SIERRA WIRELESS INC (SWIR) Fundamental Analysis & Valuation

NASDAQ:SWIR • CA8265161064

30.99 USD
+0.01 (+0.03%)
At close: Jan 12, 2023
30.99 USD
0 (0%)
After Hours: 1/12/2023, 8:00:01 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Forecast Earnings Financials Ownership News

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

Fundamental Rating

3

We assign a fundamental rating of 3 out of 10 to SWIR. SWIR was compared to 48 industry peers in the Communications Equipment industry. SWIR may be in some trouble as it scores bad on both profitability and health. SWIR is valied quite expensively at the moment, while it does show a decent growth rate.


Dividend Valuation Growth Profitability Health

1

1. SWIR Profitability Analysis

1.1 Basic Checks

  • SWIR had positive earnings in the past year.
  • SWIR had a negative operating cash flow in the past year.
SWIR Yearly Net Income VS EBIT VS OCF VS FCFSWIR Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 0 -50M

1.2 Ratios

  • SWIR has negative profitability rations, so we won't be analyzing them here.
  • The Return On Invested Capital of SWIR (3.80%) is better than 64.52% of its industry peers.
Industry RankSector Rank
ROA N/A
ROE N/A
ROIC 3.8%
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
SWIR Yearly ROA, ROE, ROICSWIR Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 0 -10 -20 -30

1.3 Margins

  • SWIR's Operating Margin of 2.82% is in line compared to the rest of the industry. SWIR outperforms 59.68% of its industry peers.
  • SWIR's Gross Margin of 33.03% is on the low side compared to the rest of the industry. SWIR is outperformed by 70.97% of its industry peers.
  • SWIR's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 2.82%
PM (TTM) N/A
GM 33.03%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.21%
GM growth 5Y-1.28%
SWIR Yearly Profit, Operating, Gross MarginsSWIR Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 0 10 -10 20 30

More info and screens

ROAROEROICOperating and Profit MarginShow most profitable peers

3

2. SWIR Health Analysis

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so SWIR is destroying value.
  • Compared to 1 year ago, SWIR has more shares outstanding
  • SWIR has a worse debt/assets ratio than last year.
SWIR Yearly Shares OutstandingSWIR Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 10M 20M 30M
SWIR Yearly Total Debt VS Total AssetsSWIR Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 200M 400M 600M

2.2 Solvency

  • An Altman-Z score of 3.23 indicates that SWIR is not in any danger for bankruptcy at the moment.
  • The Altman-Z score of SWIR (3.23) is better than 74.19% of its industry peers.
  • SWIR has a Debt/Equity ratio of 0.19. This is a healthy value indicating a solid balance between debt and equity.
  • Looking at the Debt to Equity ratio, with a value of 0.19, SWIR is in line with its industry, outperforming 50.00% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0.19
Debt/FCF N/A
Altman-Z 3.23
ROIC/WACC0.48
WACC8%
SWIR Yearly LT Debt VS Equity VS FCFSWIR Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 0 100M 200M 300M 400M

2.3 Liquidity

  • A Current Ratio of 1.76 indicates that SWIR should not have too much problems paying its short term obligations.
  • SWIR has a Current ratio (1.76) which is comparable to the rest of the industry.
  • A Quick Ratio of 1.28 indicates that SWIR should not have too much problems paying its short term obligations.
  • SWIR's Quick ratio of 1.28 is in line compared to the rest of the industry. SWIR outperforms 50.00% of its industry peers.
Industry RankSector Rank
Current Ratio 1.76
Quick Ratio 1.28
SWIR Yearly Current Assets VS Current LiabilitesSWIR Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 100M 200M 300M

More info and screens

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

5

3. SWIR Growth Analysis

3.1 Past

  • SWIR shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 190.38%, which is quite impressive.
  • SWIR shows a strong growth in Revenue. In the last year, the Revenue has grown by 52.51%.
  • Measured over the past years, SWIR shows a decrease in Revenue. The Revenue has been decreasing by -5.11% on average per year.
EPS 1Y (TTM)190.38%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%144.64%
Revenue 1Y (TTM)52.51%
Revenue growth 3Y-15.83%
Revenue growth 5Y-5.11%
Sales Q2Q%101.4%

3.2 Future

  • The Earnings Per Share is expected to grow by 41.72% on average over the next years. This is a very strong growth
  • The Revenue is expected to grow by 19.94% on average over the next years. This is quite good.
EPS Next Y241.12%
EPS Next 2Y89.84%
EPS Next 3Y55.89%
EPS Next 5Y41.72%
Revenue Next Year52.17%
Revenue Next 2Y25.66%
Revenue Next 3Y23.26%
Revenue Next 5Y19.94%

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.
SWIR Yearly Revenue VS EstimatesSWIR Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M 800M
SWIR Yearly EPS VS EstimatesSWIR Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 1 -1

More info and screens

Find the best growth stocksShow best growing peers

3

4. SWIR Valuation Analysis

4.1 Price/Earnings Ratio

  • With a Price/Earnings ratio of 32.97, SWIR can be considered very expensive at the moment.
  • The rest of the industry has a similar Price/Earnings ratio as SWIR.
  • The average S&P500 Price/Earnings ratio is at 26.15. SWIR is valued slightly more expensive when compared to this.
  • The Price/Forward Earnings ratio is 23.56, which indicates a rather expensive current valuation of SWIR.
  • SWIR's Price/Forward Earnings is on the same level as the industry average.
  • The average S&P500 Price/Forward Earnings ratio is at 24.27. SWIR is around the same levels.
Industry RankSector Rank
PE 32.97
Fwd PE 23.56
SWIR Price Earnings VS Forward Price EarningsSWIR Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • SWIR's Enterprise Value to EBITDA ratio is in line with the industry average.
Industry RankSector Rank
P/FCF N/A
EV/EBITDA 27.16
SWIR Per share dataSWIR EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 5 10 15

4.3 Compensation for Growth

  • SWIR's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • SWIR's earnings are expected to grow with 55.89% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.14
PEG (5Y)N/A
EPS Next 2Y89.84%
EPS Next 3Y55.89%

More info and screens

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

0

5. SWIR Dividend Analysis

5.1 Amount

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

More info and screens

Find the best dividend stocksShow peers with best dividend

SWIR Fundamentals: All Metrics, Ratios and Statistics

SIERRA WIRELESS INC

NASDAQ:SWIR (1/12/2023, 8:00:01 PM)

After market: 30.99 0 (0%)

30.99

+0.01 (+0.03%)

Chartmill FA Rating
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)11-10
Earnings (Next)02-20
Inst OwnersN/A
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap1.21B
Revenue(TTM)676.88M
Net Income(TTM)-21.57M
Analysts52.31
Price Target30.02 (-3.13%)
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)1
Avg EPS beat(2)4.76%
Min EPS beat(2)-41.64%
Max EPS beat(2)51.16%
EPS beat(4)3
Avg EPS beat(4)289.14%
Min EPS beat(4)-41.64%
Max EPS beat(4)1027.45%
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)1
Avg Revenue beat(2)-4.5%
Min Revenue beat(2)-14.03%
Max Revenue beat(2)5.04%
Revenue beat(4)3
Avg Revenue beat(4)6.43%
Min Revenue beat(4)-14.03%
Max Revenue beat(4)18.5%
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)0%
PT rev (3m)N/A
EPS NQ rev (1m)0%
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)N/A
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)N/A
Valuation
Industry RankSector Rank
PE 32.97
Fwd PE 23.56
P/S 1.79
P/FCF N/A
P/OCF N/A
P/B 4.41
P/tB 11.58
EV/EBITDA 27.16
EPS(TTM)0.94
EY3.03%
EPS(NY)1.32
Fwd EY4.24%
FCF(TTM)-1.01
FCFYN/A
OCF(TTM)-0.6
OCFYN/A
SpS17.33
BVpS7.03
TBVpS2.68
PEG (NY)0.14
PEG (5Y)N/A
Graham NumberN/A
Profitability
Industry RankSector Rank
ROA N/A
ROE N/A
ROCE N/A
ROIC 3.8%
ROICexc 5.57%
ROICexgc 14.99%
OM 2.82%
PM (TTM) N/A
GM 33.03%
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 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-0.21%
GM growth 5Y-1.28%
F-Score3
Asset Turnover1.12
Health
Industry RankSector Rank
Debt/Equity 0.19
Debt/FCF N/A
Debt/EBITDA 1.62
Cap/Depr 69.86%
Cap/Sales N/A
Interest Coverage N/A
Cash Conversion N/A
Profit Quality N/A
Current Ratio 1.76
Quick Ratio 1.28
Altman-Z 3.23
F-Score3
WACC8%
ROIC/WACC0.48
Cap/Depr(3y)66.21%
Cap/Depr(5y)60.87%
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)190.38%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%144.64%
EPS Next Y241.12%
EPS Next 2Y89.84%
EPS Next 3Y55.89%
EPS Next 5Y41.72%
Revenue 1Y (TTM)52.51%
Revenue growth 3Y-15.83%
Revenue growth 5Y-5.11%
Sales Q2Q%101.4%
Revenue Next Year52.17%
Revenue Next 2Y25.66%
Revenue Next 3Y23.26%
Revenue Next 5Y19.94%
EBIT growth 1Y125.59%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year293.41%
EBIT Next 3Y99.31%
EBIT Next 5Y102.44%
FCF growth 1Y-14.99%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-59.99%
OCF growth 3YN/A
OCF growth 5YN/A

SIERRA WIRELESS INC / SWIR FAQ

What is the fundamental rating for SWIR stock?

ChartMill assigns a fundamental rating of 4 / 10 to SWIR.


What is the valuation status of SIERRA WIRELESS INC (SWIR) stock?

ChartMill assigns a valuation rating of 3 / 10 to SIERRA WIRELESS INC (SWIR). This can be considered as Overvalued.


Can you provide the profitability details for SIERRA WIRELESS INC?

SIERRA WIRELESS INC (SWIR) has a profitability rating of 1 / 10.


What is the financial health of SIERRA WIRELESS INC (SWIR) stock?

The financial health rating of SIERRA WIRELESS INC (SWIR) is 5 / 10.


What is the expected EPS growth for SIERRA WIRELESS INC (SWIR) stock?

The Earnings per Share (EPS) of SIERRA WIRELESS INC (SWIR) is expected to grow by 241.12% in the next year.