RADA Electronic Industries Ltd., a defense technology company, develops, manufactures, markets, and sells defense electronics to various air forces and companies worldwide.
RADA Electronic Industries Competitors
Price History & Performance
|Historical stock prices|
|Current Share Price||US$10.08|
|52 Week High||US$5.75|
|52 Week Low||US$14.80|
|1 Month Change||-8.86%|
|3 Month Change||-21.43%|
|1 Year Change||65.25%|
|3 Year Change||248.79%|
|5 Year Change||779.58%|
|Change since IPO||-87.20%|
Recent News & Updates
RADA Electronic Industries' (NASDAQ:RADA) Promising Earnings May Rest On Soft Foundations
Despite posting some strong earnings, the market for RADA Electronic Industries Ltd.'s ( NASDAQ:RADA ) stock hasn't...
RADA teams up with BeyondMinds on advanced AI solutions for tactical radars
RADA Electronic Industries (RADA) and BeyondMinds, a global provider of artificial intelligence solutions, have executed a Letter of Intent to build strategic teaming to improve and productize forward AI and deep learning solutions for RADA’s tactical radars.The contract is effective by the end of July 2021.The new solution will focus on increased accuracy, advanced target classification, and dynamic adaptation of radar performance to the ever-changing operational environment.Shares +1% premarket.Press Release
|RADA||US Aerospace & Defense||US Market|
Return vs Industry: RADA exceeded the US Aerospace & Defense industry which returned 16.7% over the past year.
Return vs Market: RADA exceeded the US Market which returned 33.8% over the past year.
Stable Share Price: RADA is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: RADA's weekly volatility (4%) has been stable over the past year.
About the Company
RADA Electronic Industries Ltd., a defense technology company, develops, manufactures, markets, and sells defense electronics to various air forces and companies worldwide. It offers military avionic systems, including flight data recorders for fighter aircraft; digital video/audio/data recorders; high definition digital video/audio/data recording for fighter and trainer aircrafts; a range of head-up-displays color video cameras for fighter aircraft; and various ground debriefing solutions. The company also provides avionics solutions, such as mission data recorders and debriefing solutions and HUD video cameras; avionics for unmanned aircraft vehicles (UAVs) comprising interface control processors, engine control computers, payload management computers, and others; and inertial navigation systems for air and land applications.
Is RADA Electronic Industries undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: RADA ($10.08) is trading below our estimate of fair value ($21.12)
Significantly Below Fair Value: RADA is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: RADA is poor value based on its PE Ratio (26.2x) compared to the US Aerospace & Defense industry average (21.1x).
PE vs Market: RADA is poor value based on its PE Ratio (26.2x) compared to the US market (17.8x).
Price to Earnings Growth Ratio
PEG Ratio: RADA is poor value based on its PEG Ratio (1.3x)
Price to Book Ratio
PB vs Industry: RADA is overvalued based on its PB Ratio (3.5x) compared to the US Aerospace & Defense industry average (3.1x).
How is RADA Electronic Industries forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: RADA's forecast earnings growth (20.5% per year) is above the savings rate (2%).
Earnings vs Market: RADA's earnings (20.5% per year) are forecast to grow faster than the US market (14.8% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: RADA's revenue (19.6% per year) is forecast to grow faster than the US market (9.8% per year).
High Growth Revenue: RADA's revenue (19.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if RADA's Return on Equity is forecast to be high in 3 years time
How has RADA Electronic Industries performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: RADA has high quality earnings.
Growing Profit Margin: RADA's current net profit margins (19.5%) are higher than last year (0.02%).
Past Earnings Growth Analysis
Earnings Trend: RADA has become profitable over the past 5 years, growing earnings by 74.9% per year.
Accelerating Growth: RADA's earnings growth over the past year (172427.3%) exceeds its 5-year average (74.9% per year).
Earnings vs Industry: RADA earnings growth over the past year (172427.3%) exceeded the Aerospace & Defense industry 2.5%.
Return on Equity
High ROE: RADA's Return on Equity (13.2%) is considered low.
How is RADA Electronic Industries's financial position?
Financial Position Analysis
Short Term Liabilities: RADA's short term assets ($149.4M) exceed its short term liabilities ($33.2M).
Long Term Liabilities: RADA's short term assets ($149.4M) exceed its long term liabilities ($10.4M).
Debt to Equity History and Analysis
Debt Level: RADA is debt free.
Reducing Debt: RADA has no debt compared to 5 years ago when its debt to equity ratio was 49%.
Debt Coverage: RADA has no debt, therefore it does not need to be covered by operating cash flow.
Interest Coverage: RADA has no debt, therefore coverage of interest payments is not a concern.
What is RADA Electronic Industries's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate RADA's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate RADA's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if RADA's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if RADA's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of RADA's dividend in 3 years as they are not forecast to pay a notable one for the US market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Dubi Sella (66 yo)
Mr. Dov Sella, also known as Dubi, has been the Chief Executive Officer of Rada Electronic Industries Ltd. since November 10, 2016. Mr. Sella served as Chief Business Development Officer of RADA Electronic...
CEO Compensation Analysis
Compensation vs Market: Dubi's total compensation ($USD1.33M) is about average for companies of similar size in the US market ($USD1.68M).
Compensation vs Earnings: Dubi's compensation has increased by more than 20% in the past year.
Experienced Management: RADA's management team is considered experienced (4.5 years average tenure).
Experienced Board: RADA's board of directors are considered experienced (4.9 years average tenure).
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.
Recent Insider Transactions
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 13.3%.
RADA Electronic Industries Ltd.'s employee growth, exchange listings and data sources
- Name: RADA Electronic Industries Ltd.
- Ticker: RADA
- Exchange: NasdaqCM
- Founded: 1970
- Industry: Aerospace and Defense
- Sector: Capital Goods
- Market Cap: US$517.186m
- Shares outstanding: 49.26m
- Website: https://www.rada.com
Number of Employees
- RADA Electronic Industries Ltd.
- 7 Giborei Israel Boulevard
- PO Box 8606
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/09/20 22:29|
|End of Day Share Price||2021/09/20 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.