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FKWL

Franklin WirelessNasdaqCM:FKWL Stock Report

Last Price

US$4.22

Market Cap

US$48.9m

7D

-8.5%

1Y

-80.3%

Updated

19 Jan, 2022

Data

Company Financials
FKWL fundamental analysis
Snowflake Score
Valuation3/6
Future Growth0/6
Past Performance3/6
Financial Health6/6
Dividends0/6

FKWL Stock Overview

Franklin Wireless Corp. provides intelligent wireless solutions.

Franklin Wireless Competitors

NETGEAR

NasdaqGS:NTGR

US$813.9m

Samsung Electronics

KOSE:A005930

₩513.6t

Telefonaktiebolaget LM Ericsson

OM:ERIC B

kr345.0b

Nokia

HLSE:NOKIA

€28.9b

Price History & Performance

Summary of all time highs, changes and price drops for Franklin Wireless
Historical stock prices
Current Share PriceUS$4.22
52 Week HighUS$24.50
52 Week LowUS$3.23
Beta-0.042
1 Month Change15.30%
3 Month Change-26.10%
1 Year Change-80.28%
3 Year Change53.46%
5 Year Change48.07%
Change since IPO-98.47%

Recent News & Updates

Jan 18

Franklin Wireless Is Too Expensive Even After The Sell-Off

FKWL is dedicated to router and hotspot device manufacturing. The company's sales multiplied because of COVID and so did its stock price. Failure in a few devices made Verizon give voluntary recall options to their clients. The ensuing panic made the stock plummet again. Some speculate the stock can rebound. However, before COVID, the company's operations were marginal and its products have no differentiation.

Dec 21

Franklin Wireless: Betting On A (Quasi) Binary Situation

Franklin Wireless is trading at ridiculous multiples because of an ongoing issue with their main customer: Verizon. At an EV of 0 (net cash equals the market cap) and a P/E of about 4, the company is probably one of the cheapest in the US stock market. There is still significant risk, primarily driven by customer relations and the ongoing recall resolution. The fair price, calculated by including every case/scenario, offers an upside potential of 25%.

Nov 23
We Like Franklin Wireless' (NASDAQ:FKWL) Returns And Here's How They're Trending

We Like Franklin Wireless' (NASDAQ:FKWL) Returns And Here's How They're Trending

If we want to find a stock that could multiply over the long term, what are the underlying trends we should look for...

Shareholder Returns

FKWLUS CommunicationsUS Market
7D-8.5%-5.7%-4.6%
1Y-80.3%26.1%7.7%

Return vs Industry: FKWL underperformed the US Communications industry which returned 28.4% over the past year.

Return vs Market: FKWL underperformed the US Market which returned 10.2% over the past year.

Price Volatility

Is FKWL's price volatile compared to industry and market?
FKWL volatility
FKWL Average Weekly Movement11.8%
Communications Industry Average Movement7.5%
Market Average Movement6.6%
10% most volatile stocks in US Market15.7%
10% least volatile stocks in US Market2.4%

Stable Share Price: FKWL is more volatile than 75% of US stocks over the past 3 months, typically moving +/- 12% a week.

Volatility Over Time: FKWL's weekly volatility (12%) has been stable over the past year, but is still higher than 75% of US stocks.

About the Company

FoundedEmployeesCEOWebsite
198174n/ahttps://www.franklinwireless.com

Franklin Wireless Corp. provides intelligent wireless solutions. The company’s products include mobile hotspots, routers, trackers, and other devices, which integrates hardware and software enabling machine-to-machine (M2M) applications and the Internet of Things (IoT). It offers M2M and IoT solutions that include embedded modules, and modems and gateways built to deliver connectivity supporting various spectrum of applications based on 5G/4G wireless technology.

Franklin Wireless Fundamentals Summary

How do Franklin Wireless's earnings and revenue compare to its market cap?
FKWL fundamental statistics
Market CapUS$48.93m
Earnings (TTM)US$9.68m
Revenue (TTM)US$124.89m

5.1x

P/E Ratio

0.4x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
FKWL income statement (TTM)
RevenueUS$124.89m
Cost of RevenueUS$103.60m
Gross ProfitUS$21.29m
ExpensesUS$11.61m
EarningsUS$9.68m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.83
Gross Margin17.04%
Net Profit Margin7.75%
Debt/Equity Ratio0%

How did FKWL perform over the long term?

See historical performance and comparison

Valuation

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

5.06x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

PE vs Industry: FKWL is good value based on its PE Ratio (5.1x) compared to the US Communications industry average (26.3x).

PE vs Market: FKWL is good value based on its PE Ratio (5.1x) compared to the US market (17x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: FKWL is good value based on its PB Ratio (1.1x) compared to the US Communications industry average (1.9x).


Future Growth

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

8.4%

Forecasted Tech 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 Franklin Wireless 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.


Past Performance

How has Franklin Wireless performed over the past 5 years?

66.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: FKWL has high quality earnings.

Growing Profit Margin: FKWL's current net profit margins (7.7%) are lower than last year (9.5%).


Past Earnings Growth Analysis

Earnings Trend: FKWL's earnings have grown significantly by 66.2% per year over the past 5 years.

Accelerating Growth: FKWL's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: FKWL had negative earnings growth (-20.8%) over the past year, making it difficult to compare to the Communications industry average (35%).


Return on Equity

High ROE: FKWL's Return on Equity (22.5%) is considered high.


Financial Health

How is Franklin Wireless's financial position?


Financial Position Analysis

Short Term Liabilities: FKWL's short term assets ($47.2M) exceed its short term liabilities ($5.0M).

Long Term Liabilities: FKWL's short term assets ($47.2M) exceed its long term liabilities ($391.9K).


Debt to Equity History and Analysis

Debt Level: FKWL is debt free.

Reducing Debt: FKWL had no debt 5 years ago.

Debt Coverage: FKWL has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: FKWL has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Dividend

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


Dividend Yield vs Market

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

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

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

2.0yrs

Average management tenure


CEO

Franklin Wireless has no CEO, or we have no data on them.


Leadership Team

Experienced Management: FKWL's management team is considered experienced (2 years average tenure).


Board Members

Experienced Board: FKWL's board of directors are seasoned and experienced ( 12.3 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.


Ownership Breakdown

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


Top Shareholders

Company Information

Franklin Wireless Corp.'s employee growth, exchange listings and data sources


Key Information

  • Name: Franklin Wireless Corp.
  • Ticker: FKWL
  • Exchange: NasdaqCM
  • Founded: 1981
  • Industry: Communications Equipment
  • Sector: Tech
  • Implied Market Cap: US$48.928m
  • Shares outstanding: 11.59m
  • Website: https://www.franklinwireless.com

Number of Employees


Location

  • Franklin Wireless Corp.
  • 9707 Waples Street
  • Suite 150
  • San Diego
  • California
  • 92121
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/19 23:42
End of Day Share Price2022/01/19 00:00
Earnings2021/09/30
Annual Earnings2021/06/30


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.