WEAVE COMMUNICATIONS INC (WEAV) Stock Fundamental Analysis
NYSE:WEAV - New York Stock Exchange, Inc. - US94724R1086 - Common Stock - Currency: USD
WEAV gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 281 industry peers in the Software industry. While WEAV seems to be doing ok healthwise, there are quite some concerns on its profitability. WEAV shows excellent growth, but is valued quite expensive already.
1. Profitability
1.1 Basic Checks
In the past year WEAV was profitable.
In the past year WEAV had a positive cash flow from operations.
In the past 5 years WEAV always reported negative net income.
The reported operating cash flow has been mixed in the past 5 years: WEAV reported negative operating cash flow in multiple years.
1.2 Ratios
WEAV has a Return On Assets of -15.00%. This is in the lower half of the industry: WEAV underperforms 65.48% of its industry peers.
WEAV has a Return On Equity of -42.33%. This is in the lower half of the industry: WEAV underperforms 66.19% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -15% | ||
| ROE | -42.33% | ||
| ROIC | N/A |
ROA(3y)-18.1%
ROA(5y)-25.73%
ROE(3y)-47.12%
ROE(5y)-60.2%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Gross Margin of WEAV (71.40%) is comparable to the rest of the industry.
In the last couple of years the Gross Margin of WEAV has grown nicely.
The Profit Margin and Operating Margin are not available for WEAV so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 71.4% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y7.56%
GM growth 5Y3.71%
2. Health
2.1 Basic Checks
WEAV does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, WEAV has more shares outstanding
The number of shares outstanding for WEAV has been increased compared to 5 years ago.
WEAV has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.56 indicates that WEAV is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of WEAV (2.56) is comparable to the rest of the industry.
The Debt to FCF ratio of WEAV is 1.25, which is an excellent value as it means it would take WEAV, only 1.25 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 1.25, WEAV is in the better half of the industry, outperforming 71.53% of the companies in the same industry.
A Debt/Equity ratio of 0.10 indicates that WEAV is not too dependend on debt financing.
WEAV has a Debt to Equity ratio (0.10) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.1 | ||
| Debt/FCF | 1.25 | ||
| Altman-Z | 2.56 |
ROIC/WACCN/A
WACC10.51%
2.3 Liquidity
WEAV has a Current Ratio of 1.58. This is a normal value and indicates that WEAV is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.58, WEAV is in line with its industry, outperforming 47.33% of the companies in the same industry.
A Quick Ratio of 1.58 indicates that WEAV should not have too much problems paying its short term obligations.
WEAV's Quick ratio of 1.58 is in line compared to the rest of the industry. WEAV outperforms 48.04% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.58 | ||
| Quick Ratio | 1.58 |
3. Growth
3.1 Past
WEAV shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 141.67%, which is quite impressive.
Looking at the last year, WEAV shows a quite strong growth in Revenue. The Revenue has grown by 19.85% in the last year.
The Revenue has been growing by 34.92% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)141.67%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%400%
Revenue 1Y (TTM)19.85%
Revenue growth 3Y20.8%
Revenue growth 5Y34.92%
Sales Q2Q%18.55%
3.2 Future
WEAV is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 87.80% yearly.
Based on estimates for the next years, WEAV will show a quite strong growth in Revenue. The Revenue will grow by 14.71% on average per year.
EPS Next Y91.76%
EPS Next 2Y94.79%
EPS Next 3Y87.8%
EPS Next 5YN/A
Revenue Next Year15.54%
Revenue Next 2Y15.47%
Revenue Next 3Y14.71%
Revenue Next 5YN/A
3.3 Evolution
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.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 213.60, WEAV can be considered very expensive at the moment.
WEAV's Price/Earnings ratio is in line with the industry average.
WEAV's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 27.85.
WEAV is valuated quite expensively with a Price/Forward Earnings ratio of 111.39.
WEAV's Price/Forward Earnings is on the same level as the industry average.
WEAV is valuated expensively when we compare the Price/Forward Earnings ratio to 20.77, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 213.6 | ||
| Fwd PE | 111.39 |
4.2 Price Multiples
WEAV's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 77.18 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates WEAV does not grow enough to justify the current Price/Earnings ratio.
WEAV's earnings are expected to grow with 87.80% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.33
PEG (5Y)N/A
EPS Next 2Y94.79%
EPS Next 3Y87.8%
5. Dividend
5.1 Amount
WEAV does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
10.68
+0.08 (+0.75%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners75.11%
Inst Owner Change-0.09%
Ins Owners2.93%
Ins Owner Change-0.1%
Market Cap799.93M
Analysts83.08
Price Target17.05 (59.64%)
Short Float %4.68%
Short Ratio2.93
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)349%
Min EPS beat(2)42.02%
Max EPS beat(2)655.99%
EPS beat(4)4
Avg EPS beat(4)213.78%
Min EPS beat(4)42.02%
Max EPS beat(4)655.99%
EPS beat(8)8
Avg EPS beat(8)134.15%
EPS beat(12)12
Avg EPS beat(12)97.37%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-0.13%
Min Revenue beat(2)-0.23%
Max Revenue beat(2)-0.04%
Revenue beat(4)2
Avg Revenue beat(4)0.66%
Min Revenue beat(4)-0.23%
Max Revenue beat(4)1.9%
Revenue beat(8)6
Avg Revenue beat(8)1.23%
Revenue beat(12)10
Avg Revenue beat(12)1.41%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-4.88%
PT rev (3m)-1.27%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-13.71%
EPS NY rev (1m)1.54%
EPS NY rev (3m)-14.32%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.03%
Revenue NY rev (1m)-0.32%
Revenue NY rev (3m)-0.51%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 213.6 | ||
| Fwd PE | 111.39 | ||
| P/S | 3.92 | ||
| P/FCF | 77.18 | ||
| P/OCF | 56.54 | ||
| P/B | 11.94 | ||
| P/tB | 11.94 | ||
| EV/EBITDA | N/A |
EPS(TTM)0.05
EY0.47%
EPS(NY)0.1
Fwd EY0.9%
FCF(TTM)0.14
FCFY1.3%
OCF(TTM)0.19
OCFY1.77%
SpS2.73
BVpS0.89
TBVpS0.89
PEG (NY)2.33
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -15% | ||
| ROE | -42.33% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 71.4% | ||
| FCFM | 5.07% |
ROA(3y)-18.1%
ROA(5y)-25.73%
ROE(3y)-47.12%
ROE(5y)-60.2%
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 3Y7.56%
GM growth 5Y3.71%
F-Score5
Asset Turnover1.08
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.1 | ||
| Debt/FCF | 1.25 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 32.86% | ||
| Cap/Sales | 1.85% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.58 | ||
| Quick Ratio | 1.58 | ||
| Altman-Z | 2.56 |
F-Score5
WACC10.51%
ROIC/WACCN/A
Cap/Depr(3y)29.25%
Cap/Depr(5y)41.9%
Cap/Sales(3y)2.07%
Cap/Sales(5y)3.9%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)141.67%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%400%
EPS Next Y91.76%
EPS Next 2Y94.79%
EPS Next 3Y87.8%
EPS Next 5YN/A
Revenue 1Y (TTM)19.85%
Revenue growth 3Y20.8%
Revenue growth 5Y34.92%
Sales Q2Q%18.55%
Revenue Next Year15.54%
Revenue Next 2Y15.47%
Revenue Next 3Y14.71%
Revenue Next 5YN/A
EBIT growth 1Y8.58%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year1306.16%
EBIT Next 3Y230.74%
EBIT Next 5YN/A
FCF growth 1Y58.69%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y38.43%
OCF growth 3YN/A
OCF growth 5YN/A