MaxLinear, Inc (MXL) stock analysis

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

MaxLinear's EV/EBITDA of 148.3 is above its 5-year median of 12.4.

P/B above the industry

MaxLinear's price-to-book of 10.24 is above the Electronic Components and Accessories median of 3.49.

Trading above fair value

The share price of $59.95 is above our fair value estimate of $9.04.

Margin of safety under 20%

The price is 563% above fair value, so there is no margin of safety.

Revenue growing under 10% a year

Revenue grew -25.3% a year over the last three fiscal years, short of the 10% we look for.

EPS growth over 3 years

Needs positive EPS three years ago and today.

Earnings acceleration

Needs positive net income now, a year ago and five years ago.

Growing faster than the industry

Revenue grew 56.0% over the last twelve months; the Electronic Components and Accessories median is 17.3%.

Guidance lowered

MaxLinear lowered its Fourth Quarter 2026 Income Tax Provision (Benefit) outlook on Oct 22, 2026.

Gross margin improving

Gross margin was 58.0% over the last twelve months, against 56.3% a year earlier.

Return on equity under 15%

Return on equity was -5.9% over the last twelve months and averaged -9.8% over five years; we look for 15% on both.

Return on capital under 10%

Return on invested capital was -0.9%, below the 10% that usually covers the cost of capital.

Return on equity below the industry

MaxLinear's return on equity of -5.9% is below the Electronic Components and Accessories median of 4.8%.

Earnings over 5 years

Needs positive net income five years ago and in the latest year.

Net margin above its 5-year average

Net margin was -4.4% over the last twelve months, against a 5-year average of -18.4%.

Net margin below the industry

MaxLinear's net margin of -4.4% is below the Electronic Components and Accessories median of 3.0%.

Low debt

Debt is 30.8% of shareholders' equity, under the 40% we consider low.

Debt falling against equity

Debt to equity fell from 93.0% five years ago to 30.8%.

Debt not well covered by cash flow

Operating cash flow over the last twelve months equals -4.4% of total debt; we look for at least 20%.

Interest not well covered

Operating income covers interest expense -0.6 times; we look for at least 5.

Short-term assets cover short-term debts

Current assets are 2.22 times current liabilities.

Low bankruptcy risk

The Altman Z-score is 8.73; above 3 is the safe zone and below 1.8 the distress zone.

No dividend

MaxLinear 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.