Sequans (SQNS) Fundamental Analysis: Revenue, Earnings & Valuation

2.23 / 10

Underperform

The company's fundamental score is 2.23/10, indicating a weak profile. Key concerns include negative cash flow from operating activities, a low net income-to-revenue ratio, and a significant year-over-year decline in total profit. However, the interest coverage ratio is healthy at 15.5, suggesting manageable debt. The asset-to-market value ratio is also negative, pointing to potential overvaluation or asset impairment. Overall, the fundamentals are a major drag on the stock's performance.

Analysis Checks(3/10)

Net cash flow from operating activities / Operating revenue (%)

Value-107.23

Score0/3

Weight-2.43%

1M Return-0.90%

Net income-Revenue

Value-0.15

Score0/3

Weight13.83%

1M Return4.05%

PB-ROE

Value-0.49

Score0/3

Weight7.55%

1M Return2.32%

Total profit (YoY growth rate %)

Value-134.32

Score3/3

Weight23.75%

1M Return6.46%

Net cash flow from operating activities (YoY growth rate %)

Value-359.93

Score0/3

Weight-0.09%

1M Return-0.03%

Cash-UP

Value-0.05

Score1/3

Weight-8.78%

1M Return-3.32%

Net cash flow from operating activities / Total liabilities (%)

Value-0.11

Score0/3

Weight-1.47%

1M Return-0.54%

Interest coverage ratio (EBIT / Interest expense) (%)

Value15.51

Score2/3

Weight7.97%

1M Return2.54%

Asset-MV

Value-0.51

Score1/3

Weight33.90%

1M Return7.70%

Cash-MV

Value-0.07

Score2/3

Weight25.76%

1M Return7.05%

Is SQNS fundamentally strong?

SQNS scores 2.23/10 on fundamentals and holds a Premium valuation at present. Backed by its -16.38% ROE, -81.58% net margin, 1.09 P/E ratio, 0.26 P/B ratio, and -162.70% earnings growth, these metrics solidify its Underperform investment rating.