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Ribbon Communications Inc
NASDAQ:RBBN

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Ribbon Communications Inc
NASDAQ:RBBN
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Price: 2.75 USD -10.13% Market Closed
Market Cap: $482.9m

EV/OCF

13.8
Current
45%
Cheaper
vs 3-y average of 25.4

Enterprise Value to Operating Cash Flow (EV/OCF) ratio compares a company`s total enterprise value to its operating cash flow. It shows how much investors are paying for each dollar of the company`s operating cash flow, including both equity and debt.

EV/OCF
13.8
=
Enterprise Value
$621.9m
/
Operating Cash Flow
$51.4m

Enterprise Value to Operating Cash Flow (EV/OCF) ratio compares a company`s total enterprise value to its operating cash flow. It shows how much investors are paying for each dollar of the company`s operating cash flow, including both equity and debt.

EV/OCF
13.8
=
Enterprise Value
$621.9m
/
Operating Cash Flow
$51.4m

Valuation Scenarios

Ribbon Communications Inc is trading below its 3-year average

If EV/OCF returns to its 3-Year Average (25.4), the stock would be worth $5.04 (83% upside from current price).

Statistics
Positive Scenarios
4/4
Maximum Downside
No Downside Scenarios
Maximum Upside
+83%
Average Upside
56%
Scenario EV/OCF Value Implied Price Upside/Downside
Current Multiple 13.8 $2.75
0%
3-Year Average 25.4 $5.04
+83%
5-Year Average 22.6 $4.49
+63%
Industry Average 22 $4.36
+59%
Country Average 16.7 $3.31
+21%

Forward EV/OCF
Today’s price vs future operating cash flow

Not enough data available to calculate forward EV/OCF

Peer Comparison

All Multiples
EV/OCF
P/E
All Countries
Close
Market Cap EV/OCF P/E
US
Ribbon Communications Inc
NASDAQ:RBBN
483.4m USD 13.8 12.2
JP
Nakayo Inc
TSE:6715
111.4T JPY 450 970.9 7 956 708
US
Cisco Systems Inc
NASDAQ:CSCO
354.8B USD 27 32
US
Arista Networks Inc
NYSE:ANET
223.3B USD 48.5 63.6
CN
Zhongji Innolight Co Ltd
SZSE:300308
985.1B CNY 81.4 66.5
US
Motorola Solutions Inc
NYSE:MSI
73.2B USD 28.5 34
US
Ciena Corp
NYSE:CIEN
70.6B USD 76.1 308.1
US
Ubiquiti Inc
NYSE:UI
60.8B USD 84 68
US
Lumentum Holdings Inc
NASDAQ:LITE
62.4B USD 247.2 247.1
FI
Nokia Oyj
OMXH:NOKIA
49.3B EUR 22.7 75.6
CN
Yangtze Optical Fibre and Cable Joint Stock Ltd Co
SSE:601869
338.6B CNY 92.9 416.1

Market Distribution

In line with most companies in the United States of America
Percentile
39th
Based on 9 518 companies
39th percentile
13.8
Low
0 — 11.7
Typical Range
11.7 — 23.6
High
23.6 —
Distribution Statistics
the United States of America
Min 0
30th Percentile 11.7
Median 16.7
70th Percentile 23.6
Max 3 178 983.5

Ribbon Communications Inc
Glance View

Market Cap
482.9m USD
Industry
Communications

Ribbon Communications, Inc. delivers communications software, IP and optical networking solutions to service providers, enterprises, and infrastructure sectors. The company is headquartered in Plano, Texas and currently employs 3,685 full-time employees. The company went IPO on 2004-09-13. The firm provides a range of software and high-performance hardware products, network solutions, and services, which enable the secure delivery of data and voice communications, and high-bandwidth networking and connectivity for residential consumers and for small, medium, and large enterprises and industry verticals, such as finance, education, government, utilities and transportation. The company has two segments: the Cloud and Edge and the IP Optical Networks. The Cloud and Edge segment provides software and hardware products, solutions, and services for VoIP communications, voice over LTE and voice over 5G communications, as well as unified communications and collaboration services to both service provider and enterprise customers. IP Optical Networks segment provides hardware and software products and solutions for IP networking, switching and routing, and optical transport.

RBBN Intrinsic Value
4.98 USD
Undervaluation 45%
Intrinsic Value
Price $2.75
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