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CMBM

Cambium NetworksNasdaqGM:CMBM Stock Report

Market Cap

US$936.0m

7D

-2.9%

1Y

117.8%

Updated

23 Sep, 2021

Data

Company Financials +
CMBM fundamental analysis
Snowflake Score
Valuation3/6
Future Growth3/6
Past Performance6/6
Financial Health5/6
Dividends0/6

CMBM Overview

Cambium Networks Corporation, through its subsidiaries, provides wireless broadband networking infrastructure products and solutions for network operators.

Cambium Networks Competitors

Ubiquiti

NYSE:UI

US$18.8b

Extreme Networks

NasdaqGS:EXTR

US$1.2b

Aviat Networks

NasdaqGS:AVNW

US$368.6m

EMCORE

NasdaqGM:EMKR

US$252.7m

Price History & Performance

Summary of all time highs, changes and price drops for Cambium Networks
Historical stock prices
Current Share PriceUS$35.42
52 Week HighUS$15.10
52 Week LowUS$66.40
Beta0.50
1 Month Change-6.10%
3 Month Change-25.98%
1 Year Change117.84%
3 Year Changen/a
5 Year Changen/a
Change since IPO265.16%

Recent News & Updates

Shareholder Returns

CMBMUS CommunicationsUS Market
7D-2.9%-3.3%-1.7%
1Y117.8%46.5%36.2%

Return vs Industry: CMBM exceeded the US Communications industry which returned 46.5% over the past year.

Return vs Market: CMBM exceeded the US Market which returned 36.2% over the past year.

Price Volatility

Is CMBM's price volatile compared to industry and market?
CMBM volatility
CMBM Beta0.50
Industry Beta0.95
Market Beta1

Stable Share Price: CMBM is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: CMBM's weekly volatility (7%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2011512Atul Bhatnagarhttps://www.cambiumnetworks.com

Cambium Networks Corporation, through its subsidiaries, provides wireless broadband networking infrastructure products and solutions for network operators. Its wireless fabric includes intelligent radios, smart antennas, radio frequency (RF) algorithms, wireless-aware switches, and network management software. The company offers point-to-point backhaul, point-to-multipoint distribution, Wi-Fi access, cnMatrix ethernet enterprise switching, cnReach IIoT, cnVision video surveillance transport, and cnMaestro and network management tools and solutions.

Cambium Networks Fundamentals Summary

How do Cambium Networks's earnings and revenue compare to its market cap?
CMBM fundamental statistics
Market CapUS$936.03m
Earnings (TTM)US$47.48m
Revenue (TTM)US$337.00m

19.8x

P/E Ratio

2.8x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
CMBM income statement (TTM)
RevenueUS$337.00m
Cost of RevenueUS$168.43m
Gross ProfitUS$168.57m
ExpensesUS$121.09m
EarningsUS$47.48m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)1.83
Gross Margin50.02%
Net Profit Margin14.09%
Debt/Equity Ratio32.6%

How did CMBM perform over the long term?

See historical performance and comparison

Valuation

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

48.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CMBM ($35.42) is trading below our estimate of fair value ($69.17)

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


Price To Earnings Ratio

PE vs Industry: CMBM is good value based on its PE Ratio (19.8x) compared to the US Communications industry average (22.1x).

PE vs Market: CMBM is poor value based on its PE Ratio (19.8x) compared to the US market (17.7x).


Price to Earnings Growth Ratio

PEG Ratio: CMBM is poor value based on its PEG Ratio (1.4x)


Price to Book Ratio

PB vs Industry: CMBM is overvalued based on its PB Ratio (9.4x) compared to the US Communications industry average (2.2x).


Future Growth

How is Cambium Networks forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

13.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CMBM's forecast earnings growth (13.8% per year) is above the savings rate (2%).

Earnings vs Market: CMBM's earnings (13.8% per year) are forecast to grow slower than the US market (14.9% per year).

High Growth Earnings: CMBM's earnings are forecast to grow, but not significantly.

Revenue vs Market: CMBM's revenue (12% per year) is forecast to grow faster than the US market (9.8% per year).

High Growth Revenue: CMBM's revenue (12% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CMBM's Return on Equity is forecast to be high in 3 years time (29.2%)


Past Performance

How has Cambium Networks performed over the past 5 years?

40.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CMBM has high quality earnings.

Growing Profit Margin: CMBM's current net profit margins (14.1%) are higher than last year (1.3%).


Past Earnings Growth Analysis

Earnings Trend: CMBM's earnings have grown significantly by 40.7% per year over the past 5 years.

Accelerating Growth: CMBM's earnings growth over the past year (1302.6%) exceeds its 5-year average (40.7% per year).

Earnings vs Industry: CMBM earnings growth over the past year (1302.6%) exceeded the Communications industry 63%.


Return on Equity

High ROE: CMBM's Return on Equity (47.4%) is considered outstanding.


Financial Health

How is Cambium Networks's financial position?


Financial Position Analysis

Short Term Liabilities: CMBM's short term assets ($170.5M) exceed its short term liabilities ($86.1M).

Long Term Liabilities: CMBM's short term assets ($170.5M) exceed its long term liabilities ($30.8M).


Debt to Equity History and Analysis

Debt Level: CMBM's debt to equity ratio (32.6%) is considered satisfactory.

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

Debt Coverage: CMBM's debt is well covered by operating cash flow (134.8%).

Interest Coverage: CMBM's interest payments on its debt are well covered by EBIT (9.2x coverage).


Balance Sheet


Dividend

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


Dividend Yield vs Market

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

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

Growing Dividend: Insufficient data to determine if CMBM'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 CMBM'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?

6.0yrs

Average management tenure


CEO

Atul Bhatnagar (63 yo)

8.58yrs

Tenure

US$5,360,840

Compensation

Mr. Atul Bhatnagar has been President and Chief Executive Officer at Cambium Networks Corporation since February 2013 and serves as its Director since September 2014. He has been the Chief Executive Office...


CEO Compensation Analysis

Compensation vs Market: Atul's total compensation ($USD5.36M) is above average for companies of similar size in the US market ($USD2.35M).

Compensation vs Earnings: Atul's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: CMBM's management team is seasoned and experienced (6 years average tenure).


Board Members

Experienced Board: CMBM's board of directors are considered experienced (3.5 years average tenure).


Ownership

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.


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

Cambium Networks Corporation's employee growth, exchange listings and data sources


Key Information

  • Name: Cambium Networks Corporation
  • Ticker: CMBM
  • Exchange: NasdaqGM
  • Founded: 2011
  • Industry: Communications Equipment
  • Sector: Tech
  • Market Cap: US$936.033m
  • Shares outstanding: 26.51m
  • Website: https://www.cambiumnetworks.com

Number of Employees


Location

  • Cambium Networks Corporation
  • 3800 Golf Road
  • Suite 360
  • Rolling Meadows
  • Illinois
  • 60008
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/23 23:09
End of Day Share Price2021/09/23 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.