Smith Micro Software, Inc. (SMSI) 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

Viant Technology, Inc.

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SecureWorks Corp.

Smith Micro Software, Inc.

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ZeroFox Holdings, Inc.

MicroAlgo, Inc.

Baijiayun Group Ltd.

Presto Automation, Inc.

Why is Smith Micro Software, Inc. ?

Poor Management Efficiency with a low ROE of 0.07%

The company has been able to generate a Return on Equity (avg) of 0.07% signifying low profitability per unit of shareholders funds

Poor long term growth as Operating profit has grown by an annual rate -240.31% of over the last 5 years

Flat results in Mar 26

INTEREST(HY) At USD 0.82 MM has Grown at 3,176%
NET SALES(HY) At USD 8.2 MM has Grown at -14.55%
ROCE(HY) Lowest at -102.17%

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -35.10%, its profits have risen by 26.4%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -35.10% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods

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 Software Products)

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

Is Smith Micro Software, Inc. for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Smith Micro Software, Inc.

-41.59%

0.08

368.03%

S&P 500

20.78%

1.67

13.28%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-19.48%

EBIT Growth (5y)

-240.31%

EBIT to Interest (avg)

-11.18

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

-0.02

Sales to Capital Employed (avg)

0.66

Tax Ratio

0.22%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

11.57%

ROCE (avg)

ROE (avg)

0.07%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

1.03

EV to EBIT

-1.00

EV to EBITDA

-1.40

EV to Capital Employed

1.03

EV to Sales

1.11

PEG Ratio

Dividend Yield

ROCE (Latest)

-102.28%

ROE (Latest)

-100.36%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

Bearish

No Signal

Bollinger Bands

Mildly Bullish

Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Bullish

Mildly Bullish

Dow Theory

No Trend

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

10What is working for the Company

OPERATING PROFIT(Q)

Highest at USD -2.13 MM

RAW MATERIAL COST(Y)

Fallen by -12.49% (YoY

OPERATING PROFIT MARGIN(Q)

Highest at -50.39 %

PRE-TAX PROFIT(Q)

Highest at USD -3.9 MM

NET PROFIT(Q)

Highest at USD -3.9 MM

EPS(Q)

Highest at USD -0.76

-14What is not working for the Company

INTEREST(HY)

At USD 0.82 MM has Grown at 3,176%

NET SALES(HY)

At USD 8.2 MM has Grown at -14.55%

ROCE(HY)

Lowest at -102.17%

CASH AND EQV(HY)

Lowest at USD 3.24 MM

DEBT-EQUITY RATIO (HY)

Highest at 11.09 %

Here's what is working for Smith Micro Software, Inc.

Operating Profit

Highest at USD -2.13 MM and Grown

In each period in the last five periods

MOJO Watch

Near term Operating Profit trend is quite positive

Operating Profit (USD MM)

Operating Profit Margin

Highest at -50.39 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at USD -3.9 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

Net Profit

Highest at USD -3.9 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

EPS

Highest at USD -0.76

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (USD)

Raw Material Cost

Fallen by -12.49% (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 Smith Micro Software, Inc.

Interest

At USD 0.82 MM has Grown at 3,176%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Net Sales

At USD 8.2 MM has Grown at -14.55%

Year on Year (YoY)

MOJO Watch

Near term sales trend is negative

Net Sales (USD MM)

Cash and Eqv

Lowest at USD 3.24 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at 11.09 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio