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TESSCO Technologies

Nasdaq:TESS
Snowflake Description

Adequate balance sheet average dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
TESS
Nasdaq
$105M
Market Cap
  1. Home
  2. US
  3. Tech
Company description

TESSCO Technologies Incorporated architects and delivers products and value chain solutions to support wireless systems in the United States. The last earnings update was 11 days ago. More info.


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  • TESSCO Technologies has significant price volatility in the past 3 months.
TESS Share Price and Events
7 Day Returns
-1.8%
NasdaqGS:TESS
4.7%
US Communications
0.9%
US Market
1 Year Returns
3.8%
NasdaqGS:TESS
1.1%
US Communications
10.5%
US Market
TESS Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
TESSCO Technologies (TESS) -1.8% -15.3% -11.5% 3.8% 9.9% -58.4%
US Communications 4.7% 5.9% -3.8% 1.1% 42.8% 65.8%
US Market 0.9% 5.2% 5.4% 10.5% 40.1% 45%
1 Year Return vs Industry and Market
  • TESS outperformed the Communications industry which returned 1.1% over the past year.
  • TESS underperformed the Market in United States of America which returned 10.5% over the past year.
Price Volatility
TESS
Industry
5yr Volatility vs Market

Value

 Is TESSCO Technologies undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of TESSCO Technologies to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for TESSCO Technologies.

NasdaqGS:TESS Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model Dividend Discount Model
Dividend Per Share Company Filings (2019-09-29) in USD $ .800000
Payout Ratio Company Filings (2019-09-29) 21104.2%
Discount Rate (Cost of Equity) See below 10.2%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NasdaqGS:TESS
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Communications Unlevered Beta Simply Wall St/ S&P Global 1.13
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.131 (1 + (1- 21%) (46.87%))
1.248
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.25
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.248 * 5.96%)
10.17%

Discounted Cash Flow Calculation for NasdaqGS:TESS using Dividend Discount Model Model

The calculations below outline how an intrinsic value for TESSCO Technologies is arrived at by discounting future dividends to their present value. This approach is used for finance firms where free cash flow is difficult to estimate (e.g. Banks/ Insurance firms).

If the firm does not pay the majority of its earnings out as a dividend this method will often arrive at a value significantly lower than the share price.

See our documentation to learn about this calculation.

NasdaqGS:TESS Gordon Growth Model
Calculation Result
Value per share = Expected dividends per share / (Discount Rate - Perpetual growth rate)
= $0.8 / (10.17% - 2.73%)
$6.05
NasdaqGS:TESS Discount to Share Price
Calculation Result
Value per share (USD) From above. $6.05
Current discount Discount to share price of $12.31
= -1 x ($12.31 - $6.05) / $6.05
-103.4%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of TESSCO Technologies is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for TESSCO Technologies's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are TESSCO Technologies's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NasdaqGS:TESS PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-09-29) in USD $0.09
NasdaqGS:TESS Share Price ** NasdaqGS (2019-11-08) in USD $12.31
United States of America Communications Industry PE Ratio Median Figure of 30 Publicly-Listed Communications Companies 24.34x
United States of America Market PE Ratio Median Figure of 2,915 Publicly-Listed Companies 18.21x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of TESSCO Technologies.

NasdaqGS:TESS PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqGS:TESS Share Price ÷ EPS (both in USD)

= 12.31 ÷ 0.09

144.2x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • TESSCO Technologies is overvalued based on earnings compared to the US Communications industry average.
  • TESSCO Technologies is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does TESSCO Technologies's expected growth come at a high price?
Raw Data
NasdaqGS:TESS PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 144.2x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 1 Analysts
129.4%per year
United States of America Communications Industry PEG Ratio Median Figure of 19 Publicly-Listed Communications Companies 1.44x
United States of America Market PEG Ratio Median Figure of 2,014 Publicly-Listed Companies 1.47x

*Line of best fit is calculated by linear regression .

NasdaqGS:TESS PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 144.2x ÷ 129.4%

1.11x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • TESSCO Technologies is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on TESSCO Technologies's assets?
Raw Data
NasdaqGS:TESS PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-09-29) in USD $12.19
NasdaqGS:TESS Share Price * NasdaqGS (2019-11-08) in USD $12.31
United States of America Communications Industry PB Ratio Median Figure of 61 Publicly-Listed Communications Companies 1.85x
United States of America Market PB Ratio Median Figure of 5,041 Publicly-Listed Companies 1.74x
NasdaqGS:TESS PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqGS:TESS Share Price ÷ Book Value per Share (both in USD)

= 12.31 ÷ 12.19

1.01x

* Primary Listing of TESSCO Technologies.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • TESSCO Technologies is good value based on assets compared to the US Communications industry average.
X
Value checks
We assess TESSCO Technologies's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Communications industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Communications industry average (and greater than 0)? (1 check)
  5. TESSCO Technologies has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is TESSCO Technologies expected to perform in the next 1 to 3 years based on estimates from 1 analyst?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
129.4%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is TESSCO Technologies expected to grow at an attractive rate?
  • TESSCO Technologies's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • TESSCO Technologies's earnings growth is expected to exceed the United States of America market average.
  • TESSCO Technologies's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NasdaqGS:TESS Future Growth Rates Data Sources
Data Point Source Value (per year)
NasdaqGS:TESS Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 1 Analysts 129.4%
NasdaqGS:TESS Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 1 Analysts 2.3%
United States of America Communications Industry Earnings Growth Rate Market Cap Weighted Average 12%
United States of America Communications Industry Revenue Growth Rate Market Cap Weighted Average 3.8%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14.2%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.2%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NasdaqGS:TESS Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NasdaqGS:TESS Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-03-31 587 4 1
2020-03-31 565 -1 1
NasdaqGS:TESS Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-09-29 570 1
2019-06-30 587 8 2
2019-03-31 607 8 6
2018-12-30 611 1 6
2018-09-30 605 4 5
2018-07-01 591 3 6
2018-04-01 580 -9 5
2017-12-24 554 -5 3
2017-09-24 555 -14 3
2017-06-25 544 -11 2
2017-03-26 533 3 1
2016-12-25 525 13 0

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • TESSCO Technologies's earnings are expected to grow significantly at over 20% yearly.
  • TESSCO Technologies's revenue is expected to grow by 2.3% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NasdaqGS:TESS Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below

All data from TESSCO Technologies Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:TESS Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-03-31 0.46 0.46 0.46 1.00
2020-03-31 -0.16 -0.16 -0.16 1.00
NasdaqGS:TESS Past Financials Data
Date (Data in USD Millions) EPS *
2019-09-29 0.09
2019-06-30 0.22
2019-03-31 0.66
2018-12-30 0.74
2018-09-30 0.61
2018-07-01 0.68
2018-04-01 0.62
2017-12-24 0.38
2017-09-24 0.34
2017-06-25 0.25
2017-03-26 0.17
2016-12-25 0.04

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if TESSCO Technologies will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess TESSCO Technologies's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
TESSCO Technologies has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has TESSCO Technologies performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare TESSCO Technologies's growth in the last year to its industry (Communications).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • TESSCO Technologies's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.
  • TESSCO Technologies's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • TESSCO Technologies's 1-year earnings growth is negative, it can't be compared to the US Communications industry average.
Earnings and Revenue History
TESSCO Technologies's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from TESSCO Technologies Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:TESS Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-09-29 569.80 0.73 108.62
2019-06-30 586.62 1.89 112.35
2019-03-31 606.81 5.55 113.21
2018-12-30 610.77 6.22 116.29
2018-09-30 604.74 5.09 116.21
2018-07-01 591.18 5.67 113.41
2018-04-01 580.27 5.20 112.33
2017-12-24 553.96 3.17 108.86
2017-09-24 554.90 2.83 109.31
2017-06-25 544.45 2.05 109.34
2017-03-26 533.30 1.45 108.42
2016-12-25 524.85 0.32 107.73
2016-09-25 517.16 1.97 104.61
2016-06-26 524.88 3.71 103.77
2016-03-27 530.68 5.33 102.93
2015-12-27 529.49 7.08 100.71
2015-09-27 525.17 5.87 95.93
2015-06-28 531.34 6.63 99.63
2015-03-29 549.62 8.59 102.69
2014-12-28 561.19 11.75 104.02
2014-09-28 570.92 14.46 113.04
2014-06-29 568.92 15.51 112.37
2014-03-30 560.09 16.12 99.87
2013-12-29 594.00 16.07 115.50
2013-09-29 653.54 17.02 116.75
2013-06-30 704.26 17.69 117.73
2013-03-31 752.57 17.59 117.82
2012-12-30 788.90 18.20 120.90

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • TESSCO Technologies has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • TESSCO Technologies used its assets less efficiently than the US Communications industry average last year based on Return on Assets.
  • TESSCO Technologies's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess TESSCO Technologies's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Communications industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
TESSCO Technologies has a total score of 0/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is TESSCO Technologies's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up TESSCO Technologies's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • TESSCO Technologies is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • TESSCO Technologies's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of TESSCO Technologies's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 5.2x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from TESSCO Technologies Company Filings, last reported 1 month ago.

NasdaqGS:TESS Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-09-29 103.88 35.28 0.11
2019-06-30 104.88 20.12 0.02
2019-03-31 108.79 14.38 0.03
2018-12-30 109.46 16.91 0.00
2018-09-30 108.04 19.76
2018-07-01 107.87 15.79 0.01
2018-04-01 108.05 10.84 0.02
2017-12-24 108.12 5.97 0.04
2017-09-24 107.86 13.32 0.25
2017-06-25 107.29 8.39 0.16
2017-03-26 108.02 0.06 8.54
2016-12-25 110.20 0.06 8.35
2016-09-25 110.45 0.07 10.75
2016-06-26 110.89 0.08 12.57
2016-03-27 112.53 1.96 16.88
2015-12-27 116.03 2.02 7.47
2015-09-27 114.62 2.08 5.97
2015-06-28 113.08 2.15 6.38
2015-03-29 113.14 2.21 7.52
2014-12-28 115.17 2.27 9.54
2014-09-28 119.18 2.33 2.66
2014-06-29 117.12 2.40 6.24
2014-03-30 114.83 2.46 11.47
2013-12-29 113.16 2.52 8.28
2013-09-29 109.65 2.58 3.23
2013-06-30 105.91 11.79 0.38
2013-03-31 102.80 2.71 4.47
2012-12-30 100.57 2.77 2.59
  • TESSCO Technologies's level of debt (34%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (2% vs 34% today).
  • Debt is well covered by operating cash flow (22.6%, greater than 20% of total debt).
  • Interest payments on debt are not well covered by earnings (EBIT is 2.3x annual interest expense, ideally 3x coverage).
X
Financial health checks
We assess TESSCO Technologies's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. TESSCO Technologies has a total score of 4/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is TESSCO Technologies's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
6.5%
Current annual income from TESSCO Technologies dividends.
If you bought $2,000 of TESSCO Technologies shares you are expected to receive $130 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • TESSCO Technologies's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.43%).
  • TESSCO Technologies's dividend is above the markets top 25% of dividend payers in United States of America (3.66%).
Upcoming dividend payment

Purchase TESSCO Technologies before the 'Ex-dividend' to receive their next dividend payment.

Dividends are usually paid every 3 or 6 months, you can time your share purchase to take advantage of upcoming dividend payments.
Dividend payment calendar
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NasdaqGS:TESS Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below
United States of America Communications Industry Average Dividend Yield Market Cap Weighted Average of 15 Stocks 2.8%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 1944 Stocks 2.4%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NasdaqGS:TESS Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2021-03-31
2020-03-31
NasdaqGS:TESS Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-10-30 0.800 6.144
2019-07-22 0.800 5.404
2019-06-11 0.800 4.357
2019-05-06 0.800 4.468
2019-01-24 0.800 4.821
2018-10-25 0.800 6.665
2018-07-27 0.800 4.987
2018-07-16 0.800 4.465
2018-06-01 0.800 4.646
2018-05-07 0.800 4.441
2017-10-23 0.800 4.191
2017-08-03 0.800 6.134
2017-07-18 0.800 5.723
2017-06-07 0.800 5.877
2017-05-08 0.800 5.602
2017-02-03 0.800 5.647
2017-01-30 0.800 5.638
2016-11-04 0.800 6.328
2016-10-27 0.800 7.022
2016-08-04 0.800 6.392
2016-07-21 0.800 6.042
2016-06-06 0.800 5.990
2016-05-09 0.800 5.826
2016-02-05 0.800 4.778
2016-01-25 0.800 4.756
2015-11-06 0.800 3.964
2015-10-26 0.800 3.598
2015-08-06 0.800 3.639
2015-07-16 0.800 3.441
2015-01-16 0.800 3.586
2015-01-15 0.800 3.158
2014-07-23 0.800 2.675
2014-05-06 0.800 2.574
2014-01-23 0.800 2.261
2013-10-23 0.720 1.884
2013-07-24 0.720 2.185
2013-05-09 0.720 2.897
2013-05-08 0.720 3.321
2012-10-31 0.720 3.310
2012-07-24 0.720 3.664
2012-04-26 0.720 3.479
2012-01-09 0.600 2.990
2011-10-17 0.600 4.325
2011-07-19 0.600 4.270
2011-04-27 0.400 3.444
2011-01-19 0.400 3.385
2010-09-30 0.400 2.549
2010-07-21 0.400 3.228
2010-04-28 0.267 1.613
2010-01-13 0.267 1.876
2009-10-20 0.267 2.526
2009-07-28 0.267 2.435

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of TESSCO Technologies's earnings are paid to the shareholders as a dividend.
  • Dividends paid are not well covered by earnings (0.1x coverage).
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess TESSCO Technologies's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can TESSCO Technologies afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. TESSCO Technologies has a total score of 4/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of TESSCO Technologies's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Sandip Mukerjee
AGE 56
TENURE AS CEO 0.3 years
CEO Bio

Mr. Sandip Mukerjee serves as President, Chief Executive Officer and Director of TESSCO Technologies Incorporated since August 20, 2019. Mr. Mukerjee served as President of Global Professional and Consulting Services Business at Nokia Software, where he led the 5G portfolio and positioning strategy as well as its 5G commercialization initiatives. Mr. Mukerjee joined Nokia in 2016. Prior to joining Nokia, Mr. Mukerjee held several executive positions with Alcatel-Lucent, including President of IP Platforms for the Americas Region, and President of Alcatel-Lucent’s Advanced Communications Products business. Mr. Mukerjee started his career with AT&T Bell Laboratories and has held several leadership positions in R&D, Product Management, Strategy and Marketing.

CEO Compensation
  • Insufficient data for Sandip to compare compensation growth.
  • Insufficient data for Sandip to establish whether their remuneration is reasonable compared to companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the TESSCO Technologies management team in years:

6.1
Average Tenure
54
Average Age
  • The average tenure for the TESSCO Technologies management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Bob Barnhill

TITLE
Founder & Executive Chairman
COMPENSATION
$259K
AGE
75
TENURE
37.8 yrs

Aric Spitulnik

TITLE
CFO, Senior VP & Corporate Secretary
COMPENSATION
$478K
AGE
48
TENURE
6.1 yrs

Douglas Rein

TITLE
Senior Vice President of Performance Systems & Operations
COMPENSATION
$546K
AGE
59
TENURE
20.3 yrs

Liz Robinson

TITLE
Senior Vice President of Retail Sales & Product Marketing
COMPENSATION
$508K
AGE
52
TENURE
2.7 yrs

Sandip Mukerjee

TITLE
President
AGE
56
TENURE
0.3 yrs

Joe Cawley

TITLE
CIO & CTO

Mary Smith

TITLE
VP of Sales & GM of Ventev

Ted Perez

TITLE
Controller
AGE
45
TENURE
6.1 yrs

Cynthia King

TITLE
VP & Treasurer
Board of Directors Tenure

Average tenure and age of the TESSCO Technologies board of directors in years:

19.4
Average Tenure
69.5
Average Age
  • The average tenure for the TESSCO Technologies board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

Sandip Mukerjee

TITLE
President
AGE
56
TENURE
0.3 yrs

John Beletic

TITLE
Lead Director
COMPENSATION
$104K
AGE
67
TENURE
11.3 yrs

Bob Barnhill

TITLE
Founder & Executive Chairman
COMPENSATION
$259K
AGE
75
TENURE
26 yrs

Benn Konsynski

TITLE
Independent Director
COMPENSATION
$88K
AGE
68
TENURE
26 yrs

Mort Zifferer

TITLE
Independent Director
COMPENSATION
$95K
AGE
71
TENURE
26 yrs

Dennis Shaughnessy

TITLE
Independent Director
COMPENSATION
$93K
AGE
72
TENURE
30.8 yrs

Jay Baitler

TITLE
Independent Director
COMPENSATION
$98K
AGE
72
TENURE
12.8 yrs

Paul Gaffney

TITLE
Independent Director
COMPENSATION
$70K
AGE
52
TENURE
1.4 yrs
Who owns this company?
Recent Insider Trading
  • TESSCO Technologies individual insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
12. Sep 19 Sell Charles Kriete Individual 10. Sep 19 12. Sep 19 -6,027 $15.85 $-94,015
X
Management checks
We assess TESSCO Technologies's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. TESSCO Technologies has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Did Changing Sentiment Drive TESSCO Technologies's (NASDAQ:TESS) Share Price Down A Worrying 52%?

One imperfect but simple way to consider how the market perception of a company has shifted is to compare the change in the earnings per share (EPS) with the share price movement. … During the five years over which the share price declined, TESSCO Technologies's earnings per share (EPS) dropped by 35% each year. … We note that for TESSCO Technologies the TSR over the last 5 years was -39%, which is better than the share price return mentioned above.

Simply Wall St -

Is It Too Late To Consider Buying TESSCO Technologies Incorporated (NASDAQ:TESS)?

Let’s take a look at TESSCO Technologies’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change. … Given that TESSCO Technologies’s share is fairly volatile (i.e. its price movements are magnified relative to the rest of the market) this could mean the price can sink lower, giving us another chance to buy in the future. … What does the future of TESSCO Technologies look like?

Simply Wall St -

Do These 3 Checks Before Buying TESSCO Technologies Incorporated (NASDAQ:TESS) For Its Upcoming Dividend

TESSCO Technologies's upcoming dividend is US$0.20 a share, following on from the last 12 months, when the company distributed a total of US$0.80 per share to shareholders. … Check out our latest analysis for TESSCO Technologies Dividends are typically paid from company earnings. … As TESSCO Technologies's dividend was not well covered by either earnings or cash flow, we would be concerned that this dividend could be at risk over the long term.

Simply Wall St -

Does TESSCO Technologies (NASDAQ:TESS) Have A Healthy Balance Sheet?

We can see that TESSCO Technologies Incorporated (NASDAQ:TESS) does use debt in its business. … NasdaqGS:TESS Historical Debt, July 23rd 2019 A Look At TESSCO Technologies's Liabilities The latest balance sheet data shows that TESSCO Technologies had liabilities of US$96.8m due within a year, and liabilities of US$939.9k falling due after that. … Since TESSCO Technologies does have net debt, we think it is worthwhile for shareholders to keep an eye on the balance sheet, over time.

Simply Wall St -

Estimating The Intrinsic Value Of TESSCO Technologies Incorporated (NASDAQ:TESS)

In this article we are going to estimate the intrinsic value of TESSCO Technologies Incorporated (NASDAQ:TESS) by taking the foreast future cash flows of the company and discounting them back to today's value. … We assume companies with shrinking free cash flow will slow their rate of shrinkage, and that companies with growing free cash flow will see their growth rate slow, over this period. … A DCF is all about the idea that a dollar in the future is less valuable than a dollar today, so we need to discount the sum of these future cash flows to arrive at a present value estimate: 10-year free cash flow (FCF) forecast 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 Levered FCF ($, Millions) $5.6m $7.0m $8.1m $9.2m $10.1m $10.9m $11.5m $12.1m $12.7m $13.1m Growth Rate Estimate Source Est @ 32.06% Est @ 23.26% Est @ 17.1% Est @ 12.79% Est @ 9.77% Est @ 7.66% Est @ 6.18% Est @ 5.15% Est @ 4.42% Est @ 3.91% Present Value ($, Millions) Discounted @ 9.34% $5.2 $5.8 $6.2 $6.4 $6.5 $6.4 $6.2 $5.9 $5.7 $5.4 ("Est" = FCF growth rate estimated by Simply Wall St) Present Value of 10-year Cash Flow (PVCF)= $59.6m The second stage is also known as Terminal Value, this is the business's cash flow after the first stage.

Simply Wall St -

Based On Its ROE, Is TESSCO Technologies Incorporated (NASDAQ:TESS) A High Quality Stock?

The formula for ROE is: Return on Equity = Net Profit ÷ Shareholders' Equity Or for TESSCO Technologies: 5.1% = US$5.5m ÷ US$109m (Based on the trailing twelve months to March 2019.) It's easy to understand the 'net profit' part of that equation, but 'shareholders' equity' requires further explanation. … Does TESSCO Technologies Have A Good Return On Equity? … TESSCO Technologies's Debt And Its 5.1% ROE Although TESSCO Technologies does use debt, its debt to equity ratio of 0.13 is still low.

Simply Wall St -

Does TESSCO Technologies Incorporated's (NASDAQ:TESS) P/E Ratio Signal A Buying Opportunity?

The formula for P/E is: Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS) Or for TESSCO Technologies: P/E of 27.63 = $18.16 ÷ $0.66 (Based on the year to March 2019.) Is A High Price-to-Earnings Ratio Good? … TESSCO Technologies's earnings per share grew by -6.3% in the last twelve months. … The Verdict On TESSCO Technologies's P/E Ratio TESSCO Technologies trades on a P/E ratio of 27.6, which is above the US market average of 18.2.

Simply Wall St -

Does The TESSCO Technologies Incorporated (NASDAQ:TESS) Share Price Fall With The Market?

If this beta value holds true in the future, TESSCO Technologies shares are likely to rise more than the market when the market is going up, but fall faster when the market is going down. … Beta is worth considering, but it's also important to consider whether TESSCO Technologies is growing earnings and revenue. … What this means for you: Since TESSCO Technologies has a reasonably high beta, it's worth considering why it is so heavily influenced by broader market sentiment.

Simply Wall St -

What Kind Of Share Price Volatility Should You Expect For TESSCO Technologies Incorporated (NASDAQ:TESS)?

If you're interested in TESSCO Technologies Incorporated (NASDAQ:TESS), then you might want to consider its beta (a measure of share price volatility) in order to understand how the stock could impact your portfolio. … Some investors use beta as a measure of how much a certain stock is impacted by market risk (volatility). … What this means for you: Since TESSCO Technologies tends to moves up when the market is going up, and down when it's going down, potential investors may wish to reflect on the overall market, when considering the stock.

Simply Wall St -

Does TESSCO Technologies Incorporated's (NASDAQ:TESS) CEO Salary Compare Well With Others?

At the time of writing our data says that TESSCO Technologies Incorporated has a market cap of US$151m, and is paying total annual CEO compensation of US$1.5m. … Thus we can conclude that Murray Wright receives more in total compensation than the median of a group of companies in the same market, and of similar size to TESSCO Technologies Incorporated. … We compared total CEO remuneration at TESSCO Technologies Incorporated with the amount paid at companies with a similar market capitalization.

Simply Wall St -

Company Info

Description

TESSCO Technologies Incorporated architects and delivers products and value chain solutions to support wireless systems in the United States. The company offers base station infrastructure products, including base station antennas, cable and transmission lines, small towers, lightning protection devices, connectors, power systems, enclosures, grounding, jumpers, miscellaneous hardware products, and mobile antennas to build, repair, and upgrade wireless broadband systems, as well as connector installation, custom jumper assembly, site kitting, and logistics integration services. It also offers network systems products, such as fixed and mobile broadband radio equipment, wireless networking filtering and distributed antenna systems, two-way radios, and security and surveillance products, as well as training classes, technical support, and engineering design services. In addition, the company provides installation, test, and maintenance products comprising analysis equipment; and various frequency, voltage, and power-measuring devices, as well as tools, hardware, GPS and safety products, and replacement and component parts and supplies to install, tune, and maintain wireless communications equipment. Further, it offers mobile devices, such as cellular and smart phones; and data device accessories, including power supplies, cases, screen protectors, speakers, mobile amplifiers, Bluetooth and corded headsets, mounts, car antennas, music accessories, and data and memory cards. The company sells its products to carrier and public network operators, tower owners, program managers, contractors and integrators, private system operators, federal governments, state and local governments, manufacturers, value-added resellers, retail carrier stores and their independent agents, and other retailers under the Ventev, brand. TESSCO Technologies Incorporated was founded in 1982 and is headquartered in Hunt Valley, Maryland.

Details
Name: TESSCO Technologies Incorporated
TESS
Exchange: NasdaqGS
Founded: 1982
$104,894,470
8,521,078
Website: http://www.tessco.com
Address: TESSCO Technologies Incorporated
11126 McCormick Road,
Hunt Valley,
Maryland, 21031,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqGS TESS Common Stock Nasdaq Global Select US USD 28. Sep 1994
Number of employees
Current staff
Staff numbers
796
TESSCO Technologies employees.
Industry
Communications Equipment
Tech
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/11/10 23:40
End of day share price update: 2019/11/08 00:00
Last estimates confirmation: 2019/10/31
Last earnings filing: 2019/10/30
Last earnings reported: 2019/09/29
Last annual earnings reported: 2019/03/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.