LSE:BVC

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

BATM Advanced Communications

Executive Summary

BATM Advanced Communications Ltd., together with its subsidiaries, provides real-time technologies for networking solutions and bio-medical systems in Israel, the United States, and Europe. More Details


Snowflake Analysis

Adequate balance sheet with proven track record.

Share Price & News

How has BATM Advanced Communications's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

-3.4%

BVC

-1.4%

GB Communications

0.1%

GB Market


1 Year Return

171.7%

BVC

46.5%

GB Communications

-15.4%

GB Market

Return vs Industry: BVC exceeded the UK Communications industry which returned 46.5% over the past year.

Return vs Market: BVC exceeded the UK Market which returned -15.4% over the past year.


Shareholder returns

BVCIndustryMarket
7 Day-3.4%-1.4%0.1%
30 Day5.1%4.2%1.1%
90 Day-19.6%3.3%-2.0%
1 Year171.7%171.7%48.3%46.5%-12.1%-15.4%
3 Year352.3%352.3%134.8%121.8%-8.4%-19.7%
5 Year484.4%484.4%152.8%131.7%16.4%-9.7%

Price Volatility Vs. Market

How volatile is BATM Advanced Communications's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is BATM Advanced Communications undervalued compared to its fair value and its price relative to the market?

24.6%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: BVC (£1.13) is trading below our estimate of fair value (£1.49)

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


Price To Earnings Ratio

PE vs Industry: BVC is poor value based on its PE Ratio (130.9x) compared to the GB Communications industry average (23.9x).

PE vs Market: BVC is poor value based on its PE Ratio (130.9x) compared to the UK market (18.3x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: BVC is overvalued based on its PB Ratio (5.9x) compared to the GB Communications industry average (1.7x).


Next Steps

Future Growth

How is BATM Advanced Communications forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

20.2%

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 BATM Advanced Communications 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 BATM Advanced Communications performed over the past 5 years?

75.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: BVC has a large one-off gain of $6.7M impacting its June 30 2020 financial results.

Growing Profit Margin: BVC's current net profit margins (3.4%) are higher than last year (2%).


Past Earnings Growth Analysis

Earnings Trend: BVC has become profitable over the past 5 years, growing earnings by 75.4% per year.

Accelerating Growth: BVC's earnings growth over the past year (107.7%) exceeds its 5-year average (75.4% per year).

Earnings vs Industry: BVC earnings growth over the past year (107.7%) exceeded the Communications industry -39.2%.


Return on Equity

High ROE: BVC's Return on Equity (4.8%) is considered low.


Next Steps

Financial Health

How is BATM Advanced Communications's financial position?


Financial Position Analysis

Short Term Liabilities: BVC's short term assets ($117.6M) exceed its short term liabilities ($59.4M).

Long Term Liabilities: BVC's short term assets ($117.6M) exceed its long term liabilities ($17.0M).


Debt to Equity History and Analysis

Debt Level: BVC's debt to equity ratio (5.1%) is considered satisfactory.

Reducing Debt: BVC's debt to equity ratio has increased from 4.3% to 5.1% over the past 5 years.

Debt Coverage: BVC's debt is well covered by operating cash flow (255.1%).

Interest Coverage: Insufficient data to determine if BVC's interest payments on its debt are well covered by EBIT.


Balance Sheet


Next Steps

Dividend

What is BATM Advanced Communications's current dividend yield, its reliability and sustainability?

1.57%

Forecast Dividend Yield


Dividend Yield vs Market

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

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

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


Current Payout to Shareholders

Dividend Coverage: BVC is not paying a notable dividend for the UK market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of BVC's dividend in 3 years as they are not forecast to pay a notable one for the UK market.


Next Steps

Management

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

4.1yrs

Average board tenure


CEO

Zvi Marom (65 yo)

no data

Tenure

US$653,000

Compensation

Dr. Zvi Marom Founded BATM Advanced Communications Ltd., in 1992 and serves as its Chief Executive Officer. Dr. Marom Founded Telco Systems, Inc., a subsidiary of BATM Advanced Communications and served as ...


CEO Compensation Analysis

Compensation vs Market: Zvi's total compensation ($USD653.00K) is below average for companies of similar size in the UK market ($USD1.15M).

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


Board Members

NamePositionTenureCompensationOwnership
Zvi Marom
Founderno dataUS$653.00k21.98%
$ 108.9m
Moti Nagar
CFO & Executive Director4.75yrsUS$407.00kno data
Gideon Chitayat
Non-Executive Chairman5.75yrsUS$56.00k0.72%
$ 3.6m
Ari Shamiss
Independent Non-Executive External Director1.92yrsUS$57.00kno data
Harel Locker
Non-Executive External Director & Senior Independent Director4.08yrsUS$53.00kno data
Varda Shalev
Independent Non-Executive External Director1.92yrsUS$57.00kno data

4.1yrs

Average Tenure

62yo

Average Age

Experienced Board: BVC's board of directors are considered experienced (4.1 years average tenure).


Ownership

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


Insider Trading Volume

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.


Top Shareholders

Company Information

BATM Advanced Communications Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: BATM Advanced Communications Ltd.
  • Ticker: BVC
  • Exchange: LSE
  • Founded: 1992
  • Industry: Communications Equipment
  • Sector: Tech
  • Market Cap: UK£495.314m
  • Shares outstanding: 440.28m
  • Website: https://www.batm.com

Number of Employees


Location

  • BATM Advanced Communications Ltd.
  • Neve Ne’eman Ind. Area
  • 4 Ha’harash Street
  • Hod HaSharon
  • 4524075
  • Israel

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BVCLSE (London Stock Exchange)YesOrdinary SharesGBGBPJul 1996
BTAV.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJul 1996
BVCTASE (The Tel-Aviv Stock Exchange)YesOrdinary SharesILILSJul 1996
BVCLBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBGBPJul 1996
BAVDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJul 1996

Biography

BATM Advanced Communications Ltd., together with its subsidiaries, provides real-time technologies for networking solutions and bio-medical systems in Israel, the United States, and Europe. It operates in ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/24 20:37
End of Day Share Price2020/10/23 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.