CML Microsystems (CML) AI Stock Analysis

• Market Cap: £37.56M
• Dividend Yield: 4.66%
• Average Volume (3M): 21.71K
• Price to Earnings (P/E): 29.4
• Beta (1Y): 0.27
• Revenue Growth: 17.36%
• EPS Growth: -71.37%
• Country: UK
• Employees: 156
• Sector: Technology
• Sector Strength: 48
• Industry: Semiconductors and Equipment
• EPS (TTM): 0.08
• Shares Outstanding: 15,914,859
• 10 Day Avg. Volume: 56,614
• 30 Day Avg. Volume: 21,709
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 1.65
• Price to Cash Flow (P/CF): 5.70
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

CML Microsystems' overall stock score reflects a stable financial foundation with strong equity and low leverage, despite some profitability challenges and negative cash flow trends. Technical analysis indicates a bearish market trend, but the positive corporate event of a director increasing their stake provides a boost to investor confidence. The valuation is mixed, with a high P/E ratio and an attractive dividend yield.

CML Microsystems Business Overview & Revenue Model

Company Description

CML Microsystems (CML) is a UK-based company that specializes in the design, development, and supply of mixed-signal, RF, and microwave semiconductors. These products are utilized across a range of sectors, including telecommunications, broadcast, and wireless data. With a focus on delivering high-quality and innovative semiconductor solutions, CML Microsystems serves both consumer and industrial markets worldwide.

How the Company Makes Money

CML Microsystems generates revenue through the sale of its semiconductor products, which include integrated circuits for communications, audio, and data applications. The company sells these products to a diverse customer base, including original equipment manufacturers (OEMs) and distributors in the telecommunications, broadcast, and wireless sectors. Revenue is also driven by its strong research and development efforts, which enable CML to provide cutting-edge solutions that meet the evolving needs of its customers. Additionally, the company may engage in strategic partnerships and collaborations that enhance its market presence and broaden its product offerings, contributing to its earnings.

CML Microsystems Financial Statement Overview

Summary

CML Microsystems demonstrates financial stability with strong equity and low leverage. The company shows revenue growth but faces challenges in profitability. Cash flow management requires attention, with negative free cash flow posing risks.

Income Statement

CML Microsystems shows a positive revenue growth trend, with a consistent increase in revenue over the past years. The gross profit margin remains strong, reflecting efficient cost management. However, recent declines in net income and EBIT margins indicate challenges in maintaining profitability at prior levels.

Balance Sheet

The balance sheet of CML Microsystems is robust, with a very low debt-to-equity ratio, indicating low leverage and financial stability. The company's equity ratio is high, underscoring solid financial backing by its stockholders' equity. However, the return on equity has shown some fluctuations, suggesting room for improvement in using equity efficiently.

Cash Flow

CML Microsystems faces challenges with cash flow as evidenced by the volatile free cash flow, which has turned negative recently. The operating cash flow to net income ratio is healthy, but the decrease in free cash flow indicates potential issues in managing capital expenditures.

Breakdown
Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
22.89M	20.64M	16.96M	13.10M	14.96M
	Gross Profit
16.21M	12.89M	10.37M	7.65M	8.48M
	EBIT
1.94M	2.74M	1.21M	-431.00K	1.24M
	EBITDA
6.04M	8.12M	4.32M	1.96M	4.55M
	Net Income Common Stockholders
2.06M	4.81M	1.24M	1.82M	1.54M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
18.21M	22.26M	25.04M	32.20M	8.48M
	Total Assets
69.11M	60.47M	59.33M	65.24M	57.24M
	Total Debt
856.00K	1.05M	468.00K	727.00K	1.07M
	Net Debt
-10.41M	-19.99M	-18.62M	-21.32M	-7.41M
	Total Liabilities
18.04M	9.71M	9.48M	11.80M	14.85M
	Stockholders Equity
51.08M	50.75M	49.85M	53.45M	42.39M
Cash Flow		Free Cash Flow
-53.00K	182.00K	-616.00K	223.00K	-1.18M
	Operating Cash Flow
5.04M	5.67M	4.02M	7.88M	7.07M
	Investing Cash Flow
-10.85M	1.75M	1.81M	15.72M	-9.87M
	Financing Cash Flow
-3.88M	-5.56M	-8.92M	-10.79M	-2.01M

CML Microsystems Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 235.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:CML, the sentiment is Negative. The current price of 235 is below the 20-day moving average (MA) of 240.32, below the 50-day MA of 256.60, and below the 200-day MA of 276.96, indicating a bearish trend. The MACD of -5.80 indicates Negative momentum. The RSI at 34.51 is Neutral, neither overbought nor oversold. The STOCH value of 82.12 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:CML.

CML Microsystems Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CHRT	76 Outperform	£545.11M	25.13	18.73%	1.27%	13.49%	47.00%
CML	67 Neutral	£37.56M	29.43	2.61%	4.66%	17.36%	-71.37%
Sector *	59 Neutral	$22.39B	11.53	-18.05%	2.31%	5.00%	-25.89%

CML Microsystems Corporate Events

CML Microsystems Announces Exercise of Share Options and Updates Voting Rights

CML Microsystems announced that Michelle Jones, the Group Director of Finance and Company Secretary, exercised 4,000 options over ordinary shares, representing approximately 0.03% of the company’s issued share capital. This transaction impacts the total voting rights, which now stand at 15,914,859 ordinary shares. The announcement is significant for stakeholders as it reflects the company’s adherence to regulatory transparency and provides insight into the shareholding structure, which may influence shareholder decisions.

CML Microsystems Director Increases Stake with Significant Share Purchase

CML Microsystems announced that Dr. Nathan Zommer, a Non-Executive Director, purchased 100,000 ordinary shares at 220p each, increasing his stake to approximately 4.35% of the company’s total voting rights. This transaction, conducted on the London Stock Exchange’s AIM Market, signifies confidence in the company’s strategic direction and stability, potentially influencing investor sentiment positively.

CML Microsystems Announces Share Buyback and Updates Voting Rights

CML Microsystems Plc announced the purchase of 155,000 ordinary shares at £2.15 each, which will be held in treasury, as authorized by shareholders at the 2024 Annual General Meeting. Following this transaction, the company’s issued share capital consists of 16,504,754 ordinary shares, with 593,895 held in treasury, resulting in 15,910,859 voting rights. This transaction aligns with the Financial Conduct Authority’s Disclosure and Transparency rules, impacting shareholders’ calculations regarding their interest in the company.