Revenue minus cost of goods sold. Graham's ≥40% threshold identifies businesses with durable pricing power. Note: software and financial companies naturally exceed this; retailers and manufacturers rarely reach it due to their cost structures.
Operating Margin13.4%
Profit after operating costs before interest and taxes. A consistent ≥15% operating margin signals a business with real competitive advantages. Capital-intensive industries (airlines, auto, commodities) rarely hit this threshold due to their structural cost base — compare within industry for context.
Net Income Margin9.2%
Bottom-line profit as a percentage of revenue. The ≥20% target reflects Buffett's preference for highly profitable businesses. Financial engineering (buybacks, tax optimisation) can inflate this temporarily — look for consistency across multiple years rather than a single strong result.
Financial Health
B
Years to Pay Off Debt4.6 yrs
Total Debt ÷ Net Income. Lower = stronger balance sheet. Important caveat: utilities, telecoms, REITs, and infrastructure companies carry large structural debt by design — their bond-like cash flows service it comfortably at ratios that would alarm Graham. Compare within sector.
Working Capital vs Long-Term Debt$44M
Working Capital minus Long-Term Debt. Negative results are common and expected in capital-return-focused businesses like Apple, Domino's, and McDonald's — where aggressive buybacks and dividends intentionally reduce book equity. This does not indicate financial distress in high-FCF businesses.
Working Capital$1.6B
Current Assets minus Current Liabilities. Negative working capital can be a deliberate efficiency strategy in businesses that collect cash before paying suppliers (retailers, fast food franchises, subscription businesses). Assess alongside free cash flow generation for full context.
Valuation
N/A
Cash Flow
B
Free Cash Flow$680M
Operating cash flow minus capital expenditures. Buffett's most important metric — cash a business actually generates for its owners after maintaining and growing its asset base. Consistently positive FCF is one of the strongest indicators of a durable, well-run business regardless of accounting profits.
CapEx % of Net Income38.1%
Capital expenditure as a share of net income. Low CapEx signals a capital-light business that doesn't need heavy reinvestment to sustain earnings — Buffett's ideal. High CapEx is structurally necessary in manufacturing, airlines, telecoms, and semiconductors. For these industries, a high reading reflects the business model, not poor management.
Owner Earnings$730M
Net Income + Depreciation & Amortisation − Capital Expenditures. Buffett's preferred measure of a company's true annual earning power — what could theoretically be distributed to owners without impairing the business. More reliable than reported EPS because it accounts for the capital cost of maintaining the business.
Metric Explanations
What each dimension measures and where the thresholds come from.
Gross Profit Margin
Revenue minus cost of goods sold. Graham's ≥40% threshold identifies businesses with durable pricing power. Note: software and financial companies naturally exceed this; retailers and manufacturers rarely reach it due to their cost structures.
Operating Margin
Profit after operating costs before interest and taxes. A consistent ≥15% operating margin signals a business with real competitive advantages. Capital-intensive industries (airlines, auto, commodities) rarely hit this threshold due to their structural cost base — compare within industry for context.
Net Income Margin
Bottom-line profit as a percentage of revenue. The ≥20% target reflects Buffett's preference for highly profitable businesses. Financial engineering (buybacks, tax optimisation) can inflate this temporarily — look for consistency across multiple years rather than a single strong result.
Years to Pay Off Debt
Total Debt ÷ Net Income. Lower = stronger balance sheet. Important caveat: utilities, telecoms, REITs, and infrastructure companies carry large structural debt by design — their bond-like cash flows service it comfortably at ratios that would alarm Graham. Compare within sector.
Working Capital vs Long-Term Debt
Working Capital minus Long-Term Debt. Negative results are common and expected in capital-return-focused businesses like Apple, Domino's, and McDonald's — where aggressive buybacks and dividends intentionally reduce book equity. This does not indicate financial distress in high-FCF businesses.
Working Capital
Current Assets minus Current Liabilities. Negative working capital can be a deliberate efficiency strategy in businesses that collect cash before paying suppliers (retailers, fast food franchises, subscription businesses). Assess alongside free cash flow generation for full context.
Free Cash Flow
Operating cash flow minus capital expenditures. Buffett's most important metric — cash a business actually generates for its owners after maintaining and growing its asset base. Consistently positive FCF is one of the strongest indicators of a durable, well-run business regardless of accounting profits.
CapEx % of Net Income
Capital expenditure as a share of net income. Low CapEx signals a capital-light business that doesn't need heavy reinvestment to sustain earnings — Buffett's ideal. High CapEx is structurally necessary in manufacturing, airlines, telecoms, and semiconductors. For these industries, a high reading reflects the business model, not poor management.
Owner Earnings
Net Income + Depreciation & Amortisation − Capital Expenditures. Buffett's preferred measure of a company's true annual earning power — what could theoretically be distributed to owners without impairing the business. More reliable than reported EPS because it accounts for the capital cost of maintaining the business.
Market Data
Key Margins
Gross Profit45.9%
Operating Margin13.4%
Net Margin9.2%
Company Info
Showing Key Metrics
Income Highlights
Metric
2026
2025
2024
2023
Gross Profit %
45.9%▲
41.3%▲
39.5%▲
36.3%
Operating Margin %
13.4%▲
7.7%▼
8.3%▲
5.5%
Net Income %
9.2%▲
1.5%▲
-1.9%▼
2.9%
Diluted EPS
3.62▲
0.58▲
-0.73▼
1.00
Balance Sheet Highlights
Metric
2026
2025
2024
2023
Total Assets
$5.8B
$5.9B
$6.6B
$6.7B
Total Debt
$1.5B▼
$1.5B▼
$2.0B▼
$2.0B
Working Capital
$1.6B▲
$1.4B▲
$1.2B▼
$1.5B
Years to Pay Debt
4.57
27.86
-28.27
19.86
Cash Flow Highlights
Metric
2026
2025
2024
2023
2022
Free Cash Flow
$680M▲
$485M▼
$706M▲
$684M•
N/A
Owner Earnings
$730M
$490M
$378M
$601M
N/A
CapEx % of Net Income
38.1%
247.4%
N/A
154.1%
N/A
Income Statement
2026
2025
2024
2023
Tax Effect Of Unusual Items
-12,273
-30,052
-46,497
-2,135
Tax Rate For Calcs
0
0
0
0
Normalized EBITDA
816,165
633,632
685,152
544,351
Total Unusual Items
-82,369
-192,569
-221,414
-12,411
Total Unusual Items Excluding Goodwill
-82,369
-192,569
-221,414
-12,411
Net Income From Continuing Operation Net Minority Interest
338,989
55,615
-70,322
103,152
Reconciled Depreciation
262,389
296,836
320,933
338,848
Reconciled Cost Of Revenue
1,990,415
2,183,382
2,281,011
2,272,457
EBITDA
733,796
441,063
463,738
531,940
EBIT
471,407
144,227
142,805
193,092
Net Interest Income
-73,134
-78,328
-69,245
-68,463
Interest Expense
73,134
78,328
69,245
68,463
Normalized Income
409,085
218,132
104,595
113,428
Net Income From Continuing And Discontinued Operation
338,989
55,615
-70,322
103,152
Total Expenses
3,184,724
3,430,875
3,456,391
3,373,820
Total Operating Income As Reported
411,424
95,527
91,701
183,168
Diluted Average Shares
93,547
95,450
97,557
103,019
Basic Average Shares
92,592
94,586
95,798
98,649
Diluted EPS
0
0
0
0
Basic EPS
0
0
0
0
Diluted NI Availto Com Stockholders
338,989
55,615
-70,322
103,152
Net Income Common Stockholders
338,989
55,615
-70,322
103,152
Net Income
338,989
55,615
-70,322
103,152
Net Income Including Noncontrolling Interests
338,989
55,615
-70,322
103,152
Net Income Continuous Operations
338,989
55,615
-70,322
103,152
Tax Provision
59,284
10,284
143,882
21,477
Pretax Income
398,273
65,899
73,560
124,629
Other Income Expense
-22,386
-143,869
-170,310
-2,487
Other Non Operating Income Expenses
59,983
48,700
51,104
9,924
Special Income Charges
-82,369
-192,569
-221,414
-12,411
Impairment Of Capital Assets
82,369
192,569
221,414
12,411
Net Non Operating Interest Income Expense
-73,134
-78,328
-69,245
-68,463
Interest Expense Non Operating
73,134
78,328
69,245
68,463
Operating Income
493,793
288,096
313,115
195,579
Operating Expense
1,194,309
1,247,493
1,175,380
1,101,363
Other Operating Expenses
87,513
96,160
103,991
92,732
Research And Development
726,122
747,709
682,249
649,841
Selling General And Administration
380,674
403,624
389,140
358,790
Selling And Marketing Expense
215,485
231,912
217,273
210,690
General And Administrative Expense
165,189
171,712
171,867
148,100
Other Gand A
165,189
171,712
171,867
148,100
Gross Profit
1,688,102
1,535,589
1,488,495
1,296,942
Cost Of Revenue
1,990,415
2,183,382
2,281,011
2,272,457
Total Revenue
3,678,517
3,718,971
3,769,506
3,569,399
Operating Revenue
3,678,517
3,718,971
3,769,506
3,569,399
Balance Sheet
2026
2025
2024
2023
Ordinary Shares Number
87,741
92,920
95,798
98,649
Share Issued
87,741
92,920
95,798
98,649
Net Debt
330,139
528,039
958,754
1,239,626
Total Debt
1,549,154
1,549,215
1,988,012
2,048,383
Tangible Book Value
869,567
729,093
512,388
604,278
Invested Capital
4,893,453
4,941,527
5,544,384
5,951,177
Working Capital
1,593,557
1,384,093
1,215,947
1,474,031
Net Tangible Assets
869,567
729,093
512,388
604,278
Common Stock Equity
3,344,299
3,392,312
3,556,372
3,902,794
Total Capitalization
4,893,453
4,941,527
5,105,644
5,950,867
Total Equity Gross Minority Interest
3,344,299
3,392,312
3,556,372
3,902,794
Stockholders Equity
3,344,299
3,392,312
3,556,372
3,902,794
Gains Losses Not Affecting Retained Earnings
4,061
-5,013
-5,097
-3,175
Other Equity Adjustments
4,061
-5,013
-5,097
-3,175
Retained Earnings
38,788
-33,983
-89,598
84,495
Capital Stock
3,301,450
3,431,308
3,651,067
3,821,474
Common Stock
3,301,450
3,431,308
3,651,067
3,821,474
Total Liabilities Net Minority Interest
2,481,291
2,540,819
2,998,263
2,789,109
Total Non Current Liabilities Net Minority Interest
1,768,534
1,757,637
1,768,176
2,233,346
Other Non Current Liabilities
219,380
208,422
218,904
185,273
Long Term Debt And Capital Lease Obligation
1,549,154
1,549,215
1,549,272
2,048,073
Long Term Debt
1,549,154
1,549,215
1,549,272
2,048,073
Current Liabilities
712,757
783,182
1,230,087
555,763
Other Current Liabilities
221,727
234,538
201,587
122,289
Current Debt And Capital Lease Obligation
438,740
310
Current Debt
438,740
310
Other Current Borrowings
438,740
Payables And Accrued Expenses
491,030
548,644
589,760
433,164
Current Accrued Expenses
248,160
287,981
336,767
222,463
Payables
242,870
260,663
252,993
210,701
Accounts Payable
242,870
260,663
252,993
210,701
Total Assets
5,825,590
5,933,131
6,554,635
6,691,903
Total Non Current Assets
3,519,276
3,765,856
4,108,601
4,662,109
Other Non Current Assets
317,857
277,309
170,383
193,381
Investments And Advances
16,295
23,433
23,252
20,406
Goodwill And Other Intangible Assets
2,474,732
2,663,219
3,043,984
3,298,516
Other Intangible Assets
121,506
273,478
509,383
537,703
Goodwill
2,353,226
2,389,741
2,534,601
2,760,813
Net PPE
710,392
801,895
870,982
1,149,806
Accumulated Depreciation
-1,781,169
-1,845,365
-1,683,592
-1,900,317
Gross PPE
2,491,561
2,647,260
2,554,574
3,050,123
Construction In Progress
104,687
98,223
86,230
130,086
Machinery Furniture Equipment
2,027,411
2,159,937
2,091,268
2,430,307
Buildings And Improvements
338,857
366,061
354,037
463,888
Land And Improvements
20,606
23,039
23,039
25,842
Current Assets
2,306,314
2,167,275
2,446,034
2,029,794
Other Current Assets
98,176
74,557
78,993
46,703
Assets Held For Sale Current
0
159,278
0
Prepaid Assets
36,724
32,808
40,563
46,684
Inventory
553,718
640,992
710,555
796,596
Finished Goods
125,880
133,483
161,632
186,684
Work In Process
265,250
322,814
347,175
345,545
Raw Materials
162,588
184,695
201,748
264,367
Receivables
398,681
397,742
427,387
331,054
Other Receivables
16,172
11,023
14,427
26,535
Accounts Receivable
382,509
386,719
412,960
304,519
Allowance For Doubtful Accounts Receivable
-301
-309
-313
-369
Gross Accounts Receivable
382,810
387,028
413,273
304,888
Cash Cash Equivalents And Short Term Investments
1,219,015
1,021,176
1,029,258
808,757
Cash And Cash Equivalents
1,219,015
1,021,176
1,029,258
808,757
Cash Flow
2026
2025
2024
2023
2022
Free Cash Flow
679,561
484,602
705,959
684,278
Repurchase Of Capital Stock
-532,552
-356,336
-400,054
-861,751
Repayment Of Debt
0
-439,124
-58,309
0
Issuance Of Debt
0
0
499,070
Issuance Of Capital Stock
35,492
35,741
36,918
32,507
Capital Expenditure
-129,070
-137,600
-127,230
-158,953
Interest Paid Supplemental Data
73,169
76,336
55,270
66,115
Income Tax Paid Supplemental Data
24,740
87,256
103,059
105,788
End Cash Position
1,219,015
1,021,176
1,049,258
808,943
Beginning Cash Position
1,021,176
1,049,258
808,943
972,805
Effect Of Exchange Rate Changes
-666
-2,477
3,170
-331
Changes In Cash
198,505
-25,605
237,145
-163,531
Financing Cash Flow
-566,526
-684,362
-459,574
-853,353
Cash Flow From Continuing Financing Activities
-566,526
-684,362
-459,574
-853,353
Net Other Financing Charges
-69,466
75,357
-38,129
-24,109
Net Common Stock Issuance
-497,060
-320,595
-363,136
-829,244
Common Stock Payments
-532,552
-356,336
-400,054
-861,751
Common Stock Issuance
35,492
35,741
36,918
32,507
Net Issuance Payments Of Debt
0
-439,124
-58,309
0
Net Long Term Debt Issuance
0
-439,124
-58,309
0
Long Term Debt Payments
0
-439,124
-58,309
0
Long Term Debt Issuance
0
0
499,070
Investing Cash Flow
-43,600
36,555
-136,470
-153,409
Cash Flow From Continuing Investing Activities
-43,600
36,555
-136,470
-153,409
Net Other Investing Changes
12,287
-5,230
4,186
3,792
Net Business Purchase And Sale
21,472
172,326
-62,974
-95
Sale Of Business
21,472
173,117
20,000
0
Purchase Of Business
0
-791
-82,974
-95
Net PPE Purchase And Sale
-77,359
-130,541
-77,682
-157,106
Sale Of PPE
51,711
7,059
49,548
1,847
Purchase Of PPE
-129,070
-137,600
-127,230
-158,953
Operating Cash Flow
808,631
622,202
833,189
843,231
Cash Flow From Continuing Operating Activities
808,631
622,202
833,189
843,231
Change In Working Capital
41,619
-6,393
142,404
96,985
Change In Other Working Capital
942
-4,103
8,681
-33,240
Change In Other Current Liabilities
19,628
15,662
-50,354
36,762
Change In Payables And Accrued Expense
-50,211
-38,599
220,118
-133,108
Change In Accrued Expense
-45,325
-45,777
130,979
-17,613
Change In Payable
-4,886
7,178
89,139
-115,495
Change In Account Payable
-4,886
7,178
89,139
-115,495
Change In Prepaid Assets
-18,510
-24,348
-23,174
43,240
Change In Inventory
86,616
18,188
92,909
-81,450
Change In Receivables
3,154
26,807
-105,776
264,781
Changes In Account Receivables
3,154
26,807
-105,776
264,781
Other Non Cash Items
-13,421
31,966
78,521
25,299
Stock Based Compensation
136,070
136,346
120,834
105,580
Asset Impairment Charge
82,369
192,569
221,414
239,512
Deferred Tax
-39,384
-84,737
19,405
-66,145
Deferred Income Tax
-39,384
-84,737
19,405
-66,145
Depreciation Amortization Depletion
262,389
296,836
320,933
338,848
Depreciation And Amortization
262,389
296,836
320,933
338,848
Amortization Cash Flow
111,051
133,614
127,898
132,425
Amortization Of Intangibles
111,051
133,614
127,898
132,425
Depreciation
151,338
163,222
193,035
206,423
Operating Gains Losses
35,262
744
Gain Loss On Sale Of Business
35,262
0
0
Net Income From Continuing Operations
338,989
55,615
-70,322
103,152
3/5
Graham Score
Speculative Investor
Fails most of Graham's safety criteria. Treat with caution.
Graham's Fair Value
N/A
N/A — requires
positive EPS and positive book value per share. Check the Financials tab for earnings history.
Margin of Safety
—
Market Cap / Net Assets
N/A
Net Assets: $3.3B
Warren's Owner Earnings
$730M
Latest fiscal year
Graham's 7 Criteria
Defensive Investor Checklist
3/5 — Speculative Investor
✅
Adequate Size
Graham required companies large enough to withstand economic downturns. This threshold ($1.5B) is inflation-adjusted from Graham's original $100M — virtually all S&P 500 companies pass this today.
$3.7B
vs > $1.5B revenue
✅
Strong Financial Condition
Current assets must be at least twice current liabilities. Note: highly profitable companies (Apple, Domino's) often run negative or low working capital deliberately — they collect cash fast and stretch payables. A failing score here is not always a warning sign.
3.24x
vs Current Ratio > 2.0x
❌
Earnings Stability
Graham required uninterrupted positive earnings. Any loss year is a red flag for defensive investors. Growth companies and cyclicals may show occasional losses during investment cycles or downturns without being fundamentally unsound.
1 loss years (4 yrs data)
vs No negative EPS years
❌
Dividend Record
Graham valued dividends as evidence of financial discipline and shareholder alignment. Many excellent modern businesses (Alphabet, Amazon, Berkshire Hathaway) pay no dividend, preferring to reinvest cash at high rates of return. Failing this criterion does not indicate a poor business — it may indicate a high-growth one.
No dividend
vs Uninterrupted dividends
✅
Earnings Growth
EPS grew from $1.00 to $3.62 over 2 years. Graham's 33% threshold was set over a 10-year period. Measured over fewer years (as here), the bar is proportionally lower. Share buybacks can also inflate EPS growth without reflecting underlying business improvement.
+262.0% EPS growth
vs > 33% EPS growth
Graham's 7 Criteria — Explained
What each criterion measures and why it matters.
✅ Adequate Size — $3.7Bvs > $1.5B revenue
Graham required companies large enough to withstand economic downturns. This threshold ($1.5B) is inflation-adjusted from Graham's original $100M — virtually all S&P 500 companies pass this today.
"The minimum size of an enterprise should be not less than $100 million of annual sales."
✅ Strong Financial Condition — 3.24xvs Current Ratio > 2.0x
Current assets must be at least twice current liabilities. Note: highly profitable companies (Apple, Domino's) often run negative or low working capital deliberately — they collect cash fast and stretch payables. A failing score here is not always a warning sign.
"For industrial companies, current assets should be at least twice current liabilities."
❌ Earnings Stability — 1 loss years (4 yrs data)vs No negative EPS years
Graham required uninterrupted positive earnings. Any loss year is a red flag for defensive investors. Growth companies and cyclicals may show occasional losses during investment cycles or downturns without being fundamentally unsound.
"The company should have shown no deficit in the past ten years."
❌ Dividend Record — No dividendvs Uninterrupted dividends
Graham valued dividends as evidence of financial discipline and shareholder alignment. Many excellent modern businesses (Alphabet, Amazon, Berkshire Hathaway) pay no dividend, preferring to reinvest cash at high rates of return. Failing this criterion does not indicate a poor business — it may indicate a high-growth one.
"Some current dividend payments — for at least the past 20 years."
EPS grew from $1.00 to $3.62 over 2 years. Graham's 33% threshold was set over a 10-year period. Measured over fewer years (as here), the bar is proportionally lower. Share buybacks can also inflate EPS growth without reflecting underlying business improvement.
"A minimum increase of at least one-third in per-share earnings over ten years."
These metrics estimate what QRVO is worth based on fundamentals — independent of what the market prices it at.
Graham's Fair Value and NCAV are conservative floors.
EPV assumes zero growth. These are reference points, not price targets.
Net Current Asset Value
N/A
"Buy at two-thirds of net current assets." — Graham
Earnings Power Value
N/A
Per share, no-growth floor. Compare to current price.
ROIC — Return on Invested Capital
7.6%
Return on Invested Capital — Buffett's preferred measure for asset-light businesses. ROIC > 15% consistently signals a durable competitive advantage (moat). More meaningful than P/B for software, pharma, and consumer brand companies where most value is intangible and off-balance-sheet.
Cash Flow Analysis
Metric
2026
2025
2024
2023
2022
Capital Expenditure % of Net Income
38.1%
247.4%
N/A
154.1%
N/A
Repurchase of Capital Stock
-$533M
-$356M
-$400M
-$862M
N/A
Free Cash Flow
$680M▲
$485M▼
$706M▲
$684M•
N/A•
Warren's Owner Earnings
$730M
$490M
$378M
$601M
N/A
Peers & Industry
No auto-detected peers for this industry. You can manually compare QRVO against any stock using the Compare tool.
"The management of a business is its most important single factor — more important than market position, patents, or financial structure."
— Benjamin Graham
No management data available.
Risk Analysis
QRVO (QRVO) fundamental analysis — Overall grade B based on profitability, financial health, valuation and cash flow. Graham's
Fair Value: N/A. Gross profit margin: 45.9%. Operating margin: 13.4%. Net margin: 9.2%. Analysis powered by 360investing — free fundamental stock analysis based on Benjamin Graham and Warren Buffett
principles.
Disclaimer: 360investing is provided for informational and educational purposes only and does not constitute financial, investment, legal, or tax advice. All data is sourced from public third-party providers
and may be delayed, inaccurate, or incomplete. Past performance is not indicative of future results. Analysis, scores, and valuations are algorithmic and do not represent professional investment recommendations. Always conduct your own due
diligence and consult a qualified financial adviser before making any investment decision. Use of this tool constitutes acceptance that 360investing and its operators bear no liability for decisions made based on information presented here.