EMCORE Stock Analysis, Valuation (NASDAQ:EMKR)

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$4.7 $0.05 (1.08%) EMKR stock closing price Aug 17, 2018 (Closing)

Take a look at Amigobulls EMCORE stock analysis video. This is our analyst opinion covering the buy and sell arguments for EMKR stock.

Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.

EMCORE Corporation Stock Rating 1.9/5

We at Amigobulls use various financial measures including profit margins, revenue growth and dividends for EMKR stock analysis. We also use relative valuation metrics like PE ratio and price to sales ratio for EMCORE valuation analysis. EMCORE stock rating is our opinion about the business fundamentals of the company.

Should you buy EMKR stock?

  • When compared with the Computer and Technology sector average PS ratio of 2.9, the price-to-sales ratio of 1.4 for EMKR stock is attractive.
  • The company has a healthy free cash flow margin of 6.7.

Should you sell EMKR stock?

  • EMCORE sales declined by -42.9% year on year in 2018-03.
  • Revenue declined at a CAGR of -10.6 over the last 5 years.
  • EMCORE registered a negative operating margin of -0.96 (average) over the Trailing Twelve Months (TTM).
  • PE ratio is meaningless for EMKR stock as the company has losses.
  • The company has a negative Return on Invested Capital of -1.2, which is a red flag.

Comments on this video and EMCORE stock

Amigobulls EMCORE stock analysis helps in evaluating the financial statements of a company to arrive at a conclusion about the fair value of EMKR stock. The fundamentals of a company are vital to identify long-term investment opportunities.

EMCORE revenue growth and profit or net income are the main underlying forces which could detremine the direction of the share price. Technical analysis comes in handy to check whether the market sentiment is in line with the fundamental picture of the company.