OSI Systems
Market Cap
US$1.3b
Last Updated
2020/04/01 12:44 UTC
Data Sources
Company Financials +
Executive Summary
OSI Systems, Inc. designs, manufactures, and sells electronic systems and components worldwide.
Rewards
Risk Analysis
Snowflake Analysis
Proven track record with adequate balance sheet.
Similar Companies
Share Price & News
How has OSI Systems's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: OSIS's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
7.1%
OSIS
3.7%
US Electronic
5.3%
US Market
1 Year Return
-22.4%
OSIS
-20.4%
US Electronic
-10.7%
US Market
Return vs Industry: OSIS underperformed the US Electronic industry which returned -20.4% over the past year.
Return vs Market: OSIS underperformed the US Market which returned -10.7% over the past year.
Shareholder returns
| OSIS | Industry | Market | |
|---|---|---|---|
| 7 Day | 7.1% | 3.7% | 5.3% |
| 30 Day | -15.3% | -16.7% | -13.6% |
| 90 Day | -31.9% | -27.9% | -19.8% |
| 1 Year | -22.4%-22.4% | -19.6%-20.4% | -8.9%-10.7% |
| 3 Year | -1.0%-1.0% | 3.0%0.1% | 15.5%8.0% |
| 5 Year | -7.2%-7.2% | 26.2%19.9% | 35.2%20.4% |
Price Volatility Vs. Market
How volatile is OSI Systems's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
What Is OSI Systems's (NASDAQ:OSIS) P/E Ratio After Its Share Price Tanked?2 weeks ago | Simply Wall St
Is Now The Time To Look At Buying OSI Systems, Inc. (NASDAQ:OSIS)?4 weeks ago | Simply Wall St
Calculating The Intrinsic Value Of OSI Systems, Inc. (NASDAQ:OSIS)Valuation
Is OSI Systems undervalued compared to its fair value and its price relative to the market?
29.1%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: OSIS ($69.61) is trading below our estimate of fair value ($98.24)
Significantly Below Fair Value: OSIS is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: OSIS is poor value based on its PE Ratio (16.2x) compared to the Electronic industry average (14.7x).
PE vs Market: OSIS is poor value based on its PE Ratio (16.2x) compared to the US market (13.1x).
Price to Earnings Growth Ratio
PEG Ratio: OSIS is poor value based on its PEG Ratio (3.2x)
Price to Book Ratio
PB vs Industry: OSIS is overvalued based on its PB Ratio (2.3x) compared to the US Electronic industry average (1.5x).
Next Steps
Future Growth
How is OSI Systems forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?
5.1%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: OSIS's forecast earnings growth (5.1% per year) is above the savings rate (1.7%).
Earnings vs Market: OSIS's earnings (5.1% per year) are forecast to grow slower than the US market (12.3% per year).
High Growth Earnings: OSIS's earnings are forecast to grow, but not significantly.
Revenue vs Market: OSIS's revenue (4.8% per year) is forecast to grow slower than the US market (7.2% per year).
High Growth Revenue: OSIS's revenue (4.8% 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 OSIS's Return on Equity is forecast to be high in 3 years time
Next Steps
Past Performance
How has OSI Systems performed over the past 5 years?
-7.7%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: OSIS has high quality earnings.
Growing Profit Margin: OSIS's current net profit margins (6.5%) are higher than last year (3.2%).
Past Earnings Growth Analysis
Earnings Trend: OSIS's earnings have declined by -7.7% per year over the past 5 years.
Accelerating Growth: OSIS's earnings growth over the past year (115.7%) exceeds its 5-year average (-7.7% per year).
Earnings vs Industry: OSIS earnings growth over the past year (115.7%) exceeded the Electronic industry 3.2%.
Return on Equity
High ROE: OSIS's Return on Equity (14%) is considered low.
Next Steps
Financial Health
How is OSI Systems's financial position?
Financial Position Analysis
Short Term Liabilities: OSIS's short term assets ($648.3M) exceed its short term liabilities ($383.9M).
Long Term Liabilities: OSIS's short term assets ($648.3M) exceed its long term liabilities ($360.3M).
Debt to Equity History and Analysis
Debt Level: OSIS's debt to equity ratio (63.5%) is considered high.
Reducing Debt: OSIS's debt to equity ratio has increased from 6.5% to 63.5% over the past 5 years.
Debt Coverage: OSIS's debt is well covered by operating cash flow (38.9%).
Interest Coverage: OSIS's interest payments on its debt are well covered by EBIT (5.7x coverage).
Balance Sheet
Inventory Level: OSIS has a high level of physical assets or inventory.
Debt Coverage by Assets: OSIS's debt is covered by short term assets (assets are 1.8x debt).
Next Steps
Dividend
What is OSI Systems's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate OSIS's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate OSIS'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 OSIS's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if OSIS'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 OSIS'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?
13.6yrs
Average management tenure
CEO
Deepak Chopra (68yo)
32.92s
Tenure
US$6,818,095
Compensation
Mr. Deepak Chopra serves as the Chief Executive Officer of Spacelabs Healthcare, Inc. and has been its Executive Director since July 2005. Mr. Chopra founded OSI Systems, Inc., in 1987 and has been its Chi ...
CEO Compensation Analysis
Compensation vs Market: Deepak's total compensation ($USD6.82M) is above average for companies of similar size in the US market ($USD4.61M).
Compensation vs Earnings: Deepak's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | 32.92yrs | US$6.82m | 2.82% $35.6m | |
| Executive VP & CFO | 13.58yrs | US$2.97m | 1.39% $17.5m | |
| Executive VP | 18.08yrs | US$2.58m | 1.09% $13.7m | |
| Executive VP & President of OSI Solutions Business | 17.42yrs | US$4.60m | 0.41% $5.2m | |
| President of Rapiscan Detection | 2.75yrs | US$958.56k | 0.063% $791.5k | |
| Chief Human Resources Officer | 0.17yr | no data | no data | |
| President of Healthcare Division | 0.58yr | no data | 0.0085% $107.1k | |
| President of OSI Optoelectronics & Manufacturing Division | 13.83yrs | US$715.51k | 0.41% $5.2m | |
| President of OSI Electronics | 1.25yrs | no data | no data |
13.6yrs
Average Tenure
57yo
Average Age
Experienced Management: OSIS's management team is seasoned and experienced (13.6 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman | 32.92yrs | US$6.82m | 2.82% $35.6m | |
| Lead Independent Director | no data | US$412.78k | 0.16% $2.1m | |
| Independent Director | 4.33yrs | US$298.86k | 0.024% $297.4k | |
| Independent Director | 32.58yrs | US$362.84k | 0.092% $1.2m | |
| Independent Director | 3.5yrs | US$283.86k | 0.042% $524.1k | |
| Independent Director | 9.92yrs | US$370.81k | 0.14% $1.8m | |
| Independent Director | 0.33yr | no data | 0.0048% $60.4k |
7.1yrs
Average Tenure
74yo
Average Age
Experienced Board: OSIS's board of directors are considered experienced (7.1 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: OSIS insiders have only sold shares 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
OSI Systems, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: OSI Systems, Inc.
- Ticker: OSIS
- Exchange: NasdaqGS
- Founded: 1987
- Industry: Electronic Equipment and Instruments
- Sector: Tech
- Market Cap: US$1.262b
- Shares outstanding: 18.31m
- Website: https://www.osi-systems.com
Number of Employees
Location
- OSI Systems, Inc.
- 12525 Chadron Avenue
- Hawthorne
- California
- 90250
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| OSIS | NasdaqGS (Nasdaq Global Select) | Yes | Common Stock | US | USD | Oct 1997 |
| OS2 | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Oct 1997 |
Biography
OSI Systems, Inc. designs, manufactures, and sells electronic systems and components worldwide. The company operates through three segments: Security, Healthcare, and Optoelectronics and Manufacturing. The Security segment offers baggage and parcel inspection, cargo and vehicle inspection, hold baggage and people screening, radiation detection, and explosive and narcotics trace detection systems under the Rapiscan Systems and AS&E names. It also provides site design, installation, training, and technical support services; and security screening solutions under the S2 name. The Healthcare segment offers patient monitoring and diagnostic cardiology systems, and related supplies and accessories under the Spacelabs name for use in critical care, emergency, and perioperative areas within hospitals, as well as physicians' offices, medical clinics, and ambulatory surgery centers. The Optoelectronics and Manufacturing segment provides optoelectronic devices under the OSI Optoelectronics, OSI LaserDiode, and OSI Laserscan names for the aerospace and defense, avionics, medical imaging and diagnostics, biochemistry analysis, pharmaceutical, nanotechnology, telecommunications, construction, and homeland security markets. It also offers electronics manufacturing services to original equipment manufacturers and end users for medical, automotive, defense, aerospace, industrial, and consumer applications under the OSI Electronics, APlus Products, Altaflex, and PFC names; and LCD displays for medical, industrial, and consumer electronics applications, as well as flex circuits and touch panels. In addition, this segment offers laser-based remote sensing devices to detect and classify vehicles in toll and traffic management systems under the OSI Laserscan and Autosense names; and solid-state laser products for aerospace, defense, telecommunication, and medical applications under the OSI LaserDiode name. The company was founded in 1987 and is headquartered in Hawthorne, California.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/04/01 12:44 |
| End of Day Share Price | 2020/03/31 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/06/30 |
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.