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TLS

Telos NasdaqGM:TLS Stock Report

Last Price

US$9.16

Market Cap

US$619.2m

7D

4.2%

1Y

-66.2%

Updated

10 Aug, 2022

Data

Company Financials +
TLS fundamental analysis
Snowflake Score
Valuation4/6
Future Growth0/6
Past Performance0/6
Financial Health6/6
Dividends0/6

TLS Stock Overview

Telos Corporation, together with its subsidiaries, provides information technology (IT) solutions and services worldwide.

Telos Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Telos
Historical stock prices
Current Share PriceUS$9.16
52 Week HighUS$34.68
52 Week LowUS$6.54
Beta0
1 Month Change21.00%
3 Month Change30.86%
1 Year Change-66.19%
3 Year Changen/a
5 Year Changen/a
Change since IPO-54.86%

Recent News & Updates

Aug 08

Telos Q2 2022 Earnings Preview

Telos (NASDAQ:TLS) is scheduled to announce Q2 earnings results on Tuesday, August 9th, before market open. The consensus EPS Estimate is -$0.03 and the consensus Revenue Estimate is $51.55M (-2.0% Y/Y). Over the last 1 year, TLS has beaten EPS estimates 50% of the time and has beaten revenue estimates 50% of the time. Over the last 3 months, EPS estimates have seen 0 upward revisions and 6 downward. Revenue estimates have seen 2 upward revisions and 4 downward.

Shareholder Returns

TLSUS SoftwareUS Market
7D4.2%-3.6%0.3%
1Y-66.2%-17.4%-13.5%

Return vs Industry: TLS underperformed the US Software industry which returned -17.4% over the past year.

Return vs Market: TLS underperformed the US Market which returned -13.5% over the past year.

Price Volatility

Is TLS's price volatile compared to industry and market?
TLS volatility
TLS Average Weekly Movement10.0%
Software Industry Average Movement10.7%
Market Average Movement7.9%
10% most volatile stocks in US Market17.2%
10% least volatile stocks in US Market3.2%

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

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

About the Company

FoundedEmployeesCEOWebsite
1968849John Woodhttps://www.telos.com

Telos Corporation, together with its subsidiaries, provides information technology (IT) solutions and services worldwide. It provides Xacta, a premier platform for enterprise cyber risk management and security compliance automation solutions to large commercial and government enterprises; and Telos Ghost, a solution to eliminate cyber-attack surfaces by obfuscating and encrypting data, masking user identity and location, and hiding network resources, as well as provides security and privacy for intelligence gathering, cyber threat protection, securing critical infrastructure, and protecting communications and applications. The company also offers Telos Automated Message Handling System, a web-based organizational message distribution and management platform for mission-critical communications used by military field operatives; and Telos ID that provides identity trust and digital services through IDTrust360, an enterprise-class digital identity risk platform for extending cloud identity services for mobile and enterprise and custom digital identity services that reduces threats through the integration of advanced technologies that fuse biometrics, credentials, and other identity-centric data used for continuously monitor trust.

Telos Fundamentals Summary

How do Telos's earnings and revenue compare to its market cap?
TLS fundamental statistics
Market CapUS$619.16m
Earnings (TTM)-US$37.98m
Revenue (TTM)US$238.98m

2.6x

P/S Ratio

-16.3x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
TLS income statement (TTM)
RevenueUS$238.98m
Cost of RevenueUS$150.16m
Gross ProfitUS$88.83m
Other ExpensesUS$126.81m
Earnings-US$37.98m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)-0.56
Gross Margin37.17%
Net Profit Margin-15.89%
Debt/Equity Ratio0%

How did TLS perform over the long term?

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

Valuation

Is TLS 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-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales 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 TLS?

Other financial metrics that can be useful for relative valuation.

TLS 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/Revenue2.1x
Enterprise Value/EBITDA-15.2x
PEG Ration/a

Price to Sales Ratio vs Peers

How does TLS's PS Ratio compare to its peers?

TLS PS Ratio vs Peers
The above table shows the PS ratio for TLS vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPSEstimated GrowthMarket Cap
Peer Average2.8x
TUFN Tufin Software Technologies
4.1x10.5%US$473.9m
SCWX SecureWorks
1.7x5.1%US$878.3m
ZUO Zuora
3.5x17.5%US$1.3b
OSPN OneSpan
2x5.0%US$443.0m
TLS Telos
2.6x7.7%US$619.2m

Price-To-Sales vs Peers: TLS is good value based on its Price-To-Sales Ratio (2.6x) compared to the peer average (2.8x).


Price to Earnings Ratio vs Industry

How does TLS's PE Ratio compare vs other companies in the US Software Industry?

Price-To-Sales vs Industry: TLS is good value based on its Price-To-Sales Ratio (2.6x) compared to the US Software industry average (5.2x)


Price to Sales Ratio vs Fair Ratio

What is TLS's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

TLS PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio2.6x
Fair PS Ratio1.8x

Price-To-Sales vs Fair Ratio: TLS is expensive based on its Price-To-Sales Ratio (2.6x) compared to the estimated Fair Price-To-Sales Ratio (1.8x).


Share Price vs Fair Value

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

Below Fair Value: TLS ($9.16) is trading below our estimate of fair value ($23.34)

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


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 less than 20% higher than the current share price.


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Future Growth

How is Telos forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


-15.8%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TLS is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: TLS is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: TLS is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: TLS's revenue (7.7% per year) is forecast to grow slower than the US market (7.9% per year).

High Growth Revenue: TLS's revenue (7.7% 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 TLS's Return on Equity is forecast to be high in 3 years time


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Past Performance

How has Telos performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-50.1%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: TLS is currently unprofitable.

Growing Profit Margin: TLS is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: TLS is unprofitable, and losses have increased over the past 5 years at a rate of 50.1% per year.

Accelerating Growth: Unable to compare TLS's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: TLS is unprofitable, making it difficult to compare its past year earnings growth to the Software industry (18.5%).


Return on Equity

High ROE: TLS has a negative Return on Equity (-21.79%), as it is currently unprofitable.


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Financial Health

How is Telos's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Stable Cash Runway

  • Forecast Cash Runway

Financial Position Analysis

Short Term Liabilities: TLS's short term assets ($184.6M) exceed its short term liabilities ($54.2M).

Long Term Liabilities: TLS's short term assets ($184.6M) exceed its long term liabilities ($13.4M).


Debt to Equity History and Analysis

Debt Level: TLS is debt free.

Reducing Debt: TLS currently has no debt however we can't compare to 5 years ago as we have no data for that period.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable TLS has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: TLS is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by 36.4% per year.


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Dividend

What is Telos's 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

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

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

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


Discover strong dividend paying companies

Management

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

8.3yrs

Average management tenure


CEO

John Wood (58 yo)

19.58yrs

Tenure

US$12,197,174

Compensation

Mr. John B. Wood serves as the Chairman Chief Executive Officer, President of Xacta Corporation. Mr. Wood has been Chief Executive Officer of Telos Corporation since January 2003 and also been its Presiden...


CEO Compensation Analysis

Compensation vs Market: John's total compensation ($USD12.20M) is above average for companies of similar size in the US market ($USD3.93M).

Compensation vs Earnings: John's compensation has increased whilst the company is unprofitable.


Leadership Team

Experienced Management: TLS's management team is seasoned and experienced (8.3 years average tenure).


Board Members

Experienced Board: TLS's board of directors are not considered experienced ( 2.1 years average tenure), which suggests a new board.


Ownership

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


Insider Trading Volume

Insider Buying: TLS 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

Telos Corporation's employee growth, exchange listings and data sources


Key Information

  • Name: Telos Corporation
  • Ticker: TLS
  • Exchange: NasdaqGM
  • Founded: 1968
  • Industry: Systems Software
  • Sector: Software
  • Implied Market Cap: US$619.161m
  • Shares outstanding: 67.59m
  • Website: https://www.telos.com

Number of Employees


Location

  • Telos Corporation
  • 19886 Ashburn Road
  • Ashburn
  • Virginia
  • 20147-2358
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/10 00:00
End of Day Share Price2022/08/10 00:00
Earnings2022/06/30
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.