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Cray

DB:TE4A
Snowflake Description

Flawless balance sheet and slightly overvalued.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
TE4A
DB
$1B
Market Cap
  1. Home
  2. DE
  3. Tech
Company description

Cray Inc., together with its subsidiaries, designs, develops, manufactures, markets, and services computing products for high-performance computing, data analytics, and AI markets. The last earnings update was 72 days ago. More info.


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  • Cray has significant price volatility in the past 3 months.
TE4A Share Price and Events
7 Day Returns
-3%
DB:TE4A
1.3%
DE Tech
0.8%
DE Market
1 Year Returns
16.9%
DB:TE4A
3.3%
DE Tech
-4.5%
DE Market
TE4A Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Cray (TE4A) -3% 6.9% 21.8% 16.9% -31.6% 8.7%
DE Tech 1.3% 7.4% 11.5% 3.3% 70.2% 113.6%
DE Market 0.8% 6.9% 8.1% -4.5% 10.4% 13.9%
1 Year Return vs Industry and Market
  • TE4A outperformed the Tech industry which returned 3.3% over the past year.
  • TE4A outperformed the Market in Germany which returned -4.5% over the past year.
Price Volatility
TE4A
Industry
5yr Volatility vs Market

Value

 Is Cray undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Cray to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Cray.

DB:TE4A Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 3 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 6.4%
Perpetual Growth Rate 10-Year DE Government Bond Rate 0.2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for DB:TE4A
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year DE Govt Bond Rate 0.2%
Equity Risk Premium S&P Global 6%
Tech Unlevered Beta Simply Wall St/ S&P Global 1.05
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.045 (1 + (1- 21%) (0%))
1.03
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.03
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 0.23% + (1.03 * 5.96%)
6.37%

Discounted Cash Flow Calculation for DB:TE4A using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Cray is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

DB:TE4A DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 6.37%)
2019 156.72 Est @ 69.38% 147.34
2020 232.94 Est @ 48.63% 205.88
2021 312.40 Est @ 34.11% 259.57
2022 387.21 Est @ 23.95% 302.47
2023 452.39 Est @ 16.83% 332.22
2024 506.00 Est @ 11.85% 349.33
2025 548.31 Est @ 8.36% 355.88
2026 580.79 Est @ 5.92% 354.39
2027 605.27 Est @ 4.21% 347.21
2028 623.54 Est @ 3.02% 336.27
Present value of next 10 years cash flows $2,990.55
DB:TE4A DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $623.54 × (1 + 0.23%) ÷ (6.37% – 0.23%)
$10,175.77
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $10,175.77 ÷ (1 + 6.37%)10
$5,487.69
DB:TE4A Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $2,990.55 + $5,487.69
$8,478.24
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $8,478.24 / 41.06
$206.47
DB:TE4A Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in DB:TE4A represents 0.90042x of NasdaqGS:CRAY
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.90042x
Value per Share
(Listing Adjusted, EUR)
= Value per Share (USD) x Listing Adjustment Factor
= $ 206.47 x 0.90042
€185.91
Value per share (EUR) From above. €185.91
Current discount Discount to share price of €23.65
= -1 x (€23.65 - €185.91) / €185.91
87.3%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Cray is available for.
Intrinsic value
>50%
Share price is €23.65 vs Future cash flow value of €185.91
Current Discount Checks
For Cray to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Cray's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Cray's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Cray's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Cray's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
DB:TE4A PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in USD $-1.76
NasdaqGS:CRAY Share Price ** NasdaqGS (2019-04-25) in USD $26.26
Europe Tech Industry PE Ratio Median Figure of 22 Publicly-Listed Tech Companies 13.17x
Germany Market PE Ratio Median Figure of 424 Publicly-Listed Companies 20.1x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Cray.

DB:TE4A PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqGS:CRAY Share Price ÷ EPS (both in USD)

= 26.26 ÷ -1.76

-14.9x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Cray is loss making, we can't compare its value to the Europe Tech industry average.
  • Cray is loss making, we can't compare the value of its earnings to the Germany market.
Price based on expected Growth
Does Cray's expected growth come at a high price?
Raw Data
DB:TE4A PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section -14.9x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 3 Analysts
Not available
Europe Tech Industry PEG Ratio Median Figure of 12 Publicly-Listed Tech Companies 0.87x
Germany Market PEG Ratio Median Figure of 268 Publicly-Listed Companies 1.57x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for Cray, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Cray's assets?
Raw Data
DB:TE4A PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in USD $8.40
NasdaqGS:CRAY Share Price * NasdaqGS (2019-04-25) in USD $26.26
Europe Tech Industry PB Ratio Median Figure of 30 Publicly-Listed Tech Companies 1.28x
Germany Market PB Ratio Median Figure of 574 Publicly-Listed Companies 1.87x
DB:TE4A PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqGS:CRAY Share Price ÷ Book Value per Share (both in USD)

= 26.26 ÷ 8.40

3.12x

* Primary Listing of Cray.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Cray is overvalued based on assets compared to the Europe Tech industry average.
X
Value checks
We assess Cray's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Tech industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Tech industry average (and greater than 0)? (1 check)
  5. Cray has a total score of 2/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Cray expected to perform in the next 1 to 3 years based on estimates from 3 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
8.1%
Expected annual growth in revenue.
Earnings growth vs Low Risk Savings
Is Cray expected to grow at an attractive rate?
  • Unable to compare Cray's earnings growth to the low risk savings rate as no estimate data is available.
Growth vs Market Checks
  • Unable to compare Cray's earnings growth to the Germany market average as no estimate data is available.
  • Cray's revenue growth is expected to exceed the Germany market average.
Annual Growth Rates Comparison
Raw Data
DB:TE4A Future Growth Rates Data Sources
Data Point Source Value (per year)
DB:TE4A Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 3 Analysts 8.1%
Europe Tech Industry Earnings Growth Rate Market Cap Weighted Average 14.7%
Europe Tech Industry Revenue Growth Rate Market Cap Weighted Average 7.9%
Germany Market Earnings Growth Rate Market Cap Weighted Average 11.8%
Germany Market Revenue Growth Rate Market Cap Weighted Average 4.8%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
DB:TE4A Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 3 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
DB:TE4A Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2020-12-31 536 3
2019-12-31 477 3
DB:TE4A Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-12-31 456 102 -72
2018-09-30 459 6 -156
2018-06-30 446 -115 -144
2018-03-31 413 -144 -140
2017-12-31 393 -73 -134
2017-09-30 572 42 15
2017-06-30 570 50 3
2017-03-31 583 -16 -4
2016-12-31 630 -52 11
2016-09-30 551 -54 -21
2016-06-30 665 126 13
2016-03-31 751 179 32

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Unable to determine if Cray is high growth as no earnings estimate data is available.
  • Cray's revenue is expected to grow by 8.1% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
DB:TE4A Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 3 Analyst Estimates (S&P Global) See Below

All data from Cray Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:TE4A Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2020-12-31
2019-12-31
DB:TE4A Past Financials Data
Date (Data in USD Millions) EPS *
2018-12-31 -1.76
2018-09-30 -3.85
2018-06-30 -3.56
2018-03-31 -3.47
2017-12-31 -3.33
2017-09-30 0.39
2017-06-30 0.07
2017-03-31 -0.09
2016-12-31 0.27
2016-09-30 -0.53
2016-06-30 0.33
2016-03-31 0.81

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Cray will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Cray's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Europe market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Europe market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Cray has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Cray performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Cray's growth in the last year to its industry (Tech).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Cray does not make a profit and their year on year earnings growth rate was negative over the past 5 years.
  • Unable to compare Cray's 1-year earnings growth to the 5-year average as it is not currently profitable.
  • Unable to compare Cray's 1-year growth to the Europe Tech industry average as it is not currently profitable.
Earnings and Revenue History
Cray's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Cray Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:TE4A Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 455.95 -71.68 86.68 115.17
2018-09-30 459.24 -155.89 80.84 107.62
2018-06-30 446.14 -143.73 79.39 108.09
2018-03-31 413.07 -139.62 81.00 96.03
2017-12-31 392.51 -133.83 83.01 98.78
2017-09-30 572.44 15.49 87.05 106.40
2017-06-30 570.19 2.70 89.61 108.86
2017-03-31 583.29 -3.59 91.56 118.93
2016-12-31 629.81 10.62 91.45 112.13
2016-09-30 550.71 -20.87 97.43 111.60
2016-06-30 664.67 13.01 97.32 107.51
2016-03-31 750.59 31.92 92.76 100.22
2015-12-31 724.69 27.54 88.12 96.56
2015-09-30 719.16 81.88 86.18 92.02
2015-06-30 687.15 78.40 83.94 89.53
2015-03-31 586.14 65.87 82.67 93.61
2014-12-31 561.61 62.32 81.17 94.05
2014-09-30 607.03 38.69 81.62 95.29
2014-06-30 501.99 20.30 77.45 94.34
2014-03-31 501.31 26.89 75.51 90.12
2013-12-31 525.75 32.22 74.95 87.73
2013-09-30 407.21 -4.78 68.67 79.93
2013-06-30 388.58 1.10 62.04 73.85
2013-03-31 388.30 148.67 60.61 60.78
2012-12-31 421.06 161.24 57.89 64.30
2012-09-30 323.78 178.24 49.43 52.71
2012-06-30 324.75 171.16 49.54 55.18

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • It is difficult to establish if Cray has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
  • It is difficult to establish if Cray has efficiently used its assets last year compared to the Europe Tech industry average (Return on Assets) as it is loss-making.
  • It is difficult to establish if Cray improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
X
Past performance checks
We assess Cray's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Tech industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Cray has a total score of 0/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Cray's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Cray's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Cray is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Cray's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Cray's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Cray has no debt, it does not need to be covered by short term assets.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Cray Company Filings, last reported 3 months ago.

DB:TE4A Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 343.38 0.00 228.43
2018-09-30 350.25 0.00 166.85
2018-06-30 370.73 0.00 142.16
2018-03-31 378.88 0.00 144.24
2017-12-31 400.30 0.00 144.32
2017-09-30 494.25 0.00 179.81
2017-06-30 502.82 0.00 250.78
2017-03-31 509.17 0.00 283.13
2016-12-31 525.48 0.00 222.96
2016-09-30 478.22 0.00 145.13
2016-06-30 499.61 0.00 222.06
2016-03-31 508.42 0.00 318.84
2015-12-31 492.51 0.00 281.59
2015-09-30 468.32 0.00 204.44
2015-06-30 457.70 0.00 81.48
2015-03-31 452.75 0.00 128.19
2014-12-31 453.85 0.00 128.92
2014-09-30 375.51 0.00 124.61
2014-06-30 358.63 0.00 168.71
2014-03-31 365.59 0.00 237.61
2013-12-31 375.59 0.00 206.68
2013-09-30 322.65 0.00 137.46
2013-06-30 338.28 0.00 240.95
2013-03-31 338.02 0.00 238.09
2012-12-31 340.55 0.00 305.63
2012-09-30 324.24 0.00 258.95
2012-06-30 327.41 0.00 219.46
  • Cray has no debt.
  • Cray has not taken on any debt in the past 5 years.
  • Cray has no debt, it does not need to be covered by operating cash flow.
  • Cray has no debt, therefore coverage of interest payments is not a concern.
X
Financial health checks
We assess Cray's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Cray has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

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

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Cray dividends.
If you bought €2,000 of Cray shares you are expected to receive €0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Cray's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Cray's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
DB:TE4A Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 3 Analyst Estimates (S&P Global) See Below
Europe Tech Industry Average Dividend Yield Market Cap Weighted Average of 12 Stocks 1.4%
Germany Market Average Dividend Yield Market Cap Weighted Average of 326 Stocks 3%
Germany Minimum Threshold Dividend Yield 10th Percentile 0.8%
Germany Bottom 25% Dividend Yield 25th Percentile 1.4%
Germany Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

DB:TE4A Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2020-12-31
2019-12-31

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Cray has not reported any payouts.
  • Unable to verify if Cray's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Cray's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Cray has not reported any payouts.
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Cray's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Cray afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Cray has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

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

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Peter Ungaro
COMPENSATION $3,109,572
AGE 49
TENURE AS CEO 13.7 years
CEO Bio

Mr. Peter J. Ungaro has been the Chief Executive Officer and President of Cray Inc. since August 8, 2005 and March 2005 respectively. Mr. Ungaro served as Senior Vice President for sales, marketing and services of Cray Inc. from September 20, 2004 to March 2005 and from August 2003 until September 2004, he served as Vice President responsible for sales and marketing. Mr. Ungaro served as Vice President, worldwide deep computing sales for IBM from April 2003 to August 2003. He led global sales of all IBM server and storage products for high performance computing, life sciences, digital media and business intelligence markets. Mr. Ungaro coordinated IBM solutions teams that included sales, technical, marketing and product development personnel. Mr. Ungaro served as Vice President, worldwide high performance computing sales of IBM from February 1999 to April 2003 and before then he held a number of other sales leadership positions after joining IBM in 1991. Mr. Ungaro was responsible for creating and implementing IBM's worldwide marketing and sales strategy, expanding opportunities for current and future Cray products, collaborating closely with product development and other technical leaders and continually enhancing the capabilities of Cray's global sales force. Mr. Ungaro has been a Director of Cray Inc. since August 8, 2005. Mr. Ungaro received a B.A. in business administration from Washington State University in 1990.

CEO Compensation
  • Peter's compensation has increased whilst company is loss making.
  • Peter's remuneration is higher than average for companies of similar size in Germany.
Management Team Tenure

Average tenure and age of the Cray management team in years:

4.2
Average Tenure
50
Average Age
  • The tenure for the Cray management team is about average.
Management Team

Peter Ungaro

TITLE
CEO, President & Director
COMPENSATION
$3M
AGE
49
TENURE
13.7 yrs

Brian Henry

TITLE
CFO & Executive VP
COMPENSATION
$1M
AGE
61
TENURE
13.9 yrs

Mike Piraino

TITLE
Senior VP of Administration
COMPENSATION
$970K
AGE
50
TENURE
3.8 yrs

Chuck Morreale

TITLE
Senior Vice President of Field Operations
COMPENSATION
$843K
AGE
56
TENURE
3.8 yrs

Stathis Papaefstathiou

TITLE
Senior Vice President of Research & Development
COMPENSATION
$3M
AGE
50
TENURE
2.3 yrs

Charles Fairchild

TITLE
Chief Accounting Officer
AGE
49
TENURE
8.9 yrs

Steve Scott

TITLE
CTO & Senior VP
COMPENSATION
$824K
AGE
52
TENURE
4.6 yrs

John Josephakis

TITLE
Vice President of Worldwide Sales
TENURE
5.7 yrs

Fred Kohout

TITLE
Chief Marketing Officer & Senior VP
TENURE
3.3 yrs

John Dinning

TITLE
Senior Vice President of Products
AGE
50
TENURE
0.1 yrs
Board of Directors Tenure

Average tenure and age of the Cray board of directors in years:

5.9
Average Tenure
58
Average Age
  • The tenure for the Cray board of directors is about average.
Board of Directors

Stephen Kiely

TITLE
Non-Executive Chairman & Lead Director
COMPENSATION
$218K
AGE
72
TENURE
13.7 yrs

Peter Ungaro

TITLE
CEO, President & Director
COMPENSATION
$3M
AGE
49
TENURE
13.7 yrs

Daniel Regis

TITLE
Independent Director
COMPENSATION
$193K
AGE
78
TENURE
16 yrs

Prith Banerjee

TITLE
Director
COMPENSATION
$171K
AGE
58
TENURE
5.9 yrs

Max Schireson

TITLE
Director
COMPENSATION
$182K
AGE
47
TENURE
4.8 yrs

Sally Narodick

TITLE
Independent Director
COMPENSATION
$176K
AGE
72
TENURE
14.5 yrs

Brian Turner

TITLE
Director
COMPENSATION
$176K
AGE
58
TENURE
3 yrs

Catriona Fallon

TITLE
Director
COMPENSATION
$210K
AGE
47
TENURE
1.3 yrs

Steve Gold

TITLE
Director
AGE
57
TENURE
0.2 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
08. May 18 Sell Stephen Kiely Individual 04. May 18 04. May 18 -4,350 €22.68 €-98,641
X
Management checks
We assess Cray's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Cray has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Company Info

Description

Cray Inc., together with its subsidiaries, designs, develops, manufactures, markets, and services computing products for high-performance computing, data analytics, and AI markets. It operates through Supercomputing, Storage and Data Management, Maintenance and Support, and Engineering Services and Other segments. The company offers a range of supercomputers under the Cray XC50, Cray XC50-AC, Cray CS500, and Cray CS-Storm names; system software suites under the Cray Urika-XC, and Urika-CS Analytics and AI Software names; and storage and data management products under the Cray ClusterStor HPC Storage Systems, Cray View for ClusterStor, and Cray DataWarp Applications Accelerator names. It also provides custom engineering solutions; and customer support services consisting of hardware and software maintenance, applications support, installation project management, system installation and de-installation, site preparation, and technical training for its systems, as well as other services in application consulting, third-party software support, site engineering, on-site analysts for defined projects, and specialized training. Cray Inc. sells its products through direct sales force and a network of resellers to domestic and international governments and government-funded entities, academic institutions, and commercial companies in North America, South America, Asia, Europe, the Middle East, Australia, and Africa. The company was formerly known as Tera Computer Company and changed its name to Cray Inc. in 2000. Cray Inc. was founded in 1972 and is headquartered in Seattle, Washington.

Details
Name: Cray Inc.
TE4A
Exchange: DB
Founded: 1972
$989,842,495
41,062,199
Website: http://www.cray.com
Address: Cray Inc.
901 Fifth Avenue,
Suite 1000,
Seattle,
Washington, 98164,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqGS CRAY Common Stock Nasdaq Global Select US USD 26. Sep 1995
DB TE4A Common Stock Deutsche Boerse AG DE EUR 26. Sep 1995
Number of employees
Current staff
Staff numbers
1,287
Cray employees.
Industry
Technology Hardware, Storage and Peripherals
Tech
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/04/25 21:53
End of day share price update: 2019/04/25 00:00
Last estimates confirmation: 2019/03/18
Last earnings filing: 2019/02/12
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.