Ceragon Networks Ltd. (CRNT) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Arlo Technologies, Inc.

Clearfield, Inc.

Gilat Satellite Networks Ltd.

Aviat Networks, Inc.

CommScope Holding Co., Inc.

Digi International, Inc.

AudioCodes Ltd.

Harmonic, Inc.

Ceragon Networks Ltd.

Comtech Telecommunications Corp.

Infinera Corp.

Why is Ceragon Networks Ltd. ?

Poor Management Efficiency with a low ROCE of 10.35%

The company has been able to generate a Return on Capital Employed (avg) of 10.35% signifying low profitability per unit of total capital (equity and debt)

With a fall in PBT of -110.53%, the company declared Very Negative results in Jun 25

INTEREST(Q) At USD 2.9 MM has Grown at inf%
INTEREST COVERAGE RATIO(Q) Lowest at 209.88
NET SALES(Q) Lowest at USD 82.26 MM

Below par performance in long term as well as near term

Along with generating -50.74% returns in the last 1 year, the stock has also underperformed S&P 500 in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Telecom - Equipment & Accessories)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Ceragon Networks Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Ceragon Networks Ltd.

-54.9%

-0.32

66.50%

S&P 500

13.22%

0.61

20.17%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

7.77%

EBIT Growth (5y)

39.45%

EBIT to Interest (avg)

1.80

Debt to EBITDA (avg)

0.28

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

1.99

Tax Ratio

12.08%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

24.49%

ROCE (avg)

10.35%

ROE (avg)

4.35%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

1.35

EV to EBIT

5.65

EV to EBITDA

4.30

EV to Capital Employed

1.35

EV to Sales

0.57

PEG Ratio

0.03

Dividend Yield

ROCE (Latest)

23.85%

ROE (Latest)

16.74%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Bullish

Bearish

Dow Theory

No Trend

Mildly Bullish

OBV

Mildly Bearish

No Trend

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

2What is working for the Company

RAW MATERIAL COST(Y)

Fallen by 1.36% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 4.23 times

-21What is not working for the Company

INTEREST(Q)

At USD 2.9 MM has Grown at inf%

INTEREST COVERAGE RATIO(Q)

Lowest at 209.88

NET SALES(Q)

Lowest at USD 82.26 MM

OPERATING PROFIT(Q)

Lowest at USD 6.08 MM

PRE-TAX PROFIT(Q)

Lowest at USD -0.45 MM

NET PROFIT(Q)

Lowest at USD -1.04 MM

EPS(Q)

Lowest at USD -0.01

Here's what is working for Ceragon Networks Ltd.

Inventory Turnover Ratio

Highest at 4.23 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by 1.36% (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

Depreciation

Highest at USD 3.63 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)

Here's what is not working for Ceragon Networks Ltd.

Pre-Tax Profit

At USD -0.45 MM has Fallen at -105.77%

over average net sales of the previous four periods of USD 7.8 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (USD MM)

Net Profit

At USD -1.04 MM has Fallen at -114.85%

over average net sales of the previous four periods of USD 6.99 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Net Sales

At USD 82.26 MM has Fallen at -16.56%

over average net sales of the previous four periods of USD 98.59 MM

MOJO Watch

Near term sales trend is very negative

Net Sales (USD MM)

Interest

At USD 2.9 MM has Grown at inf%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Interest Coverage Ratio

Lowest at 209.88

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Net Sales

Lowest at USD 82.26 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (USD MM)

Operating Profit

Lowest at USD 6.08 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (USD MM)

Pre-Tax Profit

Lowest at USD -0.45 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (USD MM)

Net Profit

Lowest at USD -1.04 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (USD MM)

EPS

Lowest at USD -0.01

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (USD)