Motorola Solutions
Market Cap
US$31.5b
Last Updated
2020/02/19 23:52 UTC
Data Sources
Company Financials +
Executive Summary
Motorola Solutions, Inc. provides mission-critical communication solutions in the United States, the United Kingdom, Canada, and internationally.
Rewards
Risk Analysis
Snowflake Analysis
Limited growth with imperfect balance sheet.
Similar Companies
Share Price & News
How has Motorola Solutions's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: MSI has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
0.8%
MSI
-2.2%
US Communications
0.5%
US Market
1 Year Return
33.7%
MSI
-7.3%
US Communications
20.3%
US Market
Return vs Industry: MSI exceeded the US Communications industry which returned -7.3% over the past year.
Return vs Market: MSI exceeded the US Market which returned 20.3% over the past year.
Shareholder returns
| MSI | Industry | Market | |
|---|---|---|---|
| 7 Day | 0.8% | -2.2% | 0.5% |
| 30 Day | 5.7% | -4.4% | 2.0% |
| 90 Day | 12.8% | 3.4% | 9.4% |
| 1 Year | 35.7%33.7% | -5.3%-7.3% | 22.8%20.3% |
| 3 Year | 146.9%133.7% | 31.7%23.6% | 50.1%40.4% |
| 5 Year | 202.4%173.6% | 56.7%39.3% | 73.1%54.1% |
Price Volatility Vs. Market
How volatile is Motorola Solutions's share price compared to the market and industry in the last 5 years?
Simply Wall St News
3 days ago | Simply Wall St
Motorola Solutions (NYSE:MSI) Shareholders Have Enjoyed An Impressive 164% Share Price Gain2 weeks ago | Simply Wall St
Does Motorola Solutions, Inc.'s (NYSE:MSI) CEO Pay Matter?1 month ago | Simply Wall St
What Kind Of Shareholder Appears On The Motorola Solutions, Inc.'s (NYSE:MSI) Shareholder Register?Valuation
Is Motorola Solutions undervalued compared to its fair value and its price relative to the market?
35.72x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: MSI ($186.12) is trading above our estimate of fair value ($169.13)
Significantly Below Fair Value: MSI is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: MSI is poor value based on its PE Ratio (35.7x) compared to the Communications industry average (24.5x).
PE vs Market: MSI is poor value based on its PE Ratio (35.7x) compared to the US market (18.3x).
Price to Earnings Growth Ratio
PEG Ratio: MSI is poor value based on its PEG Ratio (1.9x)
Price to Book Ratio
PB vs Industry: MSI has negative assets, so we can't compare its PB Ratio to the US Communications industry average.
Next Steps
Future Growth
How is Motorola Solutions forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?
19.3%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: MSI's forecast earnings growth (19.3% per year) is above the savings rate (1.7%).
Earnings vs Market: MSI's earnings (19.3% per year) are forecast to grow faster than the US market (14.2% per year).
High Growth Earnings: MSI's earnings are forecast to grow, but not significantly.
Revenue vs Market: MSI's revenue (4.5% per year) is forecast to grow slower than the US market (7.6% per year).
High Growth Revenue: MSI's revenue (4.5% 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 MSI's Return on Equity is forecast to be high in 3 years time
Next Steps
Past Performance
How has Motorola Solutions performed over the past 5 years?
41.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: MSI has a large one-off loss of $484.0M impacting its December 31 2019 financial results.
Growing Profit Margin: MSI's current net profit margins (11%) are lower than last year (13.2%).
Past Earnings Growth Analysis
Earnings Trend: MSI has become profitable over the past 5 years, growing earnings by 41.9% per year.
Accelerating Growth: MSI's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: MSI had negative earnings growth (-10.1%) over the past year, making it difficult to compare to the Communications industry average (-20.3%).
Return on Equity
High ROE: MSI's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is Motorola Solutions's financial position?
Financial Position Analysis
Short Term Liabilities: MSI has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.
Long Term Liabilities: MSI has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.
Debt to Equity History and Analysis
Debt Level: MSI has negative shareholder equity, which is a more serious situation than a high debt level.
Reducing Debt: MSI's has negative shareholder equity, so we do not need to check if its debt has reduced over time.
Debt Coverage: MSI's debt is well covered by operating cash flow (35.7%).
Interest Coverage: MSI's interest payments on its debt are well covered by EBIT (7.9x coverage).
Balance Sheet
Inventory Level: MSI has a low level of unsold assets or inventory.
Debt Coverage by Assets: MSI has negative shareholder equity (liabilities exceed assets) therefore debt is not covered by short term assets.
Next Steps
Dividend
What is Motorola Solutions's current dividend yield, its reliability and sustainability?
1.38%
Current Dividend Yield
Upcoming Dividend Payment
Purchase Motorola Solutions before the 'Buy Limit' to receive their next dividend payment.
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: MSI's dividend (1.38%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.44%).
High Dividend: MSI's dividend (1.38%) is low compared to the top 25% of dividend payers in the US market (3.73%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, MSI has been paying a dividend for less than 10 years.
Growing Dividend: MSI's dividend payments have increased, but the company has only paid a dividend for 9 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (45.1%), MSI's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: MSI's dividends in 3 years are forecast to be well covered by earnings (29.4% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.8yrs
Average management tenure
CEO
Greg Brown (59yo)
8.8yrs
Tenure
US$20,348,558
Compensation
Mr. Gregory Q. Brown, also known as Greg, has been the Chief Executive Officer of Motorola Solutions, Inc. since May 3, 2011. Mr. Brown has been an Executive Director of Motorola Solutions, Inc., since Jul ...
CEO Compensation Analysis
Compensation vs Market: Greg's total compensation ($USD20.35M) is above average for companies of similar size in the US market ($USD10.78M).
Compensation vs Earnings: Greg's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman & CEO | 8.8yrs | US$20.35m | 0.23% $71.4m | |
| Executive VP & CFO | 6.3yrs | US$4.85m | 0.025% $7.8m | |
| Executive VP | 5.1yrs | US$3.69m | 0.0074% $2.3m | |
| Executive Vice President of Products & Sales | 2.6yrs | US$4.08m | 0.015% $4.6m | |
| Executive Vice President of Software & Services | 9.1yrs | US$2.12m | 0.014% $4.5m | |
| Corporate VP & Chief Accounting Officer | 1.4yrs | no data | 0.0016% $517.2k | |
| Chief Technology Officer | 0.9yrs | no data | no data | |
| Vice President of Investor Relations | 0yrs | no data | no data | |
| Senior VP and Chief of Staff | 1.5yrs | no data | 0.0028% $873.5k | |
| Chief Human Resources Officer and Corporate VP of Employment Law & Data Protection | 0yrs | no data | no data |
3.8yrs
Average Tenure
47yo
Average Age
Experienced Management: MSI's management team is considered experienced (3.8 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman & CEO | 8.8yrs | US$20.35m | 0.23% $71.4m | |
| Independent Director | 4.5yrs | US$290.34k | no data | |
| Independent Director | 4.5yrs | US$300.43k | 0.000040% $12.6k | |
| Independent Director | 2.8yrs | US$290.06k | 0.00084% $264.9k | |
| Lead Independent Director | 1.1yrs | US$301.31k | 0.0016% $517.2k | |
| Independent Director | 9.1yrs | US$315.06k | 0.020% $6.4m | |
| Independent Director | 5.1yrs | US$300.06k | no data | |
| Independent Director | 7.1yrs | US$310.30k | no data |
4.8yrs
Average Tenure
60yo
Average Age
Experienced Board: MSI's board of directors are considered experienced (4.8 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: MSI insiders have only sold shares 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 2.6%.
Top Shareholders
Company Information
Motorola Solutions, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Motorola Solutions, Inc.
- Ticker: MSI
- Exchange: NYSE
- Founded: 1928
- Industry: Communications Equipment
- Sector: Tech
- Market Cap: US$31.535b
- Shares outstanding: 170.58m
- Website: https://www.motorolasolutions.com
Number of Employees
Location
- Motorola Solutions, Inc.
- 500 West Monroe Street
- Suite 4400
- Chicago
- Illinois
- 60661
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| MSI | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Jan 1968 |
| 0K3H | LSE (London Stock Exchange) | Yes | Common Stock | GB | USD | Jan 1968 |
| MTL | XTRA (XETRA Trading Platform) | Yes | Common Stock | DE | EUR | Jan 1968 |
| MTLA | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Jan 1968 |
| MOT-U | ETLX (Eurotlx) | Yes | Common Stock | IT | EUR | Jan 1968 |
| MOSI | WBAG (Wiener Boerse AG) | Yes | Common Stock | AT | EUR | Jan 1968 |
| M1SI34 | BOVESPA (Bolsa de Valores de Sao Paulo) | BDR EACH 4 REPR 1 COM | BR | BRL | Jan 2020 |
Biography
Motorola Solutions, Inc. provides mission-critical communication solutions in the United States, the United Kingdom, Canada, and internationally. The company operates in two segments, Products and Systems Integration, and Services and Software. The Products and Systems Integration segment offers a portfolio of infrastructure, devices, accessories, and video solutions, as well as the implementation, optimization, and integration of networks, devices, software, and applications for government, public safety and first-responder agencies, municipalities, and commercial and industrial customers. Its products include two-way portable and vehicle-mounted radios, accessories, software features, and upgrades; video cameras; radio network core and central processing software, base stations, consoles, and repeaters; and video analytics, network video management hardware and software, and access control solutions. The Services segment provides repair, technical support, and hardware maintenance services. This segment also offers monitoring, software updates, and cybersecurity services; and public safety and enterprise command center software suite, unified communications applications, and video software solutions. It serves for government, public safety, and commercial communication networks. The company was formerly known as Motorola, Inc. and changed its name to Motorola Solutions, Inc. in January 2011. Motorola Solutions, Inc. was founded in 1928 and is headquartered in Chicago, Illinois.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/02/19 23:52 |
| End of Day Share Price | 2020/02/19 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
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.