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AWE

Alphawave IP Group LSE:AWE Stock Report

Last Price

UK£1.59

Market Cap

UK£1.1b

7D

12.7%

1Y

-51.9%

Updated

27 Jun, 2022

Data

Company Financials +
AWE fundamental analysis
Snowflake Score
Valuation2/6
Future Growth5/6
Past Performance1/6
Financial Health6/6
Dividends0/6

AWE Stock Overview

Alphawave IP Group plc designs, develops, and sells connectivity solutions.

Alphawave IP Group Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Alphawave IP Group
Historical stock prices
Current Share PriceUK£1.59
52 Week HighUK£4.74
52 Week LowUK£1.14
Beta0
1 Month Change-7.65%
3 Month Change-9.12%
1 Year Change-51.92%
3 Year Changen/a
5 Year Changen/a
Change since IPO-56.92%

Recent News & Updates

Shareholder Returns

AWEGB SemiconductorGB Market
7D12.7%12.9%2.3%
1Y-51.9%-42.3%-8.6%

Return vs Industry: AWE underperformed the UK Semiconductor industry which returned -42.3% over the past year.

Return vs Market: AWE underperformed the UK Market which returned -8.6% over the past year.

Price Volatility

Is AWE's price volatile compared to industry and market?
AWE volatility
AWE Average Weekly Movement10.8%
Semiconductor Industry Average Movement9.4%
Market Average Movement5.5%
10% most volatile stocks in GB Market10.8%
10% least volatile stocks in GB Market2.8%

Stable Share Price: AWE is more volatile than 90% of UK stocks over the past 3 months, typically moving +/- 11% a week.

Volatility Over Time: AWE's weekly volatility (11%) has been stable over the past year, but is still higher than 75% of UK stocks.

About the Company

FoundedEmployeesCEOWebsite
2017154Tony Pialishttps://www.awaveip.com

Alphawave IP Group plc designs, develops, and sells connectivity solutions. The company offers connectivity, integrated products, and chiplet IP products. It serves the data center, artificial intelligence, 5G wireless infrastructure, data networking, autonomous vehicles, and solid-state storage end markets in North America, the Asia Pacific, Europe, and the United Kingdom.

Alphawave IP Group Fundamentals Summary

How do Alphawave IP Group's earnings and revenue compare to its market cap?
AWE fundamental statistics
Market CapUS$1.34b
Earnings (TTM)US$9.43m
Revenue (TTM)US$89.93m

139.9x

P/E Ratio

14.7x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
AWE income statement (TTM)
RevenueUS$89.93m
Cost of RevenueUS$5.20m
Gross ProfitUS$84.73m
Other ExpensesUS$75.30m
EarningsUS$9.43m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.014
Gross Margin94.22%
Net Profit Margin10.49%
Debt/Equity Ratio0%

How did AWE perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

Is AWE undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for AWE?

Other financial metrics that can be useful for relative valuation.

AWE key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue9.9x
Enterprise Value/EBITDA16x
PEG Ratio2.1x

Price to Earnings Ratio vs Peers

How does AWE's PE Ratio compare to its peers?

AWE PE Ratio vs Peers
The above table shows the PE ratio for AWE vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average25.8x
CML CML Microsystems
29.5x20.5%UK£55.7m
300672 Hunan Goke MicroelectronicsLtd
52x30.0%CN¥14.0b
4919 Nuvoton Technology
16xn/aNT$61.9b
A108320 LX Semicon
5x12.7%₩1.7t
AWE Alphawave IP Group
139.9x68.0%UK£1.1b

Price-To-Earnings vs Peers: AWE is expensive based on its Price-To-Earnings Ratio (139.9x) compared to the peer average (25.6x).


Price to Earnings Ratio vs Industry

How does AWE's PE Ratio compare vs other companies in the European Semiconductor Industry?

Price-To-Earnings vs Industry: AWE is expensive based on its Price-To-Earnings Ratio (139.9x) compared to the European Semiconductor industry average (23x)


Price to Earnings Ratio vs Fair Ratio

What is AWE's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

AWE PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio139.9x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate AWE's Price-To-Earnings Fair Ratio for valuation analysis.


Share Price vs Fair Value

What is the Fair Price of AWE when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: AWE (£1.59) is trading below our estimate of fair value (£3.56)

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


Price to Earnings Growth Ratio

PEG Ratio: AWE is poor value based on its PEG Ratio (2.1x)


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Future Growth

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

Future Growth Score

5/6

Future Growth Score 5/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


68.0%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AWE's forecast earnings growth (68% per year) is above the savings rate (0.9%).

Earnings vs Market: AWE's earnings (68% per year) are forecast to grow faster than the UK market (11% per year).

High Growth Earnings: AWE's earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: AWE's revenue (36.6% per year) is forecast to grow faster than the UK market (4.1% per year).

High Growth Revenue: AWE's revenue (36.6% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: AWE's Return on Equity is forecast to be low in 3 years time (13.3%).


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Past Performance

How has Alphawave IP Group performed over the past 5 years?

Past Performance Score

1/6

Past Performance Score 1/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


48.6%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: AWE has a large one-off loss of $10.5M impacting its December 31 2021 financial results.

Growing Profit Margin: AWE's current net profit margins (10.5%) are lower than last year (37%).


Past Earnings Growth Analysis

Earnings Trend: AWE's earnings have grown significantly by 48.6% per year over the past 5 years.

Accelerating Growth: AWE's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: AWE had negative earnings growth (-22.7%) over the past year, making it difficult to compare to the Semiconductor industry average (86.7%).


Return on Equity

High ROE: AWE's Return on Equity (1.8%) is considered low.


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Financial Health

How is Alphawave IP Group's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: AWE's short term assets ($548.4M) exceed its short term liabilities ($34.4M).

Long Term Liabilities: AWE's short term assets ($548.4M) exceed its long term liabilities ($6.1M).


Debt to Equity History and Analysis

Debt Level: AWE is debt free.

Reducing Debt: AWE had no debt 5 years ago.

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

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


Balance Sheet


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Dividend

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

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage

Dividend Yield vs Market

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

High Dividend: Unable to evaluate AWE'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 AWE's dividends per share have been stable in the past.

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


Earnings Payout to Shareholders

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


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as AWE has not reported any payouts.


Discover strong dividend paying companies

Management

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

1.4yrs

Average management tenure


CEO

Tony Pialis

5.42yrs

Tenure

Mr. Tony Pialis Co-founded Alphawave IP Group plc in 2017 and has since served as its President and Chief Executive Officer. He is Director at Alphawave IP Group plc. He has extensive experience as an entr...


Leadership Team

Experienced Management: AWE's management team is not considered experienced ( 1.4 years average tenure), which suggests a new team.


Board Members

Experienced Board: AWE's board of directors are not considered experienced ( 1.2 years average tenure), which suggests a new board.


Ownership

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


Insider Trading Volume

Insider Buying: AWE insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

Alphawave IP Group plc's employee growth, exchange listings and data sources


Key Information

  • Name: Alphawave IP Group plc
  • Ticker: AWE
  • Exchange: LSE
  • Founded: 2017
  • Industry: Semiconductors
  • Sector: Semiconductors
  • Implied Market Cap: UK£1.091b
  • Shares outstanding: 672.60m
  • Website: https://www.awaveip.com

Number of Employees


Location

  • Alphawave IP Group plc
  • 65 Gresham Street
  • 6th Floor
  • London
  • Greater London
  • EC2V 7NQ
  • United Kingdom

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/27 00:00
End of Day Share Price2022/06/27 00:00
Earnings2021/12/31
Annual Earnings2021/12/31


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.