Cubic Corporation designs, integrates, and operates systems, products, and services for command, control, communications, computers, intelligence, surveillance, and reconnaissance (C4ISR) customers worldwide.
+ 1 more risk
Good value with moderate growth potential.
Share Price & News
How has Cubic's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: CUB's share price has been volatile over the past 3 months.
7 Day Return
US Aerospace & Defense
1 Year Return
US Aerospace & Defense
Return vs Industry: CUB underperformed the US Aerospace & Defense industry which returned -19.7% over the past year.
Return vs Market: CUB underperformed the US Market which returned -13.3% over the past year.
Price Volatility Vs. Market
How volatile is Cubic's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 month ago | Simply Wall StThe Cubic (NYSE:CUB) Share Price Has Gained 21% And Shareholders Are Hoping For More
1 month ago | Simply Wall StHere's What Analysts Are Forecasting For Cubic Corporation After Its First-Quarter Results
2 months ago | Simply Wall StIs Cubic Corporation (NYSE:CUB) A Volatile Stock?
Is Cubic 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: CUB ($40.84) is trading below our estimate of fair value ($255.94)
Significantly Below Fair Value: CUB is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: CUB is poor value based on its PE Ratio (33.8x) compared to the Aerospace & Defense industry average (12.7x).
PE vs Market: CUB is poor value based on its PE Ratio (33.8x) compared to the US market (12.5x).
Price to Earnings Growth Ratio
PEG Ratio: CUB is good value based on its PEG Ratio (0.6x)
Price to Book Ratio
PB vs Industry: CUB is good value based on its PB Ratio (1.3x) compared to the US Aerospace & Defense industry average (1.7x).
How is Cubic forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: CUB's forecast earnings growth (60.1% per year) is above the savings rate (1.7%).
Earnings vs Market: CUB's earnings (60.1% per year) are forecast to grow faster than the US market (13.4% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: CUB's revenue (7% per year) is forecast to grow slower than the US market (7% per year).
High Growth Revenue: CUB's revenue (7% 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 CUB's Return on Equity is forecast to be high in 3 years time
How has Cubic performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: CUB has a large one-off gain of $14.0M impacting its December 31 2019 financial results.
Growing Profit Margin: CUB's current net profit margins (2.5%) are higher than last year (1%).
Past Earnings Growth Analysis
Earnings Trend: CUB's earnings have declined by -16% per year over the past 5 years.
Accelerating Growth: CUB's earnings growth over the past year (192%) exceeds its 5-year average (-16% per year).
Earnings vs Industry: CUB earnings growth over the past year (192%) exceeded the Aerospace & Defense industry 3%.
Return on Equity
High ROE: CUB's Return on Equity (3.7%) is considered low.
How is Cubic's financial position?
Financial Position Analysis
Short Term Liabilities: CUB's short term assets ($709.0M) exceed its short term liabilities ($518.5M).
Long Term Liabilities: CUB's short term assets ($709.0M) exceed its long term liabilities ($427.0M).
Debt to Equity History and Analysis
Debt Level: CUB's debt to equity ratio (54%) is considered high.
Reducing Debt: CUB's debt to equity ratio has increased from 21% to 54% over the past 5 years.
Debt Coverage: CUB's operating cash flow is negative, therefore debt is not well covered.
Interest Coverage: CUB's interest payments on its debt are not well covered by EBIT (2.6x coverage).
What is Cubic's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: CUB's dividend (0.66%) isn’t notable compared to the bottom 25% of dividend payers in the US market (2.01%).
High Dividend: CUB's dividend (0.66%) is low compared to the top 25% of dividend payers in the US market (5.66%).
Stability and Growth of Payments
Stable Dividend: CUB is not paying a notable dividend for the US market, therefore no need to check if payments are stable.
Growing Dividend: CUB is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.
Current Payout to Shareholders
Dividend Coverage: CUB is not paying a notable dividend for the US market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of CUB's dividend in 3 years as they are not forecast to pay a notable one for the US market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Brad Feldmann (57yo)
Mr. Bradley H. Feldmann, also known as Brad, has been the President of Cubic Corporation since January 31, 2013, has been its chairman since February 19, 2018 and its Chief Executive Officer since July 1, ...
CEO Compensation Analysis
Compensation vs Market: Brad's total compensation ($USD5.88M) is about average for companies of similar size in the US market ($USD4.74M).
Compensation vs Earnings: Brad's compensation has increased by more than 20% in the past year.
|CFO & Executive VP||2.5yrs||US$1.87m||0.011% $146.1k|
|Senior VP & President of Cubic Global Defense||1.5yrs||US$1.15m||0.0051% $65.0k|
|Senior VP & President of Cubic Mission Solutions||3.92yrs||US$1.79m||0.12% $1.5m|
|Senior VP & Chief Accounting Officer||0.83yr||US$701.91k||0.032% $412.1k|
|VP & CTO||0.83yr||no data||no data|
|Chief Information Officer & VP||1.17yrs||no data||no data|
|Director of Investor Relations||no data||no data||no data|
|Vice President of Investor Relations||2.42yrs||no data||no data|
|Senior VP||0.50yr||no data||no data|
Experienced Management: CUB's management team is not considered experienced ( 1.5 years average tenure), which suggests a new team.
|Independent Director||3.17yrs||US$217.00k||0.041% $521.6k|
|Independent Director||6yrs||US$222.00k||0.019% $247.6k|
|Member of Advisory Board||no data||no data||no data|
|Independent Director||1.58yrs||US$212.50k||0.0034% $43.0k|
|Member of Advisory Board||no data||US$1.38m||no data|
|Independent Director||12.17yrs||US$226.50k||0.029% $365.1k|
|Lead Independent Director||0.75yr||US$225.63k||0.016% $205.4k|
|Member of Advisory Board||no data||no data||no data|
|Independent Director||5yrs||US$217.93k||0.016% $200.4k|
Experienced Board: CUB's board of directors are considered experienced (3.2 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: CUB insiders have sold more shares than they have bought 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 13.2%.
Cubic Corporation's company bio, employee growth, exchange listings and data sources
- Name: Cubic Corporation
- Ticker: CUB
- Exchange: NYSE
- Founded: 1949
- Industry: Aerospace and Defense
- Sector: Capital Goods
- Market Cap: US$1.279b
- Shares outstanding: 31.30m
- Website: https://www.cubic.com
Number of Employees
- Cubic Corporation
- 9333 Balboa Avenue
- San Diego
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|CUB||NYSE (New York Stock Exchange)||Yes||Common Stock||US||USD||Jan 1968|
|UBQ||DB (Deutsche Boerse AG)||Yes||Common Stock||DE||EUR||Jan 1968|
Cubic Corporation designs, integrates, and operates systems, products, and services for command, control, communications, computers, intelligence, surveillance, and reconnaissance (C4ISR) customers worldwide. The company operates through three segments: Cubic Transportation Systems (CTS), Cubic Mission Solutions (CMS), and Cubic Global Defense Systems (CGD). The CTS segment integrates payment and information technology and services for intelligent travel solutions. It delivers integrated systems for transportation and traffic management; and tools for travelers to choose the smartest and easiest way to travel and pay for their journeys, as well as enables transportation authorities and agencies to manage demand across the entire transportation network. The CMS segment offers networked C4ISR solutions for defense, intelligence, security, and commercial missions. The CGD Systems segment supplies live, virtual, constructive, and game-based training solutions to the U.S. Department of Defense, other U.S. government agencies, and allied nations. Cubic Corporation has a partnership agreement with the University of Alabama in Huntsville (UAH) College of Nursing to develop and test an emergency ventilator device. The company was incorporated in 1949 and is headquartered in San Diego, California.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/04/07 05:24|
|End of Day Share Price||2020/04/06 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.