DB:GSA

Stock Analysis Report

Gilat Satellite Networks

Executive Summary

Gilat Satellite Networks Ltd., together with its subsidiaries, provides satellite-based broadband communication solutions and services in Israel, Latin America, Asia, the Asia Pacific, North America, Africa, Europe, and CIS countries.

Snowflake

Flawless balance sheet with acceptable track record.


Similar Companies

Share Price & News

How has Gilat Satellite Networks's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: GSA has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

11.2%

GSA

0.7%

DE Communications

-0.3%

DE Market


1 Year Return

-11.1%

GSA

9.6%

DE Communications

10.9%

DE Market

Return vs Industry: GSA underperformed the German Communications industry which returned 9.6% over the past year.

Return vs Market: GSA underperformed the German Market which returned 10.9% over the past year.


Shareholder returns

GSAIndustryMarket
7 Day11.2%0.7%-0.3%
30 Day4.2%8.7%2.6%
90 Day0.1%18.5%11.8%
1 Year-6.4%-11.1%10.3%9.6%14.4%10.9%
3 Year78.3%69.3%9.3%8.4%24.1%13.2%
5 Year118.6%91.8%62.4%59.4%33.0%14.8%

Price Volatility Vs. Market

How volatile is Gilat Satellite Networks's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Gilat Satellite Networks undervalued compared to its fair value and its price relative to the market?

25.64x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: GSA (€7.45) is trading above our estimate of fair value (€4.46)

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


Price To Earnings Ratio

PE vs Industry: GSA is poor value based on its PE Ratio (25.6x) compared to the Communications industry average (18.6x).

PE vs Market: GSA is poor value based on its PE Ratio (25.6x) compared to the German market (19.9x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: GSA is good value based on its PB Ratio (2x) compared to the DE Communications industry average (2.4x).


Next Steps

Future Growth

How is Gilat Satellite Networks forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

45.0%

Forecasted Tech industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Gilat Satellite Networks has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Gilat Satellite Networks performed over the past 5 years?

57.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: GSA has high quality earnings.

Growing Profit Margin: GSA's current net profit margins (7%) are higher than last year (5.9%).


Past Earnings Growth Analysis

Earnings Trend: GSA has become profitable over the past 5 years, growing earnings by 57.3% per year.

Accelerating Growth: GSA's earnings growth over the past year (7.8%) is below its 5-year average (57.3% per year).

Earnings vs Industry: GSA earnings growth over the past year (7.8%) underperformed the Communications industry 21.6%.


Return on Equity

High ROE: GSA's Return on Equity (7.8%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Gilat Satellite Networks's financial position?


Financial Position Analysis

Short Term Liabilities: GSA's short term assets ($203.1M) exceeds its short term liabilities ($116.0M)

Long Term Liabilities: GSA's short term assets ($203.1M) exceeds its long term liabilities (14.2M)


Debt to Equity History and Analysis

Debt Level: GSA's debt to equity ratio (3.6%) is considered satisfactory.

Reducing Debt: GSA's debt to equity ratio has reduced from 20.1% to 3.6% over the past 5 years.

Debt Coverage: GSA's debt is well covered by operating cash flow (228.4%).

Interest Coverage: GSA earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: GSA has a high level of physical assets or inventory.

Debt Coverage by Assets: GSA's debt is covered by short term assets (assets are 24.8x debt).


Next Steps

Dividend

What is Gilat Satellite Networks's current dividend yield, its reliability and sustainability?

5.45%

Current Dividend Yield


Dividend Yield vs Market

company5.4%marketbottom25%1.4%markettop25%3.7%industryaverage3.3%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: GSA's dividend (5.45%) is higher than the bottom 25% of dividend payers in the German market (1.4%).

High Dividend: GSA's dividend (5.45%) is in the top 25% of dividend payers in the German market (3.73%)


Stability and Growth of Payments

Stable Dividend: Too early to tell whether GSA's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if GSA's dividend payments are increasing as they only just started paying a dividend.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (139.7%), GSA's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

What is the CEO of Gilat Satellite Networks's salary, the management and board of directors tenure and is there insider trading?

3.8yrs

Average management tenure


CEO

Yona Ovadia (60yo)

3.7yrs

Tenure

US$920,176

Compensation

Mr. Yona Ovadia has been Chief Executive Officer of Gilat Satellite Networks Ltd. since March 31, 2016 and served as its Vice President of Services and Commercial Divisions since October 2015 until March 3 ...


CEO Compensation Analysis

Compensation vs Market: Yona's total compensation ($USD920.18K) is about average for companies of similar size in the German market ($USD807.88K).

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


Management Age and Tenure

3.8yrs

Average Tenure

55yo

Average Age

Experienced Management: GSA's management team is considered experienced (3.8 years average tenure).


Board Age and Tenure

4.9yrs

Average Tenure

57yo

Average Age

Experienced Board: GSA's board of directors are considered experienced (4.9 years average tenure).


Insider Trading

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.


Management Team

  • Yossi Gal (58yo)

    Vice President of Sales Operations & Information Technologies

    • Tenure: 8.6yrs
  • Alik Shimelmits (57yo)

    Chief Technology & Product Officer

    • Tenure: 0.08yrs
    • Compensation: US$375.47k
  • Yuval Shani (53yo)

    Chief Operating Officer

    • Tenure: 2.3yrs
    • Compensation: US$472.11k
  • Adi Sfadia (49yo)

    Chief Financial Officer

    • Tenure: 4yrs
    • Compensation: US$437.62k
  • Nirit Barnea (51yo)

    Vice President of Human Resources

    • Tenure: 4.4yrs
  • Yael Shofar

    General Counsel & Corporate Secretary

    • Tenure: 0yrs
  • Yona Ovadia (60yo)

    Chief Executive Officer

    • Tenure: 3.7yrs
    • Compensation: US$920.18k

Board Members

  • Dov Baharav (69yo)

    Chairman of the Board

    • Tenure: 5.5yrs
    • Compensation: US$485.65k
  • Homi Shamir (68yo)

    Independent Director

    • Tenure: 3.5yrs
  • Ishay Davidi (57yo)

    Director

    • Tenure: 6.9yrs
  • Dafna Sharir (51yo)

    Independent Director

    • Tenure: 3.5yrs
  • Ami Boehm (48yo)

    Independent Director

    • Tenure: 6.9yrs
  • Dafna Cohen (49yo)

    External Independent Director

    • Tenure: 4.9yrs
  • Elyezer Shkedy (62yo)

    External Director

    • Tenure: 2.4yrs
  • Amir Ofek (43yo)

    Independent Director

    • Tenure: 4.9yrs
  • Lonny Rafaeli (65yo)

    Independent Director

    • Tenure: 3.5yrs

Company Information

Gilat Satellite Networks Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Gilat Satellite Networks Ltd.
  • Ticker: GSA
  • Exchange: DB
  • Founded: 1987
  • Industry: Communications Equipment
  • Sector: Tech
  • Market Cap: US$457.945m
  • Listing Market Cap: US$413.799m
  • Shares outstanding: 55.44m
  • Website: https://www.gilat.com

Number of Employees


Location

  • Gilat Satellite Networks Ltd.
  • Gilat House
  • 21 Yegia Kapayim Street
  • Petah Tikva
  • 4913020
  • Israel

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
GILTNasdaqGS (Nasdaq Global Select)YesOrdinary SharesUSUSDMar 1993
GILTTASE (The Tel-Aviv Stock Exchange)YesOrdinary SharesILILSMar 1993
GSADB (Deutsche Boerse AG)YesOrdinary SharesDEEURMar 1993

Biography

Gilat Satellite Networks Ltd., together with its subsidiaries, provides satellite-based broadband communication solutions and services in Israel, Latin America, Asia, the Asia Pacific, North America, Afric ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/22 21:19
End of Day Share Price2019/11/22 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


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.