Peraso Inc. (NASDAQ: PRSO)

Sector: Technology Industry: Semiconductors CIK: 0000890394
Market Cap 8.90 Mn
P/B 2.47
P/E -1.75
P/S 0.68
ROIC (Qtr) -145.77
Div Yield % 0.00
Rev 1y % (Qtr) -15.80
Total Debt (Qtr) 192,000.00
Debt/Equity (Qtr) 0.05

About

Peraso Inc., a company that trades under the symbol PRSO, is a significant player in the semiconductor industry, specializing in the development and sale of millimeter wavelength wireless technology, or mmWave. The company's primary focus is on the development of mmWave technology, which enables a range of applications including multi-gigabit point-to-point, point-to-multipoint, and military communications. Peraso's main business activities revolve around the development of mmWave technology, which enables high-speed, low-latency wireless links....

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Price action

Investment thesis

Bull case

  • Healthy cash reserves of 1.86M provide 20.27x coverage of short-term debt 92000, demonstrating strong liquidity position and minimal refinancing risk.
  • Strong tangible asset base of 6.24M provides 32.49x coverage of total debt 192000, indicating robust asset backing and low credit risk.
  • Tangible assets of 6.24M provide exceptional 445.57x coverage of deferred revenue 14000, showing strong service capability backing.
  • Operating cash flow of (5.24M) provides strong 23.51x coverage of operating expenses (223000), showing operational efficiency.
  • Tangible assets of 6.24M provide robust 6.82x coverage of other current liabilities 915000, indicating strong asset backing.

Bear case

  • Investment activities of (79000) provide weak support for R&D spending of 6.39M, which is -0.01x, suggesting potentially insufficient investment in innovation relative to other capital deployment.
  • Operating cash flow of (5.24M) provides insufficient coverage of deferred revenue obligations of 14000, which is -374.43x, raising concerns about future service delivery capabilities.
  • The company's operating cash flow of (5.24M) shows concerning coverage of stock compensation expenses of 648000, with a -8.09 ratio indicating potential earnings quality issues.
  • Free cash flow of (5.32M) provides weak coverage of capital expenditures of 79000, with a -67.35 ratio suggesting additional external financing needs for growth initiatives.
  • Operating earnings of (5.06M) show weak coverage of depreciation charges of 1.14M, with a -4.43 ratio indicating high capital intensity and potential reinvestment needs.

Geographical Breakdown of Revenue (2024)

Product and Service Breakdown of Revenue (2024)

Peer comparison

Companies in the Semiconductors
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 NVDA Nvidia Corp 4,521.08 Bn 45.58 24.16 10.48 Bn
2 TSM Taiwan Semiconductor Manufacturing Co Ltd 1,648.98 Bn 31.97 13.84 31.18 Bn
3 AVGO Broadcom Inc. 1,565.97 Bn 67.71 24.51 65.14 Bn
4 MU Micron Technology Inc 366.37 Bn 30.76 8.66 12.43 Bn
5 AMD Advanced Micro Devices Inc 333.34 Bn 100.83 10.41 3.87 Bn
6 INTC Intel Corp 271.33 Bn 1,370.33 5.08 46.55 Bn
7 QCOM Qualcomm Inc/De 199.55 Bn 36.01 4.51 14.81 Bn
8 TXN Texas Instruments Inc 172.17 Bn 34.14 9.97 14.05 Bn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets 1.18 4.13
EV to Cash from Ops. EV/CFO -1.41 -370.81
EV to Debt EV to Debt 38.37 88.27
EV to EBIT EV/EBIT -1.46 -65.23
EV to EBITDA EV/EBITDA -1.86 22.97
EV to Free Cash Flow [EV/FCF] EV/FCF -1.38 -8.14
EV to Market Cap EV to Market Cap 0.83 0.80
EV to Revenue EV/Rev 0.57 20.31
Price to Book Value [P/B] P/B 2.47 5.16
Price to Earnings [P/E] P/E -1.75 9.20
Dividend Metrics Value Ind Avg Percentile
Dividend Coverage Ratio Div Coverage (Qtr) 0.00 2.39
Dividend Payout Ratio % Div Payout % (Qtr) 0.00 8.25
Dividend per Basic Share Div per Share (Qtr) 0.00 0.63
FCF Dividend Payout Ratio % FCF Div Payout % (Qtr) 0.00 9.91
Interest Coverage Int. cover (Qtr) -506.00 8.38
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex 1y % (Qtr) -7,800.00 -155.98
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) 41.61 45.60
Dividend Growth (1y) % Dividend Growth (1y) % 0.00 5.64
EBIAT Growth (1y) % EBIAT 1y % (Qtr) 72.02 26.23
EBITDA Growth (1y) % EBITDA 1y % (Qtr) 73.60 47.12
EBIT Growth (1y) % EBIT 1y % (Qtr) 72.02 25.83
EBT Growth (1y) % EBT 1y % (Qtr) 72.00 39.93
EPS Growth (1y) % EPS 1y % (Qtr) 96.97 24.64
FCF Growth (1y) % FCF 1y % (Qtr) -80.01 244.42
Gross Profit Growth (1y) % Gross Profit 1y % (Qtr) 176.17 43.10
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 2.08 0.49
Cash Payout Ratio Cash Payout (Qtr) 0.00 0.09
Cash Ratio Cash Ratio (Qtr) 0.75 2.23
Current Ratio Curr Ratio (Qtr) 2.25 5.43
Debt to Equity Ratio Debt/Equity (Qtr) 0.05 0.34
Interest Cover Ratio Int Coverage (Qtr) -506.00 8.38
Times Interest Earned Times Interest Earned (Qtr) -506.00 8.38
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % (Qtr) -30.10 -112.38
EBIT Margin % EBIT Margin % (Qtr) -38.92 -91.98
EBT Margin % EBT Margin % (Qtr) -39.00 -132.25
Gross Margin % Gross Margin % (Qtr) 58.80 47.73
Net Profit Margin % Net Margin % (Qtr) -39.00 -133.26