112.93 USD
-2.34 (-2.03%)
112.63 USD
-0.3 (-0.27%)
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. SIMO is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. SIMO is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
- In the past year SIMO was profitable.
- SIMO had a positive operating cash flow in the past year.
- 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
- Looking at the Return On Assets, with a value of 8.48%, SIMO is in the better half of the industry, outperforming 76.99% of the companies in the same industry.
- SIMO has a better Return On Equity (11.57%) than 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.
- SIMO had an Average Return On Invested Capital over the past 3 years of 12.40%. This is in line with the industry average of 10.75%.
- 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
- The Profit Margin of SIMO (12.08%) is better than 68.14% of its industry peers.
- SIMO's Profit Margin has declined in the last couple of years.
- SIMO has a better Operating Margin (9.90%) than 62.83% of its industry peers.
- In the last couple of years the Operating Margin of SIMO has declined.
- SIMO has a Gross Margin of 47.39%. This is comparable to the rest of the industry: SIMO outperforms 57.52% of its industry peers.
- In the last couple of years the Gross Margin of SIMO has remained more or less at the same level.
| 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
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so SIMO is still creating some value.
- The number of shares outstanding for SIMO has been increased compared to 1 year ago.
- SIMO has less shares outstanding than it did 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
- SIMO 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 | N/A | ||
| Altman-Z | N/A |
ROIC/WACC0.7
WACC10.83%
2.3 Liquidity
- A Current Ratio of 3.44 indicates that SIMO has no problem at all paying its short term obligations.
- The Current ratio of SIMO (3.44) is comparable to the rest of the industry.
- SIMO has a Quick Ratio of 2.10. This indicates that SIMO is financially healthy and has no problem in meeting its short term obligations.
- The Quick ratio of SIMO (2.10) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.44 | ||
| Quick Ratio | 2.1 |
3. Growth
3.1 Past
- SIMO shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -7.25%.
- The Earnings Per Share has been growing slightly by 5.78% on average over the past years.
- The Revenue has decreased by -2.02% in the past year.
- Measured over the past years, SIMO shows a quite strong growth in Revenue. The Revenue has been growing by 11.94% on average per year.
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
- SIMO is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 20.72% yearly.
- SIMO is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 12.02% yearly.
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
- SIMO is valuated quite expensively with a Price/Earnings ratio of 35.29.
- 77.88% of the companies in the same industry are more expensive than SIMO, based on the Price/Earnings ratio.
- SIMO is valuated rather expensively when we compare the Price/Earnings ratio to 27.21, which is the current average of the S&P500 Index.
- A Price/Forward Earnings ratio of 23.47 indicates a rather expensive valuation of SIMO.
- 82.30% of the companies in the same industry are more expensive than SIMO, based on the Price/Forward Earnings ratio.
- The average S&P500 Price/Forward Earnings ratio is at 25.98. SIMO is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.29 | ||
| Fwd PE | 23.47 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SIMO indicates a somewhat cheap valuation: SIMO is cheaper than 67.26% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 33.07 |
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)5.26
PEG (5Y)6.11
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 0.50. SIMO pays more dividend than 89.38% of the companies in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.81, 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 been paying a dividend for at least 10 years, so it has 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 35.29 and the Price/Book (PB) ratio is 4.56.
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%.