Harmonic Inc Intrinsic Value – Harmonic Insiders Unload US$4.3m in Shares, Suggesting Hesitancy
July 8, 2023
☀️Trending News
Harmonic Inc ($NASDAQ:HLIT), a leading provider of video delivery solutions, has seen its insiders offload shares in the company over the past few days, to the tune of US$4.3 million. This suggests that they may be hesitant about the company’s prospects. The company’s video infrastructure and applications provide a range of solutions for broadcasters to create and deliver content, as well as streaming and over-the-top (OTT) video services. The massive divestment of shares by the insiders indicates that they are unsure about the company’s performance in the near future.
This could be a sign that the stock may underperform its peers in the market. It is important for investors to keep a close eye on Harmonic Inc’s performance as these share sales could be indicative of a possible downturn in the company’s future.
Stock Price
Harmonic Inc has been in the news lately, as insiders of the company have unloaded US$4.3m in shares since Friday. This is a sign of hesitancy on the part of these insiders, and could be interpreted as a warning to potential investors. On Friday, the stock opened at $15.4 and closed at $15.6, a modest increase of 1.0% from the prior closing price.
It appears that the insiders’ decision to sell shares is not receiving the best reception from the market. This news could be concerning for investors looking to get involved in Harmonic Inc in the near future. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Harmonic Inc. More…
| Total Revenues | Net Income | Net Margin |
| 635.17 | 34.8 | 5.7% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Harmonic Inc. More…
| Operations | Investing | Financing |
| 39.23 | -1.18 | -44.59 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Harmonic Inc. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 703.82 | 368.03 | 3.02 |
Key Ratios Snapshot
Some of the financial key ratios for Harmonic Inc are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 16.6% | 98.6% | 9.1% |
| FCF Margin | ROE | ROA |
| 4.7% | 10.9% | 5.1% |
Analysis – Harmonic Inc Intrinsic Value
At GoodWhale, we conducted an analysis of HARMONIC INC‘s financials to provide investors with insights on the current performance of the company. The result of our analysis revealed that the fair value of a single HARMONIC INC share is approximately $11.2. This was determined with the use of our proprietary Valuation Line tool. Currently, the stock of HARMONIC INC is trading at $15.6, indicating that it is overvalued by 39.8%. As such, the stock may not be the best investment option for investors seeking to make a gain in the near future. Nevertheless, investors may choose to invest in HARMONIC INC for the long term in hopes of obtaining profits in the future. More…
Peers
The company has been competing against its competitors, Radiation Technology Inc, Teleste Oyj, and Eutelsat Communications, for the past several years. The competition between the companies has been fierce, with each company trying to outdo the other in terms of innovation and technology.
– Radiation Technology Inc ($TPEX:6514)
Radiation Technology Inc is a company that specializes in the production of radiation products and services. The company has a market capitalization of 1.45 billion as of 2022 and a return on equity of 13.65%. The company’s products and services are used in a variety of industries, including healthcare, government, and industrial. Radiation Technology Inc has a long history of providing quality products and services to its customers. The company is headquartered in the United States and has a global customer base.
– Teleste Oyj ($LTS:0K1Q)
Founded in 1984, Teleste is a Finnish company that provides broadband video and data communication systems and services. The company serves a variety of industries, including telecommunications, energy, healthcare, and transportation. Teleste has a market capitalization of 61.06 million euros as of 2022 and a return on equity of 3.58%. The company’s products and services include broadband video headend and edge solutions, data communication networks, and passenger information and entertainment systems.
– Eutelsat Communications ($LTS:0JNI)
Eutelsat Communications is a leading satellite operator, providing reliable and secure satellite-based connectivity solutions for broadcast, telecom, corporate and government customers worldwide.
Eutelsat Communications has a market capitalization of 2.16 billion as of 2022 and a return on equity of 9.77%. The company provides reliable and secure satellite-based connectivity solutions for broadcast, telecom, corporate and government customers worldwide. Eutelsat Communications is headquartered in Paris, France.
Summary
Harmonic Inc. is a company that has recently experienced a decline in share prices, with insiders selling $4.3 million worth of stock. This signals a lack of confidence in the future of the company and its potential to succeed in the market. An investor should pay close attention to the company’s financials, including cash flow, earnings, and balance sheet.
Additionally, it is important to consider the industry and relevant competitors to gain a better understanding of the business from an outside perspective. Analyzing how the company is performing relative to the industry can give insight into whether it is a wise investment choice. Ultimately, investors must conduct their own research and make an informed decision when considering Harmonic Inc. as an investment option.
