| Snowflake Score | |
|---|---|
| Valuation | 2/6 |
| Future Growth | 1/6 |
| Past Performance | 2/6 |
| Financial Health | 6/6 |
| Dividends | 0/6 |
RDWR Stock Overview
Radware Ltd., together with its subsidiaries, develops, manufactures, and markets cyber security and application delivery solutions for applications in cloud, physical, and software defined data centers worldwide.
Radware Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$21.92 |
| 52 Week High | US$42.19 |
| 52 Week Low | US$20.82 |
| Beta | 1.07 |
| 1 Month Change | -12.11% |
| 3 Month Change | -32.24% |
| 1 Year Change | -29.29% |
| 3 Year Change | -11.33% |
| 5 Year Change | 24.76% |
| Change since IPO | 59.42% |
Recent News & Updates
Shareholder Returns
| RDWR | US Communications | US Market | |
|---|---|---|---|
| 7D | -0.4% | -1.2% | 1.7% |
| 1Y | -29.3% | -17.0% | -20.4% |
Return vs Industry: RDWR underperformed the US Communications industry which returned -15.5% over the past year.
Return vs Market: RDWR underperformed the US Market which returned -18.8% over the past year.
Price Volatility
| RDWR volatility | |
|---|---|
| RDWR Average Weekly Movement | 5.0% |
| Communications Industry Average Movement | 8.2% |
| Market Average Movement | 8.0% |
| 10% most volatile stocks in US Market | 16.8% |
| 10% least volatile stocks in US Market | 3.2% |
Stable Share Price: RDWR is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: RDWR's weekly volatility (5%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1996 | 1,075 | Roy Zisapel | https://www.radware.com |
Radware Ltd., together with its subsidiaries, develops, manufactures, and markets cyber security and application delivery solutions for applications in cloud, physical, and software defined data centers worldwide. The company offers DefensePro, a real-time network attack mitigation device; AppWall, a Web application firewall; Radware Kubernetes WAF, a Web application firewall solution for CI/CD environments orchestrated by Kubernetes; and DefenseFlow, a cyber-command and control application. It also provides Alteon, an application delivery controller/load balancer for web, cloud, and mobile based applications; and LinkProof NG, a multi-homing and enterprise gateway solution for connectivity of enterprise and cloud-based applications.
Radware Fundamentals Summary
| RDWR fundamental statistics | |
|---|---|
| Market Cap | US$1.00b |
| Earnings (TTM) | US$7.68m |
| Revenue (TTM) | US$293.44m |
128.1x
P/E Ratio3.3x
P/S RatioIs RDWR overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| RDWR income statement (TTM) | |
|---|---|
| Revenue | US$293.44m |
| Cost of Revenue | US$53.12m |
| Gross Profit | US$240.31m |
| Other Expenses | US$232.64m |
| Earnings | US$7.68m |
Last Reported Earnings
Mar 31, 2022
Next Earnings Date
n/a
| Earnings per share (EPS) | 0.17 |
| Gross Margin | 81.90% |
| Net Profit Margin | 2.62% |
| Debt/Equity Ratio | 0% |
How did RDWR perform over the long term?
See historical performance and comparisonValuation
Is RDWR undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
2/6Valuation Score 2/6
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
PEG Ratio
Key Valuation Metric
Which metric is best to use when looking at relative valuation for RDWR?
Other financial metrics that can be useful for relative valuation.
| What is RDWR's n/a Ratio? | |
|---|---|
| n/a Ratio | 0x |
| n/a | n/a |
| Market Cap | US$1.00b |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 2.4x |
| Enterprise Value/EBITDA | 23.3x |
| PEG Ratio | n/a |
Price to Earnings Ratio vs Peers
How does RDWR's PE Ratio compare to its peers?
| RDWR PE Ratio vs Peers |
|---|
| Company | PE | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 41.6x | ||
HLIT Harmonic | 50.3x | 73.9% | US$916.4m |
DGII Digi International | 69.4x | 78.7% | US$851.9m |
EXTR Extreme Networks | 24.8x | n/a | US$1.2b |
AUDC AudioCodes | 21.7x | 17.3% | US$718.1m |
RDWR Radware | 128.1x | n/a | US$1.0b |
Price-To-Earnings vs Peers: RDWR is expensive based on its Price-To-Earnings Ratio (128.1x) compared to the peer average (41.6x).
Price to Earnings Ratio vs Industry
How does RDWR's PE Ratio compare vs other companies in the US Communications Industry?
Price-To-Earnings vs Industry: RDWR is expensive based on its Price-To-Earnings Ratio (128.1x) compared to the US Communications industry average (22.2x)
Price to Earnings Ratio vs Fair Ratio
What is RDWR's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
| Fair Ratio | |
|---|---|
| Current PE Ratio | 128.1x |
| Fair PE Ratio | n/a |
Price-To-Earnings vs Fair Ratio: Insufficient data to calculate RDWR's Price-To-Earnings Fair Ratio for valuation analysis.
Share Price vs Fair Value
What is the Fair Price of RDWR when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: RDWR ($21.92) is trading below our estimate of fair value ($36.9)
Significantly Below Fair Value: RDWR is trading below fair value by more than 20%.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate RDWR's PEG Ratio to determine if it is good value.
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Future Growth
How is Radware forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?
Future Growth Score
1/6Future Growth Score 1/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE
9.1%
Forecasted annual revenue growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: Insufficient data to determine if RDWR's forecast earnings growth is above the savings rate (1.9%).
Earnings vs Market: Insufficient data to determine if RDWR's earnings are forecast to grow faster than the US market
High Growth Earnings: Insufficient data to determine if RDWR's earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: RDWR's revenue (9.1% per year) is forecast to grow faster than the US market (8.3% per year).
High Growth Revenue: RDWR's revenue (9.1% 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 RDWR's Return on Equity is forecast to be high in 3 years time
Discover growth companies
Past Performance
How has Radware performed over the past 5 years?
Past Performance Score
2/6Past Performance Score 2/6
Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE
38.2%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: RDWR has high quality earnings.
Growing Profit Margin: RDWR's current net profit margins (2.6%) are lower than last year (4.3%).
Past Earnings Growth Analysis
Earnings Trend: RDWR has become profitable over the past 5 years, growing earnings by 38.2% per year.
Accelerating Growth: RDWR's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: RDWR had negative earnings growth (-30%) over the past year, making it difficult to compare to the Communications industry average (35.7%).
Return on Equity
High ROE: RDWR's Return on Equity (2.2%) is considered low.
Discover strong past performing companies
Financial Health
How is Radware's financial position?
Financial Health Score
6/6Financial Health Score 6/6
Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage
Financial Position Analysis
Short Term Liabilities: RDWR's short term assets ($260.3M) exceed its short term liabilities ($151.7M).
Long Term Liabilities: RDWR's short term assets ($260.3M) exceed its long term liabilities ($113.7M).
Debt to Equity History and Analysis
Debt Level: RDWR is debt free.
Reducing Debt: RDWR has not had any debt for past 5 years.
Debt Coverage: RDWR has no debt, therefore it does not need to be covered by operating cash flow.
Interest Coverage: RDWR has no debt, therefore coverage of interest payments is not a concern.
Balance Sheet
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Dividend
What is Radware current dividend yield, its reliability and sustainability?
Dividend Score
0/6Dividend Score 0/6
Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage
Dividend Yield vs Market
Notable Dividend: Unable to evaluate RDWR's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate RDWR's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if RDWR's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if RDWR's dividend payments have been increasing.
Earnings Payout to Shareholders
Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Cash Payout to Shareholders
Cash Flow Coverage: Unable to calculate sustainability of dividends as RDWR has not reported any payouts.
Discover strong dividend paying companies
Management
How experienced are the management team and are they aligned to shareholders interests?
3.9yrs
Average management tenure
CEO
Roy Zisapel (50 yo)
26.08yrs
Tenure
US$1,205,000
Compensation
Mr. Roy Zisapel has been President, Chief Executive Officer and Director of Radware Ltd. since its inception in May 1996. He serves as Chief Executive Officer of Radware Canada Holdings Inc. Before foundin...
CEO Compensation Analysis
Compensation vs Market: Roy's total compensation ($USD1.21M) is below average for companies of similar size in the US market ($USD4.00M).
Compensation vs Earnings: Roy's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: RDWR's management team is considered experienced (3.9 years average tenure).
Board Members
Experienced Board: RDWR's board of directors are not considered experienced ( 1.9 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: 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
Radware Ltd.'s employee growth, exchange listings and data sources
Key Information
- Name: Radware Ltd.
- Ticker: RDWR
- Exchange: NasdaqGS
- Founded: 1996
- Industry: Communications Equipment
- Sector: Tech
- Implied Market Cap: US$1.003b
- Shares outstanding: 44.84m
- Website: https://www.radware.com
Number of Employees
Location
- Radware Ltd.
- 22 Raoul Wallenberg Street
- Tel Aviv
- 6971917
- Israel
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/06/28 00:00 |
| End of Day Share Price | 2022/06/28 00:00 |
| Earnings | 2022/03/31 |
| Annual Earnings | 2021/12/31 |
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.