NasdaqGS:IMMR

Stock Analysis Report

Executive Summary

Immersion Corporation creates, designs, develops, and licenses haptic technologies in North America, Europe, and Asia.


Snowflake Analysis

Flawless balance sheet with concerning outlook.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-1.3%

IMMR

-6.5%

US Tech

-4.2%

US Market


1 Year Return

-19.4%

IMMR

63.1%

US Tech

14.0%

US Market

Return vs Industry: IMMR underperformed the US Tech industry which returned 63.1% over the past year.

Return vs Market: IMMR underperformed the US Market which returned 14% over the past year.


Shareholder returns

IMMRIndustryMarket
7 Day-1.3%-6.5%-4.2%
30 Day0%-6.6%-1.8%
90 Day13.0%10.2%2.6%
1 Year-19.4%-19.4%65.5%63.1%16.3%14.0%
3 Year-29.1%-29.1%112.2%97.7%43.2%34.0%
5 Year-4.2%-4.2%130.0%107.5%65.9%47.6%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

2.92x

Price to Book (PB) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

PE vs Industry: IMMR is unprofitable, so we can't compare its PE Ratio to the Tech industry average.

PE vs Market: IMMR is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: IMMR is overvalued based on its PB Ratio (2.9x) compared to the US Tech industry average (1.8x).


Next Steps

Future Growth

How is Immersion forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

132.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: IMMR is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: IMMR is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: IMMR is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: IMMR's revenue (8.5% per year) is forecast to grow faster than the US market (7.6% per year).

High Growth Revenue: IMMR's revenue (8.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

How has Immersion performed over the past 5 years?

-8.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: IMMR is currently unprofitable.

Growing Profit Margin: IMMR is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: IMMR is unprofitable, and losses have increased over the past 5 years at a rate of -8.6% per year.

Accelerating Growth: Unable to compare IMMR's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: IMMR is unprofitable, making it difficult to compare its past year earnings growth to the Tech industry (-3.2%).


Return on Equity

High ROE: IMMR has a negative Return on Equity (-28.62%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Immersion's financial position?


Financial Position Analysis

Short Term Liabilities: IMMR's short term assets ($109.5M) exceed its short term liabilities ($13.4M).

Long Term Liabilities: IMMR's short term assets ($109.5M) exceed its long term liabilities ($29.9M).


Debt to Equity History and Analysis

Debt Level: IMMR is debt free.

Reducing Debt: IMMR has not had any debt for past 5 years.


Balance Sheet

Inventory Level: IMMR has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if IMMR's debt is covered by short term assets.


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: IMMR has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: IMMR has sufficient cash runway for 1.1 years if free cash flow continues to reduce at historical rates of -1.9% each year.


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.5%markettop25%3.8%industryaverage1.2%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

High Dividend: Unable to evaluate IMMR's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if IMMR's dividends per share have been stable in the past.

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

0.7yrs

Average management tenure


CEO

Ramzi Haidamus (55yo)

1.1yrs

Tenure

0

Mr. Ramzi Haidamus serves as President, Chief Executive Officer and Director at Immersion Corporation since January 21, 2019. He also served as an Executive Officer of Nokia Corporation until September 30, ...


Leadership Team

NamePositionTenureCompensationOwnership
Ramzi Haidamus
President1.1yrsno data0.15% $368.9k
Aaron Akerman
Chief Financial Officer0.08yrsno datano data
Leonard Wood
Chief Accounting Officer0.6yrsno datano data
Chris Ullrich
Chief Technology Officer2.1yrsno datano data
Michael Okada
General Counsel and Senior VP of IP Licensing & Legal Affairs0.7yrsno datano data
Jared Smith
Vice President of Worldwide Sales0.8yrsno datano data
John Griffin
Vice President of Products & Marketing0.8yrsno datano data
Patricia Winter
Head of Human Resources0.6yrsno datano data
Todd Conroy
Senior Vice President of Research & Development0.7yrsno datano data

0.7yrs

Average Tenure

Experienced Management: IMMR's management team is not considered experienced ( 0.7 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Ramzi Haidamus
President1.1yrsno data0.15% $368.9k
Sidney Ganis
Independent Director0.7yrsno data0.062% $151.9k
William Martin
Director0.5yrsno data0.042% $104.5k
Matthew Frey
Director0.5yrsno data0.042% $104.5k
Sharon Holt
Chairman1.5yrsUS$166.81k0.10% $254.6k
Sumit Agarwal
Independent Director0.7yrsno data0.085% $208.6k
Jonathan Visbal
Independent Director0.7yrsno data0.061% $149.8k

0.7yrs

Average Tenure

54yo

Average Age

Experienced Board: IMMR's board of directors are not considered experienced ( 0.7 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: IMMR insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 4.1%.


Top Shareholders

Company Information

Immersion Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Immersion Corporation
  • Ticker: IMMR
  • Exchange: NasdaqGS
  • Founded: 1993
  • Industry: Technology Hardware, Storage and Peripherals
  • Sector: Tech
  • Market Cap: US$246.417m
  • Shares outstanding: 31.80m
  • Website: https://www.immersion.com

Number of Employees


Location

  • Immersion Corporation
  • 50 Rio Robles
  • San Jose
  • California
  • 95134
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
IMMRNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDNov 1999
IMVDB (Deutsche Boerse AG)YesCommon StockDEEURNov 1999

Biography

Immersion Corporation creates, designs, develops, and licenses haptic technologies in North America, Europe, and Asia. Its technologies allow people to use their sense of touch when they engage with various digital products. The company offers TouchSense Lite and TouchSense Premium patent licenses, haptic technologies to original equipment manufacturers. It also provides TouchSense Software Development Kits, which consist of design tools, integration software, and effect libraries that allow for the design, encoding, and playback of tactile effects in content. In addition, the company offers TouchSense Force, which comprises design tools, Application Programming Interfaces (APIs), reference designs, and firmware. Further, the company licenses its patents to implement the licensed software to customers. Additionally, it provides engineering and integration services, design kits for prototyping, authoring tools, APIs, and platform independent solutions. The company offers its products to mobile communications, wearables, and consumer electronics; console and PC gaming; automotive; and medical markets. Immersion Corporation was founded in 1993 and is headquartered in San Jose, California. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/25 00:31
End of Day Share Price2020/02/24 00:00
Earnings2019/09/30
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.