RADA ELECTRONIC INDS LTD (RADA) Fundamental Analysis & Valuation

NASDAQ:RADA • IL0010826506

9.87 USD
-0.04 (-0.4%)
At close: Nov 25, 2022
10 USD
+0.13 (+1.32%)
After Hours: 11/25/2022, 8:24:24 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Forecast Earnings Financials Ownership News

This RADA fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

Fundamental Rating

4

Overall RADA gets a fundamental rating of 4 out of 10. We evaluated RADA against 78 industry peers in the Aerospace & Defense industry. The financial health of RADA is average, but there are quite some concerns on its profitability. RADA shows excellent growth, but is valued quite expensive already.


Dividend Valuation Growth Profitability Health

1

1. RADA Profitability Analysis

1.1 Basic Checks

  • In the past year RADA was profitable.
RADA Yearly Net Income VS EBIT VS OCF VS FCFRADA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 0 10M -10M 20M

1.2 Ratios

Industry RankSector Rank
ROA 2.94%
ROE 3.78%
ROIC 4.01%
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
RADA Yearly ROA, ROE, ROICRADA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 0 -20 -40

1.3 Margins

  • RADA's Profit Margin has improved in the last couple of years.
  • In the last couple of years the Operating Margin of RADA has grown nicely.
Industry RankSector Rank
OM 7.71%
PM (TTM) 5.29%
GM N/A
OM growth 3Y212.2%
OM growth 5YN/A
PM growth 3Y234.62%
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
RADA Yearly Profit, Operating, Gross MarginsRADA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 0 20 -20 40

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ROAROEROICOperating and Profit MarginShow most profitable peers

6

2. RADA Health Analysis

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), RADA is destroying value.
  • RADA has more shares outstanding than it did 1 year ago.
  • There is no outstanding debt for RADA. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
RADA Yearly Shares OutstandingRADA Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 10M 20M 30M 40M
RADA Yearly Total Debt VS Total AssetsRADA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 50M 100M 150M 200M

2.2 Solvency

  • An Altman-Z score of 7.78 indicates that RADA is not in any danger for bankruptcy at the moment.
  • There is no outstanding debt for RADA. 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 RankSector Rank
Debt/Equity 0
Debt/FCF N/A
Altman-Z 7.78
ROIC/WACC0.46
WACC8.73%
RADA Yearly LT Debt VS Equity VS FCFRADA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 0 50M 100M 150M

2.3 Liquidity

  • RADA has a Current Ratio of 5.00. This indicates that RADA is financially healthy and has no problem in meeting its short term obligations.
  • A Quick Ratio of 2.88 indicates that RADA has no problem at all paying its short term obligations.
Industry RankSector Rank
Current Ratio 5
Quick Ratio 2.88
RADA Yearly Current Assets VS Current LiabilitesRADA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 50M 100M 150M

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

7

3. RADA Growth Analysis

3.1 Past

  • The earnings per share for RADA have decreased strongly by -69.23% in the last year.
  • The Earnings Per Share has been growing by 372.55% on average over the past years. This is a very strong growth
  • RADA shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 12.58%.
  • Measured over the past years, RADA shows a very strong growth in Revenue. The Revenue has been growing by 55.68% on average per year.
EPS 1Y (TTM)-69.23%
EPS 3Y372.55%
EPS 5YN/A
EPS Q2Q%-145%
Revenue 1Y (TTM)12.58%
Revenue growth 3Y61.12%
Revenue growth 5Y55.68%
Sales Q2Q%-18.38%

3.2 Future

  • RADA is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 59.64% yearly.
  • Based on estimates for the next years, RADA will show a quite strong growth in Revenue. The Revenue will grow by 19.12% on average per year.
EPS Next Y-60.22%
EPS Next 2Y17.49%
EPS Next 3Y22.45%
EPS Next 5Y59.64%
Revenue Next Year-2.12%
Revenue Next 2Y18.73%
Revenue Next 3Y20.18%
Revenue Next 5Y19.12%

3.3 Evolution

  • The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
  • Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
RADA Yearly Revenue VS EstimatesRADA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 50M 100M 150M 200M 250M
RADA Yearly EPS VS EstimatesRADA Yearly EPS VS EstimatesYearly EPS VS Estimates 2018 2019 2020 2021 2022 2023 2024 2025 2026 0 1 2 3 4 5

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Find the best growth stocksShow best growing peers

1

4. RADA Valuation Analysis

4.1 Price/Earnings Ratio

  • RADA is valuated quite expensively with a Price/Earnings ratio of 82.25.
  • RADA's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 26.25.
  • The Price/Forward Earnings ratio is 14.30, which indicates a correct valuation of RADA.
  • The average S&P500 Price/Forward Earnings ratio is at 24.39. RADA is valued slightly cheaper when compared to this.
Industry RankSector Rank
PE 82.25
Fwd PE 14.3
RADA Price Earnings VS Forward Price EarningsRADA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60 80

4.2 Price Multiples

Industry RankSector Rank
P/FCF N/A
EV/EBITDA 35.99
RADA Per share dataRADA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 1 2 3

4.3 Compensation for Growth

  • A more expensive valuation may be justified as RADA's earnings are expected to grow with 22.45% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y17.49%
EPS Next 3Y22.45%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. RADA Dividend Analysis

5.1 Amount

  • No dividends for RADA!.
Industry RankSector Rank
Dividend Yield N/A

More info and screens

Find the best dividend stocksShow peers with best dividend

RADA Fundamentals: All Metrics, Ratios and Statistics

RADA ELECTRONIC INDS LTD

NASDAQ:RADA (11/25/2022, 8:24:24 PM)

After market: 10 +0.13 (+1.32%)

9.87

-0.04 (-0.4%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)08-17
Earnings (Next)12-13
Inst Owners0%
Inst Owner Change-99.62%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap490.80M
Revenue(TTM)109.33M
Net Income(TTM)5.78M
Analysts85
Price Target14.28 (44.68%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield N/A
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-174.76%
Min EPS beat(2)-241.18%
Max EPS beat(2)-108.34%
EPS beat(4)1
Avg EPS beat(4)-89.36%
Min EPS beat(4)-241.18%
Max EPS beat(4)12.04%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-25.36%
Min Revenue beat(2)-28.33%
Max Revenue beat(2)-22.38%
Revenue beat(4)0
Avg Revenue beat(4)-13.98%
Min Revenue beat(4)-28.33%
Max Revenue beat(4)-1.47%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-7.89%
PT rev (3m)N/A
EPS NQ rev (1m)-42.31%
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)N/A
Revenue NQ rev (1m)5.12%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)N/A
Valuation
Industry RankSector Rank
PE 82.25
Fwd PE 14.3
P/S 4.49
P/FCF N/A
P/OCF N/A
P/B 3.21
P/tB 3.21
EV/EBITDA 35.99
EPS(TTM)0.12
EY1.22%
EPS(NY)0.69
Fwd EY6.99%
FCF(TTM)N/A
FCFYN/A
OCF(TTM)N/A
OCFYN/A
SpS2.2
BVpS3.07
TBVpS3.07
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
Industry RankSector Rank
ROA 2.94%
ROE 3.78%
ROCE N/A
ROIC 4.01%
ROICexc 6.04%
ROICexgc 6.04%
OM 7.71%
PM (TTM) 5.29%
GM N/A
FCFM N/A
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
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 3Y216.41%
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y212.2%
OM growth 5YN/A
PM growth 3Y234.62%
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
F-Score4
Asset Turnover0.56
Health
Industry RankSector Rank
Debt/Equity 0
Debt/FCF N/A
Debt/EBITDA N/A
Cap/Depr N/A
Cap/Sales N/A
Interest Coverage N/A
Cash Conversion N/A
Profit Quality N/A
Current Ratio 5
Quick Ratio 2.88
Altman-Z 7.78
F-Score4
WACC8.73%
ROIC/WACC0.46
Cap/Depr(3y)252.56%
Cap/Depr(5y)237.41%
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-69.23%
EPS 3Y372.55%
EPS 5YN/A
EPS Q2Q%-145%
EPS Next Y-60.22%
EPS Next 2Y17.49%
EPS Next 3Y22.45%
EPS Next 5Y59.64%
Revenue 1Y (TTM)12.58%
Revenue growth 3Y61.12%
Revenue growth 5Y55.68%
Sales Q2Q%-18.38%
Revenue Next Year-2.12%
Revenue Next 2Y18.73%
Revenue Next 3Y20.18%
Revenue Next 5Y19.12%
EBIT growth 1Y-34.52%
EBIT growth 3Y403.01%
EBIT growth 5YN/A
EBIT Next Year-6.8%
EBIT Next 3Y39.06%
EBIT Next 5Y39.77%
FCF growth 1Y-685.9%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-220.8%
OCF growth 3YN/A
OCF growth 5YN/A

RADA ELECTRONIC INDS LTD / RADA FAQ

What is the ChartMill fundamental rating of RADA ELECTRONIC INDS LTD (RADA) stock?

ChartMill assigns a fundamental rating of 5 / 10 to RADA.


What is the valuation status for RADA stock?

ChartMill assigns a valuation rating of 1 / 10 to RADA ELECTRONIC INDS LTD (RADA). This can be considered as Overvalued.


What is the profitability of RADA stock?

RADA ELECTRONIC INDS LTD (RADA) has a profitability rating of 4 / 10.


How financially healthy is RADA ELECTRONIC INDS LTD?

The financial health rating of RADA ELECTRONIC INDS LTD (RADA) is 9 / 10.


Can you provide the expected EPS growth for RADA stock?

The Earnings per Share (EPS) of RADA ELECTRONIC INDS LTD (RADA) is expected to decline by -60.22% in the next year.