Aviat Networks, Inc. (AVNW) stock analysis
Close on Nov 12, 2026Market cap $216.35MP/E –Yield –
StockData Score
Prices as of Nov 11, 2026How the score works
Weak8 of 30 checks passed
Aviat Networks passes 8 of the 30 checks behind our score; 8 could not be run for lack of data and count as not passed. Each dot in the shape is one check — hover it for the numbers.
- Valuation
- 3/6
- Growth
- 0/6
- Past performance
- 2/6
- Financial health
- 3/6
- Dividend
- 0/6
What stands out
Margin of safety over 20%
The price is 24.0% below fair value, more than the 20% cushion we look for.
Trading below fair value
The share price of $16.44 is below our fair value estimate of $21.63.
Low debt
Debt is 32.2% of shareholders' equity, under the 40% we consider low.
Debt covered by cash flow
Operating cash flow over the last twelve months equals 22.1% of total debt.
What to watch
Return on equity under 15%
Return on equity was -0.2% over the last twelve months and averaged 4.4% over five years; we look for 15% on both.
Return on capital under 10%
Return on invested capital was 2.5%, below the 10% that usually covers the cost of capital.
Earnings shrank over 5 years
Net income shrank 53.0% a year on average over the last five fiscal years.
Revenue growing under 10% a year
Revenue grew 8.5% a year over the last three fiscal years, short of the 10% we look for.
Valuation3/6
P/E against its history
Not enough price and earnings history to compare.
P/E against the industry
Needs positive earnings and enough profitable companies in the industry.
EV/EBITDA above its 5-year median
Aviat Networks's EV/EBITDA of 12.7 is above its 5-year median of 11.2.
P/B below the industry
Aviat Networks's price-to-book of 0.79 is below the Communications Equipment median of 2.54.
Trading below fair value
The share price of $16.44 is below our fair value estimate of $21.63.
Margin of safety over 20%
The price is 24.0% below fair value, more than the 20% cushion we look for.
Growth0/6
Revenue growing under 10% a year
Revenue grew 8.5% a year over the last three fiscal years, short of the 10% we look for.
EPS growing under 10% a year
Diluted EPS grew -39.5% a year over the last three fiscal years.
Earnings growth not accelerating
Net income grew -103% over the last twelve months, against a 5-year average of -53.0% a year.
Growing slower than the industry
Revenue grew -4.2% over the last twelve months; the Communications Equipment median is 10.9%.
Guidance lowered
Aviat Networks lowered its fiscal 2026 full year Full year Revenue outlook on May 4, 2026.
Gross margin slipping
Gross margin was 30.6% over the last twelve months, against 34.2% a year earlier.
Past performance2/6
Return on equity under 15%
Return on equity was -0.2% over the last twelve months and averaged 4.4% over five years; we look for 15% on both.
Return on capital under 10%
Return on invested capital was 2.5%, below the 10% that usually covers the cost of capital.
Return on equity above the industry
Aviat Networks's return on equity of -0.2% is above the Communications Equipment median of -3.7%.
Earnings shrank over 5 years
Net income shrank 53.0% a year on average over the last five fiscal years.
Net margin below its 5-year average
Net margin was -0.1% over the last twelve months, against a 5-year average of 2.7%.
Net margin above the industry
Aviat Networks's net margin of -0.1% is above the Communications Equipment median of -2.2%.
Financial health3/6
Low debt
Debt is 32.2% of shareholders' equity, under the 40% we consider low.
Debt rising against equity
Debt to equity rose from 0.0% five years ago to 32.2%.
Debt covered by cash flow
Operating cash flow over the last twelve months equals 22.1% of total debt.
Interest coverage
Interest expense is not reported separately.
Short-term assets cover short-term debts
Current assets are 2.07 times current liabilities.
Elevated bankruptcy risk
The Altman Z-score is 0.29; above 3 is the safe zone and below 1.8 the distress zone.
Dividend0/6
No dividend
Aviat Networks has not paid a dividend in the last twelve months.
Yield against Treasuries
No dividend.
Yield against the market
No dividend.
Dividend stability
No dividend.
Earnings cover
No dividend.
Cash-flow cover
No dividend.
Fair value
How we estimate itOur estimate per share
$21.63
The share price is 24% below this estimate.
| Method | Multiple used | Own 5Y median | Industry median | Value per share | Weight |
|---|---|---|---|---|---|
| EV/EBITDA | 15.6× | 11.2× | 20.0× | $20.78 | 58% |
| P/B | 2.0× | 1.5× | 2.5× | $41.52 | 17% |
| Earnings power | 9.7% cost of equity | – | – | $10.36 | 25% |
| Fair value | $21.63 | 100% | |||
Valuation over time
Using the earnings and balance sheet published at each date, not today's.
- P/E at month end
- Own 5-year median 27.3
- Communications Equipment median 24.9
An estimate from reported numbers and market multiples, not a price target or investment advice. It can be far off for companies whose profits are about to change sharply.
Market risk
From the past year of daily prices.
Liquidity
Medium risk
- Average value traded per day
- $2.74M
- Value traded per 1% price move
- $1.14M
Downside
High risk
- Typical loss in a bad month
- 29.1%
- Volatility (annualized)
- 62%
- Sharpe ratio, 1 year
- -0.55
- Beta to the S&P 500 (5Y)
- 0.96
Typical bad-month loss, week by week
Margins
Share of revenue, fiscal years 2012 to 2026
Gross margin
Operating margin
Net margin
Growth rates
Compound annual growth to fiscal 2026
| Per year | 1 year | 3 years | 5 years | 10 years | Five-year pace |
|---|---|---|---|---|---|
| Revenue | +1.2% | +8.5% | +9.8% | +5.0% | |
| Gross profit | -0.8% | +4.2% | +6.1% | +8.4% | |
| Operating income | +81.9% | -7.9% | -2.8% | – | |
| Net income | +89.3% | -37.0% | -53.0% | – | |
| EPS, diluted | +90.0% | -39.5% | -54.2% | – | |
| Free cash flow | – | – | -15.9% | – |
Returns and balance sheet
10 fiscal years. Hover a measure to see how it is calculated.
| Measure | FY2017 | FY2021 | FY2026 | Trend |
|---|---|---|---|---|
| Return on equity | -1.5% | 87.4% | 1.0% | |
| Return on assets | -0.5% | 46.1% | 0.4% | |
| Current ratio | 1.45 | 1.77 | 1.97 | |
| Debt to equity | – | – | 0.36 | |
| Net debt to EBITDA | – | – | 1.07× | |
| Interest coverage | -19.7× | – | – | |
| Inventory turnover | 6.8× | – | – | |
| Capex to revenue | 1.7% | 1.0% | 1.7% | |
| Diluted shares | 11M | 12M | 13M |
Where the cash went
Fiscal 2022 to 2026, five years combined
Aviat Networks generated $54.25M from operations and spent $30.24M on capital expenditure, dividends and share buybacks. 100% of that went back into the business.
DuPont analysis
Return on equity split into margin, efficiency and leverage
| Fiscal year | Net margin | Asset turnover | Equity multiplier | Return on equity |
|---|---|---|---|---|
| FY2026 | 0.6% | 0.71× | 2.32× | 1.0% |
| FY2025 | 0.3% | 0.74× | 2.25× | 0.5% |
| FY2024 | 2.6% | 0.91× | 1.89× | 4.5% |
| FY2023 | 3.0% | 1.00× | 1.63× | 4.8% |
| FY2022 | 7.0% | 0.97× | 1.61× | 11.0% |
| FY2021 | 40.1% | 1.15× | 1.89× | 87.4% |
| FY2020 | 0.1% | 1.37× | 2.49× | 0.4% |
| FY2019 | 4.0% | 1.50× | 2.52× | 15.1% |
| FY2018 | 0.8% | 1.57× | 2.77× | 3.3% |
| FY2017 | -0.3% | 1.52× | 2.98× | -1.5% |
Piotroski F-Score
Nine tests of profitability, balance sheet and efficiency, fiscal 2026 against fiscal 2025
- ProfitableNet income above zero$2.54M
- Cash generatingOperating cash flow above zero$13.56M
- Return on assets improvedROA up on the prior year0.3% → 0.4%
- Earnings backed by cashOperating cash flow above net income$13.56M vs $2.54M
- Less leverageLong-term debt to assets fell10.9% → 14.9%
- Better liquidityCurrent ratio rose1.64 → 1.97
- No dilutionShare count did not rise13M → 13M
- Gross margin improvedGross margin up on the prior year32.08% → 31.45%
- More efficientAsset turnover rose0.81 → 0.69
See a number that looks wrong?