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CRUS

Cirrus Logic NasdaqGS:CRUS Stock Report

Last Price

US$71.69

Market Cap

US$4.0b

7D

3.1%

1Y

-11.9%

Updated

06 Oct, 2022

Data

Company Financials +
CRUS fundamental analysis
Snowflake Score
Valuation4/6
Future Growth1/6
Past Performance6/6
Financial Health6/6
Dividends0/6

CRUS Stock Overview

Cirrus Logic, Inc., a fabless semiconductor company, provides low-power and high-precision mixed-signal processing solutions in the United States and internationally.

Cirrus Logic Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Cirrus Logic
Historical stock prices
Current Share PriceUS$71.69
52 Week HighUS$95.84
52 Week LowUS$67.03
Beta1.01
1 Month Change-0.80%
3 Month Change-0.49%
1 Year Change-11.89%
3 Year Change32.10%
5 Year Change31.40%
Change since IPO1,120.26%

Recent News & Updates

Sep 12
What Is Cirrus Logic, Inc.'s (NASDAQ:CRUS) Share Price Doing?

What Is Cirrus Logic, Inc.'s (NASDAQ:CRUS) Share Price Doing?

While Cirrus Logic, Inc. ( NASDAQ:CRUS ) might not be the most widely known stock at the moment, it saw significant...

Aug 10

Tick-Tooock Tiiick-Tock: Cirrus Logic's Clock Chimed Growth

Although Cirrus Logic posted good numbers recently, the real story chime is coming: measured and ordered revenue growth. Cirrus' history firmly supports the company's confidence. The growth won't be small, appearing to reach near double of today's number. Buying Cirrus on weakness might be a very lucrative long-term investment. Never in the 30 years of covering Cirrus have ordered signs of growth been chimed with more evidence, more certainty. When conservative management such as Cirrus Logic, Inc.'s (CRUS) place themselves on the clock, wise investors must heed the chimes. Although to some it was too quiet, Cirrus' management grabbed the key, wound the clock and declared a path of growth unparalleled. Clocks, in past times, played critical roles in communities where often few, if any, possessed time pieces. That center of town meeting house time piece united its citizens with common synergy, a purpose we so hope to accomplish. The Quarter The company reported its quarterly results (Q1 2023), in our view secondary in significance, on August 2nd. The company reported a record revenue at almost $400 million, with non-GAAP earnings equaling $1.12. Cash increased slightly to $450 million. Interestingly, the company added $500 million to its already $135 million for repurchasing stock. Guidance for September, at the mid-point, increased year-over-year by a few percent. The solid results and guidance add intrigue, but certainly were not the real story. Three Major Chimes It was within the news and conference call that management proclaimed that they are now on-the-clock with three very real chimes. The company discussed quarter-hour and mid-day chimes also. First Chime It begins with this from the shareholder letter, "During the quarter, we started development of a next-generation 22-nanometer smart codec." In the past, Cirrus hasn't advanced this type of venture without first hooking a big fish. Three big catches come to mind. First, Apple (AAPL) replacing all of its codecs within phones and tablets with a new more powerful and lower power product. The second might be Samsung adding back a Cirrus codec in its high-end phones. Third, it might be a high-powered codec shoring up Cirrus' greenfield laptop business. Winning in all three is also possible. Looking backward helps determine ASP and timing. Cirrus first developed a 28nm DSP with the purpose of enabling voice biometrics. Within a year or so, a 22nm full mixed signal product appeared. Cirrus developed the hardware, but then stopped before adding the required intricate software functions. The targeted ASP for the DSP was $2. Not one fish bit. At the call, when asked about ASP growth, Forsyth stated: "That's really the logic that drives you down from -- in this case from 55-nanometer to 20-nanometer and that increased processing represents more features and capabilities and so you do typically expect to see some ASP accretion on. . ." In our view, it represents a $1-$1.5 ASP increase with the primary target being Apple, a codec increase from $2 to $3+. With Cirrus' business model, major efforts require a year of development and a year for the customer to test before the real revenue ramp. This chime could sound in two years. A table shown next summaries revenue possibilities. Revenue ASP Adder Units (Million) Revenue (Million) Apple $1.25 *300 $400 Samsung $3.5 75 $250 Laptop NA NN Included within the Category below * iPhone plus tablet We can't fathom Cirrus undertaking this kind of resource intensive task without Apple demanding it. Samsung hasn't been a reliable customer over time, adding and dropping Cirrus' codecs. Second Chime Next chime rings with a deeper understanding of Cirrus' movement into the laptop market. From the shareholder letter, "With ongoing engagements with numerous leading OEMs, in FY23 we expect to see over 40 new laptop models come to market featuring our high-voltage boosted amplifiers and codecs." During the call, Cirrus' CEO, John Forsyth, adds, "In terms of the overall size, I am not going to predict what we can do, but from a SAM perspective, we see this within our strategic planning horizon as getting to a $1 billion SAM or higher across audio haptics and power." The parts for the three categories include: Codec: Audio, 1, $2-$3 ASP Amplifiers: Audio, 2-4, $1-$2 ASP Haptics: HPMS, 1-2, $0.60-$1.20 Power Charging: HPMS, 1-2, $1-$2 Battery Sensor: HPMS, 1-2, $0.50-$1.0 Power Management: HPMS, 1, $1.0 (Question Mark) Total ASP Between $5.5 - $10.0 Half ASP Audio, Half ASP HPMS In the past, Cirrus' penetration history results in achieving 60%-70% of its SAM. In our view, the likely wins over the next few years chime in at $600 million. This chime rang a few months ago and will continue gaining velocity. Again, as stated above, we aren't sure the full purpose for the 22 nm codec, but if its primary purpose is for laptops, then the revenue falls within this chime. We doubt. Third Chime Management discussed a future market, battery charging, management plus sensor. From the last quarter's conference, it appears that the future sensor will use 22 nm technology. Our interest in this development arises from two posted openings at Cirrus plus a statement made by Forsyth in the Q&A. 1st Opening: "You will play a fundamental role in bringing to market next-generation devices for our growing power and battery management business." Location: Cupertino. 2nd Opening: Product Marketing Engineer - Battery and Power, "Working with multi-functional teams across the organization, you will assist with and/or lead initiatives for a strategic customer within a leading consumer electronics company." Answering a question concerning Lion charging technology, Forsyth added, "That's a big focus of our R&D efforts over the past year and in the coming years. So that will - I will leave it there given the custom nature of those products." Cirrus has never produced fully custom products except with one customer, Apple.

Shareholder Returns

CRUSUS SemiconductorUS Market
7D3.1%6.1%3.3%
1Y-11.9%-24.0%-20.4%

Return vs Industry: CRUS exceeded the US Semiconductor industry which returned -22.5% over the past year.

Return vs Market: CRUS exceeded the US Market which returned -18.8% over the past year.

Price Volatility

Is CRUS's price volatile compared to industry and market?
CRUS volatility
CRUS Average Weekly Movement4.7%
Semiconductor Industry Average Movement7.8%
Market Average Movement6.9%
10% most volatile stocks in US Market15.6%
10% least volatile stocks in US Market2.9%

Stable Share Price: CRUS is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: CRUS's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19841,591John Forsythhttps://www.cirrus.com

Cirrus Logic, Inc., a fabless semiconductor company, provides low-power and high-precision mixed-signal processing solutions in the United States and internationally. It offers portable products, including codecs components that integrate analog-to-digital converters (ADCs) and digital-to-analog converters (DACs) into a single integrated circuit (IC); smart codecs, a codec with digital signal processer; boosted amplifiers; digital signal processors; and SoundClear technology, which consists of a portfolio of tools, software, and algorithms that helps to enhance user experience with features, such as louder, high-fidelity sound, audio playback, voice capture, hearing augmentation, and active noise cancellation. The company’s audio products are used in smartphones, tablets, wireless headsets, laptops, AR/VR headsets, home theater systems, automotive entertainment systems, and professional audio systems.

Cirrus Logic Fundamentals Summary

How do Cirrus Logic's earnings and revenue compare to its market cap?
CRUS fundamental statistics
Market CapUS$4.01b
Earnings (TTM)US$348.85m
Revenue (TTM)US$1.90b

11.5x

P/E Ratio

2.1x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
CRUS income statement (TTM)
RevenueUS$1.90b
Cost of RevenueUS$911.52m
Gross ProfitUS$986.33m
Other ExpensesUS$637.48m
EarningsUS$348.85m

Last Reported Earnings

Jun 25, 2022

Next Earnings Date

n/a

Earnings per share (EPS)6.24
Gross Margin51.97%
Net Profit Margin18.38%
Debt/Equity Ratio0%

How did CRUS perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

Is CRUS undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

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

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for CRUS?

Other financial metrics that can be useful for relative valuation.

CRUS key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue2x
Enterprise Value/EBITDA8x
PEG Ratio2x

Price to Earnings Ratio vs Peers

How does CRUS's PE Ratio compare to its peers?

CRUS PE Ratio vs Peers
The above table shows the PE ratio for CRUS vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average20.9x
MTSI MACOM Technology Solutions Holdings
18.6x-33.5%US$4.1b
OLED Universal Display
26.7x15.5%US$4.9b
POWI Power Integrations
21.6x-3.2%US$4.0b
SYNA Synaptics
16.5x1.1%US$4.3b
CRUS Cirrus Logic
11.5x5.7%US$4.0b

Price-To-Earnings vs Peers: CRUS is good value based on its Price-To-Earnings Ratio (11.5x) compared to the peer average (20.9x).


Price to Earnings Ratio vs Industry

How does CRUS's PE Ratio compare vs other companies in the US Semiconductor Industry?

Price-To-Earnings vs Industry: CRUS is good value based on its Price-To-Earnings Ratio (11.5x) compared to the US Semiconductor industry average (16.3x)


Price to Earnings Ratio vs Fair Ratio

What is CRUS'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.

CRUS PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio11.5x
Fair PE Ratio16.3x

Price-To-Earnings vs Fair Ratio: CRUS is good value based on its Price-To-Earnings Ratio (11.5x) compared to the estimated Fair Price-To-Earnings Ratio (16.3x).


Share Price vs Fair Value

What is the Fair Price of CRUS when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: CRUS ($71.69) is trading above our estimate of fair value ($32.59)

Significantly Below Fair Value: CRUS is trading above our estimate of fair value.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.


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Future Growth

How is Cirrus Logic forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


5.7%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CRUS's forecast earnings growth (5.7% per year) is above the savings rate (1.9%).

Earnings vs Market: CRUS's earnings (5.7% per year) are forecast to grow slower than the US market (14.8% per year).

High Growth Earnings: CRUS's earnings are forecast to grow, but not significantly.

Revenue vs Market: CRUS's revenue (2.7% per year) is forecast to grow slower than the US market (7.6% per year).

High Growth Revenue: CRUS's revenue (2.7% 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 CRUS's Return on Equity is forecast to be high in 3 years time


Discover growth companies

Past Performance

How has Cirrus Logic performed over the past 5 years?

Past Performance Score

6/6

Past Performance Score 6/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


11.6%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: CRUS has high quality earnings.

Growing Profit Margin: CRUS's current net profit margins (18.4%) are higher than last year (15.4%).


Past Earnings Growth Analysis

Earnings Trend: CRUS's earnings have grown by 11.6% per year over the past 5 years.

Accelerating Growth: CRUS's earnings growth over the past year (61.2%) exceeds its 5-year average (11.6% per year).

Earnings vs Industry: CRUS earnings growth over the past year (61.2%) exceeded the Semiconductor industry 49.2%.


Return on Equity

High ROE: CRUS's Return on Equity (21.8%) is considered high.


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Financial Health

How is Cirrus Logic's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: CRUS's short term assets ($861.0M) exceed its short term liabilities ($252.6M).

Long Term Liabilities: CRUS's short term assets ($861.0M) exceed its long term liabilities ($254.1M).


Debt to Equity History and Analysis

Debt Level: CRUS is debt free.

Reducing Debt: CRUS had no debt 5 years ago.

Debt Coverage: CRUS has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: CRUS has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


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Dividend

What is Cirrus Logic current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage

Dividend Yield vs Market

Cirrus Logic Dividend Yield vs Market
How does Cirrus Logic dividend yield compare to the market?
SegmentDividend Yield
Company (Cirrus Logic)n/a
Market Bottom 25% (US)1.6%
Market Top 25% (US)4.6%
Industry Average (Semiconductor)2.0%
Analyst forecast in 3 Years (Cirrus Logic)0%

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

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

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


Earnings Payout to Shareholders

Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as CRUS has not reported any payouts.


Discover strong dividend paying companies

Management

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

1.7yrs

Average management tenure


CEO

John Forsyth (48 yo)

1.75yrs

Tenure

US$6,624,467

Compensation

Mr. John M. Forsyth serves as President of Cirrus Logic, Inc. since January 27, 2020 and has been its Chief Executive Officer and Director since January 1, 2021. Mr. Forsyth served as Chief Strategy Office...


CEO Compensation Analysis

John Forsyth's Compensation vs Cirrus Logic Earnings
How has John Forsyth's remuneration changed compared to Cirrus Logic's earnings?
DateTotal Comp.SalaryCompany Earnings
Jun 25 2022n/an/a

US$349m

Mar 26 2022US$7mUS$613k

US$326m

Dec 25 2021n/an/a

US$255m

Sep 25 2021n/an/a

US$242m

Jun 26 2021n/an/a

US$216m

Mar 27 2021US$4mUS$443k

US$217m

Dec 26 2020n/an/a

US$202m

Sep 26 2020n/an/a

US$156m

Jun 27 2020n/an/a

US$173m

Mar 28 2020US$3mUS$325k

US$159m

Compensation vs Market: John's total compensation ($USD6.62M) is about average for companies of similar size in the US market ($USD6.78M).

Compensation vs Earnings: John's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: CRUS's management team is not considered experienced ( 1.7 years average tenure), which suggests a new team.


Board Members

Experienced Board: CRUS's board of directors are considered experienced (5.5 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: CRUS insiders have only sold shares in the past 3 months.


Recent Insider Transactions

NasdaqGS:CRUS Recent Insider Transactions by Companies or Individuals
DateValueNameEntityRoleSharesMax Price
08 Aug 22SellUS$84,740Alexander DavernIndividual1,000US$84.74
17 May 22SellUS$326,918Justin DoughertyIndividual4,039US$80.94
06 May 22SellUS$79,990Alexander DavernIndividual1,000US$79.99
18 Feb 22SellUS$142,843Carl AlbertyIndividual1,666US$85.74

Ownership Breakdown

What is the ownership structure of CRUS?
Owner TypeNumber of SharesOwnership Percentage
State or Government25,3860.05%
Individual Insiders447,2070.8%
General Public5,063,8309.1%
Institutions50,403,94190.1%

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Top 25 shareholders own 70.46% of the company
OwnershipNameSharesCurrent ValueChange %Portfolio %
15.17%
FMR LLC
8,487,482$608.5m-3.44%0.06%
10.76%
The Vanguard Group, Inc.
6,019,954$431.6m1.35%0.01%
9.44%
BlackRock, Inc.
5,279,039$378.5m-8.29%0.01%
4.9%
Mackenzie Financial Corporation
2,739,177$196.4m6.85%0.24%
3.49%
Wellington Management Group LLP
1,954,423$140.1m-0.9%0.02%
3.48%
State Street Global Advisors, Inc.
1,946,238$139.5m-2.09%0.01%
2.52%
Dimensional Fund Advisors LP
1,408,213$101.0m-1.74%0.02%
1.84%
Macquarie Investment Management Business Trust
1,028,778$73.8m6.45%0.08%
1.7%
Managed Account Advisors LLC
952,165$68.3m4.24%0.02%
1.6%
Fuller & Thaler Asset Management, Inc.
894,411$64.1m208.37%0.44%
1.56%
EARNEST Partners, LLC
870,092$62.4m12.75%0.4%
1.4%
Geode Capital Management, LLC
780,454$56.0m-0.45%0.01%
1.29%
Citadel Advisors LLC
723,667$51.9m12.85%0.08%
1.25%
Royce & Associates, LP
702,015$50.3m-6.16%0.38%
1.09%
LSV Asset Management
608,519$43.6m1.51%0.09%
1.02%
Marshall Wace LLP
567,961$40.7m8265.9%0.11%
1.01%
Jacobs Levy Equity Management Inc
562,913$40.4m6.63%0.31%
1%
Norges Bank Investment Management
560,658$40.2m0%0.01%
1%
BNY Mellon Asset Management
559,358$40.1m1.38%0.01%
0.9%
Columbia Management Investment Advisers, LLC
500,935$35.9m5.57%0.01%
0.88%
Charles Schwab Investment Management, Inc.
493,666$35.4m2.75%0.01%
0.87%
Adage Capital Management, L.P.
484,396$34.7m-7.73%0.08%
0.82%
Letko, Brosseau & Associates Inc.
456,999$32.8m-0.78%0.54%
0.77%
Northern Trust Global Investments
431,895$31.0m-2.23%0.01%
0.72%
LMR Partners LLP
400,000$28.7m-15.79%0.73%

Company Information

Cirrus Logic, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Cirrus Logic, Inc.
  • Ticker: CRUS
  • Exchange: NasdaqGS
  • Founded: 1984
  • Industry: Semiconductors
  • Sector: Semiconductors
  • Implied Market Cap: US$4.010b
  • Shares outstanding: 55.94m
  • Website: https://www.cirrus.com

Number of Employees


Location

  • Cirrus Logic, Inc.
  • 800 West 6th Street
  • Austin
  • Texas
  • 78701
  • United States


Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CRUSNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDJun 1989
CRUDB (Deutsche Boerse AG)YesCommon StockDEEURJun 1989
0HYILSE (London Stock Exchange)YesCommon StockGBUSDJun 1989
CRUS *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNJun 1989

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/10/06 00:00
End of Day Share Price2022/10/06 00:00
Earnings2022/06/25
Annual Earnings2022/03/26


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.