NasdaqGS:XNET

Stock Analysis Report

Executive Summary

Xunlei Limited, a cloud-based acceleration technology company, operates an Internet platform for digital media content in the People's Republic of China.

Snowflake

Fundamentals

Mediocre balance sheet and overvalued.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-18.1%

XNET

2.3%

US Software

0.9%

US Market


1 Year Return

-7.1%

XNET

37.2%

US Software

15.5%

US Market

Return vs Industry: XNET underperformed the US Software industry which returned 37.2% over the past year.

Return vs Market: XNET underperformed the US Market which returned 15.5% over the past year.


Shareholder returns

XNETIndustryMarket
7 Day-18.1%2.3%0.9%
30 Day98.3%10.1%4.7%
90 Day80.1%5.0%6.6%
1 Year-7.1%-7.1%39.1%37.2%18.1%15.5%
3 Year6.8%6.8%125.3%116.8%48.0%38.5%
5 Year-49.1%-49.1%174.9%155.5%62.1%44.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

1.02x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate XNET's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate XNET's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: XNET is unprofitable, so we can't compare its PE Ratio to the Software industry average.

PE vs Market: XNET is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate XNET's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: XNET is good value based on its PB Ratio (1x) compared to the US Software industry average (5.8x).


Next Steps

Future Growth

How is Xunlei forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

14.9%

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 Xunlei 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

Past Performance

How has Xunlei performed over the past 5 years?

1.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: XNET has large one-off items impacting its financial results.

Growing Profit Margin: XNET is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: XNET is unprofitable, but has reduced losses over the past 5 years at a rate of 1.9% per year.

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

Earnings vs Industry: XNET is unprofitable, making it difficult to compare its past year earnings growth to the Software industry (25.8%).


Return on Equity

High ROE: XNET has a negative Return on Equity (-21.8%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Xunlei's financial position?


Financial Position Analysis

Short Term Liabilities: XNET's short term assets ($326.2M) exceeds its short term liabilities ($103.5M)

Long Term Liabilities: XNET's short term assets ($326.2M) exceeds its long term liabilities (18.3M)


Debt to Equity History and Analysis

Debt Level: XNET's debt to equity ratio (3.6%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if XNET's debt to equity ratio has reduced over the past 5 years.


Balance Sheet

Inventory Level: XNET has a low level of unsold assets or inventory.

Debt Coverage by Assets: XNET's debt is covered by short term assets (assets are 29.2x debt).


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: Insufficient data to determine if XNET has enough cash runway based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if XNET has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage1.4%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

High Dividend: Unable to evaluate XNET's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if XNET's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if XNET'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 XNET's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

What is the CEO of Xunlei's salary, the management and board of directors tenure and is there insider trading?

2.2yrs

Average management tenure


CEO

Lei Chen (46yo)

2.3yrs

Tenure

0

Mr. Lei Chen has been the Chief Executive Officer and Director of Xunlei Limited since July 6, 2017 and previously served as its Co-Chief Executive Officer from November 17, 2015 to July 6, 2017. Mr. Chen  ...


Management Age and Tenure

2.2yrs

Average Tenure

46.5yo

Average Age

Experienced Management: XNET's management team is considered experienced (2.2 years average tenure).


Board Age and Tenure

5.4yrs

Average Tenure

46yo

Average Age

Experienced Board: XNET's board of directors are considered experienced (5.4 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

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


Management Team

  • Eric Naijiang (56yo)

    Chief Financial Officer

    • Tenure: 2.2yrs
  • Steve Cheng (44yo)

    Co-Founder & Director

    • Tenure: 14.8yrs
  • Sean Zou (47yo)

    Co-Founder & Director

    • Tenure: 14.8yrs
  • Jiang Wu (41yo)

    Chief Procurement Officer

    • Tenure: 0yrs
  • Peng Huang (52yo)

    Strategy Consultant

    • Tenure: 1.5yrs
  • Lei Chen (46yo)

    CEO & Director

    • Tenure: 2.3yrs
  • Charlene Lu

    Investor Relations Manager

    • Tenure: 0yrs

Board Members

  • Ya Li (49yo)

    Independent Director

    • Tenure: 2.7yrs
  • Tao Zou (44yo)

    Director

    • Tenure: 2.9yrs
  • Richard Liu (48yo)

    Director

    • Tenure: 14.2yrs
  • Steve Cheng (44yo)

    Co-Founder & Director

    • Tenure: 14.8yrs
  • Sean Zou (47yo)

    Co-Founder & Director

    • Tenure: 14.8yrs
  • Jenny Wu (44yo)

    Independent Director

    • Tenure: 5.4yrs
  • Feng Hong (42yo)

    Director

    • Tenure: 5.6yrs
  • Chuan Wang (49yo)

    Chairman

    • Tenure: 1.9yrs
  • Lei Chen (46yo)

    CEO & Director

    • Tenure: 2.3yrs

Company Information

Xunlei Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Xunlei Limited
  • Ticker: XNET
  • Exchange: NasdaqGS
  • Founded: 2003
  • Industry: Application Software
  • Sector: Software
  • Market Cap: US$318.764m
  • Shares outstanding: 67.82m
  • Website: https://www.xunlei.com

Number of Employees


Location

  • Xunlei Limited
  • No.18 Shenzhen Bay ECO-Technology Park,Building No. 12
  • 20-23/F, Block B
  • Shenzhen
  • Guangdong Province
  • 518057
  • China

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
XNETNasdaqGS (Nasdaq Global Select)YesSPONS ADS EA REP 3 COM 'CL A'USUSDJun 2014
4XNDB (Deutsche Boerse AG)YesSPONS ADS EA REP 3 COM 'CL A'DEEURJun 2014

Biography

Xunlei Limited, a cloud-based acceleration technology company, operates an Internet platform for digital media content in the People's Republic of China. The company’s platform is based on cloud computing  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/19 00:26
End of Day Share Price2019/11/18 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


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.