SMITH MICRO SOFTWARE INC (SMSI) Stock Fundamental Analysis
USA - NASDAQ:SMSI - US8321544053 - Common Stock
0.614 USD
-0.03 (-4.12%)
0.6277 USD
+0.01 (+2.23%)
Taking everything into account, SMSI scores 2 out of 10 in our fundamental rating. SMSI was compared to 281 industry peers in the Software industry. While SMSI seems to be doing ok healthwise, there are quite some concerns on its profitability. SMSI is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
SMSI had negative earnings in the past year.
In the past year SMSI has reported a negative cash flow from operations.
In the past 5 years SMSI reported 4 times negative net income.
In the past 5 years SMSI reported 4 times negative operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of -104.79%, SMSI is doing worse than 92.17% of the companies in the same industry.
SMSI has a Return On Equity of -138.31%. This is in the lower half of the industry: SMSI underperforms 79.72% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -104.79% | ||
| ROE | -138.31% | ||
| ROIC | N/A |
ROA(3y)-52.71%
ROA(5y)-35.91%
ROE(3y)-63.39%
ROE(5y)-42.79%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Gross Margin, with a value of 73.41%, SMSI is in the better half of the industry, outperforming 60.85% of the companies in the same industry.
In the last couple of years the Gross Margin of SMSI has declined.
The Profit Margin and Operating Margin are not available for SMSI so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 73.41% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-3.56%
GM growth 5Y-5.05%
2. Health
2.1 Basic Checks
SMSI does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for SMSI has been increased compared to 1 year ago.
SMSI has more shares outstanding than it did 5 years ago.
There is no outstanding debt for SMSI. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
Based on the Altman-Z score of -18.41, we must say that SMSI is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of SMSI (-18.41) is worse than 92.88% of its industry peers.
SMSI 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 | -18.41 |
ROIC/WACCN/A
WACC11.11%
2.3 Liquidity
SMSI has a Current Ratio of 0.93. This is a bad value and indicates that SMSI is not financially healthy enough and could expect problems in meeting its short term obligations.
SMSI has a worse Current ratio (0.93) than 75.80% of its industry peers.
SMSI has a Quick Ratio of 0.93. This is a bad value and indicates that SMSI is not financially healthy enough and could expect problems in meeting its short term obligations.
SMSI has a worse Quick ratio (0.93) than 75.09% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.93 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 38.76% over the past year.
The Revenue for SMSI has decreased by -49.70% in the past year. This is quite bad
The Revenue for SMSI have been decreasing by -13.86% on average. This is quite bad
EPS 1Y (TTM)38.76%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%16.67%
Revenue 1Y (TTM)-49.7%
Revenue growth 3Y-29.4%
Revenue growth 5Y-13.86%
Sales Q2Q%-6.48%
3.2 Future
Based on estimates for the next years, SMSI will show a very strong growth in Earnings Per Share. The EPS will grow by 31.13% on average per year.
SMSI is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 28.29% yearly.
EPS Next Y-22.98%
EPS Next 2Y25.39%
EPS Next 3Y31.13%
EPS Next 5YN/A
Revenue Next Year-8.92%
Revenue Next 2Y15.38%
Revenue Next 3Y28.29%
Revenue Next 5YN/A
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
SMSI reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
Also next year SMSI is expected to report negative earnings again, which makes the also the Forward Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
A more expensive valuation may be justified as SMSI's earnings are expected to grow with 31.13% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y25.39%
EPS Next 3Y31.13%
5. Dividend
5.1 Amount
No dividends for SMSI!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
0.614
-0.03 (-4.12%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners8.17%
Inst Owner Change1.02%
Ins Owners1.08%
Ins Owner Change14.45%
Market Cap13.18M
Revenue(TTM)20.55M
Net Income(TTM)-31.00M
Analysts82.5
Price Target4.08 (564.5%)
Short Float %1.87%
Short Ratio0.52
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)7.88%
Min EPS beat(2)-4.49%
Max EPS beat(2)20.24%
EPS beat(4)3
Avg EPS beat(4)5.71%
Min EPS beat(4)-4.49%
Max EPS beat(4)20.24%
EPS beat(8)4
Avg EPS beat(8)15.69%
EPS beat(12)8
Avg EPS beat(12)16%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-10.25%
Min Revenue beat(2)-13.02%
Max Revenue beat(2)-7.47%
Revenue beat(4)0
Avg Revenue beat(4)-7.53%
Min Revenue beat(4)-13.02%
Max Revenue beat(4)-4.54%
Revenue beat(8)0
Avg Revenue beat(8)-5.27%
Revenue beat(12)0
Avg Revenue beat(12)-4.53%
Revenue beat(16)2
Avg Revenue beat(16)-3.91%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-21.55%
EPS NY rev (1m)0%
EPS NY rev (3m)-75.88%
Revenue NQ rev (1m)-3.16%
Revenue NQ rev (3m)-13.19%
Revenue NY rev (1m)-2.08%
Revenue NY rev (3m)-15.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | 0.71 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 0.59 | ||
| P/tB | 9.62 | ||
| EV/EBITDA | N/A |
EPS(TTM)-0.79
EYN/A
EPS(NY)-0.53
Fwd EYN/A
FCF(TTM)-0.54
FCFYN/A
OCF(TTM)-0.54
OCFYN/A
SpS0.87
BVpS1.04
TBVpS0.06
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -104.79% | ||
| ROE | -138.31% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 73.41% | ||
| FCFM | N/A |
ROA(3y)-52.71%
ROA(5y)-35.91%
ROE(3y)-63.39%
ROE(5y)-42.79%
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 3YN/A
ROICexgc 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-3.56%
GM growth 5Y-5.05%
F-Score4
Asset Turnover0.63
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 0.72% | ||
| Cap/Sales | 0.21% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.93 | ||
| Altman-Z | -18.41 |
F-Score4
WACC11.11%
ROIC/WACCN/A
Cap/Depr(3y)0.34%
Cap/Depr(5y)9.37%
Cap/Sales(3y)0.07%
Cap/Sales(5y)0.84%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)38.76%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%16.67%
EPS Next Y-22.98%
EPS Next 2Y25.39%
EPS Next 3Y31.13%
EPS Next 5YN/A
Revenue 1Y (TTM)-49.7%
Revenue growth 3Y-29.4%
Revenue growth 5Y-13.86%
Sales Q2Q%-6.48%
Revenue Next Year-8.92%
Revenue Next 2Y15.38%
Revenue Next 3Y28.29%
Revenue Next 5YN/A
EBIT growth 1Y4.27%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year62.25%
EBIT Next 3Y33.39%
EBIT Next 5YN/A
FCF growth 1Y22.64%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y23.23%
OCF growth 3YN/A
OCF growth 5YN/A
SMITH MICRO SOFTWARE INC / SMSI FAQ
What is the ChartMill fundamental rating of SMITH MICRO SOFTWARE INC (SMSI) stock?
ChartMill assigns a fundamental rating of 2 / 10 to SMSI.
What is the valuation status of SMITH MICRO SOFTWARE INC (SMSI) stock?
ChartMill assigns a valuation rating of 1 / 10 to SMITH MICRO SOFTWARE INC (SMSI). This can be considered as Overvalued.
How profitable is SMITH MICRO SOFTWARE INC (SMSI) stock?
SMITH MICRO SOFTWARE INC (SMSI) has a profitability rating of 1 / 10.
What is the earnings growth outlook for SMITH MICRO SOFTWARE INC?
The Earnings per Share (EPS) of SMITH MICRO SOFTWARE INC (SMSI) is expected to decline by -22.98% in the next year.