Smith Micro Software
Market Cap
US$284.5m
Last Updated
2021/01/23 23:10 UTC
Data Sources
Company Financials +
Executive Summary
Smith Micro Software, Inc. develops and sells software to enhance the mobile experience to wireless and cable service providers worldwide. More Details
Snowflake Analysis
Flawless balance sheet and slightly overvalued.
Share Price & News
How has Smith Micro Software's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: SMSI is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 7% a week.
Volatility Over Time: SMSI's weekly volatility (7%) has been stable over the past year.
Market Performance
7 Day Return
5.0%
SMSI
4.5%
US Software
2.3%
US Market
1 Year Return
37.5%
SMSI
45.1%
US Software
23.8%
US Market
Return vs Industry: SMSI underperformed the US Software industry which returned 45.1% over the past year.
Return vs Market: SMSI exceeded the US Market which returned 23.7% over the past year.
Shareholder returns
| SMSI | Industry | Market | |
|---|---|---|---|
| 7 Day | 5.0% | 4.5% | 2.3% |
| 30 Day | 29.0% | -0.002% | 4.8% |
| 90 Day | 65.6% | 8.1% | 14.5% |
| 1 Year | 37.5%37.5% | 46.0%45.1% | 26.6%23.8% |
| 3 Year | 156.1%156.1% | 126.7%119.4% | 45.0%35.4% |
| 5 Year | 206.7%206.7% | 273.1%252.6% | 126.2%101.0% |
Long-Term Price Volatility Vs. Market
How volatile is Smith Micro Software's share price compared to the market and industry in the last 5 years?
Simply Wall St News
4 days ago | Simply Wall St
Smith Micro Software, Inc.'s (NASDAQ:SMSI) Stock's On An Uptrend: Are Strong Financials Guiding The Market?2 weeks ago | Simply Wall St
Can Smith Micro Software (NASDAQ:SMSI) Continue To Grow Its Returns On Capital?1 month ago | Simply Wall St
What Type Of Shareholders Make Up Smith Micro Software, Inc.'s (NASDAQ:SMSI) Share Registry?Valuation
Is Smith Micro Software undervalued compared to its fair value and its price relative to the market?
38.1x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: SMSI ($6.89) is trading above our estimate of fair value ($1.87)
Significantly Below Fair Value: SMSI is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: SMSI is good value based on its PE Ratio (38.1x) compared to the US Software industry average (61x).
PE vs Market: SMSI is poor value based on its PE Ratio (38.1x) compared to the US market (21.3x).
Price to Earnings Growth Ratio
PEG Ratio: SMSI is poor value based on its PEG Ratio (2.3x)
Price to Book Ratio
PB vs Industry: SMSI is good value based on its PB Ratio (4.9x) compared to the US Software industry average (9.7x).
Next Steps
Future Growth
How is Smith Micro Software forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?
16.9%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SMSI's forecast earnings growth (16.9% per year) is above the savings rate (2%).
Earnings vs Market: SMSI's earnings (16.9% per year) are forecast to grow slower than the US market (21.6% per year).
High Growth Earnings: SMSI's earnings are forecast to grow, but not significantly.
Revenue vs Market: SMSI's revenue (9.8% per year) is forecast to grow slower than the US market (10.6% per year).
High Growth Revenue: SMSI's revenue (9.8% 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 SMSI's Return on Equity is forecast to be high in 3 years time
Next Steps
Past Performance
How has Smith Micro Software performed over the past 5 years?
52.7%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SMSI has high quality earnings.
Growing Profit Margin: SMSI's current net profit margins (14.2%) are lower than last year (25.2%).
Past Earnings Growth Analysis
Earnings Trend: SMSI has become profitable over the past 5 years, growing earnings by 52.7% per year.
Accelerating Growth: SMSI's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: SMSI had negative earnings growth (-25.3%) over the past year, making it difficult to compare to the Software industry average (14.3%).
Return on Equity
High ROE: SMSI's Return on Equity (12.6%) is considered low.
Next Steps
Financial Health
How is Smith Micro Software's financial position?
Financial Position Analysis
Short Term Liabilities: SMSI's short term assets ($37.0M) exceed its short term liabilities ($7.8M).
Long Term Liabilities: SMSI's short term assets ($37.0M) exceed its long term liabilities ($6.1M).
Debt to Equity History and Analysis
Debt Level: SMSI is debt free.
Reducing Debt: SMSI had no debt 5 years ago.
Debt Coverage: SMSI has no debt, therefore it does not need to be covered by operating cash flow.
Interest Coverage: SMSI has no debt, therefore coverage of interest payments is not a concern.
Balance Sheet
Next Steps
Dividend
What is Smith Micro Software current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate SMSI's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate SMSI'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 SMSI's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if SMSI'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 SMSI'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?
4.8yrs
Average management tenure
CEO
William Smith (72 yo)
39yrs
Tenure
US$1,186,934
Compensation
Mr. William W. Smith, Jr., co-founded Smith Micro Software Inc. in 1982 and has been its Chairman of the Board, President and Chief Executive Officer since 1982. Mr. Smith served at Rockwell International ...
CEO Compensation Analysis
Compensation vs Market: William's total compensation ($USD1.19M) is about average for companies of similar size in the US market ($USD994.97K).
Compensation vs Earnings: William's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Co-Founder | 39yrs | US$1.19m | 11.69% $ 33.3m | |
| VP, CFO | 3.58yrs | US$597.83k | 0.63% $ 1.8m | |
| VP, Chief Technology Officer & Director of Software Engineering | 21.33yrs | US$606.44k | 0.84% $ 2.4m | |
| Senior Vice President of Sales Worldwide | 4.25yrs | US$680.90k | 0.68% $ 1.9m | |
| VP & Chief Information Officer | no data | US$398.36k | no data | |
| Vice President of Investor Relations & Corporate Development | 4.75yrs | US$311.51k | no data | |
| Senior Vice President of Engineering | no data | US$223.10k | no data |
4.8yrs
Average Tenure
57yo
Average Age
Experienced Management: SMSI's management team is considered experienced (4.8 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Co-Founder | 39yrs | US$1.19m | 11.69% $ 33.3m | |
| Independent Director | 16.25yrs | US$64.50k | 0.23% $ 649.4k | |
| Independent Director | 9.5yrs | US$64.50k | 0.59% $ 1.7m | |
| Independent Director | 6.17yrs | US$64.50k | 0.21% $ 611.5k | |
| Independent Director | 25.5yrs | US$64.50k | 0.11% $ 323.8k | |
| Independent Director | 9.5yrs | US$64.50k | 0.28% $ 785.5k |
12.9yrs
Average Tenure
70.5yo
Average Age
Experienced Board: SMSI's board of directors are seasoned and experienced ( 12.9 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: SMSI 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 7.3%.
Top Shareholders
Company Information
Smith Micro Software, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Smith Micro Software, Inc.
- Ticker: SMSI
- Exchange: NasdaqCM
- Founded: 1982
- Industry: Application Software
- Sector: Software
- Market Cap: US$284.525m
- Shares outstanding: 41.30m
- Website: https://www.smithmicro.com
Number of Employees
Location
- Smith Micro Software, Inc.
- 5800 Corporate Drive
- Pittsburgh
- Pennsylvania
- 15237
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| SMSI | NasdaqCM (Nasdaq Capital Market) | Yes | Common Stock | US | USD | Sep 1995 |
| SS91 | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Sep 1995 |
Biography
Smith Micro Software, Inc. develops and sells software to enhance the mobile experience to wireless and cable service providers worldwide. The company provides SafePath Family, a platform that provides fam...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/01/23 23:10 |
| End of Day Share Price | 2021/01/22 00:00 |
| Earnings | 2020/09/30 |
| Annual Earnings | 2019/12/31 |
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.