NasdaqGS:BCOM

Stock Analysis Report

Executive Summary

B Communications Ltd., through its subsidiaries, provides a range of telecommunications services for business and private customers in Israel.


Snowflake Analysis

Slightly overvalued with weak fundamentals.


Similar Companies

Share Price & News

How has B Communications's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: BCOM has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

15.3%

BCOM

3.7%

US Telecom

9.9%

US Market


1 Year Return

-57.5%

BCOM

-8.2%

US Telecom

-11.9%

US Market

Return vs Industry: BCOM underperformed the US Telecom industry which returned -7.5% over the past year.

Return vs Market: BCOM underperformed the US Market which returned -11.5% over the past year.


Shareholder returns

BCOMIndustryMarket
7 Day15.3%3.7%9.9%
30 Dayn/a-10.5%-15.0%
90 Day-51.3%-19.0%-21.5%
1 Year-57.5%-57.5%-3.7%-8.2%-10.0%-11.9%
3 Year-95.6%-95.6%-0.9%-15.4%12.3%5.1%
5 Year-93.7%-94.7%17.5%-8.8%32.5%18.1%

Price Volatility Vs. Market

How volatile is B Communications's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: BCOM ($0.87) is trading below our estimate of fair value ($37.12)

Significantly Below Fair Value: BCOM is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: BCOM is unprofitable, so we can't compare its PE Ratio to the Telecom industry average.

PE vs Market: BCOM is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: BCOM has negative assets, so we can't compare its PB Ratio to the US Telecom industry average.


Next Steps

Future Growth

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

8.4%

Forecasted Telecom 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 B Communications 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.


Next Steps

Past Performance

How has B Communications performed over the past 5 years?

-72.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: BCOM is currently unprofitable.

Growing Profit Margin: BCOM is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: BCOM is unprofitable, and losses have increased over the past 5 years at a rate of -72.9% per year.

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

Earnings vs Industry: BCOM is unprofitable, making it difficult to compare its past year earnings growth to the Telecom industry (4.8%).


Return on Equity

High ROE: BCOM's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Next Steps

Financial Health

How is B Communications's financial position?


Financial Position Analysis

Short Term Liabilities: BCOM has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: BCOM 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: BCOM has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: BCOM's has negative shareholder equity, so we do not need to check if its debt has reduced over time.


Balance Sheet

Inventory Level: BCOM has a high level of physical assets or inventory.

Debt Coverage by Assets: BCOM has negative shareholder equity (liabilities exceed assets) therefore debt is not covered by short term assets.


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: Insufficient data to determine if BCOM has enough cash runway based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if BCOM has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

What is B Communications's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate BCOM's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

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

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


Current Payout to Shareholders

Dividend Coverage: BCOM is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of BCOM'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?

4.3yrs

Average management tenure


CEO

Tomer Raved

0.17

Tenure

Mr. Tomer Raved serves as Chief Executive Officer and Director at B Communications Ltd. since January 09, 2020. Mr. Raved brings a decade of financial and business experience, having worked closely with so ...


Leadership Team

NamePositionTenureCompensationOwnership
Itzik Tadmor
Chief Financial Officer4.83yrs₪90.50kno data
Tomer Raved
CEO & Director0.17yrno datano data
Yaniv Salomon
Investor Relations Manager1.92yrsno datano data
Yaackov Nadborny
Vice President of Marketing13.17yrsno datano data
Ron Eilon
Chief Executive Officer of DBS13.58yrs₪4.02mno data
Ran Guron
Chief Executive Officer of Pelephone4.33yrs₪3.41mno data
Yuval Snir
Financial Controllerno datano datano data
Moti Elmaliach
Chief Operating Officer of Bezeq Internationalno data₪3.48mno data
Yaakov Paz
Acting Chief Executive Officer of Bezeq2yrsno datano data
Yehali Rotenberg
Chief Financial Officer of the Bezeq Groupno datano datano data

4.3yrs

Average Tenure

54yo

Average Age

Experienced Management: BCOM's management team is considered experienced (4.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Tomer Raved
CEO & Director0.17yrno datano data
Darren Glatt
Chairman of the Board0.25yrno datano data
Shlomo Zohar
Director1.5yrsno datano data
Michael Klahr
External Director0.25yrno datano data
Stephen Joseph
Director0.25yrno datano data
Phillip Bacal
Director0.25yrno datano data
Efrat Makov
External Director0.25yrno datano data
Ran Fuhrer
Director0.25yrno datano data
Tal Fuhrer
Alternate Directorno datano datano data

0.3yrs

Average Tenure

43yo

Average Age

Experienced Board: BCOM's board of directors are not considered experienced ( 0.3 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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 44.5%.


Top Shareholders

Company Information

B Communications Ltd's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: B Communications Ltd
  • Ticker: BCOM
  • Exchange: NasdaqGS
  • Founded: 1999
  • Industry: Integrated Telecommunication Services
  • Sector: Telecom
  • Market Cap: ₪364.652m
  • Listing Market Cap: ₪102.032m
  • Shares outstanding: 116.32m
  • Website: https://www.bcommunications.co.il

Number of Employees


Location

  • B Communications Ltd
  • 2 Dov Friedman Street
  • Ramat Gan
  • 5250301
  • Israel

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BCOMNasdaqGS (Nasdaq Global Select)YesOrdinary SharesUSUSDOct 2007
BCOMTASE (The Tel-Aviv Stock Exchange)YesOrdinary SharesILILSOct 2007

Biography

B Communications Ltd., through its subsidiaries, provides a range of telecommunications services for business and private customers in Israel. The company offers fixed-line telephony, fixed-line broadband Internet infrastructure access, Internet service provider, cellular telephony, international telephony, international and domestic data transfer and network, information and communication technology, pay television, multi-channel television, online television transmissions, television and radio broadcasts, satellite broadcasts, and customer call center services, as well as other communications infrastructures and services. It is also involved in the maintenance and development of communications infrastructures; provision of communications services to other communications providers; and supply and maintenance of equipment on customer premises, such as network end point services. The company was formerly known as 012 Smile. Communications Ltd. and changed its name to B Communications Ltd. in March 2010. B Communications Ltd. was founded in 1999 and is based in Ramat Gan, Israel.  


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/29 03:22
End of Day Share Price2020/03/27 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.