SEMTECH CORP (SMTC)
US8168501018 - Common Stock
Overall SMTC gets a fundamental rating of 3 out of 10. We evaluated SMTC against 108 industry peers in the Semiconductors & Semiconductor Equipment industry. Both the profitability and financial health of SMTC have multiple concerns. SMTC is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year SMTC was profitable.
SMTC had a positive operating cash flow in the past year.
Of the past 5 years SMTC 4 years were profitable.
Of the past 5 years SMTC 4 years had a positive operating cash flow.
1.2 Ratios
SMTC's Return On Assets of -63.89% is on the low side compared to the rest of the industry. SMTC is outperformed by 90.74% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -63.89% | ||
| ROE | N/A | ||
| ROIC | N/A |
ROA(3y)-22%
ROA(5y)-11.48%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Gross Margin of SMTC (47.76%) is comparable to the rest of the industry.
SMTC's Gross Margin has declined in the last couple of years.
The Profit Margin and Operating Margin are not available for SMTC so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 47.76% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-9.2%
GM growth 5Y-5.72%
2. Health
2.1 Basic Checks
SMTC does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, SMTC has more shares outstanding
Compared to 5 years ago, SMTC has less shares outstanding
The debt/assets ratio for SMTC is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 1.95 indicates that SMTC is not a great score, but indicates only limited risk for bankruptcy at the moment.
SMTC's Altman-Z score of 1.95 is on the low side compared to the rest of the industry. SMTC is outperformed by 63.89% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.95 |
ROIC/WACCN/A
WACC13.19%
2.3 Liquidity
A Current Ratio of 2.41 indicates that SMTC has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 2.41, SMTC is doing worse than 61.11% of the companies in the same industry.
SMTC has a Quick Ratio of 1.72. This is a normal value and indicates that SMTC is financially healthy and should not expect problems in meeting its short term obligations.
SMTC has a Quick ratio of 1.72. This is in the lower half of the industry: SMTC underperforms 62.04% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.41 | ||
| Quick Ratio | 1.72 |
3. Growth
3.1 Past
SMTC shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -89.60%.
Measured over the past years, SMTC shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -47.23% on average per year.
SMTC shows a decrease in Revenue. In the last year, the revenue decreased by -0.57%.
The Revenue has been growing slightly by 6.73% on average over the past years.
EPS 1Y (TTM)-89.6%
EPS 3Y-62.88%
EPS 5Y-47.23%
EPS Q2Q%0%
Revenue 1Y (TTM)-0.57%
Revenue growth 3Y13.44%
Revenue growth 5Y6.73%
Sales Q2Q%-9.64%
3.2 Future
Based on estimates for the next years, SMTC will show a very strong growth in Earnings Per Share. The EPS will grow by 187.80% on average per year.
Based on estimates for the next years, SMTC will show a quite strong growth in Revenue. The Revenue will grow by 11.23% on average per year.
EPS Next Y674.79%
EPS Next 2Y332.97%
EPS Next 3Y187.8%
EPS Next 5YN/A
Revenue Next Year2.32%
Revenue Next 2Y11.15%
Revenue Next 3Y11.23%
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 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
The Price/Earnings ratio is 411.08, which means the current valuation is very expensive for SMTC.
Based on the Price/Earnings ratio, SMTC is valued a bit more expensive than the industry average as 61.11% of the companies are valued more cheaply.
Compared to an average S&P500 Price/Earnings ratio of 29.56, SMTC is valued quite expensively.
With a Price/Forward Earnings ratio of 31.67, SMTC can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SMTC is on the same level as its industry peers.
SMTC's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 24.20.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 411.08 | ||
| Fwd PE | 31.67 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as SMTC.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 94.9 |
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.
SMTC's earnings are expected to grow with 187.80% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.61
PEG (5Y)N/A
EPS Next 2Y332.97%
EPS Next 3Y187.8%
5. Dividend
5.1 Amount
No dividends for SMTC!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
SEMTECH CORP
NASDAQ:SMTC (11/25/2024, 8:00:02 PM)
After market: 62.9998 +9.56 (+17.89%)53.44
+2.55 (+5.01%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap4.02B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
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Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 411.08 | ||
| Fwd PE | 31.67 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.61
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -63.89% | ||
| ROE | N/A | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 47.76% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.6
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 2.41 | ||
| Quick Ratio | 1.72 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-89.6%
EPS 3Y-62.88%
EPS 5Y
EPS Q2Q%
EPS Next Y674.79%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-0.57%
Revenue growth 3Y13.44%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y