A10 Networks, Inc.
ATEN
Computer Communications Equipment
Mkt Cap
$1.146BPE
25.06Debt
-Cash
$122.9MEV
-FCF
$66.66MP/E Ratio
25.06Debt
-Cash
$122.9MEV
-FCF
$66.66MCharts data: {"Earnings":[{"time":"2014-12-30","value":-35870000},{"time":"2015-12-30","value":-40034000},{"time":"2016-12-30","value":-20940000},{"time":"2017-12-30","value":-10751000},{"time":"2018-12-30","value":-27617000},{"time":"2019-12-30","value":-17819000},{"time":"2020-12-30","value":17816000},{"time":"2021-12-30","value":94887000},{"time":"2022-12-30","value":46908000},{"time":"2023-12-30","value":39970000}],"Sales":[{"time":"2014-12-30","value":179507000},{"time":"2015-12-30","value":198955000},{"time":"2016-12-30","value":230003000},{"time":"2017-12-30","value":235429000},{"time":"2018-12-30","value":232223000},{"time":"2019-12-30","value":212628000},{"time":"2020-12-30","value":225527000},{"time":"2021-12-30","value":250042000},{"time":"2022-12-30","value":280338000},{"time":"2023-12-30","value":251700000}],"Net Margins":[{"time":"2014-12-30","value":-0.19982507645941383},{"time":"2015-12-30","value":-0.2012213817194843},{"time":"2016-12-30","value":-0.09104229075272931},{"time":"2017-12-30","value":-0.0456655722107302},{"time":"2018-12-30","value":-0.11892448207111268},{"time":"2019-12-30","value":-0.08380363827906014},{"time":"2020-12-30","value":0.07899719324072062},{"time":"2021-12-30","value":0.3794842466465634},{"time":"2022-12-30","value":0.16732658433747832},{"time":"2023-12-30","value":0.15880015891934843}],"Assets":[{"time":"2014-12-30","value":186980000},{"time":"2015-12-30","value":192551000},{"time":"2016-12-30","value":221338000},{"time":"2017-12-30","value":224858000},{"time":"2018-12-30","value":235876000},{"time":"2019-12-30","value":274053000},{"time":"2020-12-30","value":290811000},{"time":"2021-12-30","value":393085000},{"time":"2022-12-30","value":369105000},{"time":"2023-12-30","value":389809000}],"Stockholders Equity":[{"time":"2014-12-30","value":96565000},{"time":"2015-12-30","value":80068000},{"time":"2016-12-30","value":86066000},{"time":"2017-12-30","value":98386000},{"time":"2018-12-30","value":103883000},{"time":"2019-12-30","value":108787000},{"time":"2020-12-30","value":115974000},{"time":"2021-12-30","value":208888000},{"time":"2022-12-30","value":181012000},{"time":"2023-12-30","value":207876000}],"ROE":[{"time":"2014-12-30","value":-0.3714596385854088},{"time":"2015-12-30","value":-0.5},{"time":"2016-12-30","value":-0.243301652220389},{"time":"2017-12-30","value":-0.1092736771491879},{"time":"2018-12-30","value":-0.2658471549724209},{"time":"2019-12-30","value":-0.16379714487944333},{"time":"2020-12-30","value":0.15362063910876575},{"time":"2021-12-30","value":0.45424820956684925},{"time":"2022-12-30","value":0.25914304024042606},{"time":"2023-12-30","value":0.19227808886066694}],"ROA":[{"time":"2014-12-30","value":-0.1618943202481549},{"time":"2015-12-30","value":-0.1996665818406552},{"time":"2016-12-30","value":-0.08637920284813272},{"time":"2017-12-30","value":-0.04172855757856069},{"time":"2018-12-30","value":-0.11194865098611134},{"time":"2019-12-30","value":-0.05902143016131916},{"time":"2020-12-30","value":0.06581594231304869},{"time":"2021-12-30","value":0.08493837210781383},{"time":"2022-12-30","value":0.14380460844475149},{"time":"2023-12-30","value":0.11234989443547994}]}
A10 Networks, Inc. provides networking solutions in the Americas, Japan, other Asia Pacific, and EMEA countries. The company offers Thunder Application Delivery Controller (ADC) that provides advanced server load balancing; Lightning ADC, a cloud-native software-as-a-service platform to boost the delivery and security of applications and microservices; and Thunder Carrier Grade Networking product, which offers standards-compliant address and protocol translation services for service provider networks. It also provides Thunder Threat Protection System (TPS) for the protection of networks and server resources against massive distributed denial of service attacks; Thunder Secure Sockets Layer (SSL) Insight solution that decrypts SSL-encrypted traffic and forwards it to a third-party security device for deep packet inspection; and Thunder Convergent Firewall, which addresses various critical security capabilities in one package by consolidating various security and networking functions in a single appliance. In addition, the company offers intelligent management and automation tools comprising harmony controller that provides intelligent management, automation, and analytics for secure application delivery in multi-cloud environment; and aGalaxy TPS, a multi-device network management solution. A10 Networks, Inc. delivers its solutions on optimized hardware appliances, bare metal software, containerized software, virtual appliances, and cloud-native software. It serves cloud providers; service providers include cloud, telecommunications, and multiple system and cable; government organizations; and enterprises in the technology, industrial, retail, financial, gaming, and education industries. The company markets its products through sales organizations, as well as distribution channel partners, including distributors, value added resellers, and system integrators. A10 Networks, Inc. was incorporated in 2004 and is headquartered in San Jose, California.
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DCF
Discounted Cash Flow Valuation of A10 Networks, Inc.
Value
Growth
%
%
Discount
%
%
Multiple
| g\r | +10% | +11% | +12% | +13% | +14% |
|---|---|---|---|---|---|
| 0% | 10 | 9 | 8 | 8 | 7 |
| +1% | 11 | 10 | 9 | 8 | 8 |
| +2% | 13 | 11 | 10 | 9 | 8 |
| +3% | 14 | 13 | 11 | 10 | 9 |
| +4% | 17 | 14 | 12 | 11 | 10 |
| Years | 0 | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | TV |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| FCF | $66.66M | $86.66M | $110.2M | $137.2M | $166.9M | $198.4M | $230.4M | $261.1M | $288.7M | $311.2M | $326.7M | $3.267B |
| DCF | $75.35M | $83.36M | $90.21M | $95.44M | $98.66M | $99.62M | $98.17M | $94.38M | $88.45M | $80.76M | $807.6M | |
| Value | $1.712B | |||||||||||
In the chart Earnings are multiplied by this value.
Earnings Growth 51%
Earnings Stability -42%
Competitiveness and MOAT
High margins render the company resilient under dire circumstances, hence able to drive competitors out or acquire them. ROE and ROA measure the average flow generated by each invested dollar. Their marginal value is a forecast of future growth, and it is considered by Buffett and Munger the most important single indicator.
| Years | 12-2015 | 12-2016 | 12-2017 | 12-2018 | 12-2019 | 12-2020 | 12-2021 | 12-2022 | 12-2023 | TTM |
|---|---|---|---|---|---|---|---|---|---|---|
| Net Margin | -20% | -9.1% | -4.6% | -12% | -8.4% | 7.9% | 38% | 17% | 16% | 18% |
| ROA | -20% | -8.6% | -4.2% | -11% | -5.9% | 6.6% | 8.5% | 14% | 11% | 11% |
| ROE | -50% | -24% | -11% | -27% | -16% | 15% | 45% | 26% | 19% | 21% |
What is the average Net Margin?
The average Net Margin over the past 5 years is +9.7%.
What is the trend of Net Margin?
The trend of Net Margin over the past 5 years is +6.98%.
What is the average Return on Assets (ROA)?
The average ROA over the past 5 years is +3.93%.
What is the trend of Return on Assets (ROA)?
The trend of ROA over the past 5 years is +5%.
What is the average Return on Equity (ROE)?
The average ROE over the past 5 years is +10.49%.
What is the trend of Return on Equity (ROE)?
The trend of ROE over the past 5 years is +11.03%.
Safety & Stabiliy
Being debt the number one cause of investment losses and company death, the ratio Debt/FCF is of utmost importance to guarantee safety. On the other hand the Graham’s stability measures the drawdown of earnings, hence indicating the reliability of the flow generated by the company.
| Years | 12-2015 | 12-2016 | 12-2017 | 12-2018 | 12-2019 | 12-2020 | 12-2021 | 12-2022 | 12-2023 | TTM |
|---|---|---|---|---|---|---|---|---|---|---|
| Debt FCF | - | - | - | - | - | - | - | - | - | - |
| Debt Equity | - | - | - | - | - | - | - | - | - | - |
| MIN | ||||||||||
| Graham Stability | - | - | - | - | - | - | - | 100% | 75% | 75% |
What is the Debt/FCF?
The Debt/FCF trailing twelve month is -.
What is the trend of Debt/FCF?
The trend of Debt/FCF over the past 5 years is -.
What is the Graham’s Stability?
Graham’s Stability measure stands at 0.75.
Growth
Growth can be dangerous when forecasting, simply projecting the current growth is in general wrong. A company passes through multiple phases, from being young and unprofitable, to the first periods of profitability and high growth, until it arrives at a period of regime with limited growth. Identifying in which phase the company is in may help forecasting.
| Years | 12-2016 | 12-2018 | 12-2020 | 12-2022 | Trend |
|---|---|---|---|---|---|
| Revenue | 1.3% | 1.6% | 3.7% | -10% | -1.2% |
| Net Income | - | - | 31% | -15% | -220% |
| Stockholders Equity | 13% | 15% | 21% | 15% | 3.3% |
| FCF | 13% | - | -13% | -39% | 3.9% |
What is the 5 year Revenue CAGR?
The Revenue CAGR over the past 5 years is +1.62%.
What is the trend of Revenue growth?
The trend of Revenue growth rate over the past 5 years is -1.17%.
What is the 5 year Earnings CAGR?
The Earnings CAGR over the past 5 years is -.
What is the trend of Earnings growth?
The trend of Earnings growth rate over the past 5 years is -223.69%.
What is the 5 year Equity CAGR?
The Equity CAGR over the past 5 years is +14.88%.
What is the trend of Equity growth?
The trend of Equity growth rate over the past 5 years is +3.3%.
What is the 5 year FCF CAGR?
The FCF CAGR over the past 5 years is -.
What is the trend of FCF growth?
The trend of FCF growth rate over the past 5 years is +3.9%.