Ribbon Communications Inc. (RBBN), Discounted Cash Flow Valuation

Ribbon Communications Inc. (RBBN) Unternehmen Profile

US | Communication Services | Telecommunications Services | NASDAQ
3.58 0.06 (1.70%)
Real-Time Price (USD)
Market Cap A valuation method that multiplies the price of a company's shares by the total number of outstanding shares.
629.84M
Revenue (ttm) The total amount of income generated by the sale of goods or services related to the company's primary operations.
833.88M
Net Income (ttm) The company's earnings for a period net of operating costs, taxes and interest.
-54.23M
Shares Out Total number of common shares outstanding as of the latest date disclosed in a financial filing.
178.7M
EPS (ttm) Company's net earnings or losses from continuing operations on a per diluted share basis.
-0.32
PE Ratio The price-to-earnings (PE) ratio is the ratio between a company's stock price and earnings per share. It measures the price of a stock relative to its profits.
-13.35
Dividend Yield Measures the cash returned to shareholders by a firm as a percentage of the price they pay for each share of stock.
0.38%
Exchange Name of stock exchange where the trading item trades.
NASDAQ
Avg Volume The average number of shares traded each day over the past 30 days.
607.06K
Open The opening trade price over the trading day.
3.58
Previous Close The last closing price.
3.52
Beta A ratio that measures the risk or volatility of a company's share price in comparison to the market as a whole.
1.37
1 day delta The range between the high and low prices over the past day.
3.49-3.58
52 weeks The range between the high and low prices over the past 52 weeks.
2.75-5.38

Total Valuation

Ribbon Communications Inc. has a market cap or net worth of 629.84M. The enterprise value is 595.01M.
Market Cap (ttm) Market Capitalization
A valuation method that multiplies the price of a company's shares by the total number of outstanding shares.
629.84M
Enterprise Value (ttm) Enterprise Value
Enterprise value measures the total value of a company's outstanding shares, adjusted for debt and levels of cash and short-term investments.
Enterprise Value = Market Cap + Total Debt - Cash & Equivalents - Short-Term Investments
595.01M

Valuation Ratios

The trailing PE ratio is -11.57. Ribbon Communications Inc.'s PEG ratio is 3.59.
PE Ratio (ttm) PE Ratio
The price-to-earnings (P/E) ratio is a valuation metric that shows how expensive a stock is relative to earnings.
PE Ratio = Stock Price / Earnings Per Share
-11.57
PS Ratio (ttm) PS Ratio
The price-to-sales (P/S) ratio is a commonly used valuation metric. It shows how expensive a stock is compared to revenue.
PS Ratio = Market Capitalization / Revenue
0.76
PB Ratio (ttm) PB Ratio
The price-to-book (P/B) ratio measures a stock's price relative to book value. Book value is also called Shareholders' equity.
PB Ratio = Market Capitalization / Shareholders' Equity
1.55
P/FCF Ratio (ttm) P/FCF Ratio
The price to free cash flow (P/FCF) ratio is similar to the P/E ratio, except it uses free cash flow instead of accounting earnings.
P/FCF Ratio = Market Capitalization / Free Cash Flow
26.92
PEG Ratio (ttm) PEG Ratio
The price/earnings to growth (PEG) ratio is calculated by dividing a company's PE ratio by its expected earnings growth.
PEG Ratio = PE Ratio / Expected Earnings Growth
3.59

Enterprise Valuation

The stock's EV/EBITDA ratio is 15.63, with a EV/FCF ratio of 25.43.
EV / Sales (ttm) EV / Sales Ratio
The enterprise value to sales (EV/Sales) ratio is similar to the price-to-sales ratio, but the price is adjusted for the company's debt and cash levels.
EV/Sales Ratio = Enterprise Value / Revenue
0.71
EV / EBITDA (ttm) EV / EBIT Ratio
The EV/EBITDA ratio measures a company's valuation relative to its EBITDA, or Earnings Before Interest, Taxes, Depreciation, and Amortization.
EV/EBITDA Ratio = Enterprise Value / EBITDA
15.63
EV / EBIT (ttm) EV/EBIT Ratio
The EV/EBIT is a valuation metric that measures a company's price relative to EBIT, or Earnings Before Interest and Taxes.
EV/EBIT Ratio = Enterprise Value / EBIT
12.86
EV / FCF (ttm) EV/FCF Ratio
The enterprise value to free cash flow (EV/FCF) ratio is similar to the price to free cash flow ratio, except the price is adjusted for the company's cash and debt.
EV/FCF Ratio = Enterprise Value / Free Cash Flow
25.43

Financial Efficiency

Return on equity (ROE) is -13.31% and return on invested capital (ROIC) is 3.03%.
Return on Equity (ROE) (ttm) Return on Equity (ROE)
Return on equity (ROE) is a profitability metric that shows how efficient a company is at using its equity (or "net" assets) to generate profits. It is calculated by dividing the company's net income by the average shareholders' equity over the past 12 months.
ROE = (Net Income / Average Shareholders' Equity) * 100%
-13.31%
Return on Assets (ROA) (ttm) Return on Assets (ROA)
Return on assets (ROA) is a metric that measures how much profit a company is able to generate using its assets. It is calculated by dividing net income by the average total assets for the past 12 months.
ROA = (Net Income / Average Total Assets) * 100%
-4.67%
Return on Capital (ROIC) (ttm) Return on Capital (ROIC)
Return on invested capital (ROIC) measures how effective a company is at investing its capital in order to increase profits. It is calculated by dividing the EBIT (Earnings Before Interest & Taxes) by the average invested capital in the previous year.
ROIC = (EBIT / Average Invested Capital) * 100%
3.03%
Asset Turnover Asset Turnover
The asset turnover ratio measures the amount of sales relative to a company's assets. It indicates how efficiently the company uses its assets to generate revenue.
Asset Turnover Ratio = Revenue / Average Assets
0.72
Inventory Turnover (ttm) Inventory Turnover
The inventory turnover ratio measures how many times inventory has been sold and replaced during a time period.
Inventory Turnover Ratio = Cost of Revenue / Average Inventory
5.15

Margins

Trailing 12 months gross margin is 51.12%, with operating and profit margins of 2.62% and -6.50%.
Gross Margin (ttm) Gross Margin
Gross margin is the percentage of revenue left as gross profits, after subtracting cost of goods sold from the revenue.
Gross Margin = (Gross Profit / Revenue) * 100%
51.12%
Operating Margin (ttm) Operating Margin
Operating margin is the percentage of revenue left as operating income, after subtracting cost of revenue and all operating expenses from the revenue.
Operating Margin = (Operating Income / Revenue) * 100%
2.62%
Pretax Margin (ttm) Pretax Margin
Pretax margin is the percentage of revenue left as profits before subtracting taxes.
Pretax Margin = (Pretax Income / Revenue) * 100%
-5.52%
Profit Margin (ttm) Profit Margin
Profit margin is the percentage of revenue left as net income, or profits, after subtracting all costs and expenses from the revenue.
Profit Margin = (Net Income / Revenue) * 100%
-6.50%
EBITDA Margin (ttm) EBITDA Margin
EBITDA margin is the percentage of revenue left as EBITDA, after subtracting all expenses except interest, taxes, depreciation and amortization from revenue.
EBITDA Margin = (EBITDA / Revenue) * 100%
4.57%

Income Statement

In the last 12 months, Ribbon Communications Inc. had revenue of 833.88M and earned -54.23M in profits. Earnings per share (EPS) was -0.32.
Revenue (ttm) Revenue
Revenue is the amount of money a company receives from its main business activities, such as sales of products or services. Revenue is also called sales.
833.88M
Gross Profit (ttm) Gross Profit
Gross profit is a company’s profit after subtracting the costs directly linked to making and delivering its products and services.
Gross Profit = Revenue - Cost of Revenue
426.3M
Operating Income (ttm) Operating Income
Operating income is the amount of profit in a company after paying for all the expenses related to its core operations.
Operating Income = Revenue - Cost of Revenue - Operating Expenses
21.86M
Pretax Income (ttm) Pretax Income
Pretax income is a company's profits before accounting for income taxes.
Pretax Income = Net Income + Income Taxes
-46.07M
Net Income (ttm) Net Income
Net income is a company's accounting profits after subtracting all costs and expenses from the revenue. It is also called earnings, profits or "the bottom line"
Net Income = Revenue - All Expenses
-54.23M
EBITDA (ttm) EBITDA
EBITDA stands for "Earnings Before Interest, Taxes, Depreciation and Amortization." It is a commonly used measure of profitability.
EBITDA = Net Income + Interest + Taxes + Depreciation and Amortization
38.08M
EBIT (ttm) EBIT
EBIT stands for "Earnings Before Interest and Taxes" and is a commonly used measure of earnings or profits. It is similar to operating income.
EBIT = Net Income + Interest + Taxes
-13.24M
Earnings Per Share (EPS) (ttm) EPS (Diluted)
Earnings per share is the portion of a company's profit that is allocated to each individual stock. Diluted EPS is calculated by dividing net income by "diluted" shares outstanding.
Diluted EPS = Net Income / Shares Outstanding (Diluted)
-0.32

Financial Position

The company has a trailing 12 months (ttm) current ratio of 1.41, with a ttm Debt / Equity ratio of 0.13.
Current Ratio (ttm) Current Ratio
The current ratio is used to measure a company's short-term liquidity. A low number can indicate that a company will have trouble paying its upcoming liabilities.
Current Ratio = Current Assets / Current Liabilities
1.41
Quick Ratio (ttm) Quick Ratio
The quick ratio measure a company's short-term liquidity. A low number indicates that the company may have trouble paying its upcoming financial obligations.
Quick Ratio = (Cash + Short-Term Investments + Accounts Receivable) / Current Liabilities
1.17
Debt / Equity (ttm) Debt / Equity Ratio
The debt-to-equity ratio measures a company's debt levels relative to its shareholders' equity or book value. A high ratio implies that a company has a lot of debt.
Debt / Equity Ratio = Total Debt / Shareholders' Equity
0.13
Debt / EBIT (ttm) Debt / EBIT Ratio
The debt-to-EBIT ratio is a company's debt levels relative to its trailing twelve-month EBIT. A high ratio implies that debt is high relative to the company's earnings.
Debt / EBIT Ratio = Total Debt / EBIT (ttm)
-2.11

Dividends & Yields

This stock pays an annual dividend of 0, which amounts to a dividend yield of 0.00%.
Dividend Per Share (ttm) Dividend Per Share
Total amount paid to each outstanding share in dividends during the period.
0
Dividend Yield (ttm) Dividend Yield
The dividend yield is how much a stock pays in dividends each year, as a percentage of the stock price.
Dividend Yield = (Annual Dividends Per Share / Stock Price) * 100%
0.00%
Earnings Yield (ttm) Earnings Yield
The earnings yield is a valuation metric that measures a company's profits relative to stock price, expressed as a percentage yield. It is the inverse of the P/E ratio.
Earnings Yield = (Earnings Per Share / Stock Price) * 100%
-8.64%
FCF Yield (ttm) FCF Yield
The free cash flow (FCF) yield measures a company's free cash flow relative to its price, shown as a percentage. It is the inverse of the P/FCF ratio.
FCF Yield = (Free Cash Flow / Market Cap) * 100%
3.71%
Dividend Growth (YoY) Dividend Growth
The change in dividend payments per share, compared to the previous period.
Dividend Growth = ((Current Dividend / Previous Dividend) - 1) * 100%
0.00%
Payout Ratio (ttm) Payout Ratio
The payout ratio is the percentage of a company's profits that are paid out as dividends. A high ratio implies that the dividend payments may not be sustainable.
Payout Ratio = (Dividends Per Share / Earnings Per Share) * 100%
-107.32%

Balance Sheet

The company has 87.77M in cash and 52.94M in debt, giving a net cash position of 34.83M.
Cash & Cash Equivalents Cash & Cash Equivalents
Cash and cash equivalents is the sum of "Cash & Equivalents" and "Short-Term Investments." This is the amount of money that a company has quick access to, assuming that the cash equivalents and short-term investments can be sold at a short notice.
Cash & Cash Equivalents = Cash & Equivalents + Short-Term Investments
87.77M
Total Debt Total Debt
Total debt is the total amount of liabilities categorized as "debt" on the balance sheet. It includes both current and long-term (non-current) debt.
Total Debt = Current Debt + Long-Term Debt
52.94M
Net Cash Net Cash / Debt
Net Cash / Debt is an indicator of the financial position of a company. It is calculated by taking the total amount of cash and cash equivalents and subtracting the total debt.
Net Cash / Debt = Total Cash - Total Debt
34.83M
Book Value Shareholders' Equity
Shareholders’ equity is also called book value or net worth. It can be seen as the amount of money held by investors inside the company. It is calculated by subtracting all liabilities from all assets.
Shareholders' Equity = Total Assets - Total Liabilities
404.62M
Book Value Per Share (ttm) Book Value Per Share
Book value per share is the total amount of book value attributable to each individual stock. It is calculated by dividing book value (shareholders' equity) by the number of outstanding shares.
Book Value Per Share = Book Value / Shares Outstanding
2.31
Working Capital (ttm) Working Capital
Working capital is the amount of money available to a business to conduct its day-to-day operations. It is calculated by subtracting total current liabilities from total current assets.
Working Capital = Current Assets - Current Liabilities
134.79M

Cash Flow

In the last 12 months, operating cash flow of the company was 46.26M and capital expenditures -22.87M, giving a free cash flow of 23.39M.
Operating Cash Flow (ttm) Operating Cash Flow
Operating cash flow, also called cash flow from operating activities, measures the amount of cash that a company generates from normal business activities. It is the amount of cash left after all cash income has been received, and all cash expenses have been paid.
46.26M
Capital Expenditures (ttm) Capital Expenditures
Capital expenditures are also called payments for property, plants and equipment. It measures cash spent on long-term assets that will be used to run the business, such as manufacturing equipment, real estate and others.
-22.87M
Free Cash Flow (ttm) Free Cash Flow
Free cash flow is the cash remaining after the company spends on everything required to maintain and grow the business. It is calculated by subtracting capital expenditures from operating cash flow.
Free Cash Flow = Operating Cash Flow - Capital Expenditures
23.39M
FCF Per Share (ttm) Free Cash Flow Per Share
Free cash flow per share is the amount of free cash flow attributed to each outstanding stock.
FCF Per Share = Free Cash Flow / Shares Outstanding
0.13

Ribbon Communications Inc. News

Apr 22, 2025 - prnewswire.com
Moratelindo Selects Ribbon for Enhanced Submarine Network Capabilities
Advanced optical infrastructure delivers 20T capacity, automated management on 1,055 km Jakarta-Singapore link PLANO, Texas , April 22, 2025 /PRNewswire/ --  Ribbon Communications Inc.  (Nasdaq: RBBN), a leading supplier of real-time communications technology and IP optical networking solutions, today announced that PT Mora Telematika Indonesia Tbk ("Moratelindo") (IDX: MORA), one of Indonesia's largest telecommunication infrastructure and network providers, through Ribbon's local partner, has s...[read more]
Mar 31, 2025 - prnewswire.com
Ribbon Showcases AI-Enabled Optical Innovation at OFC
Highlights award-winning IP and Optical transport solutions in Booth 2062 PLANO, Texas , March 31, 2025 /PRNewswire/ -- Ribbon Communications Inc. (Nasdaq: RBBN), a prominent supplier of real-time communications technology and IP optical networking solutions, today announced that it will showcase its cutting-edge optical solutions at the 2025 Optical Fiber Communications Conference and Exhibition (OFC). Ribbon is dedicated to assisting the world's largest service providers, enterprises, and crit...[read more]
Mar 28, 2025 - prnewswire.com
Converge to Leverage Ribbon's AI-Enabled Data Transmission Technology for its Nationwide Network
MANILA, Philippines , March 28, 2025 /PRNewswire/ -- Leading fiber broadband and technology provider Converge ICT Solutions Inc. (PSE: CNVRG) is enhancing its nationwide fiber network with an advanced data transmission technology from NASDAQ-listed Ribbon Communications Inc. (NASDAQ: RBBN) to strengthen its network in response to the growing need for high-speed, low-latency, and reliable connectivity. Converge will leverage Ribbon's advanced Muse Multilayer Automation Platform (MAP) designed to ...[read more]
Mar 17, 2025 - zacks.com
2 Network Software Stocks to Watch From a Challenging Industry
Communication-Network Software providers like ATEN and RBBN benefit from the ongoing digitalization efforts, including a shift to cloud computing and strong deployment of AI-based applications....[read more]
Feb 27, 2025 - prnewswire.com
Ribbon Expands Portfolio of Innovative, Cost Efficient Routers
NPT 2714 and NPT 2705 deliver increased network flexibility and investment protection PLANO, Texas , Feb. 27, 2025 /PRNewswire/ -- Ribbon Communications Inc. (Nasdaq: RBBN), a prominent supplier of real-time communications technology and IP optical networking solutions, proudly announces the addition of two new routers to its NPT XDR2000 series: the NPT 2714, which has been recognized as a High Score Recipient in this year's Lightwave + BTR Innovation Reviews, and the NPT 2507. Ribbon Is dedicat...[read more]
Feb 26, 2025 - prnewswire.com
Ribbon Attending Key Technology Investor Conference
PLANO, Texas , Feb. 26, 2025 /PRNewswire/ -- Ribbon Communications Inc. (Nasdaq: RBBN), a prominent supplier of real-time communications technology and IP optical networking solutions, today announced that CFO John Townsend will attend the Citizens JMP Technology Conference on March 3 and 4 in San Francisco. Ribbon Communications is dedicated to assisting the world's largest service providers, enterprises, and critical infrastructure operators in modernizing and safeguarding their networks and s...[read more]
Feb 12, 2025 - seekingalpha.com
Ribbon Communications Inc. (RBBN) Q4 2024 Earnings Call Transcript
Ribbon Communications Inc. (NASDAQ:RBBN ) Q4 2024 Earnings Conference Call February 12, 2025 4:30 PM ET Company Participants Joni Roberts - Chief Marketing Officer Bruce McClelland - Chief Executive Officer John Townsend - Chief Financial Officer Conference Call Participants Michael Genovese - Rosenblatt Securities Tim Savageaux - Northland Capital Markets Christian Schwab - Craig-Hallum Capital Group Ryan Koontz - Needham & Company Dave Kang - B. Riley Securities Operator Greetings, and welcome...[read more]
Feb 12, 2025 - zacks.com
Ribbon Communications (RBBN) Q4 Earnings and Revenues Surpass Estimates
Ribbon Communications (RBBN) came out with quarterly earnings of $0.16 per share, beating the Zacks Consensus Estimate of $0.12 per share. This compares to earnings of $0.12 per share a year ago....[read more]
Feb 12, 2025 - prnewswire.com
Ribbon Communications Inc. Reports Fourth Quarter and Full Year 2024 Financial Results
Record Quarterly Sales and Operating Income Revenue Grows 11% YoY with Strong Demand from Service Providers, Enterprise Customers, and U.S. Federal Agencies PLANO, Texas , Feb. 12, 2025 /PRNewswire/ -- Ribbon Communications Inc. (Nasdaq: RBBN), a prominent supplier of real-time communications technology and IP optical networking solutions, today announced its financial results for the fourth quarter and the full year of 2024. Ribbon Communications is dedicated to assisting the world's largest se...[read more]
Jan 22, 2025 - prnewswire.com
Ribbon Communications to Report Fourth Quarter and Full Year 2024 Financial Results on February 12, 2025
PLANO, Texas , Jan. 22, 2025 /PRNewswire/ -- Ribbon Communications Inc. (Nasdaq: RBBN), which helps many of the world's largest service providers, enterprises and critical infrastructure operators modernize and protect their networks with its state-of-the-art real time communications technology and IP optical networking solutions, today announced that it will report financial results for the fourth quarter and full year of 2024 after the close of the market on Wednesday, February 12, 2025 . Foll...[read more]

Ribbon Communications Inc. Details

Country US
City Plano
Address 6500 Chase Oaks Boulevard
Ticker Symbol RBBN
Exchange NASDAQ Global Select
IPO Date May 25, 2000
CEO Mr. Bruce W. McClelland
Sector Communication Services
Industry Telecommunications Services
Employees 3.05K

Ribbon Communications Inc. Company Description

Ribbon Communications Inc. provides communications technology in the United States, Europe, the Middle East, Africa, the Asia Pacific, and internationally. It operates through two segments, Cloud and Edge, and IP Optical Networks. The Cloud and Edge segment provides software and hardware products; and solutions and services for enabling voice over internet protocol communications, voice over long-term evolution, and voice over 5G communications and unified communications and collaboration. It also offers session border controller and network transformation products. This segment serves private, public, or hybrid cloud infrastructures, as well as data centers, enterprise premises, and service provider networks. It also provides multiple solutions for VoIP, VoLTE, VoNR, and UC&C in network, on-premises, or via the telco cloud. The IP Optical Networks segment provides hardware and software solutions for IP networking, switching, routing, and optical transport to support and enable technologies, such as 5G, distributed cloud computing, and corresponding applications. It also offers multiple solutions, including 5G-native solutions for mobile-backhaul, metro and edge aggregation, core networking, data center interconnect, legacy NTR, and transport solutions for wholesale carriers. This segment serves utilities, government, defense, finance, transportation, and education and research industries, as well as service providers and enterprises. It also provides advanced analytics solutions and next generation products that provides cloud-native and streaming analytics platform for networks and subscribers. The company was formerly known as Sonus Networks, Inc. and changed its name to Ribbon Communications Inc. in November 2017. Ribbon Communications Inc. was founded in 1997 and is headquartered in Plano, Texas.

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