BANDWIDTH INC-CLASS A (BAND) Stock Fundamental Analysis
USA - NASDAQ:BAND - US05988J1034 - Common Stock
16.09 USD
+0.39 (+2.48%)
16.09 USD
0 (0%)
BAND gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 36 industry peers in the Diversified Telecommunication Services industry. The financial health of BAND is average, but there are quite some concerns on its profitability. BAND is evaluated to be cheap and growing strongly. This does not happen too often!
1. Profitability
1.1 Basic Checks
In the past year BAND was profitable.
In the past year BAND had a positive cash flow from operations.
In the past 5 years BAND reported 4 times negative net income.
Each year in the past 5 years BAND had a positive operating cash flow.
1.2 Ratios
BAND has a Return On Assets of -0.98%. This is comparable to the rest of the industry: BAND outperforms 47.22% of its industry peers.
BAND has a Return On Equity (-2.60%) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.98% | ||
| ROE | -2.6% | ||
| ROIC | N/A |
ROA(3y)-0.01%
ROA(5y)-1.51%
ROE(3y)-0.13%
ROE(5y)-3.45%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With a Gross Margin value of 38.63%, BAND is not doing good in the industry: 72.22% of the companies in the same industry are doing better.
BAND's Gross Margin has declined in the last couple of years.
The Profit Margin and Operating Margin are not available for BAND so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 38.63% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-4.95%
GM growth 5Y-4.21%
2. Health
2.1 Basic Checks
BAND does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, BAND has more shares outstanding
BAND has more shares outstanding than it did 5 years ago.
BAND has a better debt/assets ratio than last year.
2.2 Solvency
BAND has an Altman-Z score of 1.10. This is a bad value and indicates that BAND is not financially healthy and even has some risk of bankruptcy.
BAND has a Altman-Z score of 1.10. This is in the better half of the industry: BAND outperforms 72.22% of its industry peers.
The Debt to FCF ratio of BAND is 4.47, which is a neutral value as it means it would take BAND, 4.47 years of fcf income to pay off all of its debts.
BAND has a better Debt to FCF ratio (4.47) than 86.11% of its industry peers.
A Debt/Equity ratio of 0.64 indicates that BAND is somewhat dependend on debt financing.
BAND has a Debt to Equity ratio of 0.64. This is in the better half of the industry: BAND outperforms 61.11% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | 4.47 | ||
| Altman-Z | 1.1 |
ROIC/WACCN/A
WACC6.75%
2.3 Liquidity
BAND has a Current Ratio of 1.31. This is a normal value and indicates that BAND is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Current ratio value of 1.31, BAND is doing good in the industry, outperforming 69.44% of the companies in the same industry.
BAND has a Quick Ratio of 1.31. This is a normal value and indicates that BAND is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.31, BAND is in the better half of the industry, outperforming 69.44% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.31 | ||
| Quick Ratio | 1.31 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 31.62% over the past year.
BAND shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 12.31% yearly.
BAND shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 14.51%.
BAND shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 26.33% yearly.
EPS 1Y (TTM)31.62%
EPS 3Y12.31%
EPS 5YN/A
EPS Q2Q%31.03%
Revenue 1Y (TTM)14.51%
Revenue growth 3Y15.1%
Revenue growth 5Y26.33%
Sales Q2Q%3.69%
3.2 Future
BAND is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 22.23% yearly.
The Revenue is expected to grow by 8.50% on average over the next years. This is quite good.
EPS Next Y20.1%
EPS Next 2Y28.7%
EPS Next 3Y22.23%
EPS Next 5YN/A
Revenue Next Year1.34%
Revenue Next 2Y7.44%
Revenue Next 3Y8.5%
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.
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
With a Price/Earnings ratio of 10.45, the valuation of BAND can be described as very reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of BAND indicates a rather cheap valuation: BAND is cheaper than 97.22% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of BAND to the average of the S&P500 Index (27.86), we can say BAND is valued rather cheaply.
A Price/Forward Earnings ratio of 7.14 indicates a rather cheap valuation of BAND.
Compared to the rest of the industry, the Price/Forward Earnings ratio of BAND indicates a rather cheap valuation: BAND is cheaper than 100.00% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.32, BAND is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.45 | ||
| Fwd PE | 7.14 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of BAND is on the same level as its industry peers.
66.67% of the companies in the same industry are more expensive than BAND, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.52 | ||
| EV/EBITDA | 17.3 |
4.3 Compensation for Growth
BAND's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as BAND's earnings are expected to grow with 22.23% in the coming years.
PEG (NY)0.52
PEG (5Y)N/A
EPS Next 2Y28.7%
EPS Next 3Y22.23%
5. Dividend
5.1 Amount
No dividends for BAND!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
16.09
+0.39 (+2.48%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners78.19%
Inst Owner Change-34.59%
Ins Owners2.73%
Ins Owner Change0.49%
Market Cap484.95M
Analysts80
Price Target21.93 (36.3%)
Short Float %3.37%
Short Ratio3.27
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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)21.24%
Min EPS beat(2)11.77%
Max EPS beat(2)30.72%
EPS beat(4)3
Avg EPS beat(4)16.87%
Min EPS beat(4)-7.33%
Max EPS beat(4)32.33%
EPS beat(8)7
Avg EPS beat(8)27.02%
EPS beat(12)11
Avg EPS beat(12)163.93%
EPS beat(16)15
Avg EPS beat(16)161.06%
Revenue beat(2)1
Avg Revenue beat(2)-0.08%
Min Revenue beat(2)-1.27%
Max Revenue beat(2)1.1%
Revenue beat(4)3
Avg Revenue beat(4)1.36%
Min Revenue beat(4)-1.27%
Max Revenue beat(4)4.45%
Revenue beat(8)5
Avg Revenue beat(8)1.31%
Revenue beat(12)9
Avg Revenue beat(12)1.78%
Revenue beat(16)13
Avg Revenue beat(16)1.91%
PT rev (1m)9.69%
PT rev (3m)9.69%
EPS NQ rev (1m)3.99%
EPS NQ rev (3m)-2.7%
EPS NY rev (1m)0.65%
EPS NY rev (3m)2.08%
Revenue NQ rev (1m)0.16%
Revenue NQ rev (3m)-1.06%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.45 | ||
| Fwd PE | 7.14 | ||
| P/S | 0.64 | ||
| P/FCF | 8.52 | ||
| P/OCF | 5.66 | ||
| P/B | 1.26 | ||
| P/tB | N/A | ||
| EV/EBITDA | 17.3 |
EPS(TTM)1.54
EY9.57%
EPS(NY)2.25
Fwd EY14%
FCF(TTM)1.89
FCFY11.74%
OCF(TTM)2.84
OCFY17.66%
SpS25.15
BVpS12.76
TBVpS-4.03
PEG (NY)0.52
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.98% | ||
| ROE | -2.6% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 38.63% | ||
| FCFM | 7.51% |
ROA(3y)-0.01%
ROA(5y)-1.51%
ROE(3y)-0.13%
ROE(5y)-3.45%
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
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-4.95%
GM growth 5Y-4.21%
F-Score7
Asset Turnover0.74
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.64 | ||
| Debt/FCF | 4.47 | ||
| Debt/EBITDA | 6.44 | ||
| Cap/Depr | 56.99% | ||
| Cap/Sales | 3.78% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 223.31% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.31 | ||
| Quick Ratio | 1.31 | ||
| Altman-Z | 1.1 |
F-Score7
WACC6.75%
ROIC/WACCN/A
Cap/Depr(3y)75.61%
Cap/Depr(5y)92.55%
Cap/Sales(3y)4.88%
Cap/Sales(5y)6%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)31.62%
EPS 3Y12.31%
EPS 5YN/A
EPS Q2Q%31.03%
EPS Next Y20.1%
EPS Next 2Y28.7%
EPS Next 3Y22.23%
EPS Next 5YN/A
Revenue 1Y (TTM)14.51%
Revenue growth 3Y15.1%
Revenue growth 5Y26.33%
Sales Q2Q%3.69%
Revenue Next Year1.34%
Revenue Next 2Y7.44%
Revenue Next 3Y8.5%
Revenue Next 5YN/A
EBIT growth 1Y63.21%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year82.87%
EBIT Next 3Y38.42%
EBIT Next 5YN/A
FCF growth 1Y548.59%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y173.37%
OCF growth 3Y27.16%
OCF growth 5YN/A