SUPERCOM LTD (SPCB)

IL0010830961 - Common Stock

0.178  -0.01 (-4.04%)

Premarket: 0.1711 -0.01 (-3.88%)

Fundamental Rating

3

We assign a fundamental rating of 3 out of 10 to SPCB. SPCB was compared to 128 industry peers in the Electronic Equipment, Instruments & Components industry. SPCB may be in some trouble as it scores bad on both profitability and health. SPCB may be a bit undervalued, certainly considering the very reasonable score on growth



1

1. Profitability

1.1 Basic Checks

SPCB had positive earnings in the past year.
SPCB had negative earnings in each of the past 5 years.
In the past 5 years SPCB always reported negative operating cash flow.

1.2 Ratios

With a Return On Assets value of -18.29%, SPCB is not doing good in the industry: 76.19% of the companies in the same industry are doing better.
SPCB's Return On Equity of -214.99% is on the low side compared to the rest of the industry. SPCB is outperformed by 95.24% of its industry peers.
Industry RankSector Rank
ROA -18.29%
ROE -214.99%
ROIC N/A
ROA(3y)-20.44%
ROA(5y)-25.12%
ROE(3y)-209.76%
ROE(5y)-169.59%
ROIC(3y)N/A
ROIC(5y)N/A

1.3 Margins

SPCB's Gross Margin of 36.20% is fine compared to the rest of the industry. SPCB outperforms 67.46% of its industry peers.
SPCB's Gross Margin has been stable in the last couple of years.
SPCB does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
Industry RankSector Rank
OM N/A
PM (TTM) N/A
GM 36.2%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.06%
GM growth 5Y-1.38%

3

2. Health

2.1 Basic Checks

SPCB does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for SPCB has been increased compared to 1 year ago.
Compared to 5 years ago, SPCB has more shares outstanding
The debt/assets ratio for SPCB is higher compared to a year ago.

2.2 Solvency

Based on the Altman-Z score of -3.03, we must say that SPCB is in the distress zone and has some risk of bankruptcy.
With a Altman-Z score value of -3.03, SPCB is not doing good in the industry: 85.71% of the companies in the same industry are doing better.
SPCB has a Debt/Equity ratio of 9.76. This is a high value indicating a heavy dependency on external financing.
SPCB's Debt to Equity ratio of 9.76 is on the low side compared to the rest of the industry. SPCB is outperformed by 97.62% of its industry peers.
Industry RankSector Rank
Debt/Equity 9.76
Debt/FCF N/A
Altman-Z -3.03
ROIC/WACCN/A
WACC4.52%

2.3 Liquidity

SPCB has a Current Ratio of 7.14. This indicates that SPCB is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of SPCB (7.14) is better than 86.51% of its industry peers.
A Quick Ratio of 6.26 indicates that SPCB has no problem at all paying its short term obligations.
SPCB's Quick ratio of 6.26 is amongst the best of the industry. SPCB outperforms 87.30% of its industry peers.
Industry RankSector Rank
Current Ratio 7.14
Quick Ratio 6.26

6

3. Growth

3.1 Past

The Earnings Per Share has grown by an impressive 113.51% over the past year.
SPCB shows a strong growth in Revenue. In the last year, the Revenue has grown by 43.85%.
Measured over the past years, SPCB shows a very negative growth in Revenue. The Revenue has been decreasing by -11.90% on average per year.
EPS 1Y (TTM)113.51%
EPS 3YN/A
EPS 5YN/A
EPS growth Q2Q240%
Revenue 1Y (TTM)43.85%
Revenue growth 3Y2.31%
Revenue growth 5Y-11.9%
Revenue growth Q2Q338.63%

3.2 Future

SPCB is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 44.29% yearly.
Based on estimates for the next years, SPCB will show a very strong growth in Revenue. The Revenue will grow by 20.34% on average per year.
EPS Next Y118.03%
EPS Next 2Y44.29%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year54.39%
Revenue Next 2Y20.91%
Revenue Next 3Y20.34%
Revenue Next 5YN/A

3.3 Evolution

The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.

7

4. Valuation

4.1 Price/Earnings Ratio

SPCB is valuated cheaply with a Price/Earnings ratio of 0.51.
100.00% of the companies in the same industry are more expensive than SPCB, based on the Price/Earnings ratio.
SPCB is valuated cheaply when we compare the Price/Earnings ratio to 26.42, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 3.49 indicates a rather cheap valuation of SPCB.
Based on the Price/Forward Earnings ratio, SPCB is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
SPCB's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.74.
Industry RankSector Rank
PE 0.51
Fwd PE 3.49

4.2 Price Multiples

Industry RankSector Rank
P/FCF N/A
EV/EBITDA N/A

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.
A more expensive valuation may be justified as SPCB's earnings are expected to grow with 44.29% in the coming years.
PEG (NY)0
PEG (5Y)N/A
EPS Next 2Y44.29%
EPS Next 3YN/A

0

5. Dividend

5.1 Amount

SPCB does not give a dividend.
Industry RankSector Rank
Dividend Yield N/A

SUPERCOM LTD

NASDAQ:SPCB (3/27/2024, 8:00:03 PM)

Premarket: 0.1711 -0.01 (-3.88%)

0.178

-0.01 (-4.04%)

Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap1.65M
Analysts
Price Target
Dividend
Industry RankSector 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)
Max EPS beat(4)
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)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
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 RankSector Rank
PE 0.51
Fwd PE 3.49
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
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA -18.29%
ROE -214.99%
ROCE
ROIC
ROICexc
ROICexgc
OM N/A
PM (TTM) N/A
GM 36.2%
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 Turnover0.43
Health
Industry RankSector Rank
Debt/Equity 9.76
Debt/FCF
Debt/EBITDA
Cap/Depr
Cap/Sales
Interest Coverage
Cash Conversion
Profit Quality
Current Ratio 7.14
Quick Ratio 6.26
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)
Growth
EPS 1Y (TTM)113.51%
EPS 3YN/A
EPS 5Y
EPS growth Q2Q
EPS Next Y118.03%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)43.85%
Revenue growth 3Y2.31%
Revenue growth 5Y
Revenue growth 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