Recent News
On June 30, 2026 Silicom announced its first AI inference production order, moving the business from evaluation to commercial deployment and lifting expected 2026 AI‑inference revenue into the multi‑million dollar range. On May 26, 2026 the company disclosed a design win with a Tier‑1 global cyber security leader for a white‑label switch family with expected annual sales of about $5.0 million after ramp. On April 15, 2026 Silicom reported an FPGA SmartNIC design win with a European secure communications provider, with an initial ~$1.0 million commitment and an anticipated scale toward ~$3.0 million per year.
Technical Analysis
Directional indicators present bullish initiation signals but with limited trend strength: ADX at 19.0 signals no established trend while DI+ (20.09, dip & reversal) and DI‑ (20.33, peak & reversal) both indicate renewed bullish directional pressure for the near term despite ADX below the emerging‑trend threshold.
Momentum structure shows improving short‑term momentum without confirmation: MACD at 0.72 with a dip‑and‑reversal trend indicates bullish momentum developing, yet MACD remains below the signal line (1.13), so momentum lacks a confirming MACD crossover at this time.
MRO at 19.72 (dip & reversal) reads as price sitting above target levels and therefore implies near‑term mean reversion risk; this technical overextension contrasts with the longer‑term valuation view and suggests probability of a short corrective leg before further upside.
RSI at 56.53 (dip & reversal) sits in a neutral‑to‑modestly bullish range and signals buyers regained control after a recent dip; the RSI level supports continuation of upward bias but not an overbought extreme.
Price structure favors a bullish bias across moving averages: last close $47.94 trades well above the 200‑day average ($23.58) and above the 20‑day average ($44.30), while the 12‑day EMA ($43.51, dip & reversal) confirms short‑term reacceleration. These MA relationships align with the introduction’s expectation for expanded revenue momentum but amplify MRO’s warning of a potential short pullback.
Volume and volatility point to elevated near‑term conviction: intraday volume (421,924) exceeded the 10‑day average (183,575) and 50‑day average (171,929), signaling fresh participation around recent news. Shorter‑term beta (42‑day 4.24) and elevated 42‑day volatility suggest higher sensitivity to news and larger intraday swings over the next several weeks.
Fundamental Analysis
Top‑line dynamics show mixed timing: total revenue $19.10 million with revenue growth of 12.95% (overall) and a strong quarter‑over‑quarter lift of 56.29%, while year‑over‑year revenue change shows contraction of about -18.72% YoY. The QoQ acceleration aligns with the new design wins and delivery ramps announced in April–June.
Profitability remains negative but improved relative to recent expectations: net income -$2.37 million and operating (EBIT) loss -$2.81 million produce an EBIT margin of -14.70%, an 11.53 percentage‑point QoQ deterioration and a 34.22 percentage‑point decline YoY in margin terms. The EBIT margin sits well below the industry peer mean (about 26.29%) and peer median, indicating ongoing operating leverage work remains necessary as higher‑margin AI and switch revenues scale.
Per‑share metrics show an EPS outperformance versus estimates: EPS actual -$0.25 versus estimate -$0.36, yielding an EPS surprise of ~30.56%, which reduces downside earnings risk relative to consensus for the reported quarter and improves near‑term earnings credibility.
Balance sheet and liquidity present structural strength for execution: cash $30.03 million, cash and short‑term investments $35.01 million, current ratio 3.30 and quick ratio 1.50. Cash conversion and operating cash flow remain strained (operating cash flow -$8.58 million; operating cash flow ratio -24.40%), but available liquidity supports product development and initial production ramps announced in recent news.
Operating efficiency shows room for improvement: gross margin 29.55% stands below the industry peer mean (about 56.89%), and asset turnover at 0.1228 trails the industry peer mean, signaling that scaling higher‑margin sales and improving utilization will materially affect future margins and returns.
Valuation context: enterprise value metrics (EVR ~5.16) and book value per share $20.33 sit alongside a market cap of $126.92 million. The current valuation, as determined by WMDST, classifies the stock as under‑valued given anticipated revenue mix expansion and the company’s liquidity to fund initial production ramps.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2026-03-31 |
| REPORT DATE: | 2026-04-30 |
| NEXT REPORT DATE: | 2026-07-30 |
| CASH FLOW | Begin Period Cash Flow | — |
| Operating Cash Flow | $ -8.58 M | |
| Capital Expenditures | — | |
| Change In Working Capital | $ 2.4 M | |
| Dividends Paid | — | |
| Cash Flow Delta | — | |
| End Period Cash Flow | — | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 19.1 M | |
| Forward Revenue | $ 1.3 M | |
| COSTS | ||
| Cost Of Revenue | $ 13.5 M | |
| Depreciation | — | |
| Depreciation and Amortization | — | |
| Research and Development | $ 5.3 M | |
| Total Operating Expenses | $ 21.9 M | |
| PROFITABILITY | ||
| Gross Profit | $ 5.6 M | |
| EBITDA | $ -2.81 M | |
| EBIT | $ -2.81 M | |
| Operating Income | $ -2.81 M | |
| Interest Income | $ 452.0 K | |
| Interest Expense | — | |
| Net Interest Income | $ 452.0 K | |
| Income Before Tax | $ -2.36 M | |
| Tax Provision | $ 11.0 K | |
| Tax Rate | 40.0 % | |
| Net Income | $ -2.37 M | |
| Net Income From Continuing Operations | $ -2.37 M | |
| EARNINGS | ||
| EPS Estimate | $ -0.36 | |
| EPS Actual | $ -0.25 | |
| EPS Difference | $ 0.11 | |
| EPS Surprise | 30.556 % | |
| Forward EPS | $ -0.12 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 158.8 M | |
| Intangible Assets | $ 3.5 M | |
| Net Tangible Assets | $ 112.5 M | |
| Total Current Assets | $ 116.2 M | |
| Cash and Short-Term Investments | $ 35.0 M | |
| Cash | $ 30.0 M | |
| Net Receivables | $ 13.9 M | |
| Inventory | $ 63.5 M | |
| Long-Term Investments | — | |
| LIABILITIES | ||
| Accounts Payable | $ 20.4 M | |
| Short-Term Debt | — | |
| Total Current Liabilities | $ 35.2 M | |
| Net Debt | — | |
| Total Debt | $ 6.6 M | |
| Total Liabilities | $ 42.8 M | |
| EQUITY | ||
| Total Equity | $ 116.0 M | |
| Retained Earnings | $ 93.6 M | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 20.33 | |
| Shares Outstanding | 5.706 M | |
| Revenue Per-Share | $ 3.35 | |
| VALUATION | Market Capitalization | $ 126.9 M |
| Enterprise Value | $ 98.5 M | |
| Enterprise Multiple | -35.082 | |
| Enterprise Multiple QoQ | 116.64 % | |
| Enterprise Multiple YoY | 491.367 % | |
| Enterprise Multiple IPRWA | high: 338.716 mean: 84.574 median: 68.042 SILC: -35.082 low: -157.605 |
|
| EV/R | 5.158 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 1.369 | |
| Asset To Liability | 3.712 | |
| Debt To Capital | 0.054 | |
| Debt To Assets | 0.042 | |
| Debt To Assets QoQ | 0.874 % | |
| Debt To Assets YoY | -0.12 % | |
| Debt To Assets IPRWA | high: 0.642 median: 0.244 mean: 0.208 SILC: 0.042 low: 0.01 |
|
| Debt To Equity | 0.057 | |
| Debt To Equity QoQ | 6.575 % | |
| Debt To Equity YoY | 13.848 % | |
| Debt To Equity IPRWA | high: 1.77 median: 0.63 mean: 0.527 SILC: 0.057 low: 0.014 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 1.094 | |
| Price To Book QoQ | 47.144 % | |
| Price To Book YoY | 60.583 % | |
| Price To Book IPRWA | high: 29.004 mean: 7.835 median: 6.366 SILC: 1.094 low: -8.728 |
|
| Price To Earnings (P/E) | -88.973 | |
| Price To Earnings QoQ | 97.62 % | |
| Price To Earnings YoY | 123.503 % | |
| Price To Earnings IPRWA | high: 391.742 mean: 124.495 median: 92.924 SILC: -88.973 low: -227.806 |
|
| PE/G Ratio | 3.361 | |
| Price To Sales (P/S) | 6.646 | |
| Price To Sales QoQ | 28.646 % | |
| Price To Sales YoY | 12.561 % | |
| Price To Sales IPRWA | high: 26.443 median: 19.792 mean: 15.955 SILC: 6.646 low: 0.753 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | -161.689 | |
| Forward PE/G | 6.108 | |
| Forward P/S | 95.89 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | -0.005 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.123 | |
| Asset Turnover Ratio QoQ | 10.191 % | |
| Asset Turnover Ratio YoY | 28.121 % | |
| Asset Turnover Ratio IPRWA | high: 0.474 mean: 0.162 median: 0.126 SILC: 0.123 low: 0.043 |
|
| Receivables Turnover | 1.656 | |
| Receivables Turnover Ratio QoQ | 2.431 % | |
| Receivables Turnover Ratio YoY | 44.507 % | |
| Receivables Turnover Ratio IPRWA | high: 3.425 mean: 2.084 median: 1.96 SILC: 1.656 low: 0.512 |
|
| Inventory Turnover | 0.232 | |
| Inventory Turnover Ratio QoQ | -4.193 % | |
| Inventory Turnover Ratio YoY | -7.223 % | |
| Inventory Turnover Ratio IPRWA | high: 1.771 median: 1.093 mean: 1.057 SILC: 0.232 low: 0.204 |
|
| Days Sales Outstanding (DSO) | 55.09 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | 380.347 | |
| Cash Conversion Cycle Days QoQ | -0.728 % | |
| Cash Conversion Cycle Days YoY | 2.325 % | |
| Cash Conversion Cycle Days IPRWA | SILC: 380.347 high: 272.087 mean: 106.406 median: 55.19 low: -108.637 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 0.236 | |
| CapEx To Revenue | — | |
| CapEx To Depreciation | — | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 116.0 M | |
| Net Invested Capital | $ 116.0 M | |
| Invested Capital | $ 116.0 M | |
| Net Tangible Assets | $ 112.5 M | |
| Net Working Capital | $ 81.0 M | |
| LIQUIDITY | ||
| Cash Ratio | 0.995 | |
| Current Ratio | 3.301 | |
| Current Ratio QoQ | -20.465 % | |
| Current Ratio YoY | -55.527 % | |
| Current Ratio IPRWA | high: 6.25 SILC: 3.301 mean: 1.798 median: 1.121 low: 0.73 |
|
| Quick Ratio | 1.497 | |
| Quick Ratio QoQ | -32.522 % | |
| Quick Ratio YoY | -71.035 % | |
| Quick Ratio IPRWA | high: 3.505 SILC: 1.497 mean: 1.448 median: 0.931 low: 0.548 |
|
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | -2.351 | |
| Cost Of Debt | 2.787 % | |
| Interest Coverage Ratio | -9.391 | |
| Interest Coverage Ratio QoQ | -0.071 % | |
| Interest Coverage Ratio YoY | -12.659 % | |
| Interest Coverage Ratio IPRWA | high: 48.917 mean: 12.873 median: 10.854 SILC: -9.391 low: -29.31 |
|
| Operating Cash Flow Ratio | -0.244 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 121.172 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | — | |
| Dividend Payout Ratio | — | |
| Dividend Rate | — | |
| Dividend Yield | — | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | 4.37 % | |
| Revenue Growth | 12.952 % | |
| Revenue Growth QoQ | 56.293 % | |
| Revenue Growth YoY | -1871.819 % | |
| Revenue Growth IPRWA | high: 33.034 % SILC: 12.952 % median: 3.131 % mean: 0.649 % low: -71.127 % |
|
| Earnings Growth | -26.471 % | |
| Earnings Growth QoQ | 376.44 % | |
| Earnings Growth YoY | -26.89 % | |
| Earnings Growth IPRWA | high: 100.0 % median: 4.0 % mean: -3.197 % SILC: -26.471 % low: -200.0 % |
|
| MARGINS | ||
| Gross Margin | 29.548 % | |
| Gross Margin QoQ | -0.852 % | |
| Gross Margin YoY | -0.572 % | |
| Gross Margin IPRWA | high: 74.628 % median: 61.897 % mean: 56.89 % SILC: 29.548 % low: 16.069 % |
|
| EBIT Margin | -14.703 % | |
| EBIT Margin QoQ | -11.529 % | |
| EBIT Margin YoY | -34.215 % | |
| EBIT Margin IPRWA | high: 43.259 % mean: 26.285 % median: 26.165 % SILC: -14.703 % low: -43.884 % |
|
| Return On Sales (ROS) | -14.703 % | |
| Return On Sales QoQ | -11.529 % | |
| Return On Sales YoY | -34.215 % | |
| Return On Sales IPRWA | high: 42.739 % mean: 25.66 % median: 24.868 % SILC: -14.703 % low: -43.884 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | — | |
| Free Cash Flow Yield | — | |
| Free Cash Flow Yield QoQ | — | |
| Free Cash Flow Yield YoY | — | |
| Free Cash Flow Yield IPRWA | — | |
| Free Cash Growth | — | |
| Free Cash Growth QoQ | — | |
| Free Cash Growth YoY | — | |
| Free Cash Growth IPRWA | — | |
| Free Cash To Net Income | — | |
| Cash Flow Margin | -44.947 % | |
| Cash Flow To Earnings | 3.627 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.04 | |
| Return On Assets (ROA) | -1.522 % | |
| Return On Assets QoQ | -8.917 % | |
| Return On Assets YoY | -18.61 % | |
| Return On Assets IPRWA | high: 4.977 % mean: 2.776 % median: 2.597 % SILC: -1.522 % low: -5.098 % |
|
| Return On Capital Employed (ROCE) | -2.271 % | |
| Return On Equity (ROE) | -0.02 | |
| Return On Equity QoQ | -5.424 % | |
| Return On Equity YoY | -9.374 % | |
| Return On Equity IPRWA | high: 0.239 median: 0.067 mean: 0.066 SILC: -0.02 low: -0.295 |
|
| DuPont ROE | -2.027 % | |
| Return On Invested Capital (ROIC) | -1.452 % | |
| Return On Invested Capital QoQ | -23.134 % | |
| Return On Invested Capital YoY | -6.141 % | |
| Return On Invested Capital IPRWA | high: 6.911 % median: 4.495 % mean: 4.322 % SILC: -1.452 % low: -8.258 % |
|