Electro Scientific Industries Stock Analysis, Valuation (NASDAQ:ESIO)

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$18.44 $0.12 (0.65%) ESIO stock closing price Jun 18, 2018 (Closing)

View the Electro Scientific Industries stock analysis video on Amigobulls. This is our analyst opinion covering the buy and sell arguments for ESIO 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.

Electro Scientific Industries, Inc. Stock Rating 4/5

Amigobulls ESIO stock analysis takes into account various financial ratios like relative valuation, Electro Scientific Industries revenue, growth and return on equity based on latest quarter 2018 Q4 financial statements. We also check Electro Scientific Industries dividend performance. Electro Scientific Industries valuation analysis is based on relative valuation multiples like PE ratio and price to sales ratio. Electro Scientific Industries stock rating is our opinion about the business fundamentals of the company.

Should you buy ESIO stock?

  • The Year Over Year (YoY) revenue growth for Electro Scientific Industries was 127.1% in 2018-03.
  • Long term revenue growth has been strong with a 5 year compounded annual growth of 11.2.
  • The TTM operating margin was good at 20.62 for Electro Scientific Industries.
  • With its debt/equity ratio of 0.05, Electro Scientific Industries has a lower debt burden when compared to the -sectordesc- average.
  • The Electro Scientific Industries stock currently trades at a price to earnings ratio of 8.7, compared to the sector average of 26.1. We rate this as a positive.
  • When compared with the Computer and Technology sector average PS ratio of 3, the price-to-sales ratio of 1.7 for ESIO stock is attractive.
  • Electro Scientific Industries's return on invested capital of 42.1 is good.
  • The LTM ROE of 64.3 for Electro Scientific Industries is attractive.
  • The company has a healthy free cash flow margin of 23.5.

Should you sell ESIO stock?

  • Electro Scientific Industries posted a TTM Net margin of 31.6%.
  • The company has an operating cash flow which is 0.3542 times the net income. This is not a healthy sign.

Comments on this video and Electro Scientific Industries stock

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

Among the financials of the company, Electro Scientific Industries revenue growth along with the profit or net income give a clear picture of the financial health. Investors could make use of ESIO technical analysis to check whether the fundamental story is reflected in the market sentiment.