNOL-ADR (SIMO) is 5 / 10 and the dividend payout ratio is 69.74%.