Motorola Solutions, Inc. (MSI) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Ubiquiti, Inc.

Calix, Inc.

Arlo Technologies, Inc.

Ciena Corp.

ViaSat, Inc.

Apple, Inc.

Garmin Ltd.

Motorola Solutions, Inc.

Digi International, Inc.

InterDigital, Inc.

Harmonic, Inc.

Why is Motorola Solutions, Inc. ?

High Management Efficiency with a high ROCE of 41.95%

Healthy long term growth as Net Sales has grown by an annual rate of 7.73%

With ROCE of 44.78%, it has a fair valuation with a 12.07 Enterprise value to Capital Employed

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -23.02%, its profits have risen by 0.8% ; the PEG ratio of the company is 33.9

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Motorola Solutions, Inc. should be less than 10%
Overall Portfolio exposure to Telecom - Equipment & Accessories should be less than 30%

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

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Motorola Solutions, Inc. for you?

Low Risk, Low Return

Absolute

Risk Adjusted

Volatility

Motorola Solutions, Inc.

7.22%

-0.07

22.84%

S&P 500

14.9%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

9.52%

EBIT Growth (5y)

15.61%

EBIT to Interest (avg)

8.40

Debt to EBITDA (avg)

1.88

Net Debt to Equity (avg)

2.77

Sales to Capital Employed (avg)

1.32

Tax Ratio

21.39%

Dividend Payout Ratio

35.15%

Pledged Shares

Institutional Holding

83.60%

ROCE (avg)

41.95%

ROE (avg)

403.64%

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

32.54

EV to EBIT

29.04

EV to EBITDA

25.03

EV to Capital Employed

8.21

EV to Sales

7.41

PEG Ratio

Dividend Yield

72.21%

ROCE (Latest)

28.27%

ROE (Latest)

87.39%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Mildly Bearish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

Mildly Bearish

Bullish

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

10What is working for the Company

OPERATING CASH FLOW(Y)

Highest at USD 2,837 MM

DIVIDEND PER SHARE(HY)

Highest at USD 3.28

NET SALES(Q)

Highest at USD 3,380 MM

OPERATING PROFIT(Q)

Highest at USD 1,035 MM

OPERATING PROFIT MARGIN(Q)

Highest at 30.62 %

PRE-TAX PROFIT(Q)

Highest at USD 790 MM

EPS(Q)

Highest at USD 3.86

-13What is not working for the Company

ROCE(HY)

Lowest at 104.74%

INTEREST COVERAGE RATIO(Q)

Lowest at 848.36

CASH AND EQV(HY)

Lowest at USD 2,059 MM

DEBTORS TURNOVER RATIO(HY)

Lowest at 3.28 times

INTEREST(Q)

Highest at USD 122 MM

Here's what is working for Motorola Solutions, Inc.

Operating Cash Flow

Highest at USD 2,837 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (USD MM)

Dividend per share

Highest at USD 3.28 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Net Sales

Highest at USD 3,380 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

Operating Profit

Highest at USD 1,035 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (USD MM)

Operating Profit Margin

Highest at 30.62 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at USD 790 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

EPS

Highest at USD 3.86

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (USD)

Depreciation

Highest at USD 156 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 Motorola Solutions, Inc.

Interest

At USD 122 MM has Grown at 18.45%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Interest Coverage Ratio

Lowest at 848.36

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest

Highest at USD 122 MM

in the last five periods and Increased by 18.45% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Cash and Eqv

Lowest at USD 2,059 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debtors Turnover Ratio

Lowest at 3.28 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio