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 Analysis

Flawless balance sheet with solid 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

Stable Share Price: GILT's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

2.6%

GILT

4.5%

US Communications

5.3%

US Market


1 Year Return

-14.1%

GILT

-26.9%

US Communications

-10.7%

US Market

Return vs Industry: GILT exceeded the US Communications industry which returned -26.9% over the past year.

Return vs Market: GILT underperformed the US Market which returned -10.7% over the past year.


Shareholder returns

GILTIndustryMarket
7 Day2.6%4.5%5.3%
30 Day-24.6%-1.4%-13.6%
90 Day-11.6%-16.2%-19.8%
1 Year-14.1%-14.1%-25.4%-26.9%-8.9%-10.7%
3 Year46.4%39.0%13.4%6.8%15.5%8.0%
5 Year10.8%5.2%43.7%28.2%35.2%20.4%

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?

18.5%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: GILT ($7.09) is trading below our estimate of fair value ($8.7)

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


Price To Earnings Ratio

PE vs Industry: GILT is good value based on its PE Ratio (10.7x) compared to the Communications industry average (22.6x).

PE vs Market: GILT is good value based on its PE Ratio (10.7x) compared to the US market (13.1x).


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 overvalued based on its PB Ratio (1.6x) compared to the US Communications industry average (1.3x).


Next Steps

Future Growth

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

12.0%

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.


Next Steps

Past Performance

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

64.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: GILT has high quality earnings.

Growing Profit Margin: GILT's current net profit margins (13.9%) are higher than last year (6.9%).


Past Earnings Growth Analysis

Earnings Trend: GILT has become profitable over the past 5 years, growing earnings by 64.5% per year.

Accelerating Growth: GILT's earnings growth over the past year (98.5%) exceeds its 5-year average (64.5% per year).

Earnings vs Industry: GILT earnings growth over the past year (98.5%) exceeded the Communications industry -13.2%.


Return on Equity

High ROE: GILT's Return on Equity (14.4%) is considered low.


Next Steps

Financial Health

How is Gilat Satellite Networks's financial position?


Financial Position Analysis

Short Term Liabilities: GILT's short term assets ($223.5M) exceed its short term liabilities ($121.0M).

Long Term Liabilities: GILT's short term assets ($223.5M) exceed its long term liabilities ($17.3M).


Debt to Equity History and Analysis

Debt Level: GILT's debt to equity ratio (3.2%) is considered satisfactory.

Reducing Debt: GILT's debt to equity ratio has reduced from 20.7% to 3.2% over the past 5 years.


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 27.6x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: GILT is profitable, therefore cash runway is not a concern.

Forecast Cash Runway: GILT is profitable, therefore cash runway is not a concern.


Next Steps

Dividend

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

6.35%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: GILT's dividend (6.35%) is higher than the bottom 25% of dividend payers in the US market (1.95%).

High Dividend: GILT's dividend (6.35%) is in the top 25% of dividend payers in the US market (5.37%)


Stability and Growth of Payments

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 reasonable payout ratio (68.2%), GILT's dividend payments are 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?

4.3yrs

Average management tenure


CEO

Yona Ovadia (60yo)

4.08s

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 ($USD920.18K) is below average for companies of similar size in the US market ($USD2.13M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Yona Ovadia
Chief Executive Officer4.08yrsUS$920.18kno data
Adi Sfadia
Chief Financial Officer4.42yrsUS$437.62kno data
Yuval Shani
Chief Operating Officer2.67yrsUS$472.11kno data
Alik Shimelmits
Chief Technology & Product Officer0.50yrUS$375.47kno data
Yael Shofar
General Counsel & Corporate Secretaryno datano datano data
Yossi Gal
Vice President of Sales Operations & Information Technologies9yrsno datano data
Nirit Barnea
Vice President of Human Resources4.83yrsno datano data

4.3yrs

Average Tenure

55yo

Average Age

Experienced Management: GILT's management team is considered experienced (4.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Dov Baharav
Chairman of the Board5.92yrsUS$485.65kno data
Meir Shamir
Independent Director3.92yrsno datano data
Ishay Davidi
Director7.33yrsno datano data
Dafna Sharir
Independent Director3.92yrsno datano data
Amiram Boehm
Independent Director7.33yrsno datano data
Dafna Cohen
External Independent Director5.33yrsno datano data
Elyezer Shkedy
External Director2.83yrsno datano data
Amir Ofek
Independent Director5.33yrsno datano data
Aylon Rafaeli
Independent Director3.92yrsno datano data

5.3yrs

Average Tenure

57yo

Average Age

Experienced Board: GILT's board of directors are considered experienced (5.3 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

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$393.447m
  • Shares outstanding: 55.49m
  • 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, Africa, Europe, and CIS countries. It operates through three segments: Fixed Networks, Mobility Solutions, and Terrestrial Infrastructure Projects. The company designs and manufactures ground-based satellite communications equipment; and provides solutions and end-to-end services. Its portfolio consists of very small aperture terminals, amplifiers, modems, on-the-move antennas, solid state amplifiers, block upconverters, low-profile antennas, and on-the-move/on-the-pause terminals. In addition, the company offers various solutions, including managed satellite network services, network planning and optimization, satellite capacity, remote network operation, call center support, hub and field operations, and communication networks construction and installation services. Further, it provides connectivity services, Internet access, and telephony services to enterprise, government, and residential customers; and builds telecommunication infrastructure using fiber-optic and wireless technologies for broadband connectivity. Gilat Satellite Networks Ltd. sells its products and solutions to communication service providers and operators, mobile network operators, telecommunication companies, and system integrators, as well as to defense and homeland security organizations, and directly to end-users. The company was founded in 1987 and is headquartered in Petah Tikva, Israel. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/01 07:42
End of Day Share Price2020/03/31 00:00
Earnings2019/12/31
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.