Allot Ltd.
Allot Ltd. Fundamental Analysis
Allot Ltd. (ALLT) shows weak financial fundamentals with a PE ratio of 93.15, profit margin of 3.63%, and ROE of 3.98%. The company generates $0.1B in annual revenue with weak year-over-year growth of -1.03%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 35.2/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze ALLT's fundamental strength across five key dimensions:
Efficiency Score
WeakALLT struggles to generate sufficient returns from assets.
Valuation Score
ModerateALLT shows balanced valuation metrics.
Growth Score
ModerateALLT shows steady but slowing expansion.
Financial Health Score
ExcellentALLT maintains a strong and stable balance sheet.
Profitability Score
WeakALLT struggles to sustain strong margins.
Key Financial Metrics
Is ALLT Expensive or Cheap?
P/E Ratio
ALLT trades at 93.15 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, ALLT's PEG of 0.41 indicates potential undervaluation.
Price to Book
The market values Allot Ltd. at 3.04 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 33.19 times EBITDA. This signals the market has high growth expectations.
How Well Does ALLT Make Money?
Net Profit Margin
For every $100 in sales, Allot Ltd. keeps $3.63 as profit after all expenses.
Operating Margin
Core operations generate 3.53 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $3.98 in profit for every $100 of shareholder equity.
ROA
Allot Ltd. generates $2.14 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Allot Ltd. produces operating cash flow of $16.22M, showing steady but balanced cash generation.
Free Cash Flow
Allot Ltd. generates strong free cash flow of $14.13M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.34 in free cash annually.
FCF Yield
ALLT converts 5.53% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
93.15
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.41
vs 25 benchmark
P/B Ratio
Price to book value ratio
3.04
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.91
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.10
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.65
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.04
vs 25 benchmark
ROA
Return on assets percentage
0.02
vs 25 benchmark
ROCE
Return on capital employed
0.03
vs 25 benchmark
How ALLT Stacks Against Its Sector Peers
| Metric | ALLT Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 93.15 | 33.94 | Worse (Expensive) |
| ROE | 3.98% | 1002.00% | Weak |
| Net Margin | 3.63% | -48794.00% (disorted) | Weak |
| Debt/Equity | 0.10 | 0.44 | Strong (Low Leverage) |
| Current Ratio | 2.65 | 5.74 | Strong Liquidity |
| ROA | 2.14% | -288341.00% (disorted) | Weak |
ALLT outperforms its industry in 2 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Allot Ltd.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-26.33%
Industry Style: Growth, Innovation, High Beta
DecliningEPS CAGR
40.37%
Industry Style: Growth, Innovation, High Beta
High GrowthFCF CAGR
-73.61%
Industry Style: Growth, Innovation, High Beta
Declining