NasdaqGS:GILT

Stock Analysis Report

Gilat Satellite Networks

Executive Summary

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

Snowflake

Fundamentals

Flawless balance sheet with proven track record.


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


Market Performance


7 Day Return

2.6%

GILT

-1.4%

US Communications

1.0%

US Market


1 Year Return

-1.7%

GILT

2.4%

US Communications

6.7%

US Market

Return vs Industry: GILT underperformed the US Communications industry which returned 2.4% over the past year.

Return vs Market: GILT underperformed the US Market which returned 6.7% over the past year.


Share holder returns

GILTIndustryMarket
7 Day2.6%-1.4%1.0%
30 Day-2.1%-5.7%-1.8%
90 Day-3.9%-16.0%-1.8%
1 Year3.5%-1.7%4.7%2.4%9.1%6.7%
3 Year92.2%82.5%51.6%42.1%46.1%36.6%
5 Year77.6%68.6%95.1%74.7%66.9%48.6%

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 based on future cash flows and its price relative to the stock market?

22.4x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Undervalued: GILT ($8.2) is trading above our estimate of fair value ($4.08)

Significantly Undervalued: GILT is trading above our estimate of fair value.


Price Based on Earnings

PE vs Industry: GILT is good value based on its PE Ratio (22.4x) compared to the Communications industry average (30.1x).

PE vs Market: GILT is poor value based on its PE Ratio (22.4x) compared to the US market (17.5x).


Price Based on Expected Growth

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


Price Based on Value of Assets

PB vs Industry: GILT is overvalued based on its PB Ratio (2x) compared to the US Communications industry average (1.8x).


Next Steps

Future Growth

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

1.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Earnings vs Savings Rate: GILT's forecast earnings growth (1% per year) is below the savings rate (2.7%).

Earnings vs Market: GILT's earnings (1% per year) are forecast to grow slower than the US market (14.5% per year).

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

Revenue vs Market: Insufficient data to determine if GILT's revenue is forecast to grow faster than the US market.

High Growth Revenue: Insufficient data to determine if GILT's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Estimates


Future Return on Equity

High Future ROE: Insufficient data to determine if GILT's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

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

52.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: GILT has become profitable over the past 5 years, growing earnings by 52.6% per year.

Accelerating Growth: GILT's earnings growth over the past year (103.5%) exceeds its 5-year average (52.6% per year).

Earnings vs Industry: GILT earnings growth over the past year (103.5%) exceeded the Communications industry 22.8%.


Return on Equity

High ROE: GILT's Return on Equity (9%) is considered low.


Return on Assets

ROA vs Industry: GILT has a higher Return on Assets than the Communications industry average last year.


Return on Capital Employed

ROCE Improving: GILT's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Gilat Satellite Networks's financial position?


Financial Position Analysis

Short Term Liabilities: GILT's short term assets ($214.0M) exceeds its short term liabilities ($127.6M)

Long Term Liabilities: GILT's short term assets (214.0M) exceeds its long term liabilities (14.8M)


Debt to Equity History and Analysis

Debt Level: GILT's debt to equity ratio (3.7%) is considered satisfactory

Reducing Debt: GILT's debt to equity ratio has reduced from 17.5% to 3.7% over the past 5 years.

Debt Coverage: GILT's debt is well covered by operating cash flow (134.1%).

Interest Coverage: GILT earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: GILT has a high level of physical assets or inventory.

Debt Coverage by Assets: GILT's debt is covered by short term assets (assets are 25.708580x debt).


Next Steps

Dividend

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

5.49%

Current Dividend Yield


Dividend Yield vs Market

company5.5%marketbottom25%1.5%markettop25%3.8%industryaverage2.6%forecastin3Yearsn/a

Current dividend yield vs market & industry


Dividend Yield and Payments Analysis

Notable Dividend: GILT's dividend (5.49%) is higher than the bottom 25% of dividend payers in the US market (1.46%).

High Dividend: GILT's dividend (5.49%) is in the top 25% of dividend payers in the US market (3.77%)

Stable Dividend: Too early to tell whether GILT's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if GILT's dividend payments are increasing as they only just started paying a dividend.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (123%), 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

What is the CEO of Gilat Satellite Networks's salary, the management and board of directors tenure and is there insider trading?

3.9yrs

Average management tenure


CEO

Yona Ovadia (60yo)

3.6yrs

Tenure

US$920,176

Compensation

Mr. Yona Ovadia has been Chief Executive Officer of Gilat Satellite Networks Ltd. since March 31, 2016 and served as its Vice President of Services and Commercial Divisions since October 2015 until March 3 ...


CEO Compensation Analysis

Compensation vs. Market: Yona's total compensation ($USD920.18K) is below average for companies of similar size in the US market ($USD1.85M).

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


Management Age and Tenure

3.9yrs

Average Tenure

53yo

Average Age

Experienced Management: GILT's management team is considered experienced (3.9 years average tenure).


Board Age and Tenure

4.8yrs

Average Tenure

57yo

Average Age

Experienced Board: GILT's board of directors are considered experienced (4.8 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Yossi Gal (58yo)

    Vice President of Sales Operations & Information Technologies

    • Tenure: 8.5yrs
  • Yuval Shani (53yo)

    Chief Operating Officer

    • Tenure: 2.2yrs
    • Compensation: US$472.11k
  • Adi Sfadia (49yo)

    Chief Financial Officer

    • Tenure: 3.9yrs
    • Compensation: US$437.62k
  • Nirit Barnea (51yo)

    Vice President of Human Resources

    • Tenure: 4.3yrs
  • Yael Shofar

    General Counsel & Corporate Secretary

    • Tenure: 0yrs
  • Yona Ovadia (60yo)

    Chief Executive Officer

    • Tenure: 3.6yrs
    • Compensation: US$920.18k

Board Members

  • Dov Baharav (69yo)

    Chairman of the Board

    • Tenure: 5.4yrs
    • Compensation: US$485.65k
  • Homi Shamir (68yo)

    Independent Director

    • Tenure: 3.4yrs
  • Ishay Davidi (57yo)

    Director

    • Tenure: 6.8yrs
  • Dafna Sharir (51yo)

    Independent Director

    • Tenure: 3.4yrs
  • Ami Boehm (48yo)

    Independent Director

    • Tenure: 6.8yrs
  • Dafna Cohen (49yo)

    External Independent Director

    • Tenure: 4.8yrs
  • Elyezer Shkedy (62yo)

    External Director

    • Tenure: 2.3yrs
  • Amir Ofek (43yo)

    Independent Director

    • Tenure: 4.8yrs
  • Lonny Rafaeli (65yo)

    Independent Director

    • Tenure: 3.4yrs

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$454.397m
  • Shares outstanding: 55.44m
  • Website: https://www.gilat.com

Number of Employees


Location

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

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
GILTNasdaqGS (Nasdaq Global Select)YesOrdinary SharesUSUSDMar 1993
GILTTASE (The Tel-Aviv Stock Exchange)YesOrdinary SharesILILSMar 1993
GSADB (Deutsche Boerse AG)YesOrdinary SharesDEEURMar 1993

Biography

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


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/14 01:35
End of Day Share Price2019/10/11 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.

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