NasdaqGS:FLIR

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

FLIR Systems, Inc. designs, develops, markets, and distributes thermal imaging systems, visible-light imaging systems, locater systems, measurement and diagnostic systems, and threat-detection solutions worldwide. More Details


Snowflake Analysis

Established dividend payer with adequate balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: FLIR has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-2.7%

FLIR

1.1%

US Electronic

-0.4%

US Market


1 Year Return

-33.2%

FLIR

11.3%

US Electronic

18.3%

US Market

Return vs Industry: FLIR underperformed the US Electronic industry which returned 11.3% over the past year.

Return vs Market: FLIR underperformed the US Market which returned 18.3% over the past year.


Shareholder returns

FLIRIndustryMarket
7 Day-2.7%1.1%-0.4%
30 Day2.6%12.2%6.6%
90 Day-13.1%10.9%8.6%
1 Year-32.2%-33.2%12.5%11.3%21.0%18.3%
3 Year-20.1%-23.3%21.7%18.3%42.1%32.7%
5 Year45.8%35.6%89.2%80.4%85.6%64.7%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

14.6%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: FLIR ($36.16) is trading below our estimate of fair value ($42.34)

Significantly Below Fair Value: FLIR is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: FLIR is poor value based on its PE Ratio (34.3x) compared to the US Electronic industry average (26.6x).

PE vs Market: FLIR is poor value based on its PE Ratio (34.3x) compared to the US market (19.2x).


Price to Earnings Growth Ratio

PEG Ratio: FLIR is poor value based on its PEG Ratio (1.5x)


Price to Book Ratio

PB vs Industry: FLIR is overvalued based on its PB Ratio (2.7x) compared to the US Electronic industry average (2.2x).


Next Steps

Future Growth

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

22.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: FLIR's forecast earnings growth (22.8% per year) is above the savings rate (2.2%).

Earnings vs Market: FLIR's earnings (22.8% per year) are forecast to grow faster than the US market (22.1% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: FLIR's revenue (2.6% per year) is forecast to grow slower than the US market (9.9% per year).

High Growth Revenue: FLIR's revenue (2.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: FLIR's Return on Equity is forecast to be low in 3 years time (15%).


Next Steps

Past Performance

How has FLIR Systems performed over the past 5 years?

-2.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: FLIR has a large one-off loss of $74.6M impacting its June 30 2020 financial results.

Growing Profit Margin: FLIR's current net profit margins (7.4%) are lower than last year (15.4%).


Past Earnings Growth Analysis

Earnings Trend: FLIR's earnings have declined by 2.2% per year over the past 5 years.

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

Earnings vs Industry: FLIR had negative earnings growth (-49.7%) over the past year, making it difficult to compare to the Electronic industry average (-18%).


Return on Equity

High ROE: FLIR's Return on Equity (8%) is considered low.


Next Steps

Financial Health

How is FLIR Systems's financial position?


Financial Position Analysis

Short Term Liabilities: FLIR's short term assets ($1.2B) exceed its short term liabilities ($583.2M).

Long Term Liabilities: FLIR's short term assets ($1.2B) exceed its long term liabilities ($823.4M).


Debt to Equity History and Analysis

Debt Level: FLIR's debt to equity ratio (47.8%) is considered high.

Reducing Debt: FLIR's debt to equity ratio has increased from 22.4% to 47.8% over the past 5 years.

Debt Coverage: FLIR's debt is well covered by operating cash flow (43.1%).

Interest Coverage: FLIR's interest payments on its debt are well covered by EBIT (11.8x coverage).


Balance Sheet


Next Steps

Dividend

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

1.88%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: FLIR's dividend (1.88%) is higher than the bottom 25% of dividend payers in the US market (1.63%).

High Dividend: FLIR's dividend (1.88%) is low compared to the top 25% of dividend payers in the US market (4.56%).


Stability and Growth of Payments

Stable Dividend: FLIR's dividends per share have been stable in the past 10 years.

Growing Dividend: FLIR's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (64.6%), FLIR's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: FLIR's dividends in 3 years are forecast to be well covered by earnings (31.8% payout ratio).


Next Steps

Management

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

1.3yrs

Average management tenure


CEO

Jim Cannon (49 yo)

3.33yrs

Tenure

US$5,860,241

Compensation

Mr. James J. Cannon, also known as Jim, has been the President and Chief Executive Officer of FLIR Systems, Inc. since June 19, 2017. Mr. Cannon served as President of Government and Defense Business Unit ...


CEO Compensation Analysis

Compensation vs Market: Jim's total compensation ($USD5.86M) is about average for companies of similar size in the US market ($USD5.61M).

Compensation vs Earnings: Jim's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
James Cannon
President3.33yrsUS$5.86m0.051%
$ 2.4m
Carol Lowe
CFO & Executive VP2.92yrsUS$2.85m0.025%
$ 1.2m
Sonia Galindo
Senior VP1.25yrsUS$2.71m0.0040%
$ 187.8k
Travis Johnson
VP, Corporate Controller & Principal Accounting Officer0.83yrno data0.00087%
$ 41.2k
Jay Gentzkow
Director of Corporate Development & IRno datano datano data
Paula Cooney
Senior VP & Chief Human Resources Officer0.50yrno datano data

1.3yrs

Average Tenure

51yo

Average Age

Experienced Management: FLIR's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
James Cannon
President3.33yrsUS$5.86m0.051%
$ 2.4m
John Carter
Independent Director17.17yrsUS$249.96k0.033%
$ 1.6m
Cathy Stauffer
Independent Director6.58yrsUS$244.96k0.012%
$ 554.7k
Michael Smith
Independent Director18.25yrsUS$254.96k0.083%
$ 4.0m
Earl Lewis
Chairman19.92yrsUS$334.96k0.52%
$ 24.5m
Steven Wynne
Independent Director20.92yrsUS$254.96k0.020%
$ 950.2k
Angus MacDonald
Independent Director19.5yrsUS$264.96k0.018%
$ 865.3k
John Wood
Independent Director11.42yrsUS$244.96k0.033%
$ 1.6m
Robert Tyrer
Independent Director3yrsUS$244.96k0.0047%
$ 221.4k
William Crouch
Independent Director15.42yrsUS$254.96k0.013%
$ 612.1k
Catherine Halligan
Independent Director6.58yrsUS$264.96k0.0082%
$ 387.8k

15.4yrs

Average Tenure

68yo

Average Age

Experienced Board: FLIR's board of directors are seasoned and experienced ( 15.4 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 not been meaningfully diluted in the past year.


Top Shareholders

Company Information

FLIR Systems, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: FLIR Systems, Inc.
  • Ticker: FLIR
  • Exchange: NasdaqGS
  • Founded: 1978
  • Industry: Electronic Equipment and Instruments
  • Sector: Tech
  • Market Cap: US$4.741b
  • Shares outstanding: 131.12m
  • Website: https://www.flir.com

Number of Employees


Location

  • FLIR Systems, Inc.
  • 27700 SW Parkway Avenue
  • Wilsonville
  • Oregon
  • 97070
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
FLIRNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDJun 1993
FL4DB (Deutsche Boerse AG)YesCommon StockDEEURJun 1993
0IK2LSE (London Stock Exchange)YesCommon StockGBUSDJun 1993
F1LI34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH 1 REPR 1 COMBRBRLJan 2020

Biography

FLIR Systems, Inc. designs, develops, markets, and distributes thermal imaging systems, visible-light imaging systems, locater systems, measurement and diagnostic systems, and threat-detection solutions wo ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/25 00:11
End of Day Share Price2020/10/23 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.