Silicom (NasdaqGS:SILC) - Share price, News & Analysis

SILC fundamental analysis
Snowflake Score
Valuation	1/6
Future Growth	1/6
Past Performance	4/6
Financial Health	6/6
Dividends	0/6

SILC Stock Overview

Rewards

Revenue is forecast to grow 16.52% per year

Earnings grew by 48.1% over the past year

Risk Analysis

Earnings have declined by 17.8% per year over past 5 years

Silicom Competitors

Broadcom

NasdaqGS:AVGO

US$221.8b

Intel

NasdaqGS:INTC

US$170.3b

Advantech

TWSE:2395

NT$282.4b

ADLINK Technology

TWSE:6166

NT$11.6b

Price History & Performance

Summary of all time highs, changes and price drops for Silicom
Historical stock prices
Current Share Price	US$35.63
52 Week High	US$52.75
52 Week Low	US$32.49
Beta	0.80
1 Month Change	-5.52%
3 Month Change	-15.39%
1 Year Change	-11.81%
3 Year Change	17.86%
5 Year Change	-29.92%
Change since IPO	578.67%

Recent News & Updates

May 10

Silicom - Ready To Bypass Supply Chain Issues And Capitalize On Record Backlog

Silicom won a $25 million per year design win last week. This design win incorporates $15 million in orders for 2022. Through a combination of redesigns and higher inventory, Silicom foresees higher shipments in the second half of 2022.

Shareholder Returns

	SILC	US Communications	US Market
7D	3.7%	-10.4%	-2.7%
1Y	-11.8%	-13.5%	-12.9%

Return vs Industry: SILC exceeded the US Communications industry which returned -13.5% over the past year.

Return vs Market: SILC exceeded the US Market which returned -12.9% over the past year.

Price Volatility

Is SILC's price volatile compared to industry and market?
SILC volatility
SILC Average Weekly Movement	6.1%
Communications Industry Average Movement	7.2%
Market Average Movement	7.8%
10% most volatile stocks in US Market	16.8%
10% least volatile stocks in US Market	2.9%

Stable Share Price: SILC is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: SILC's weekly volatility (6%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1987	n/a	Shaike Orbach	https://www.silicom-usa.com

Silicom Ltd., together with its subsidiaries, designs, manufactures, markets, and supports networking and data infrastructure solutions for a range of servers, server-based systems, and communications devices in the United States, North America, Israel, Europe, and the Asia Pacific. It offers server network interface cards; and smart cards, such as smart server adapters, which include redirector and switching cards, encryption and data compression hardware acceleration cards, forward error correction acceleration and offloading cards, time synchronization cards, and field programmable gate array-based cards. The company also provides virtualized and universal customer-premises equipment; edge devices for SD-WAN and NFV deployments; and distributed units for the 5G mobile infrastructure market.

Silicom Fundamentals Summary

How do Silicom's earnings and revenue compare to its market cap?
SILC fundamental statistics
Market Cap	US$236.97m
Earnings (TTM)	US$10.12m
Revenue (TTM)	US$131.53m

23.4x

P/E Ratio

1.8x

P/S Ratio

Is SILC overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
SILC income statement (TTM)
Revenue	US$131.53m
Cost of Revenue	US$86.18m
Gross Profit	US$45.35m
Other Expenses	US$35.23m
Earnings	US$10.12m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	1.52
Gross Margin	34.48%
Net Profit Margin	7.69%
Debt/Equity Ratio	0%

How did SILC perform over the long term?

See historical performance and comparison

Valuation

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

Valuation Score

1/6

Valuation Score 1/6

Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry

23.42x

Price to Earnings (PE) ratio

Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate SILC's fair value for valuation analysis.

Significantly Below Fair Value: Insufficient data to calculate SILC's fair value for valuation analysis.

Price To Earnings Ratio

PE vs Industry: SILC is poor value based on its PE Ratio (23.4x) compared to the US Communications industry average (21.4x).

PE vs Market: SILC is poor value based on its PE Ratio (23.4x) compared to the US market (15.3x).

Price to Earnings Growth Ratio

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

Price to Book Ratio

PB vs Industry: SILC is good value based on its PB Ratio (1.5x) compared to the US Communications industry average (1.7x).

Future Growth

How is Silicom forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

Future Growth Score

1/6

Future Growth Score 1/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

16.5%

Forecasted annual revenue growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if SILC's forecast earnings growth is above the savings rate (1.9%).

Earnings vs Market: Insufficient data to determine if SILC's earnings are forecast to grow faster than the US market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: SILC's revenue (16.5% per year) is forecast to grow faster than the US market (7.8% per year).

High Growth Revenue: SILC's revenue (16.5% 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 SILC's Return on Equity is forecast to be high in 3 years time

Past Performance

How has Silicom performed over the past 5 years?

Past Performance Score

4/6

Past Performance Score 4/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

-17.8%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: SILC has high quality earnings.

Growing Profit Margin: SILC's current net profit margins (7.7%) are higher than last year (6%).

Past Earnings Growth Analysis

Earnings Trend: SILC's earnings have declined by 17.8% per year over the past 5 years.

Accelerating Growth: SILC's earnings growth over the past year (48.1%) exceeds its 5-year average (-17.8% per year).

Earnings vs Industry: SILC earnings growth over the past year (48.1%) exceeded the Communications industry 38.2%.

Return on Equity

High ROE: SILC's Return on Equity (6.4%) is considered low.

Financial Health

How is Silicom's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: SILC's short term assets ($151.5M) exceed its short term liabilities ($55.9M).

Long Term Liabilities: SILC's short term assets ($151.5M) exceed its long term liabilities ($10.8M).

Debt to Equity History and Analysis

Debt Level: SILC is debt free.

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

Debt Coverage: SILC has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: SILC has no debt, therefore coverage of interest payments is not a concern.

Balance Sheet

Dividend

What is Silicom current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend 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 SILC's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate SILC'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 SILC's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if SILC's dividend payments have been increasing.

Earnings Payout to Shareholders

Earnings Coverage: SILC is not paying a notable dividend for the US market.

Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as SILC has not reported any payouts.

Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

21.1yrs

Average management tenure

CEO

Shaike Orbach (69 yo)

21.08yrs

Tenure

US$1,240,085

Compensation

Mr. Yeshayahu Orbach, also known as Shaike, has been the President and Chief Executive Officer of Silicom Ltd. since April 2001. In December, 2001.Mr. Orbach served as the President and Chief Executive Of...

CEO Compensation Analysis

Compensation vs Market: Shaike's total compensation ($USD1.24M) is about average for companies of similar size in the US market ($USD1.68M).

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

Leadership Team

Experienced Management: SILC's management team is seasoned and experienced (21.1 years average tenure).

Board Members

Experienced Board: SILC's board of directors are seasoned and experienced ( 11.8 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.

Data	Last Updated (UTC time)
Company Analysis	2022/05/21 00:00
End of Day Share Price	2022/05/20 00:00
Earnings	2022/03/31
Annual Earnings	2021/12/31