BK Technologies (NYSEAM:BKTI) - Share price, News & Analysis

BKTI fundamental analysis
Snowflake Score
Valuation	2/6
Future Growth	0/6
Past Performance	0/6
Financial Health	3/6
Dividends	2/6

BKTI Stock Overview

BK Technologies Corporation, through its subsidiary, BK Technologies, Inc., engages in design, manufacture, and markets wireless communications products in the United States and internationally.

Risk Analysis

Earnings have declined by 4% per year over past 5 years

Has less than 1 year of cash runway

Dividend of 4.9% is not well covered by earnings or forecast to be in the next 3 years

Volatile share price over the past 3 months

+ 1 more risk

BK Technologies Competitors

Price History & Performance

Summary of all time highs, changes and price drops for BK Technologies
Historical stock prices
Current Share Price	US$2.45
52 Week High	US$3.31
52 Week Low	US$1.59
Beta	1.31
1 Month Change	-2.39%
3 Month Change	-7.55%
1 Year Change	-19.14%
3 Year Change	-43.02%
5 Year Change	-34.67%
Change since IPO	96.00%

Shareholder Returns

	BKTI	US Communications	US Market
7D	1.7%	3.4%	6.6%
1Y	-19.1%	-15.0%	-18.5%

Return vs Industry: BKTI underperformed the US Communications industry which returned -15% over the past year.

Return vs Market: BKTI matched the US Market which returned -18.5% over the past year.

Price Volatility

Is BKTI's price volatile compared to industry and market?
BKTI volatility
BKTI Average Weekly Movement	12.3%
Communications Industry Average Movement	8.1%
Market Average Movement	8.0%
10% most volatile stocks in US Market	16.6%
10% least volatile stocks in US Market	3.1%

Stable Share Price: BKTI is more volatile than 75% of US stocks over the past 3 months, typically moving +/- 12% a week.

Volatility Over Time: BKTI's weekly volatility (12%) has been stable over the past year, but is still higher than 75% of US stocks.

About the Company

Founded	Employees	CEO	Website
1997	113	John Suzuki	https://www.bktechnologies.com

BK Technologies Corporation, through its subsidiary, BK Technologies, Inc., engages in design, manufacture, and markets wireless communications products in the United States and internationally. The company offers two-way land mobile radios (LMR), repeaters, base stations, and related components and subsystems. Its BK Technologies, BKR, and BK Radio branded products include LMR equipment for professional radio users primarily in government, public safety, and military applications, as well as P-25 digital products; and RELM branded products provide two-way communications for commercial and industrial concerns, such as hotels, construction firms, schools, and transportation services.

BK Technologies Fundamentals Summary

How do BK Technologies's earnings and revenue compare to its market cap?
BKTI fundamental statistics
Market Cap	US$41.32m
Earnings (TTM)	-US$4.97m
Revenue (TTM)	US$43.39m

1.0x

P/S Ratio

-8.3x

P/E Ratio

Is BKTI overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
BKTI income statement (TTM)
Revenue	US$43.39m
Cost of Revenue	US$28.77m
Gross Profit	US$14.61m
Other Expenses	US$19.58m
Earnings	-US$4.97m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	-0.29
Gross Margin	33.68%
Net Profit Margin	-11.45%
Debt/Equity Ratio	7.9%

How did BKTI perform over the long term?

See historical performance and comparison

Dividends

4.9%

Current Dividend Yield

-32%

Payout Ratio

We’ve recently updated our valuation analysis.

Valuation

Is BKTI undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

Price-To-Sales vs Peers
Price-To-Sales vs Industry
Price-To-Sales 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 BKTI?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for BKTI. This is calculated by dividing BKTI's market cap by their current preferred multiple.
What is BKTI's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	US$41.32m

BKTI key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	0.9x
Enterprise Value/EBITDA	-17x
PEG Ratio	n/a

Price to Sales Ratio vs Peers

How does BKTI's PS Ratio compare to its peers?

BKTI PS Ratio vs Peers

The above table shows the PS ratio for BKTI vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PS	Estimated Growth	Market Cap
Peer Average	1.1x

Forward PS

Price-To-Sales vs Peers: BKTI is good value based on its Price-To-Sales Ratio (1x) compared to the peer average (1.1x).

Price to Earnings Ratio vs Industry

How does BKTI's PE Ratio compare vs other companies in the U.S. Communications Industry?

Price-To-Sales vs Industry: BKTI is good value based on its Price-To-Sales Ratio (1x) compared to the US Communications industry average (1.3x)

Price to Sales Ratio vs Fair Ratio

What is BKTI's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

BKTI PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	1x
Fair PS Ratio	n/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate BKTI's Price-To-Sales Fair Ratio for valuation analysis.

Share Price vs Fair Value

What is the Fair Price of BKTI when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: BKTI ($2.45) is trading above our estimate of fair value ($0.69)

Significantly Below Fair Value: BKTI is trading above our estimate of fair value.

Price to Earnings Growth Ratio

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

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Future Growth

How is BK Technologies forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

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

13.2%

Forecasted Tech industry annual growth in earnings

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as BK Technologies has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.

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Take a look at our analysis of BKTI’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.

Past Performance

How has BK Technologies performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

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

-4.0%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: BKTI is currently unprofitable.

Growing Profit Margin: BKTI is currently unprofitable.

Past Earnings Growth Analysis

Earnings Trend: BKTI is unprofitable, and losses have increased over the past 5 years at a rate of 4% per year.

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

Earnings vs Industry: BKTI is unprofitable, making it difficult to compare its past year earnings growth to the Communications industry (35.7%).

Return on Equity

High ROE: BKTI has a negative Return on Equity (-17.22%), as it is currently unprofitable.

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Financial Health

How is BK Technologies's financial position?

Financial Health Score

3/6

Financial Health Score 3/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Stable Cash Runway
Forecast Cash Runway

Financial Position Analysis

Short Term Liabilities: BKTI's short term assets ($34.7M) exceed its short term liabilities ($13.0M).

Long Term Liabilities: BKTI's short term assets ($34.7M) exceed its long term liabilities ($5.2M).

Debt to Equity History and Analysis

Debt Level: BKTI has more cash than its total debt.

Reducing Debt: Insufficient data to determine if BKTI's debt to equity ratio has reduced over the past 5 years.

Balance Sheet

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: BKTI has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: BKTI has less than a year of cash runway if free cash flow continues to reduce at historical rates of 40.5% each year

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Dividend

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

Dividend Score

2/6

Dividend Score 2/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

4.90%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: BKTI's dividend (4.9%) is higher than the bottom 25% of dividend payers in the US market (1.57%).

High Dividend: BKTI's dividend (4.9%) is in the top 25% of dividend payers in the US market (4.24%)

Stability and Growth of Payments

Stable Dividend: BKTI has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: BKTI has only been paying a dividend for 6 years, and since then payments have fallen.

Earnings Payout to Shareholders

Earnings Coverage: BKTI is paying a dividend but the company is unprofitable.

Cash Payout to Shareholders

Cash Flow Coverage: BKTI is paying a dividend but the company has no free cash flows.

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Management

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

4.8yrs

Average management tenure

CEO

John Suzuki (56 yo)

0.92

Tenure

US$845,680

Compensation

Mr. John M. Suzuki serves as Chief Executive Officer at BK Technologies Corporation since July 19, 2021 and has been its Director since July 2021. From May 2019 until July 19, 2021, Mr. Suzuki served as Ch...

CEO Compensation Analysis

Compensation vs Market: John's total compensation ($USD845.68K) is about average for companies of similar size in the US market ($USD752.25K).

Compensation vs Earnings: Insufficient data to compare John's compensation with company performance.

Leadership Team

Experienced Management: BKTI's management team is considered experienced (4.8 years average tenure).

Board Members

Experienced Board: BKTI's board of directors are considered experienced (5.3 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.

Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.

Data	Last Updated (UTC time)
Company Analysis	2022/06/25 00:00
End of Day Share Price	2022/06/24 00:00
Earnings	2022/03/31
Annual Earnings	2021/12/31