DB:DP3

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Executive Summary

DSP Group, Inc., a fabless semiconductor company, provides wireless, audio, voice, and AI chipsets for smart-enabled devices.


Snowflake Analysis

Flawless balance sheet with concerning outlook.


Similar Companies

Share Price & News

How has DSP Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: DP3's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-2.9%

DP3

3.3%

DE Semiconductor

1.6%

DE Market


1 Year Return

10.6%

DP3

31.1%

DE Semiconductor

2.5%

DE Market

Return vs Industry: DP3 underperformed the German Semiconductor industry which returned 31.1% over the past year.

Return vs Market: DP3 exceeded the German Market which returned 2.5% over the past year.


Shareholder returns

DP3IndustryMarket
7 Day-2.9%3.3%1.6%
30 Day-13.9%-0.3%-1.4%
90 Day5.4%29.5%16.4%
1 Year10.6%10.6%32.7%31.1%4.8%2.5%
3 Year27.3%27.3%14.6%10.2%1.2%-7.1%
5 Year62.7%62.7%73.9%64.8%9.4%-5.2%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is DSP Group undervalued compared to its fair value and its price relative to the market?

2.43x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: DP3 (€13.6) is trading above our estimate of fair value (€13.31)

Significantly Below Fair Value: DP3 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: DP3 is unprofitable, so we can't compare its PE Ratio to the Semiconductor industry average.

PE vs Market: DP3 is unprofitable, so we can't compare its PE Ratio to the German market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate DP3's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: DP3 is overvalued based on its PB Ratio (2.4x) compared to the DE Semiconductor industry average (2.3x).


Next Steps

Future Growth

How is DSP Group forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

118.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: DP3 is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: DP3 is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: DP3 is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: DP3's revenue (8.3% per year) is forecast to grow faster than the German market (5.9% per year).

High Growth Revenue: DP3's revenue (8.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if DP3's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has DSP Group performed over the past 5 years?

-50.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: DP3 is currently unprofitable.

Growing Profit Margin: DP3 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: DP3 is unprofitable, and losses have increased over the past 5 years at a rate of -50.2% per year.

Accelerating Growth: Unable to compare DP3's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: DP3 is unprofitable, making it difficult to compare its past year earnings growth to the Semiconductor industry (-6.5%).


Return on Equity

High ROE: DP3 has a negative Return on Equity (-1.73%), as it is currently unprofitable.


Next Steps

Financial Health

How is DSP Group's financial position?


Financial Position Analysis

Short Term Liabilities: DP3's short term assets ($101.8M) exceed its short term liabilities ($24.8M).

Long Term Liabilities: DP3's short term assets ($101.8M) exceed its long term liabilities ($26.3M).


Debt to Equity History and Analysis

Debt Level: DP3 is debt free.

Reducing Debt: DP3 has not had any debt for past 5 years.

Debt Coverage: DP3 has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: DP3 has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is DSP Group current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate DP3's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate DP3's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if DP3's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if DP3'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 DP3'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?

9.3yrs

Average management tenure


CEO

Ofer Elyakim (50yo)

11yrs

Tenure

US$1,888,477

Compensation

Mr. Ofer Elyakim has been the Chief Executive Officer at DSP Group Inc. since July 2009. Mr. Elyakim served as President of South East Asia Operations and Senior Vice President at DSP Group Inc. from May 1 ...


CEO Compensation Analysis

Compensation vs Market: Ofer's total compensation ($USD1.89M) is above average for companies of similar size in the German market ($USD1.06M).

Compensation vs Earnings: Ofer's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
Ofer Elyakim
CEO & Director11yrsUS$1.89m2.15% $6.9m
Dror Levy
CFO & Secretary14yrsUS$891.75k0.16% $526.7k
Dima Friedman
Corporate Vice President of Operationsno datano datano data
Lior Blanka
CTO & Corporate VP10yrsUS$410.61kno data
Tali Chen
Corporate VP & Chief Marketing Officerno datano datano data
Alex Sin
Corporate Vice President of Salesno datano datano data
Naama Luquer-Hareli
Corporate Vice President of Human Resources2.5yrsno datano data
Eric Stauffer
Chief Revenue Officer1.67yrsno datano data
Ran Klier
Corporate Vice President of Sales8.5yrsno datano data

9.3yrs

Average Tenure

50yo

Average Age

Experienced Management: DP3's management team is seasoned and experienced (9.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Ofer Elyakim
CEO & Director11yrsUS$1.89m2.15% $6.9m
Kenneth Traub
Independent Chairman of the Board3.17yrsUS$169.34k0.23% $730.3k
Yair Seroussi
Independent Director18.42yrsUS$146.34k0.11% $341.4k
Thomas Lacey
Independent Director8.17yrsUS$154.34k0.40% $1.3m
Norman Taffe
Independent Director7.17yrsUS$145.84k0.13% $418.8k
Gabi Seligsohn
Independent Director7.17yrsUS$142.34k0.089% $286.1k
Cynthia Paul
Independent Director2.25yrsUS$143.34k0.050% $161.8k

7.2yrs

Average Tenure

56yo

Average Age

Experienced Board: DP3's board of directors are considered experienced (7.2 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: DP3 insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 2.2%.


Top Shareholders

Company Information

DSP Group, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: DSP Group, Inc.
  • Ticker: DP3
  • Exchange: DB
  • Founded: 1987
  • Industry: Semiconductors
  • Sector: Semiconductors
  • Market Cap: US$362.274m
  • Listing Market Cap: US$320.612m
  • Shares outstanding: 23.21m
  • Website: https://www.dspg.com

Number of Employees


Location

  • DSP Group, Inc.
  • 2055 Gateway Place
  • Suite 480
  • San Jose
  • California
  • 95110
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
DSPGNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDFeb 1994
DP3DB (Deutsche Boerse AG)YesCommon StockDEEURFeb 1994

Biography

DSP Group, Inc., a fabless semiconductor company, provides wireless, audio, voice, and AI chipsets for smart-enabled devices. It operates through three segments: Home, Unified Communications, and SmartVoice. The Home segment offers wireless chipset solutions for converged communication at home, including integrated circuits for cordless phones, home gateway devices, integrated circuits addressing home automation applications, and fixed-mobile convergence solutions. The Unified Communications segment offers solution for unified communications products, including office solutions that offer businesses of all sizes VoIP terminals with converged voice and data applications. The SmartVoice segment offers products for the SmartVoice market that provide voice activation and recognition, voice enhancement, always-on and far-end noise elimination that target mobile phones, mobile hearables and headsets, and other devices that incorporate the company’s noise suppression and voice quality enhancement HDClear technology. The company markets and distributes its products through direct sales and marketing offices; and a network of global distributors to original equipment manufacturers and original design manufacturers. It has operations in the United States, Europe, Israel, Hong Kong, China, Japan, South Korea, Taiwan, India, and internationally. DSP Group, Inc. was incorporated in 1987 and is headquartered in San Jose, California. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/07/09 21:37
End of Day Share Price2020/07/09 00:00
Earnings2020/03/31
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.