NasdaqGS:SPOK

Stock Analysis Report

Executive Summary

Spok Holdings, Inc., through its subsidiary, Spok, Inc., provides various communications solutions to healthcare, government, and other enterprises in the United States, Europe, Canada, Australia, Asia, and the Middle East.


Snowflake Analysis

Flawless balance sheet unattractive dividend payer.


Similar Companies

Share Price & News

How has Spok Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

-0.2%

SPOK

2.6%

US Wireless Telecom

0.8%

US Market


1 Year Return

-18.4%

SPOK

3.1%

US Wireless Telecom

25.1%

US Market

Return vs Industry: SPOK underperformed the US Wireless Telecom industry which returned 1.7% over the past year.

Return vs Market: SPOK underperformed the US Market which returned 24.7% over the past year.


Shareholder returns

SPOKIndustryMarket
7 Day-0.2%2.6%0.8%
30 Day-2.4%3.9%3.1%
90 Day1.9%-1.6%10.9%
1 Year-15.2%-18.4%4.6%3.1%27.7%25.1%
3 Year-38.7%-44.6%2.1%-1.7%51.3%41.6%
5 Year-24.7%-37.0%81.0%67.2%77.2%57.6%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

0.83x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: SPOK ($11.57) is trading above our estimate of fair value ($7.47)

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


Price To Earnings Ratio

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

PE vs Market: SPOK 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 SPOK's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: SPOK is good value based on its PB Ratio (0.8x) compared to the US Wireless Telecom industry average (2.3x).


Next Steps

Future Growth

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

14.5%

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 Spok Holdings 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 Spok Holdings performed over the past 5 years?

-46.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SPOK is currently unprofitable.

Growing Profit Margin: SPOK is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: SPOK is unprofitable, and losses have increased over the past 5 years at a rate of -46.2% per year.

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

Earnings vs Industry: SPOK is unprofitable, making it difficult to compare its past year earnings growth to the Wireless Telecom industry (-39.1%).


Return on Equity

High ROE: SPOK has a negative Return on Equity (-0.41%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Spok Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: SPOK's short term assets ($121.2M) exceed its short term liabilities ($52.2M).

Long Term Liabilities: SPOK's short term assets ($121.2M) exceed its long term liabilities ($19.1M).


Debt to Equity History and Analysis

Debt Level: SPOK is debt free.

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

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

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


Balance Sheet

Inventory Level: SPOK has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if SPOK's debt is covered by short term assets.


Next Steps

Dividend

What is Spok Holdings's current dividend yield, its reliability and sustainability?

4.35%

Current Dividend Yield


Dividend Yield vs Market

company4.3%marketbottom25%1.4%markettop25%3.7%industryaverage7.0%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: SPOK's dividend (4.32%) is higher than the bottom 25% of dividend payers in the US market (1.4%).

High Dividend: SPOK's dividend (4.32%) is in the top 25% of dividend payers in the US market (3.66%)


Stability and Growth of Payments

Stable Dividend: SPOK's dividend payments have been volatile in the past 10 years.

Growing Dividend: SPOK's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: SPOK is paying a dividend but the company is unprofitable.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

What is the CEO of Spok Holdings's salary, the management and board of directors tenure and is there insider trading?

3.9yrs

Average management tenure


CEO

Vince Kelly (59yo)

15.2yrs

Tenure

US$2,929,278

Compensation

Mr. Vincent D. Kelly serves as the Chief Executive Officer & President of Spok, Inc. Mr. Kelly serves as the Chief Executive Officer and President of Spok Holdings, Inc. (formerly USA Mobility, Inc.). Mr. ...


CEO Compensation Analysis

Compensation vs Market: Vince's total compensation ($USD2.93M) is above average for companies of similar size in the US market ($USD1.08M).

Compensation vs Earnings: Vince's compensation has increased whilst the company is unprofitable.


Management Age and Tenure

3.9yrs

Average Tenure

54.5yo

Average Age

Experienced Management: SPOK's management team is considered experienced (3.9 years average tenure).


Board Age and Tenure

15.2yrs

Average Tenure

62yo

Average Age

Experienced Board: SPOK's board of directors are seasoned and experienced ( 15.2 years average tenure).


Insider Trading

Insider Buying: SPOK insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$169,67125 Nov 19
Braeside Investments, LLC
EntityCompany
Shares14,222
Max PriceUS$11.93
BuyUS$57,10021 Nov 19
Brian O'Reilly
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares5,000
Max PriceUS$11.42
BuyUS$5,00221 Nov 19
Stacia Hylton
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares430
Max PriceUS$11.63
BuyUS$35,52001 Nov 19
Matthew Oristano
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares3,000
Max PriceUS$11.84
BuyUS$103,68001 Nov 19
Brian O'Reilly
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares9,000
Max PriceUS$11.52
BuyUS$35,85001 Nov 19
Michael Wallace
EntityIndividual
Role
Chief Financial Officer
CFO, COO & Chief Accounting Officer
Shares3,000
Max PriceUS$11.95
SellUS$1,035,29716 May 19
Braeside Investments, LLC
EntityCompany
Shares65,376
Max PriceUS$15.96

Ownership Breakdown

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


Management Team

  • Vince Kelly (59yo)

    President

    • Tenure: 15.2yrs
    • Compensation: US$2.93m
  • Mike Wallace (50yo)

    CFO, COO & Chief Accounting Officer

    • Tenure: 2.8yrs
    • Compensation: US$1.20m
  • Steve Pennington

    Senior Vice President of Sales and Marketing

    • Sharon Keisling (50yo)

      Corporate Secretary & Treasurer

      • Tenure: 11.3yrs
      • Compensation: US$450.25k
    • Bonnie Culp-Fingerhut (67yo)

      Executive VP of Human Resources & Administration and Chief Compliance Officer - Spok Inc

      • Compensation: US$580.55k
    • Don Soucy

      Executive Vice President of Sales

      • Tenure: 3.9yrs
    • Donna Scott

      Senior Vice President of Marketing

      • Tenure: 5.8yrs
    • Bob Lougee

      Investor Relations Contact & Corporate Communications

      • John LaLonde

        Chief Technology Officer

        • Tenure: 2yrs
      • Tim Tindle

        Chief Information Officer

        • Tenure: 0.8yrs

      Board Members

      • Vince Kelly (59yo)

        President

        • Tenure: 15.2yrs
        • Compensation: US$2.93m
      • Royce Yudkoff (63yo)

        Chairman of the Board

        • Tenure: 15.2yrs
        • Compensation: US$105.00k
      • Matthew Oristano (63yo)

        Independent Director

        • Tenure: 15.2yrs
        • Compensation: US$125.00k
      • Samme Thompson (73yo)

        Independent Director

        • Tenure: 15.2yrs
        • Compensation: US$105.00k
      • Brian O'Reilly (59yo)

        Independent Director

        • Tenure: 15.2yrs
        • Compensation: US$105.00k
      • Nathaniel Butterfield (62yo)

        Independent Director

        • Tenure: 6.5yrs
        • Compensation: US$105.00k
      • Baber Ghauri

        Member of Strategic Advisory Council

        • Stacia Hylton (59yo)

          Independent Director

          • Tenure: 4.5yrs
          • Compensation: US$105.00k
        • Jason Fratzke

          Member of Strategic Advisory Council

          • Jim Murry

            Member of Strategic Advisory Council

            Company Information

            Spok Holdings, Inc.'s company bio, employee growth, exchange listings and data sources


            Key Information

            • Name: Spok Holdings, Inc.
            • Ticker: SPOK
            • Exchange: NasdaqGS
            • Founded: 2004
            • Industry: Wireless Telecommunication Services
            • Sector: Telecom
            • Market Cap: US$216.825m
            • Shares outstanding: 18.85m
            • Website: https://www.spok.com

            Number of Employees


            Location

            • Spok Holdings, Inc.
            • 6850 Versar Center
            • Suite 420
            • Springfield
            • Virginia
            • 22151
            • United States

            Listings

            TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
            SPOKNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDMay 2002
            FQVDB (Deutsche Boerse AG)YesCommon StockDEEURMay 2002

            Biography

            Spok Holdings, Inc., through its subsidiary, Spok, Inc., provides various communications solutions to healthcare, government, and other enterprises in the United States, Europe, Canada, Australia, Asia, and the Middle East. The company provides one-way messaging, including numeric messaging services, which enable subscribers to receive messages comprising numbers, such as phone numbers; and alphanumeric messages, including numbers and letters that enable subscribers to receive text messages. It also offers two-way messaging services that enable subscribers to send and receive messages to and from other wireless messaging devices, such as pagers, personal digital assistants, and personal computers; and voice mail, personalized greeting, message storage and retrieval, and equipment loss and/or maintenance protection to one-way and two-way messaging subscribers. In addition, the company develops, sells, and supports enterprise-wide systems to automate, centralize, and standardize clinical communications for contact centers, clinical alerting and notification, mobile communications, and messaging, as well as for public safety notifications. Further, it sells devices to resellers who lease or resell them to their subscribers; ancillary services, such as voicemail and equipment loss or maintenance protection, as well as provides a suite of professional services. The company serves businesses, professionals, management personnel, medical personnel, field sales personnel and service forces, members of the construction industry and construction trades, real estate brokers and developers, sales and services organizations, specialty trade organizations, manufacturing organizations, and government agencies. The company was formerly known as USA Mobility, Inc. and changed its name to Spok Holdings, Inc. in July 2014. Spok Holdings, Inc. was founded in 2004 and is headquartered in Springfield, Virginia. 


            Company Analysis and Financial Data Status

            All financial data provided by Standard & Poor's Capital IQ.
            DataLast Updated (UTC time)
            Company Analysis2020/01/22 00:22
            End of Day Share Price2020/01/21 00:00
            Earnings2019/09/30
            Annual Earnings2018/12/31


            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.