Why is A10 Networks, Inc. ?
1
High Management Efficiency with a high ROE of 28.07%
2
Company has a low Debt to Equity ratio (avg) at times
3
Healthy long term growth as Operating profit has grown by an annual rate 48.98%
4
Positive results in Jun 25
- OPERATING CASH FLOW(Y) Highest at USD 85.22 MM
- ROCE(HY) Highest at 24.39%
- RAW MATERIAL COST(Y) Fallen by 1.42% (YoY)
5
With ROE of 25.29%, it has a fair valuation with a 7.36 Price to Book Value
- The stock is trading at a premium compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of -1.34%, its profits have risen by 7.9% ; the PEG ratio of the company is 3.6
How much should you hold?
- Overall Portfolio exposure to A10 Networks, Inc. should be less than 10%
- Overall Portfolio exposure to Computers - Software & Consulting should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Computers - Software & Consulting)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is A10 Networks, Inc. for you?
Medium Risk, High Return
Absolute
Risk Adjusted
Volatility
A10 Networks, Inc.
85.78%
0.85
34.62%
S&P 500
22.24%
0.70
20.15%
Quality key factors
Factor
Value
Sales Growth (5y)
5.20%
EBIT Growth (5y)
21.60%
EBIT to Interest (avg)
39.16
Debt to EBITDA (avg)
0
Net Debt to Equity (avg)
-0.68
Sales to Capital Employed (avg)
0.96
Tax Ratio
12.90%
Dividend Payout Ratio
41.91%
Pledged Shares
0
Institutional Holding
100.00%
ROCE (avg)
109.94%
ROE (avg)
28.07%
Valuation Key Factors 
Factor
Value
P/E Ratio
42
Industry P/E
Price to Book Value
8.30
EV to EBIT
33.97
EV to EBITDA
25.83
EV to Capital Employed
27.59
EV to Sales
5.51
PEG Ratio
NA
Dividend Yield
0.80%
ROCE (Latest)
81.22%
ROE (Latest)
19.82%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Mildly Bearish
Dow Theory
Bullish
Bullish
OBV
No Trend
No Trend
Technical Movement
3What is working for the Company
RAW MATERIAL COST(Y)
Fallen by 0.06% (YoY
CASH AND EQV(HY)
Highest at USD 747.62 MM
INVENTORY TURNOVER RATIO(HY)
Highest at 3.17 times
-13What is not working for the Company
INTEREST(9M)
At USD 3.9 MM has Grown at inf%
OPERATING CASH FLOW(Y)
Lowest at USD 69.92 MM
ROCE(HY)
Lowest at 21.42%
INTEREST COVERAGE RATIO(Q)
Lowest at 893.05
DIVIDEND PAYOUT RATIO(Y)
Lowest at 36.36%
DEBT-EQUITY RATIO
(HY)
Highest at -64.77 %
Here's what is working for A10 Networks, Inc.
Cash and Eqv
Highest at USD 747.62 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Inventory Turnover Ratio
Highest at 3.17 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Raw Material Cost
Fallen by 0.06% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin
Raw Material Cost as a percentage of Sales
Here's what is not working for A10 Networks, Inc.
Interest
At USD 3.9 MM has Grown at inf%
over previous Semi-Annual periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (USD MM)
Operating Cash Flow
Lowest at USD 69.92 MM and Fallen
In each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (USD MM)
Interest Coverage Ratio
Lowest at 893.05
in the last five periodsMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Debt-Equity Ratio
Highest at -64.77 %
in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Dividend Payout Ratio
Lowest at 36.36%
in the last five yearsMOJO Watch
Company is distributing lower proportion of profits generated as dividend
DPR (%)






