SPT Stock Overview
Spirent Communications plc provides automated test and assurance solutions for networks, cybersecurity, and positioning in the Americas, the Asia Pacific, Europe, the Middle East, and Africa.
Spirent Communications Competitors
Price History & Performance
|Historical stock prices|
|Current Share Price||UK£2.52|
|52 Week High||UK£3.11|
|52 Week Low||UK£2.10|
|1 Month Change||7.52%|
|3 Month Change||5.18%|
|1 Year Change||-2.41%|
|3 Year Change||57.45%|
|5 Year Change||104.97%|
|Change since IPO||297.26%|
Recent News & Updates
Calculating The Fair Value Of Spirent Communications plc (LON:SPT)
Does the May share price for Spirent Communications plc ( LON:SPT ) reflect what it's really worth? Today, we will...
|SPT||GB Communications||GB Market|
Return vs Industry: SPT exceeded the UK Communications industry which returned -12.8% over the past year.
Return vs Market: SPT exceeded the UK Market which returned -9.7% over the past year.
|SPT Average Weekly Movement||4.1%|
|Communications Industry Average Movement||4.8%|
|Market Average Movement||5.4%|
|10% most volatile stocks in GB Market||10.6%|
|10% least volatile stocks in GB Market||2.8%|
Stable Share Price: SPT is not significantly more volatile than the rest of UK stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: SPT's weekly volatility (4%) has been stable over the past year.
About the Company
Spirent Communications plc provides automated test and assurance solutions for networks, cybersecurity, and positioning in the Americas, the Asia Pacific, Europe, the Middle East, and Africa. The company operates in Lifecycle Service Assurance and Networks & Security segments. The Lifecycle Service Assurance segment provides testing solutions for 5G mobile core networks, and cellular and Wi-Fi devices in the lab, as well as diagnoses, troubleshoots, and resolves issues with production networks and services.
Spirent Communications Fundamentals Summary
|SPT fundamental statistics|
Is SPT overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|SPT income statement (TTM)|
|Cost of Revenue||US$151.30m|
Last Reported Earnings
Dec 31, 2021
Next Earnings Date
Aug 04, 2022
|Earnings per share (EPS)||0.15|
|Net Profit Margin||15.49%|
How did SPT perform over the long term?See historical performance and comparison
2.2%Current Dividend Yield
Is SPT undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score 4/6
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
Key Valuation Metric
Which metric is best to use when looking at relative valuation for SPT?
Other financial metrics that can be useful for relative valuation.
|What is SPT's n/a Ratio?|
Price to Earnings Ratio vs Peers
How does SPT's PE Ratio compare to its peers?
|SPT PE Ratio vs Peers|
|Company||PE||Estimated Growth||Market Cap|
BVC BATM Advanced Communications
CLX Calnex Solutions
MWE M.T.I Wireless Edge
SPT Spirent Communications
Price-To-Earnings vs Peers: SPT is good value based on its Price-To-Earnings Ratio (20.6x) compared to the peer average (20.9x).
Price to Earnings Ratio vs Industry
How does SPT's PE Ratio compare vs other companies in the European Communications Industry?
Price-To-Earnings vs Industry: SPT is good value based on its Price-To-Earnings Ratio (20.6x) compared to the UK Communications industry average (21.6x)
Price to Earnings Ratio vs Fair Ratio
What is SPT'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.
|Current PE Ratio||20.6x|
|Fair PE Ratio||27.2x|
Price-To-Earnings vs Fair Ratio: SPT is good value based on its Price-To-Earnings Ratio (20.6x) compared to the estimated Fair Price-To-Earnings Ratio (27.2x).
Share Price vs Fair Value
What is the Fair Price of SPT when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: SPT (£2.52) is trading below our estimate of fair value (£2.87)
Significantly Below Fair Value: SPT is trading below fair value, but not by a significant amount.
Price to Earnings Growth Ratio
PEG Ratio: SPT is poor value based on its PEG Ratio (3.1x)
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How is Spirent Communications forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?
Future Growth Score2/6
Future Growth Score 2/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SPT's forecast earnings growth (6.7% per year) is above the savings rate (0.9%).
Earnings vs Market: SPT's earnings (6.7% per year) are forecast to grow slower than the UK market (10.9% per year).
High Growth Earnings: SPT's earnings are forecast to grow, but not significantly.
Revenue vs Market: SPT's revenue (4.6% per year) is forecast to grow faster than the UK market (4.1% per year).
High Growth Revenue: SPT's revenue (4.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: SPT's Return on Equity is forecast to be low in 3 years time (19.2%).
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How has Spirent Communications performed over the past 5 years?
Past Performance Score2/6
Past Performance Score 2/6
Growing Profit Margin
Earnings vs Industry
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SPT has high quality earnings.
Growing Profit Margin: SPT's current net profit margins (15.5%) are lower than last year (16.2%).
Past Earnings Growth Analysis
Earnings Trend: SPT has become profitable over the past 5 years, growing earnings by 43.1% per year.
Accelerating Growth: SPT's earnings growth over the past year (5.7%) is below its 5-year average (43.1% per year).
Earnings vs Industry: SPT earnings growth over the past year (5.7%) underperformed the Communications industry 46.4%.
Return on Equity
High ROE: SPT's Return on Equity (19.9%) is considered low.
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How is Spirent Communications's financial position?
Financial Health Score6/6
Financial Health Score 6/6
Short Term Liabilities
Long Term Liabilities
Financial Position Analysis
Short Term Liabilities: SPT's short term assets ($368.6M) exceed its short term liabilities ($176.7M).
Long Term Liabilities: SPT's short term assets ($368.6M) exceed its long term liabilities ($67.1M).
Debt to Equity History and Analysis
Debt Level: SPT is debt free.
Reducing Debt: SPT has not had any debt for past 5 years.
Debt Coverage: SPT has no debt, therefore it does not need to be covered by operating cash flow.
Interest Coverage: SPT has no debt, therefore coverage of interest payments is not a concern.
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What is Spirent Communications's current dividend yield, its reliability and sustainability?
Dividend Score 4/6
Future Dividend Coverage
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: SPT's dividend (2.23%) is higher than the bottom 25% of dividend payers in the UK market (1.89%).
High Dividend: SPT's dividend (2.23%) is low compared to the top 25% of dividend payers in the UK market (5.29%).
Stability and Growth of Payments
Stable Dividend: SPT's dividend payments have been volatile in the past 10 years.
Growing Dividend: SPT's dividend payments have increased over the past 10 years.
Earnings Payout to Shareholders
Earnings Coverage: With its reasonably low payout ratio (46.1%), SPT's dividend payments are well covered by earnings.
Cash Payout to Shareholders
Cash Flow Coverage: With its reasonably low cash payout ratio (44.2%), SPT's dividend payments are well covered by cash flows.
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How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Mr. Eric Updyke has been Chief Executive Officer and Director at Spirent Communications plc since May 1, 2019. He serves as Director at Symend Inc. He served on the Executive Management team of Amdocs repo...
CEO Compensation Analysis
Compensation vs Market: Eric's total compensation ($USD3.43M) is above average for companies of similar size in the UK market ($USD2.05M).
Compensation vs Earnings: Eric's compensation has increased by more than 20% in the past year.
Experienced Management: SPT's management team is considered experienced (4.7 years average tenure).
Experienced Board: SPT's board of directors are considered experienced (5 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: SPT insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Spirent Communications plc's employee growth, exchange listings and data sources
- Name: Spirent Communications plc
- Ticker: SPT
- Exchange: LSE
- Founded: 1936
- Industry: Communications Equipment
- Sector: Tech
- Implied Market Cap: UK£1.527b
- Shares outstanding: 606.74m
- Website: https://corporate.spirent.com
Number of Employees
- Spirent Communications plc
- Origin One
- 108 High Street
- West Sussex
- RH10 1BD
- United Kingdom
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2022/07/03 00:00|
|End of Day Share Price||2022/07/01 00:00|
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.