AudioCodes Ltd. designs, develops, and sells voice over IP (VoIP), converged VoIP, and data networking solutions, products, and applications for enterprise unified communications, contact centers, service provider business services, mobile VoIP, and cloud virtualized data centers. More Details
Flawless balance sheet with reasonable growth potential.
Share Price & News
How has AudioCodes's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: AUDC's share price has been volatile over the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: AUDC exceeded the US Communications industry which returned -19.4% over the past year.
Return vs Market: AUDC exceeded the US Market which returned 10.9% over the past year.
Price Volatility Vs. Market
How volatile is AudioCodes's share price compared to the market and industry in the last 5 years?
Simply Wall St News
3 days ago | Simply Wall StAudioCodes Ltd. (NASDAQ:AUDC) Stock's Been Sliding But Fundamentals Look Decent: Will The Market Correct The Share Price In The Future?
2 weeks ago | Simply Wall StShareholders of AudioCodes (NASDAQ:AUDC) Must Be Delighted With Their 886% Total Return
3 weeks ago | Simply Wall StWe Think AudioCodes (NASDAQ:AUDC) Can Manage Its Debt With Ease
Is AudioCodes undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: AUDC ($30.44) is trading below our estimate of fair value ($31.44)
Significantly Below Fair Value: AUDC is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: AUDC is poor value based on its PE Ratio (112.5x) compared to the US Communications industry average (36.5x).
PE vs Market: AUDC is poor value based on its PE Ratio (112.5x) compared to the US market (17.4x).
Price to Earnings Growth Ratio
PEG Ratio: AUDC is poor value based on its PEG Ratio (3.2x)
Price to Book Ratio
PB vs Industry: AUDC is overvalued based on its PB Ratio (5.2x) compared to the US Communications industry average (1.7x).
How is AudioCodes forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: AUDC's forecast earnings growth (35.4% per year) is above the savings rate (2.2%).
Earnings vs Market: AUDC's earnings (35.4% per year) are forecast to grow faster than the US market (23% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: AUDC's revenue (9.8% per year) is forecast to grow slower than the US market (9.9% per year).
High Growth Revenue: AUDC'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: AUDC's Return on Equity is forecast to be high in 3 years time (20%)
How has AudioCodes performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: AUDC has a large one-off loss of $32.2M impacting its June 30 2020 financial results.
Growing Profit Margin: AUDC's current net profit margins (3.8%) are lower than last year (8.9%).
Past Earnings Growth Analysis
Earnings Trend: AUDC has become profitable over the past 5 years, growing earnings by 21.7% per year.
Accelerating Growth: AUDC's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: AUDC had negative earnings growth (-51.3%) over the past year, making it difficult to compare to the Communications industry average (-28.9%).
Return on Equity
High ROE: AUDC's Return on Equity (4.2%) is considered low.
How is AudioCodes's financial position?
Financial Position Analysis
Short Term Liabilities: AUDC's short term assets ($236.8M) exceed its short term liabilities ($86.7M).
Long Term Liabilities: AUDC's short term assets ($236.8M) exceed its long term liabilities ($62.4M).
Debt to Equity History and Analysis
Debt Level: AUDC's debt to equity ratio (1.3%) is considered satisfactory.
Reducing Debt: AUDC's debt to equity ratio has reduced from 6% to 1.3% over the past 5 years.
Debt Coverage: AUDC's debt is well covered by operating cash flow (983.9%).
Interest Coverage: AUDC earns more interest than it pays, so coverage of interest payments is not a concern.
What is AudioCodes's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: AUDC's dividend (0.92%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.75%).
High Dividend: AUDC's dividend (0.92%) is low compared to the top 25% of dividend payers in the US market (5.03%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, AUDC has been paying a dividend for less than 10 years.
Growing Dividend: AUDC's dividend payments have increased, but the company has only paid a dividend for 2 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (99.7%), AUDC's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of AUDC's dividend in 3 years as they are not forecast to pay a notable one for the US market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Shabtai Adlersberg (67 yo)
Mr. Shabtai Adlersberg serves as the Chief Executive Officer of AudioCodes, Inc. Mr. Adlersberg co-founded Audiocodes Ltd. in 1993 and has been its Chief Executive Officer and President since 1993. Until D ...
CEO Compensation Analysis
Compensation vs Market: Shabtai's total compensation ($USD2.36M) is about average for companies of similar size in the US market ($USD3.07M).
Compensation vs Earnings: Shabtai's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
|CFO & VP of Finance||4.17yrs||US$705.66k||no data|
|Vice President of Marketing||6.92yrs||US$505.41k||no data|
|Chief Business Officer & Director||2.17yrs||US$1.04m||no data|
|Chief Operating Officer||2.67yrs||US$302.12k||no data|
|Director of Investor Relations||no data||no data||no data|
|Chief Legal Officer & Company Secretary||no data||no data||no data|
|Vice President of Human Resources||20.5yrs||no data||no data|
Experienced Management: AUDC's management team is seasoned and experienced (6.9 years average tenure).
|Chief Business Officer & Director||2.17yrs||US$1.04m||no data|
|Independent Chairman of the Board||7.75yrs||no data||no data|
|Independent Outside Director||20.67yrs||no data||no data|
|Independent Outside Director||23.67yrs||no data||no data|
|Independent Director||6.58yrs||no data||no data|
|Independent Director||17.25yrs||no data||no data|
Experienced Board: AUDC's board of directors are seasoned and experienced ( 17.3 years average tenure).
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.
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 12%.
AudioCodes Ltd.'s company bio, employee growth, exchange listings and data sources
- Name: AudioCodes Ltd.
- Ticker: AUDC
- Exchange: NasdaqGS
- Founded: 1992
- Industry: Communications Equipment
- Sector: Tech
- Market Cap: US$994.935m
- Shares outstanding: 32.69m
- Website: https://www.audiocodes.com
Number of Employees
- AudioCodes Ltd.
- 1 Hayarden Street
- Airport City
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|AUDC||NasdaqGS (Nasdaq Global Select)||Yes||Ordinary Shares||US||USD||May 1999|
|AU1||DB (Deutsche Boerse AG)||Yes||Ordinary Shares||DE||EUR||May 1999|
|AUDC||TASE (The Tel-Aviv Stock Exchange)||Yes||Ordinary Shares||IL||ILS||May 1999|
AudioCodes Ltd. designs, develops, and sells voice over IP (VoIP), converged VoIP, and data networking solutions, products, and applications for enterprise unified communications, contact centers, service ...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/09/25 06:07|
|End of Day Share Price||2020/09/24 00:00|