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MXL

MaxLinear NasdaqGS:MXL Stock Report

Last Price

US$35.25

Market Cap

US$2.7b

7D

2.0%

1Y

-15.9%

Updated

27 Jun, 2022

Data

Company Financials +
MXL fundamental analysis
Snowflake Score
Valuation2/6
Future Growth5/6
Past Performance3/6
Financial Health5/6
Dividends0/6

MXL Stock Overview

MaxLinear, Inc. provides radiofrequency (RF), high-performance analog, and mixed-signal communications systems-on-chip solutions (SoCs) for the connected home, wired and wireless infrastructure, and industrial and multi-market applications worldwide.

MaxLinear Competitors

Price History & Performance

Summary of all time highs, changes and price drops for MaxLinear
Historical stock prices
Current Share PriceUS$35.25
52 Week HighUS$77.89
52 Week LowUS$32.87
Beta2.01
1 Month Change-11.25%
3 Month Change-43.98%
1 Year Change-15.89%
3 Year Change44.94%
5 Year Change28.28%
Change since IPO88.50%

Recent News & Updates

Jun 14

Making Sense Of MaxLinear's Bid For Silicon Motion

MaxLinear is to acquire Silicon Motion in a cash and stock transaction valuing the latter at $3.8 billion. As per the analysis, the deal represents synergistic growth across the compute, networking, and storage areas. More importantly, there should be cost synergies that come with scale together with volume orders of chips from foundries, and MaxLinear has the ability to also leverage Silicon's lower staff cost. On the other hand, there are risks of regulatory delays which can induce volatility in the share prices. Taking into consideration lower valuations, I consider that only the acquisition target is a buy, but wait for the market to stabilize before investing.

May 06

MaxLinear - Maxing Out Too Much

MaxLinear has seen huge operating and share price momentum following the pandemic, amidst savvy dealmaking. After operating momentum has clearly cooled down, a mega deal is announced at a curious point in the cycle. Given the huge cash composition of a newly announced mega deal, and thus leverage, I am turning very cautious here, with real challenges at hand.

Shareholder Returns

MXLUS SemiconductorUS Market
7D2.0%5.5%6.6%
1Y-15.9%-13.5%-18.4%

Return vs Industry: MXL underperformed the US Semiconductor industry which returned -13.5% over the past year.

Return vs Market: MXL exceeded the US Market which returned -18.4% over the past year.

Price Volatility

Is MXL's price volatile compared to industry and market?
MXL volatility
MXL Average Weekly Movement10.4%
Semiconductor Industry Average Movement8.5%
Market Average Movement8.1%
10% most volatile stocks in US Market16.6%
10% least volatile stocks in US Market3.2%

Stable Share Price: MXL is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 10% a week.

Volatility Over Time: MXL's weekly volatility (10%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
20031,503Kishore Seendripuhttps://www.maxlinear.com

MaxLinear, Inc. provides radiofrequency (RF), high-performance analog, and mixed-signal communications systems-on-chip solutions (SoCs) for the connected home, wired and wireless infrastructure, and industrial and multi-market applications worldwide. Its products integrate various portions of a high-speed communication system, including RF, high-performance analog, mixed-signal, digital signal processing, security engines, data compression, networking layers, and power management. The company offers broadband radio transceiver front ends, data converters, embedded systems and software architecture, and architecture and system design for highly integrated end-to-end communication platform solutions.

MaxLinear Fundamentals Summary

How do MaxLinear's earnings and revenue compare to its market cap?
MXL fundamental statistics
Market CapUS$2.73b
Earnings (TTM)US$71.75m
Revenue (TTM)US$946.97m

38.0x

P/E Ratio

2.9x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
MXL income statement (TTM)
RevenueUS$946.97m
Cost of RevenueUS$408.26m
Gross ProfitUS$538.70m
Other ExpensesUS$466.95m
EarningsUS$71.75m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)0.93
Gross Margin56.89%
Net Profit Margin7.58%
Debt/Equity Ratio54.2%

How did MXL perform over the long term?

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

Valuation

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

Valuation Score

2/6

Valuation Score 2/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

MXL 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/Revenue3x
Enterprise Value/EBITDA15.2x
PEG Ratio1.3x

Price to Earnings Ratio vs Peers

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

MXL PE Ratio vs Peers
The above table shows the PE ratio for MXL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average37.2x
SITM SiTime
90.5x22.5%US$3.8b
SIMO Silicon Motion Technology
13.1x11.5%US$2.9b
JKS JinkoSolar Holding
41.9x36.9%US$3.3b
HIMX Himax Technologies
3.3x-19.9%US$1.6b
MXL MaxLinear
38x28.3%US$2.7b

Price-To-Earnings vs Peers: MXL is expensive based on its Price-To-Earnings Ratio (38x) compared to the peer average (37.2x).


Price to Earnings Ratio vs Industry

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

Price-To-Earnings vs Industry: MXL is expensive based on its Price-To-Earnings Ratio (38x) compared to the US Semiconductor industry average (18.4x)


Price to Earnings Ratio vs Fair Ratio

What is MXL'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.

MXL PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio38x
Fair PE Ratio29.3x

Price-To-Earnings vs Fair Ratio: MXL is expensive based on its Price-To-Earnings Ratio (38x) compared to the estimated Fair Price-To-Earnings Ratio (29.3x).


Share Price vs Fair Value

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

Below Fair Value: MXL ($35.25) is trading below our estimate of fair value ($114.29)

Significantly Below Fair Value: MXL is trading below fair value by more than 20%.


Price to Earnings Growth Ratio

PEG Ratio: MXL is poor value based on its PEG Ratio (1.3x)


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Future Growth

How is MaxLinear forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?

Future Growth Score

5/6

Future Growth Score 5/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


28.3%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MXL's forecast earnings growth (28.3% per year) is above the savings rate (1.9%).

Earnings vs Market: MXL's earnings (28.3% per year) are forecast to grow faster than the US market (13.9% per year).

High Growth Earnings: MXL's earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: MXL's revenue (8.8% per year) is forecast to grow faster than the US market (8.4% per year).

High Growth Revenue: MXL's revenue (8.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: MXL's Return on Equity is forecast to be high in 3 years time (31.6%)


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Past Performance

How has MaxLinear performed over the past 5 years?

Past Performance Score

3/6

Past Performance Score 3/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-15.1%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: MXL has high quality earnings.

Growing Profit Margin: MXL became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: MXL has become profitable over the past 5 years, growing earnings by -15.1% per year.

Accelerating Growth: MXL has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: MXL has become profitable in the last year, making it difficult to compare its past year earnings growth to the Semiconductor industry (70.4%).


Return on Equity

High ROE: MXL's Return on Equity (13.6%) is considered low.


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Financial Health

How is MaxLinear's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: MXL's short term assets ($454.6M) exceed its short term liabilities ($234.8M).

Long Term Liabilities: MXL's short term assets ($454.6M) exceed its long term liabilities ($336.5M).


Debt to Equity History and Analysis

Debt Level: MXL's net debt to equity ratio (22%) is considered satisfactory.

Reducing Debt: MXL's debt to equity ratio has increased from 1.3% to 54.2% over the past 5 years.

Debt Coverage: MXL's debt is well covered by operating cash flow (91.6%).

Interest Coverage: MXL's interest payments on its debt are well covered by EBIT (9.4x coverage).


Balance Sheet


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Dividend

What is MaxLinear 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

  • Future Dividend Coverage

Dividend Yield vs Market

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

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

Growing Dividend: Insufficient data to determine if MXL'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 MXL has not reported any payouts.


Discover strong dividend paying companies

Management

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

7.0yrs

Average management tenure


CEO

Kishore Seendripu (52 yo)

18.75yrs

Tenure

US$6,212,011

Compensation

Dr. Kishore Seendripu, Ph.D. is a Co-Founder and has served as Chairman, President, and Chief Executive Officer of MaxLinear, Inc. since inception in September 2003 and also serves as its Director. From J...


CEO Compensation Analysis

Compensation vs Market: Kishore's total compensation ($USD6.21M) is about average for companies of similar size in the US market ($USD6.87M).

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


Leadership Team

Experienced Management: MXL's management team is seasoned and experienced (7 years average tenure).


Board Members

Experienced Board: MXL's board of directors are considered experienced (5.3 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 been diluted in the past year, with total shares outstanding growing by 2.6%.


Top Shareholders

Company Information

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


Key Information

  • Name: MaxLinear, Inc.
  • Ticker: MXL
  • Exchange: NasdaqGS
  • Founded: 2003
  • Industry: Semiconductors
  • Sector: Semiconductors
  • Implied Market Cap: US$2.727b
  • Shares outstanding: 77.36m
  • Website: https://www.maxlinear.com

Number of Employees


Location

  • MaxLinear, Inc.
  • 5966 La Place Court
  • Suite 100
  • Carlsbad
  • California
  • 92008
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/27 00:00
End of Day Share Price2022/06/27 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


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.