NOT FOR DISTRIBUTION
Header cover image

Gilat Satellite Networks

Market Cap

US$550.4m

Last Updated

2021/05/05 23:24 UTC

Data Sources

Company Financials

Executive Summary

Gilat Satellite Networks Ltd., together with its subsidiaries, provides satellite-based broadband communication solutions and services in Latin America, the Asia Pacific, North America, Europe, the Middle East, and Africa. More Details


Snowflake Analysis

Flawless balance sheet and undervalued.


Similar Companies

Share Price & News

How has Gilat Satellite Networks's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: GILT is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 11% a week.

Volatility Over Time: GILT's weekly volatility (11%) has been stable over the past year.


Market Performance


7 Day Return

-6.4%

GILT

-0.9%

US Communications

-1.6%

US Market


1 Year Return

16.9%

GILT

25.9%

US Communications

52.8%

US Market

Return vs Industry: GILT underperformed the US Communications industry which returned 25.2% over the past year.

Return vs Market: GILT underperformed the US Market which returned 52.4% over the past year.


Shareholder returns

GILTIndustryMarket
7 Day-6.4%-0.9%-1.6%
30 Day-10.2%-3.4%1.3%
90 Day-28.0%5.2%3.5%
1 Year35.5%16.9%29.2%25.9%55.4%52.8%
3 Year53.9%26.2%16.4%8.1%63.5%53.2%
5 Year157.7%111.3%96.7%74.4%125.8%100.7%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: GILT ($9.74) is trading below our estimate of fair value ($56.92)

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


Price To Earnings Ratio

PE vs Industry: GILT is good value based on its PE Ratio (13x) compared to the US Communications industry average (37.6x).

PE vs Market: GILT is good value based on its PE Ratio (13x) compared to the US market (20.6x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: GILT is good value based on its PB Ratio (2.4x) compared to the US Communications industry average (2.7x).


Future Growth

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

11.5%

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 Gilat Satellite Networks 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 Gilat Satellite Networks performed over the past 5 years?

62.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: GILT has a large one-off gain of $56.0M impacting its March 31 2021 financial results.

Growing Profit Margin: GILT's current net profit margins (25.5%) are higher than last year (8.8%).


Past Earnings Growth Analysis

Earnings Trend: GILT has become profitable over the past 5 years, growing earnings by 62.2% per year.

Accelerating Growth: GILT's earnings growth over the past year (89.3%) exceeds its 5-year average (62.2% per year).

Earnings vs Industry: GILT earnings growth over the past year (89.3%) exceeded the Communications industry -4%.


Return on Equity

High ROE: GILT's Return on Equity (18.2%) is considered low.


Financial Health

How is Gilat Satellite Networks's financial position?


Financial Position Analysis

Short Term Liabilities: GILT's short term assets ($201.6M) exceed its short term liabilities ($122.1M).

Long Term Liabilities: GILT's short term assets ($201.6M) exceed its long term liabilities ($10.4M).


Debt to Equity History and Analysis

Debt Level: GILT is debt free.

Reducing Debt: GILT has no debt compared to 5 years ago when its debt to equity ratio was 13.7%.

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

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


Balance Sheet


Dividend

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

10.16%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: GILT's dividend (10.16%) is higher than the bottom 25% of dividend payers in the US market (1.24%).

High Dividend: GILT's dividend (10.16%) is in the top 25% of dividend payers in the US market (3.42%)


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, GILT has been paying a dividend for less than 10 years.

Growing Dividend: GILT'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 (132.5%), GILT's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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

0.8yrs

Average management tenure


CEO

Adi Sfadia (50 yo)

0.83

Tenure

US$325,348

Compensation

Mr. Adi Sfadia serves as Chief Executive Officer of Gilat Satellite Networks Ltd. since November 2020 and served as its Interim Chief Executive Officer since July 2, 2020 until November 2020. Mr. Sfadia ha...


CEO Compensation Analysis

Compensation vs Market: Adi's total compensation ($USD325.35K) is below average for companies of similar size in the US market ($USD1.66M).

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


Leadership Team

Experienced Management: GILT's management team is not considered experienced ( 0.8 years average tenure), which suggests a new team.


Board Members

Experienced Board: GILT's board of directors are considered experienced (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.


Ownership Breakdown

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


Top Shareholders

Company Information

Gilat Satellite Networks Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Gilat Satellite Networks Ltd.
  • Ticker: GILT
  • Exchange: NasdaqGS
  • Founded: 1987
  • Industry: Communications Equipment
  • Sector: Tech
  • Market Cap: US$550.374m
  • Shares outstanding: 56.51m
  • Website: https://www.gilat.com

Number of Employees


Location

  • Gilat Satellite Networks Ltd.
  • Gilat House
  • 21 Yegia Kapayim Street
  • Petah Tikva
  • 4913020
  • Israel

Listings


Biography

Gilat Satellite Networks Ltd., together with its subsidiaries, provides satellite-based broadband communication solutions and services in Latin America, the Asia Pacific, North America, Europe, the Middle ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/05/05 23:24
End of Day Share Price2021/05/05 00:00
Earnings2021/03/31
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.