NasdaqGS:CRUS

Stock Analysis Report

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Executive Summary

Cirrus Logic, Inc., a fabless semiconductor company, develops, manufactures, and markets analog and mixed-signal integrated circuits (ICs) in the United States and internationally.


Snowflake Analysis

Flawless balance sheet with solid track record.


Similar Companies

Share Price & News

How has Cirrus Logic's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

1.2%

CRUS

-0.1%

US Semiconductor

2.0%

US Market


1 Year Return

93.8%

CRUS

40.7%

US Semiconductor

7.1%

US Market

Return vs Industry: CRUS exceeded the US Semiconductor industry which returned 40.7% over the past year.

Return vs Market: CRUS exceeded the US Market which returned 7.1% over the past year.


Shareholder returns

CRUSIndustryMarket
7 Day1.2%-0.1%2.0%
30 Day0.8%7.0%6.0%
90 Day8.1%7.3%-0.05%
1 Year93.8%93.8%43.4%40.7%9.5%7.1%
3 Year9.1%9.1%65.0%56.2%30.7%22.1%
5 Year99.9%99.9%140.9%118.1%55.6%38.0%

Price Volatility Vs. Market

How volatile is Cirrus Logic's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Cirrus Logic undervalued compared to its fair value and its price relative to the market?

27.13x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: CRUS ($74.19) is trading above our estimate of fair value ($37.85)

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


Price To Earnings Ratio

PE vs Industry: CRUS is good value based on its PE Ratio (27.1x) compared to the Semiconductor industry average (33.9x).

PE vs Market: CRUS is poor value based on its PE Ratio (27.1x) compared to the US market (15.6x).


Price to Earnings Growth Ratio

PEG Ratio: CRUS is poor value based on its PEG Ratio (4x)


Price to Book Ratio

PB vs Industry: CRUS is overvalued based on its PB Ratio (3.5x) compared to the US Semiconductor industry average (3.1x).


Next Steps

Future Growth

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

6.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CRUS's forecast earnings growth (6.8% per year) is above the savings rate (2.2%).

Earnings vs Market: CRUS's earnings (6.8% per year) are forecast to grow slower than the US market (21.6% per year).

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

Revenue vs Market: CRUS's revenue (2.2% per year) is forecast to grow slower than the US market (8.8% per year).

High Growth Revenue: CRUS's revenue (2.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CRUS's Return on Equity is forecast to be low in 3 years time (17.1%).


Next Steps

Past Performance

How has Cirrus Logic performed over the past 5 years?

1.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CRUS has high quality earnings.

Growing Profit Margin: CRUS's current net profit margins (12.4%) are higher than last year (7.6%).


Past Earnings Growth Analysis

Earnings Trend: CRUS's earnings have grown by 1.2% per year over the past 5 years.

Accelerating Growth: CRUS's earnings growth over the past year (77.1%) exceeds its 5-year average (1.2% per year).

Earnings vs Industry: CRUS earnings growth over the past year (77.1%) exceeded the Semiconductor industry -13.2%.


Return on Equity

High ROE: CRUS's Return on Equity (13%) is considered low.


Next Steps

Financial Health

How is Cirrus Logic's financial position?


Financial Position Analysis

Short Term Liabilities: CRUS's short term assets ($650.2M) exceed its short term liabilities ($158.6M).

Long Term Liabilities: CRUS's short term assets ($650.2M) exceed its long term liabilities ($204.3M).


Debt to Equity History and Analysis

Debt Level: CRUS is debt free.

Reducing Debt: CRUS has no debt compared to 5 years ago when its debt to equity ratio was 23.8%.

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


Next Steps

Dividend

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


Dividend Yield vs Market

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.


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 CRUS's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

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

12.8yrs

Average management tenure


CEO

Jason Rhode (49yo)

13yrs

Tenure

US$4,911,321

Compensation

Dr. Jason P. Rhode, Ph.D. has been the Chief Executive Officer of Cirrus Logic Inc. (also known as Cirrus Logic K.K.) since May 17, 2007 and serves as its Director since May 2007. He had been President of  ...


CEO Compensation Analysis

Compensation vs Market: Jason's total compensation ($USD4.91M) is about average for companies of similar size in the US market ($USD5.91M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Jason Rhode
CEO & Director13yrsUS$4.91m0.36% $15.7m
Thurman Case
VP of Finance13.25yrsUS$1.15m0.013% $562.1k
Gregory Thomas
Senior VP16.42yrsUS$1.14m0.017% $733.8k
Andrew Brannan
Vice President of Worldwide Salesno dataUS$1.05m0.0037% $159.5k
Jo-Dee Benson
VP & Chief Culture Officer8.83yrsUS$1.10m0.015% $645.3k
John Forsyth
President0.33yrno datano data
Chelsea Heffernan
Director of Investor Relationsno datano datano data
Scott Anderson
Senior Vice President of Supply Chain12.58yrsUS$1.34m0.0061% $263.9k
Jonanna Mikulenka
Corporate Controllerno datano datano data
Amy Garrett
Financial Reporting Managerno datano datano data

12.8yrs

Average Tenure

53yo

Average Age

Experienced Management: CRUS's management team is seasoned and experienced (12.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Jason Rhode
CEO & Director13yrsUS$4.91m0.36% $15.7m
Deirdre Hanford
Independent Director1.42yrsUS$253.93k0.0038% $163.0k
Alexander Davern
Independent Director5.17yrsUS$287.91k0.034% $1.5m
Timothy Dehne
Independent Director11.33yrsUS$288.36k0.026% $1.1m
Catherine Lego
Non-Employee Director0.083yrno datano data
Alan Schuele
Independent Chairman7.75yrsUS$329.97k0.035% $1.5m
John Carter
Independent Director11.33yrsUS$267.47k0.023% $1.0m
David Tupman
Independent Director4.83yrsUS$265.79k0.026% $1.1m

6.5yrs

Average Tenure

56yo

Average Age

Experienced Board: CRUS's board of directors are considered experienced (6.5 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.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

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


Key Information

  • Name: Cirrus Logic, Inc.
  • Ticker: CRUS
  • Exchange: NasdaqGS
  • Founded: 1984
  • Industry: Semiconductors
  • Sector: Semiconductors
  • Market Cap: US$4.334b
  • Shares outstanding: 58.36m
  • 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

Biography

Cirrus Logic, Inc., a fabless semiconductor company, develops, manufactures, and markets analog and mixed-signal integrated circuits (ICs) in the United States and internationally. It offers portable products, including codecs-chips that integrate analog-to-digital converters (ADCs) and digital-to-analog converters (DACs) into a single IC; smart codecs, a codec with digital signal processer; boosted amplifiers; micro-electromechanical systems microphones; haptic drivers; digital signal processors; and SoundClear technology, which consists of a portfolio of tools, software, and algorithms that offer enhanced voice quality, voice capture, and audio playback features. The company provides its portable products for use in smartphones, tablets, digital headsets, speakers, VR headsets, and action cameras; and wearables, such as smart watches and bands. It also offers non-portable and other products comprising codecs, ADCs, DACs, digital interfaces, and amplifiers for use in laptops, audio/video receivers, home theater systems, set-top boxes, musical instruments, and professional audio products; satellite radio systems, telematics, and multi-speaker car-audio systems; and high-precision industrial and energy-related applications, including digital utility meters, power supplies, energy control, energy measurement, and energy exploration applications. The company markets and sells its products through direct sales force, external sales representatives, and distributors. Cirrus Logic, Inc. was founded in 1984 and is headquartered in Austin, Texas. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/05/28 03:54
End of Day Share Price2020/05/27 00:00
Earnings2020/03/28
Annual Earnings2020/03/28


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.