XTRA:DLG

Stock Analysis Report

Executive Summary

Dialog Semiconductor Plc develops and distributes highly integrated, mixed signal integrated circuits (ICs) for personal, portable, hand-held devices, low energy short-range wireless, LED solid-state lighting, and automotive applications worldwide.


Snowflake Analysis

Flawless balance sheet and undervalued.


Similar Companies

Share Price & News

How has Dialog Semiconductor's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: DLG's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

5.9%

DLG

3.6%

DE Semiconductor

2.2%

DE Market


1 Year Return

-15.0%

DLG

-24.4%

DE Semiconductor

-17.2%

DE Market

Return vs Industry: DLG exceeded the German Semiconductor industry which returned -20.3% over the past year.

Return vs Market: DLG exceeded the German Market which returned -17.7% over the past year.


Shareholder returns

DLGIndustryMarket
7 Day5.9%3.6%2.2%
30 Day-20.7%-25.7%-15.7%
90 Day-47.5%-33.4%-24.0%
1 Year-15.0%-15.0%-23.2%-24.4%-14.9%-17.2%
3 Year-48.4%-48.4%-22.6%-25.2%-16.4%-23.3%
5 Year-40.8%-40.8%14.1%8.4%-16.5%-27.8%

Price Volatility Vs. Market

How volatile is Dialog Semiconductor's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Dialog Semiconductor undervalued compared to its fair value and its price relative to the market?

23.4%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: DLG (€24.06) is trading below our estimate of fair value (€32.21)

Significantly Below Fair Value: DLG is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: DLG is good value based on its PE Ratio (6.3x) compared to the Semiconductor industry average (18.8x).

PE vs Market: DLG is good value based on its PE Ratio (6.3x) compared to the German market (16.4x).


Price to Earnings Growth Ratio

PEG Ratio: DLG's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: DLG is good value based on its PB Ratio (1.2x) compared to the DE Semiconductor industry average (1.4x).


Next Steps

Future Growth

How is Dialog Semiconductor forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?

-30.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: DLG's earnings are forecast to decline over the next 3 years (-30.1% per year).

Earnings vs Market: DLG's earnings are forecast to decline over the next 3 years (-30.1% per year).

High Growth Earnings: DLG's earnings are forecast to decline over the next 3 years.

Revenue vs Market: DLG's revenue is expected to decline over the next 3 years (-5.1% per year).

High Growth Revenue: DLG's revenue is forecast to decline over the next 3 years (-5.1% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: DLG's Return on Equity is forecast to be low in 3 years time (9.5%).


Next Steps

Past Performance

How has Dialog Semiconductor performed over the past 5 years?

5.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: DLG has high quality earnings.

Growing Profit Margin: DLG's current net profit margins (19.2%) are higher than last year (9.7%).


Past Earnings Growth Analysis

Earnings Trend: DLG's earnings have grown by 5.2% per year over the past 5 years.

Accelerating Growth: DLG's earnings growth over the past year (115.6%) exceeds its 5-year average (5.2% per year).

Earnings vs Industry: DLG earnings growth over the past year (115.6%) exceeded the Semiconductor industry -30.8%.


Return on Equity

High ROE: DLG's Return on Equity (19.2%) is considered low.


Next Steps

Financial Health

How is Dialog Semiconductor's financial position?


Financial Position Analysis

Short Term Liabilities: DLG's short term assets ($1.3B) exceed its short term liabilities ($373.4M).

Long Term Liabilities: DLG's short term assets ($1.3B) exceed its long term liabilities ($231.0M).


Debt to Equity History and Analysis

Debt Level: DLG is debt free.

Reducing Debt: DLG has no debt compared to 5 years ago when its debt to equity ratio was 28.9%.

Debt Coverage: DLG has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: DLG has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: DLG has a low level of unsold assets or inventory.

Debt Coverage by Assets: DLG's debt is not covered by short term assets (assets are -1.8378725645587E+17x debt).


Next Steps

Dividend

What is Dialog Semiconductor's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate DLG's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate DLG's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if DLG's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if DLG's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of DLG's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

4.3yrs

Average management tenure


CEO

Jalal Bagherli

14.58s

Tenure

US$2,517,223

Compensation

Dr. Jalal Bagherli has been the Chief Executive Officer and Executive Director of Dialog Semiconductor Plc since September 12, 2005. Dr. Bagherli has extensive experience in the semiconductor industry with ...


CEO Compensation Analysis

Compensation vs Market: Jalal's total compensation ($USD2.52M) is above average for companies of similar size in the German market ($USD1.86M).

Compensation vs Earnings: Jalal's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Jalal Bagherli
CEO & Executive Director14.58yrsUS$2.52m0.56% $9.8m
Wissam Jabre
CFO & Senior VP of Finance4.08yrsno datano data
Alexander McCann
Senior Vice President of Global Operations0.92yrno datano data
Jose Cano
Head of Investor Relationsno datano datano data
Colin Sturt
Senior VP & General Counsel4.5yrsno datano data
Mark Tyndall
Senior Vice President of Corporate Development & Strategyno datano datano data
John Teegen
Senior Vice President Worldwide Sales1.25yrsno datano data
Julie Pope
Senior Vice President of Human Resourcesno datano datano data
Sean McGrath
Senior VP and GM of Connectivity & Audio Business Group7.42yrsno datano data
Vivek Bhan
Senior VP & GM of Custom Mixed Signal (CMS) Business Groupno datano datano data

4.3yrs

Average Tenure

Experienced Management: DLG's management team is considered experienced (4.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Jalal Bagherli
CEO & Executive Director14.58yrsUS$2.52m0.56% $9.8m
Richard Beyer
Independent Chairman6.75yrsUS$265.89k0.016% $284.1k
Michael Cannon
Independent Non-Executive Director7.17yrsUS$209.48k0.012% $214.2k
Joanne Curin
Independent Non-executive Director0.75yrno datano data
Nicholas Jeffery
Independent Non-Executive Director3.75yrsUS$202.05k0.0074% $128.5k
Alan Campbell
Independent Non-Executive Director5yrsUS$215.66k0.012% $207.6k
Eamonn Francis O'Hare
Independent Non-Executive Director6.08yrsUS$197.75k0.016% $270.9k
Mary Shio Chan
Independent Non-Executive Director3.33yrsUS$204.18k0.0098% $170.7k

5.5yrs

Average Tenure

61yo

Average Age

Experienced Board: DLG's board of directors are considered experienced (5.5 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Dialog Semiconductor Plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Dialog Semiconductor Plc
  • Ticker: DLG
  • Exchange: XTRA
  • Founded: 1986
  • Industry: Semiconductors
  • Sector: Semiconductors
  • Market Cap: €1.739b
  • Shares outstanding: 70.56m
  • Website: https://www.dialog-semiconductor.com

Number of Employees


Location

  • Dialog Semiconductor Plc
  • 100 Longwater Avenue
  • Green Park
  • Reading
  • Berkshire
  • RG2 6GP
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
DLGDB (Deutsche Boerse AG)YesOrdinary SharesDEEUROct 1999
DLGXTRA (XETRA Trading Platform)YesOrdinary SharesDEEUROct 1999
DLGN.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDOct 1999
0OLNLSE (London Stock Exchange)YesOrdinary SharesGBEUROct 1999
DLGDBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEUROct 1999
DLGWBAG (Wiener Boerse AG)YesOrdinary SharesATEUROct 1999
DLGETLX (Eurotlx)YesOrdinary SharesITEUROct 1999

Biography

Dialog Semiconductor Plc develops and distributes highly integrated, mixed signal integrated circuits (ICs) for personal, portable, hand-held devices, low energy short-range wireless, LED solid-state lighting, and automotive applications worldwide. The company operates through four segments: Mobile Systems, Automotive & Industrial, Connectivity, and Advanced Mixed Signal. It offers power management integrated circuits (PMICs), sub-PMICs, charger ICs, automotive grade PMICs, and audio codecs; and AC/DC rapid charge adapters, converters, power adapters, and embedded networking converters, as well as configurable mixed-signal ICs, and SSL LED and backlight drivers. The company also provides Bluetooth low energy ICs, voice over DECT, and digital audio and audio codec ICs; and motor control ICS and ASIC controllers. It has a partnership with UNISOC to develop the SC2703, an optimized high-performance power management integrated circuit. Dialog Semiconductor Plc was founded in 1986 and is headquartered in Reading, the United Kingdom. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/01 01:50
End of Day Share Price2020/03/31 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.