Market Cap
US$38.4m
Last Updated
2021/02/25 23:13 UTC
Data Sources
Company Financials
Executive Summary
CSP Inc. develops and markets IT integration solutions, security products, managed IT services, purpose built network adapters, and cluster computer systems for commercial and defense customers worldwide. More Details
Rewards
Risk Analysis
+ 1 more risk
Snowflake Analysis
Adequate balance sheet and fair value.
Similar Companies
Share Price & News
How has CSP's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: CSPI is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 10% a week.
Volatility Over Time: CSPI's weekly volatility (10%) has been stable over the past year.
Market Performance
7 Day Return
-4.5%
CSPI
-3.5%
US IT
-3.2%
US Market
1 Year Return
-33.9%
CSPI
39.3%
US IT
38.9%
US Market
Return vs Industry: CSPI underperformed the US IT industry which returned 38.4% over the past year.
Return vs Market: CSPI underperformed the US Market which returned 37.1% over the past year.
Shareholder returns
| CSPI | Industry | Market | |
|---|---|---|---|
| 7 Day | -4.5% | -3.5% | -3.2% |
| 30 Day | -15.9% | 4.0% | -0.8% |
| 90 Day | 7.8% | 5.0% | 3.1% |
| 1 Year | -33.9%-33.9% | 40.7%39.3% | 42.0%38.9% |
| 3 Year | -20.3%-27.6% | 98.3%90.9% | 60.6%50.3% |
| 5 Year | 87.3%55.7% | 211.4%189.6% | 128.0%102.5% |
Long-Term Price Volatility Vs. Market
How volatile is CSP's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 month ago | Simply Wall St
Does CSP's (NASDAQ:CSPI) CEO Salary Compare Well With Industry Peers?3 months ago | Simply Wall St
Is CSP (NASDAQ:CSPI) Using Debt In A Risky Way?6 months ago | Simply Wall St
Health Check: How Prudently Does CSP (NASDAQ:CSPI) Use Debt?Valuation
Is CSP undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: CSPI ($8.69) is trading below our estimate of fair value ($63.97)
Significantly Below Fair Value: CSPI is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: CSPI is poor value based on its PE Ratio (184.5x) compared to the US IT industry average (36.4x).
PE vs Market: CSPI is poor value based on its PE Ratio (184.5x) compared to the US market (21.7x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate CSPI's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: CSPI is good value based on its PB Ratio (1.2x) compared to the US IT industry average (5.2x).
Next Steps
Future Growth
How is CSP forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?
19.2%
Forecasted Software industry annual growth in earnings
In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as CSP has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.
This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.
Next Steps
- Examine whether CSP is trading at an attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.
- Explore growth companies in the Software industry.
Past Performance
How has CSP performed over the past 5 years?
-56.2%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: CSPI has a large one-off gain of $2.2M impacting its December 31 2020 financial results.
Growing Profit Margin: CSPI became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: CSPI's earnings have declined by 56.2% per year over the past 5 years.
Accelerating Growth: CSPI has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: CSPI has become profitable in the last year, making it difficult to compare its past year earnings growth to the IT industry (5.9%).
Return on Equity
High ROE: CSPI's Return on Equity (0.8%) is considered low.
Next Steps
Financial Health
How is CSP's financial position?
Financial Position Analysis
Short Term Liabilities: CSPI's short term assets ($41.9M) exceed its short term liabilities ($12.0M).
Long Term Liabilities: CSPI's short term assets ($41.9M) exceed its long term liabilities ($9.8M).
Debt to Equity History and Analysis
Debt Level: CSPI's debt to equity ratio (5.4%) is considered satisfactory.
Reducing Debt: Insufficient data to determine if CSPI's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: CSPI's debt is well covered by operating cash flow (129.3%).
Interest Coverage: Insufficient data to determine if CSPI's interest payments on its debt are well covered by EBIT.
Balance Sheet
Next Steps
Dividend
What is CSP current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate CSPI's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate CSPI'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 CSPI's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if CSPI's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: CSPI is not paying a notable dividend for the US market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of CSPI'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?
6.3yrs
Average management tenure
CEO
Vic Dellovo (50 yo)
8.5yrs
Tenure
US$981,748
Compensation
Mr. Victor J. Dellovo, also known as Vic, has been the Chief Executive Officer of CSP Inc, since August 20, 2012 and has been its President since August 2012. He serves as President of Modcomp worldwide op...
CEO Compensation Analysis
Compensation vs Market: Vic's total compensation ($USD981.75K) is above average for companies of similar size in the US market ($USD507.93K).
Compensation vs Earnings: Vic's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO, President & Director | 8.5yrs | US$981.75k | 6.6% $ 2.5m | |
| VP of Finance | 37.42yrs | US$329.09k | 1.8% $ 691.6k | |
| VP of Finance & Chief Accounting Officer | 3.58yrs | US$246.11k | 0.64% $ 244.4k | |
| VP & GM of High Performance Products Segment | 4.17yrs | US$288.99k | 0.52% $ 199.1k |
6.3yrs
Average Tenure
56.5yo
Average Age
Experienced Management: CSPI's management team is seasoned and experienced (6.3 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO, President & Director | 8.5yrs | US$981.75k | 6.6% $ 2.5m | |
| Independent Chairman of the Board | 8.5yrs | US$122.33k | 1.02% $ 393.8k | |
| Independent Director | 5.08yrs | US$97.33k | 0.75% $ 290.0k | |
| Independent Director | 7.58yrs | US$105.39k | 0.90% $ 345.0k | |
| Independent Director | 7.58yrs | US$105.39k | 0.90% $ 345.0k |
7.6yrs
Average Tenure
70yo
Average Age
Experienced Board: CSPI's board of directors are considered experienced (7.6 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: CSPI insiders have only sold shares 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 3.2%.
Top Shareholders
Company Information
CSP Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: CSP Inc.
- Ticker: CSPI
- Exchange: NasdaqGM
- Founded: 1968
- Industry: IT Consulting and Other Services
- Sector: Software
- Market Cap: US$38.447m
- Shares outstanding: 4.37m
- Website: https://www.cspi.com
Number of Employees
Location
- CSP Inc.
- 175 Cabot Street
- Suite 210
- Lowell
- Massachusetts
- 1854
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| CSPI | NasdaqGM (Nasdaq Global Market) | Yes | Common Stock | US | USD | Jan 1982 |
Biography
CSP Inc. develops and markets IT integration solutions, security products, managed IT services, purpose built network adapters, and cluster computer systems for commercial and defense customers worldwide. ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/02/25 23:13 |
| End of Day Share Price | 2021/02/25 00:00 |
| Earnings | 2020/12/31 |
| Annual Earnings | 2020/09/30 |
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.