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CML Microsystems

LSE:CML
Snowflake Description

Excellent balance sheet unattractive dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
CML
LSE
£54M
Market Cap
  1. Home
  2. GB
  3. Semiconductors
Company description

CML Microsystems Plc, through its subsidiaries, designs, manufactures, and markets a range of semiconductor products for use in communications and data storage industries in Europe, the Far East, the Americas, and internationally. The last earnings update was 19 days ago. More info.


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CML Share Price and Events
7 Day Returns
2.9%
LSE:CML
-10.2%
GB Semiconductor
0.2%
GB Market
1 Year Returns
-40.2%
LSE:CML
-50.1%
GB Semiconductor
-2%
GB Market
CML Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
CML Microsystems (CML) 2.9% 8.9% 10.8% -40.2% -6.1% -12.6%
GB Semiconductor -10.2% -26.3% -33.3% -50.1% -3.9% -33.8%
GB Market 0.2% 1.3% 0.1% -2% 11.2% 6.3%
1 Year Return vs Industry and Market
  • CML outperformed the Semiconductor industry which returned -50.1% over the past year.
  • CML underperformed the Market in United Kingdom of Great Britain and Northern Ireland which returned -2% over the past year.
Price Volatility
CML
Industry
5yr Volatility vs Market

CML Value

 Is CML Microsystems 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 CML Microsystems 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 CML Microsystems.

LSE:CML Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 2 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 9.1%
Perpetual Growth Rate 10-Year GB Government Bond Rate 1.2%

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 LSE:CML
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year GB Govt Bond Rate 1.2%
Equity Risk Premium S&P Global 6.7%
Semiconductor Unlevered Beta Simply Wall St/ S&P Global 1.27
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.27 (1 + (1- 19%) (1.22%))
1.189
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.19
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.23% + (1.189 * 6.65%)
9.14%

Discounted Cash Flow Calculation for LSE:CML using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for CML Microsystems 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.

LSE:CML DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (GBP, Millions) Source Present Value
Discounted (@ 9.14%)
2020 0.52 Analyst x1 0.48
2021 0.48 Est @ -7.9% 0.40
2022 0.46 Est @ -5.16% 0.35
2023 0.44 Est @ -3.25% 0.31
2024 0.43 Est @ -1.9% 0.28
2025 0.43 Est @ -0.96% 0.25
2026 0.43 Est @ -0.31% 0.23
2027 0.43 Est @ 0.15% 0.21
2028 0.43 Est @ 0.48% 0.20
2029 0.43 Est @ 0.7% 0.18
Present value of next 10 years cash flows £2.90
LSE:CML DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= £0.43 × (1 + 1.23%) ÷ (9.14% – 1.23%)
£5.55
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= £5.55 ÷ (1 + 9.14%)10
£2.32
LSE:CML Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= £2.90 + £2.32
£5.22
Equity Value per Share
(GBP)
= Total value / Shares Outstanding
= £5.22 / 17.08
£0.31
LSE:CML Discount to Share Price
Calculation Result
Value per share (GBP) From above. £0.31
Current discount Discount to share price of £3.17
= -1 x (£3.17 - £0.31) / £0.31
-937.2%

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

  • The current share price of CML Microsystems is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
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 CML Microsystems's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are CML Microsystems's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
LSE:CML PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in GBP £0.16
LSE:CML Share Price ** LSE (2019-07-19) in GBP £3.17
Europe Semiconductor Industry PE Ratio Median Figure of 28 Publicly-Listed Semiconductor Companies 24.18x
United Kingdom of Great Britain and Northern Ireland Market PE Ratio Median Figure of 792 Publicly-Listed Companies 16.31x

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

** Primary Listing of CML Microsystems.

LSE:CML PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= LSE:CML Share Price ÷ EPS (both in GBP)

= 3.17 ÷ 0.16

20.11x

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

  • CML Microsystems is good value based on earnings compared to the Europe Semiconductor industry average.
  • CML Microsystems is overvalued based on earnings compared to the United Kingdom of Great Britain and Northern Ireland market.
Price based on expected Growth
Does CML Microsystems's expected growth come at a high price?
Raw Data
LSE:CML PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 20.11x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts
Not available
Europe Semiconductor Industry PEG Ratio Median Figure of 20 Publicly-Listed Semiconductor Companies 1.45x
United Kingdom of Great Britain and Northern Ireland Market PEG Ratio Median Figure of 573 Publicly-Listed Companies 1.47x

*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 CML Microsystems, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on CML Microsystems's assets?
Raw Data
LSE:CML PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in GBP £2.48
LSE:CML Share Price * LSE (2019-07-19) in GBP £3.17
United Kingdom of Great Britain and Northern Ireland Semiconductor Industry PB Ratio Median Figure of 7 Publicly-Listed Semiconductor Companies 1.06x
United Kingdom of Great Britain and Northern Ireland Market PB Ratio Median Figure of 1,377 Publicly-Listed Companies 1.51x
LSE:CML PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= LSE:CML Share Price ÷ Book Value per Share (both in GBP)

= 3.17 ÷ 2.48

1.28x

* Primary Listing of CML Microsystems.

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

  • CML Microsystems is overvalued based on assets compared to the GB Semiconductor industry average.
X
Value checks
We assess CML Microsystems'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 Semiconductor 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 Semiconductor industry average (and greater than 0)? (1 check)
  5. CML Microsystems has a total score of 1/6, 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.

CML Future Performance

 How is CML Microsystems expected to perform in the next 1 to 3 years based on estimates from 2 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
22.6%
Expected Semiconductor industry annual growth in earnings.
Earnings growth vs Low Risk Savings
Is CML Microsystems expected to grow at an attractive rate?
  • Unable to compare CML Microsystems's earnings growth to the low risk savings rate as no estimate data is available.
Growth vs Market Checks
  • Unable to compare CML Microsystems's earnings growth to the United Kingdom of Great Britain and Northern Ireland market average as no estimate data is available.
  • Unable to compare CML Microsystems's revenue growth to the United Kingdom of Great Britain and Northern Ireland market average as no estimate data is available.
Annual Growth Rates Comparison
Raw Data
LSE:CML Future Growth Rates Data Sources
Data Point Source Value (per year)
Europe Semiconductor Industry Earnings Growth Rate Market Cap Weighted Average 22.6%
Europe Semiconductor Industry Revenue Growth Rate Market Cap Weighted Average 8%
United Kingdom of Great Britain and Northern Ireland Market Earnings Growth Rate Market Cap Weighted Average 10.9%
United Kingdom of Great Britain and Northern Ireland Market Revenue Growth Rate Market Cap Weighted Average 4.7%

*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
LSE:CML Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
All numbers in GBP Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
LSE:CML Future Estimates Data
Date (Data in GBP Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2020-03-31 28 9 2 2
LSE:CML Past Financials Data
Date (Data in GBP Millions) Revenue Cash Flow Net Income *
2019-03-31 28 7 3
2018-12-31 29 8 4
2018-09-30 31 8 4
2018-06-30 31 9 4
2018-03-31 32 9 4
2017-12-31 31 9 4
2017-09-30 31 9 4
2017-06-30 29 10 4
2017-03-31 28 11 4
2016-12-31 26 11 4
2016-09-30 25 11 3
2016-06-30 24 9 3

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Unable to determine if CML Microsystems is high growth as no earnings estimate data is available.
  • Unable to determine if CML Microsystems is high growth as no revenue estimate data is available.
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
LSE:CML 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 2 Analyst Estimates (S&P Global) See Below

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

LSE:CML Future Estimates Data
Date (Data in GBP Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2020-03-31 0.10 0.11 0.09 2.00
LSE:CML Past Financials Data
Date (Data in GBP Millions) EPS *
2019-03-31 0.16
2018-12-31 0.21
2018-09-30 0.25
2018-06-30 0.25
2018-03-31 0.25
2017-12-31 0.25
2017-09-30 0.25
2017-06-30 0.24
2017-03-31 0.23
2016-12-31 0.22
2016-09-30 0.21
2016-06-30 0.19

*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 CML Microsystems will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess CML Microsystems'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.
CML Microsystems has a total score of 0/6, 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.

CML Past Performance

  How has CML Microsystems 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 CML Microsystems's growth in the last year to its industry (Semiconductor).
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.
  • CML Microsystems's year on year earnings growth rate has been positive over the past 5 years, however the most recent earnings are below average.
  • CML Microsystems's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • CML Microsystems's 1-year earnings growth is negative, it can't be compared to the Europe Semiconductor industry average.
Earnings and Revenue History
CML Microsystems'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 CML Microsystems Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

LSE:CML Past Revenue, Cash Flow and Net Income Data
Date (Data in GBP Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 28.14 2.69 11.76 1.07
2018-12-31 29.43 3.51 11.57 1.13
2018-09-30 30.71 4.33 11.39 1.19
2018-06-30 31.19 4.23 11.60 1.19
2018-03-31 31.67 4.14 11.82 1.19
2017-12-31 31.19 4.13 12.18 1.12
2017-09-30 30.71 4.12 12.54 1.06
2017-06-30 29.22 3.99 11.81 1.06
2017-03-31 27.74 3.87 11.09 1.06
2016-12-31 26.31 3.63 10.85 0.89
2016-09-30 24.87 3.40 10.61 0.73
2016-06-30 23.85 3.16 10.01 0.73
2016-03-31 22.83 2.93 9.41 0.73
2015-12-31 22.72 2.96 9.24 0.79
2015-09-30 22.60 2.99 9.07 0.85
2015-06-30 22.20 2.85 8.84 0.85
2015-03-31 21.80 2.70 8.62 0.85
2014-09-30 21.61 3.22 9.19 0.66
2014-06-30 23.00 3.99 9.19 0.66
2014-03-31 24.39 4.77 9.19 0.66
2013-09-30 25.25 5.10 8.99 0.70
2013-06-30 24.95 4.77 8.99 0.70
2013-03-31 24.65 4.44 8.98 0.70
2012-12-31 24.08 4.03 8.76 0.89
2012-09-30 23.51 3.63 8.53 1.07

*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.
  • CML Microsystems has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • CML Microsystems used its assets less efficiently than the Europe Semiconductor industry average last year based on Return on Assets.
  • CML Microsystems's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess CML Microsystems'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 Semiconductor 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.
CML Microsystems has a total score of 1/6, 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.

CML Health

 How is CML Microsystems'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 CML Microsystems's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • CML Microsystems is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • CML Microsystems's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of CML Microsystems'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.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 31.6x debt.
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 CML Microsystems Company Filings, last reported 3 months ago.

LSE:CML Past Debt and Equity Data
Date (Data in GBP Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 42.32 0.66 13.47
2018-12-31 42.32 0.66 13.47
2018-09-30 43.21 0.00 13.54
2018-06-30 43.21 0.00 13.54
2018-03-31 41.77 0.00 13.82
2017-12-31 41.77 0.00 13.82
2017-09-30 38.40 0.00 12.72
2017-06-30 38.40 0.00 12.72
2017-03-31 37.64 0.00 12.45
2016-12-31 37.64 0.00 12.45
2016-09-30 36.81 0.00 11.56
2016-06-30 36.81 0.00 11.56
2016-03-31 32.58 0.00 13.60
2015-12-31 32.58 0.00 13.60
2015-09-30 29.03 0.00 12.26
2015-06-30 29.03 0.00 12.26
2015-03-31 28.97 0.00 13.19
2014-09-30 28.23 0.00 11.59
2014-06-30 28.23 0.00 11.59
2014-03-31 27.93 0.00 11.37
2013-09-30 22.94 0.00 9.74
2013-06-30 22.94 0.00 9.74
2013-03-31 21.37 0.34 9.32
2012-12-31 21.37 0.34 9.32
2012-09-30 20.12 1.35 7.86
  • CML Microsystems's level of debt (1.6%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (0% vs 1.6% today).
  • Debt is well covered by operating cash flow (1089.3%, greater than 20% of total debt).
  • CML Microsystems earns more interest than it pays, coverage of interest payments is not a concern.
X
Financial health checks
We assess CML Microsystems'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. CML Microsystems has a total score of 5/6, 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.

CML Dividends

 What is CML Microsystems'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
2.46%
Current annual income from CML Microsystems dividends. Estimated to be 2.46% next year.
If you bought £2,000 of CML Microsystems shares you are expected to receive £49 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?
  • CML Microsystems's pays a higher dividend yield than the bottom 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (1.95%).
  • CML Microsystems's dividend is below the markets top 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (5.43%).
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
LSE:CML 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 2 Analyst Estimates (S&P Global) See Below
Europe Semiconductor Industry Average Dividend Yield Market Cap Weighted Average of 13 Stocks 1.4%
United Kingdom of Great Britain and Northern Ireland Market Average Dividend Yield Market Cap Weighted Average of 706 Stocks 4.2%
United Kingdom of Great Britain and Northern Ireland Minimum Threshold Dividend Yield 10th Percentile 1%
United Kingdom of Great Britain and Northern Ireland Bottom 25% Dividend Yield 25th Percentile 2%
United Kingdom of Great Britain and Northern Ireland Top 25% Dividend Yield 75th Percentile 5.4%

Industry and Market average data is calculated daily.

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

LSE:CML Future Dividends Estimate Data
Date (Data in £) Dividend per Share (annual) Avg. No. Analysts
2020-03-31 0.08 2.00
LSE:CML Past Annualized Dividends Data
Date (Data in £) Dividend per share (annual) Avg. Yield (%)
2019-07-01 0.078 2.513
2019-06-11 0.078 2.667
2018-07-03 0.078 2.044
2018-06-12 0.078 1.480
2017-11-21 0.040 0.766
2017-08-02 0.074 1.628
2016-06-24 0.070 1.788
2016-06-14 0.070 1.934
2015-06-25 0.069 1.899
2015-06-09 0.069 1.803
2014-06-30 0.063 1.792
2014-06-10 0.063 1.630
2013-06-11 0.055 1.024
2012-06-22 0.040 1.113
2012-06-12 0.040 1.453
2011-06-24 0.035 1.508
2011-06-14 0.035 1.491
2008-11-25 0.000 0.000

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

  • CML Microsystems has been paying a dividend for less than 10 years and during this time payments have been volatile (annual drop of over 20%).
  • Dividend payments have increased, but CML Microsystems only paid a dividend in the past 8 years.
Current Payout to shareholders
What portion of CML Microsystems's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (2x coverage).
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 CML Microsystems's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1%) - 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 CML Microsystems afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. CML Microsystems has a total score of 2/6, see the detailed checks below.


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

CML Management

 What is the CEO of CML Microsystems'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
Chris Gurry
COMPENSATION £314,000
AGE 55
TENURE AS CEO 11.8 years
CEO Bio

Mr. Christopher Arthur Gurry, also known as Chris, has been the Group Managing Director of CML Microsystems plc since October 1, 2007. Mr. Gurry served as a Joint Managing Director at CML Microsystems plc since June 20, 2007 and served as its Business Development Director from April, 2000 to June 20, 2007. He joined CML Microsystems PLC in 1994. He has over 20 years' experience within communications markets. Mr. Gurry served as Chairman of the Board of CML Microsystems plc until January 19, 2015 and also served as its Interim Executive Chairman since October 2013. He has been a Director of CML Microsystems plc since 2000.

CEO Compensation
  • Chris's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Chris's remuneration is about average for companies of similar size in United Kingdom of Great Britain and Northern Ireland.
Management Team Tenure

Average tenure and age of the CML Microsystems management team in years:

6.3
Average Tenure
55
Average Age
  • The average tenure for the CML Microsystems management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Chris Gurry

TITLE
Group MD & Director
COMPENSATION
£314K
AGE
55
TENURE
11.8 yrs

Neil Pritchard

TITLE
Group Financial Director
COMPENSATION
£213K
AGE
47
TENURE
4.5 yrs

Hugh Rudden

TITLE
Group Sales & Marketing Director and Director
COMPENSATION
£200K
AGE
59
TENURE
5.1 yrs

Mike Gurry

TITLE
Senior Vice President - Group Operations & Logistics

Peter Berns

TITLE
Managing Director - Hyperstone
TENURE
7.5 yrs

Zhongming Shi

TITLE
Managing Director - Sicomm

Mark Gunyuzlu

TITLE
Senior Vice President - Americas

Mark McCabe

TITLE
Managing Director of CML Microcircuits
Board of Directors Tenure

Average tenure and age of the CML Microsystems board of directors in years:

4.8
Average Tenure
60.5
Average Age
  • The tenure for the CML Microsystems board of directors is about average.
Board of Directors

Nigel Clark

TITLE
Group Non-Executive Chairman
COMPENSATION
£70K
AGE
65
TENURE
4.5 yrs

Chris Gurry

TITLE
Group MD & Director
COMPENSATION
£314K
AGE
55
TENURE
19.5 yrs

Neil Pritchard

TITLE
Group Financial Director
COMPENSATION
£213K
AGE
47
TENURE
4.5 yrs

Hugh Rudden

TITLE
Group Sales & Marketing Director and Director
COMPENSATION
£200K
AGE
59
TENURE
5.1 yrs

Geoff Barnes

TITLE
Non-Executive Director
COMPENSATION
£26K
AGE
74
TENURE
2.3 yrs

Jim Lindop

TITLE
Non-Executive Director
COMPENSATION
£24K
AGE
62
TENURE
6.3 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (£) Value (£)
X
Management checks
We assess CML Microsystems'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. CML Microsystems 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.

CML News

Simply Wall St News

Does CML Microsystems plc's (LON:CML) CEO Pay Matter?

This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. … Check out our latest analysis for CML Microsystems How Does Chris Gurry's Compensation Compare With Similar Sized Companies? … According to our data, CML Microsystems plc has a market capitalization of UK£52m, and pays its CEO total annual compensation worth UK£315k.

Simply Wall St -

How Do CML Microsystems plc’s (LON:CML) Returns On Capital Compare To Peers?

Specifically, we're going to calculate its Return On Capital Employed (ROCE), in the hopes of getting some insight into the business. … The formula for calculating the return on capital employed is: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) Or for CML Microsystems: 0.049 = UK£2.4m ÷ (UK£56m - UK£5.6m) (Based on the trailing twelve months to March 2019.) Therefore, CML Microsystems has an ROCE of 4.9%. … The ROCE equation subtracts current liabilities from capital employed, so a company with a lot of current liabilities appears to have less capital employed, and a higher ROCE than otherwise.

Simply Wall St -

Should You Buy CML Microsystems plc (LON:CML) For Its 2.8% Dividend?

Investors might not know much about CML Microsystems's dividend prospects, even though it has been paying dividends for the last eight years and offers a 2.8% yield. … Dividend Growth Potential With a relatively unstable dividend, it's even more important to evaluate if earnings per share (EPS) are growing - it's not worth taking the risk on a dividend getting cut, unless you might be rewarded with larger dividends in future. … Conclusion To summarise, shareholders should always check that CML Microsystems's dividends are affordable, that its dividend payments are relatively stable, and that it has decent prospects for growing its earnings and dividend.

Simply Wall St -

Estimating The Intrinsic Value Of CML Microsystems plc (LON:CML)

Generally we assume that a dollar today is more valuable than a dollar in the future, and so the sum of these future cash flows is then discounted to today's value: 10-year free cash flow (FCF) forecast 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 Levered FCF (£, Millions) £-0.40 £2.88 £3.24 £3.55 £3.79 £3.99 £4.15 £4.28 £4.39 £4.49 Growth Rate Estimate Source Analyst x1 Analyst x1 Est @ 12.81% Est @ 9.34% Est @ 6.9% Est @ 5.2% Est @ 4.01% Est @ 3.17% Est @ 2.59% Est @ 2.18% Present Value (£, Millions) Discounted @ 8.57% £-0.37 £2.44 £2.53 £2.55 £2.51 £2.44 £2.33 £2.22 £2.10 £1.97 Present Value of 10-year Cash Flow (PVCF)= £20.72m "Est" = FCF growth rate estimated by Simply Wall St After calculating the present value of future cash flows in the intial 10-year period, we need to calculate the Terminal Value, which accounts for all future cash flows beyond the first stage. … In the same way as with the 10-year 'growth' period, we discount future cash flows to today's value, using a cost of equity of 8.6%. … Terminal Value (TV) = FCF2029 × (1 + g) ÷ (r – g) = UK£4.5m × (1 + 1.2%) ÷ (8.6% – 1.2%) = UK£62m Present Value of Terminal Value (PVTV) = TV / (1 + r)10 = £UK£62m ÷ ( 1 + 8.6%)10 = £27.20m The total value is the sum of cash flows for the next ten years plus the discounted terminal value, which results in the Total Equity Value, which in this case is £47.92m.

Simply Wall St -

Could CML Microsystems plc's (LON:CML) Investor Composition Influence The Stock Price?

The big shareholder groups in CML Microsystems plc (LON:CML) have power over the company. … So it's nice to see some insider ownership, because it may suggest that management is owner-oriented. … Our analysis of the ownership of the company, below, shows that.

Simply Wall St -

A Note On CML Microsystems plc's (LON:CML) ROE and Debt To Equity

While some investors are already well versed in financial metrics (hat tip), this article is for those who would like to learn about Return On Equity (ROE) and why it is important. … Our data shows CML Microsystems has a return on equity of 10% for the last year. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Does CML Microsystems plc's (LON:CML) CEO Salary Reflect Performance?

First, this article will compare CEO compensation with compensation at similar sized companies. … How Does Chris Gurry's Compensation Compare With Similar Sized Companies. … According to our data, CML Microsystems plc has a market capitalization of UK£50m, and pays its CEO total annual compensation worth UK£315k.

Simply Wall St -

How CML Microsystems plc (LON:CML) Could Add Value To Your Portfolio

I've been keeping an eye on CML Microsystems plc (LON:CML) because I'm attracted to its fundamentals. … Looking at the company as a whole, as a potential stock investment, I believe CML has a lot to offer. … is a company with great financial health as well as a.

Simply Wall St -

Is CML Microsystems plc (LON:CML) A Smart Pick For Income Investors?

A sizeable part of portfolio returns can be produced by dividend stocks due to their contribution to compounding returns in the long run. … Historically, CML Microsystems plc (LON:CML) has been paying a dividend to shareholders. … Let's dig deeper into whether CML Microsystems should have a place in your portfolio.

Simply Wall St -

Here's How P/E Ratios Can Help Us Understand CML Microsystems plc (LON:CML)

The goal of this article is to teach you how to use price to earnings ratios (P/E ratios). … To keep it practical, we'll show how CML Microsystems plc's (LON:CML) P/E ratio could help you assess the value on offer. … Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS)

Simply Wall St -

CML Company Info

Description

CML Microsystems Plc, through its subsidiaries, designs, manufactures, and markets a range of semiconductor products for use in communications and data storage industries in Europe, the Far East, the Americas, and internationally. It primarily offers integrated circuits. The company provides its products for industrial flash memory cards, solid state drives, and embedded storage products; and professional and industrial voice and/or data communications products. It sells its products through a network of distributors and representatives. The company serves communications equipment providers and industrial product manufacturers. CML Microsystems Plc was founded in 1968 and is headquartered in Maldon, the United Kingdom.

Details
Name: CML Microsystems plc
CML
Exchange: LSE
Founded: 1968
£54,128,276
17,075,166
Website: http://www.cmlmicroplc.com
Address: CML Microsystems plc
Oval Park,
Langford,
Maldon,
Essex, CM9 6WG,
United Kingdom
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
LSE CML Ordinary Shares London Stock Exchange GB GBP 02. Jan 1992
BST 92M Ordinary Shares Boerse-Stuttgart DE EUR 02. Jan 1992
Number of employees
Current staff
Staff numbers
221
CML Microsystems employees.
Industry
Semiconductors
Semiconductors
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/07/20 20:39
End of day share price update: 2019/07/19 00:00
Last estimates confirmation: 2019/06/20
Last earnings filing: 2019/07/01
Last earnings reported: 2019/03/31
Last annual earnings reported: 2019/03/31


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.