Cambium Networks Current Valuation vs. Price To Earning

CMBM Stock  USD 0.74  0.03  3.47%   
Based on Cambium Networks' profitability indicators, Cambium Networks Corp may not be well positioned to generate adequate gross income at this time. It has a very high probability of underperforming in January. Profitability indicators assess Cambium Networks' ability to earn profits and add value for shareholders. At this time, Cambium Networks' Price To Sales Ratio is very stable compared to the past year. As of the 23rd of December 2024, EV To Sales is likely to grow to 1.20, while Sales General And Administrative To Revenue is likely to drop 0.07. At this time, Cambium Networks' Net Income Applicable To Common Shares is very stable compared to the past year. As of the 23rd of December 2024, Income Tax Expense is likely to grow to about 14.5 M, though Accumulated Other Comprehensive Income is likely to grow to (1.5 M).
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.520.3126
Way Up
Slightly volatile
For Cambium Networks profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Cambium Networks to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Cambium Networks Corp utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Cambium Networks's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Cambium Networks Corp over time as well as its relative position and ranking within its peers.
  
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Is Communications Equipment space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Cambium Networks. If investors know Cambium will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Cambium Networks listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
5.686
Earnings Share
(3.54)
Revenue Per Share
6.17
Quarterly Revenue Growth
0.016
Return On Assets
(0.22)
The market value of Cambium Networks Corp is measured differently than its book value, which is the value of Cambium that is recorded on the company's balance sheet. Investors also form their own opinion of Cambium Networks' value that differs from its market value or its book value, called intrinsic value, which is Cambium Networks' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Cambium Networks' market value can be influenced by many factors that don't directly affect Cambium Networks' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Cambium Networks' value and its price as these two are different measures arrived at by different means. Investors typically determine if Cambium Networks is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Cambium Networks' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

Cambium Networks Corp Price To Earning vs. Current Valuation Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Cambium Networks's current stock value. Our valuation model uses many indicators to compare Cambium Networks value to that of its competitors to determine the firm's financial worth.
Cambium Networks Corp is rated below average in current valuation category among its peers. It is rated fifth in price to earning category among its peers . The ratio of Current Valuation to Price To Earning for Cambium Networks Corp is about  4,073,103 . Comparative valuation analysis is a catch-all technique that is used if you cannot value Cambium Networks by discounting back its dividends or cash flows. It compares the stock's price multiples to nearest competition to determine if the stock is relatively undervalued or overvalued.

Cambium Current Valuation vs. Competition

Cambium Networks Corp is rated below average in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Information Technology industry is currently estimated at about 2.95 Billion. Cambium Networks claims roughly 51.04 Million in current valuation contributing just under 2% to equities under Information Technology industry.

Cambium Price To Earning vs. Current Valuation

Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.

Cambium Networks

Enterprise Value

 = 

Market Cap + Debt

-

Cash

 = 
51.04 M
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
Price to Earnings ratio is typically used for current valuation of a company and is one of the most popular ratios that investors monitor daily. Holding a low PE stock is less risky because when a company's profitability falls, it is likely that earnings will also go down as well. In other words, if you start from a lower position, your downside risk is limited. There are also some investors who believe that low Price to Earnings ratio reflects the low pricing because a given company is in trouble. On the other hand, a higher PE ratio means that investors are paying more for each unit of profit.

Cambium Networks

P/E

 = 

Market Value Per Share

Earnings Per Share

 = 
12.53 X
Generally speaking, the Price to Earnings ratio gives investors an idea of what the market is willing to pay for the company's current earnings.

Cambium Price To Earning Comparison

Cambium Networks is currently under evaluation in price to earning category among its peers.

Cambium Networks Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Cambium Networks, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Cambium Networks will eventually generate negative long term returns. The profitability progress is the general direction of Cambium Networks' change in net profit over the period of time. It can combine multiple indicators of Cambium Networks, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Last ReportedProjected for Next Year
Accumulated Other Comprehensive Income-1.6 M-1.5 M
Net Interest Income-2.4 M-2.5 M
Interest Income9.3 M7.9 M
Operating Income-60.9 M-57.8 M
Net Loss-14.6 M-13.8 M
Income Before Tax-63.6 M-60.5 M
Total Other Income Expense Net-2.8 M-2.9 M
Net Income Applicable To Common Shares23.2 M24.4 M
Net Loss-77.4 M-73.5 M
Income Tax Expense13.8 M14.5 M
Non Operating Income Net Other-280.6 K-294.6 K
Change To Netincome10.5 M5.9 M
Net Loss(2.81)(2.67)
Income Quality 0.22  0.21 
Net Income Per E B T 1.22  0.91 

Cambium Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Cambium Networks. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Cambium Networks position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Cambium Networks' important profitability drivers and their relationship over time.

Use Cambium Networks in pair-trading

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Cambium Networks position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Cambium Networks will appreciate offsetting losses from the drop in the long position's value.

Cambium Networks Pair Trading

Cambium Networks Corp Pair Trading Analysis

The ability to find closely correlated positions to Cambium Networks could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Cambium Networks when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Cambium Networks - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Cambium Networks Corp to buy it.
The correlation of Cambium Networks is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Cambium Networks moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Cambium Networks Corp moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Cambium Networks can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your Cambium Networks position

In addition to having Cambium Networks in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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Agriculture
Agriculture Theme
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Agriculture theme has 30 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Agriculture Theme or any other thematic opportunities.
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When determining whether Cambium Networks Corp is a strong investment it is important to analyze Cambium Networks' competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Cambium Networks' future performance. For an informed investment choice regarding Cambium Stock, refer to the following important reports:
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You can also try the AI Portfolio Architect module to use AI to generate optimal portfolios and find profitable investment opportunities.
To fully project Cambium Networks' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Cambium Networks Corp at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Cambium Networks' income statement, its balance sheet, and the statement of cash flows.
Potential Cambium Networks investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Cambium Networks investors may work on each financial statement separately, they are all related. The changes in Cambium Networks's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Cambium Networks's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.