Radcom Ltd (RDCM) fair value: what the stock is really worth
As of Nov 6, 2026: fair value (intrinsic value) of Radcom Ltd stock $13.53, price $10.07, upside +34.4%, quality 68 out of 100. Rating: undervalued. Calculated from audited financials with 24 of our 26 valuation models and 37 quality factors, updated daily.
69 individual criteria per stock, every one traceableSee the method →
Price vs Fair Value
White line = price, green steps = our fair value per fiscal year. As of Nov 8, 2026.
How to read this chart
60‑month range $7.58 – $16.14 · fair‑value band $9.85 – $19.01 · the $10.07 price screens below the $13.53 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). 6 fiscal years are left out: there the valuation rested on only a fraction of the usual models. As of Nov 8, 2026.
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RADCOM Ltd. provides cloud-native and 5G-ready network intelligence solutions for communication service providers (CSPs). It offers RADCOM ACE, an automated assurance and analytics platform that provides cloud-native and containerized portfolio of network visibility, service assurance, and network insights; RADCOM AIM that provides AI-driven analytics to drive automated assurance with RADCOM ACE or legacy assurance solutions; RADCOM RAN for telecom operators to provide multiple solutions; and RADCOM NWDAF, an open, standards compliant, and vendor agnostic solution for closed-loop automation.
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The company also operates RADCOM NetTalk, a Generative AI. The company also provides solutions for mobile and fixed networks, such as 5G, Voice over New Radio, long term evolution (LTE), voice over LTE, voice over Wifi, IP multimedia subsystem, voice over IP, and universal mobile telecommunication service.
It sells its products directly to customers through executives and sales representatives, as well as through a network of distributors and resellers in North America, Asia Pacific, Latin America, Europe, and Israel.
RADCOM Ltd. was formerly known as Big Blue Catalogue Ltd. and changed its name to RADCOM Ltd. in 1989. The company was incorporated in 1985 and is headquartered in Tel Aviv, Israel.
Stock analysis
Radcom Ltd (RDCM) currently trades at $10.07, while our model-based Fair Value estimate is $13.53, implying the stock looks roughly 26% undervalued today.
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Valuation
Bull case: the Growth Earnings group reads highest at a median of $15.29 per share, and 16 of the 24 models we run sit above the $10.07 price.
Bear case: the Economic Profit group reads lowest at $5.77, and 8 of the 24 models stay below the price. Data coverage for this calculation is medium.
Scenario range: $9.85 (bear) to $19.01 (bull), the price of $10.07 sits inside it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 68/100 (solid quality), in the Communication Services sector.
Healthy Growth: Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Radcom Ltd reported revenue of $71.5M in FY2025 versus $40.3M in FY2021, a compound +15.4%/yr. Reported net income was $12.0M in FY2025.
Key figures
Market cap $170M Micro · P/E ratio 24.0 · P/S ratio 2.51 · EPS (TTM) $0.4200 · Net margin 10.5% · Return on equity 6.4% · Return on assets (EBIT) −0.5% (5-year average) · Operating margin −32.0%.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 40 out of 100 (low confidence).
What moves the price
The share trades about 38% below its 52-week high and 2% above its 52-week low, currently below its 200-day average.
For context, the median of 10 Communication Services peers we cover trades at 51% fair-value upside, at 34%, RDCM screens richer than that median.
Fair Value models
Bear$9.85Fair Value $13.53Bull$19.01
Price $10.07 · Upside +34.4%
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above starts from their evidence-weighted blend, not from a single model. In cyclical trough or peak years, after dilution or a stock split it is adjusted afterwards, so it can sit above or below the models. Based on fiscal year 2025 figures (about 10 months old). Earnings retained since then ($0.3602 per share) are deliberately not added.Bear ⓘBear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull ⓘBull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds.Coverage ⓘCoverage = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
In the last 6 months, one officer or director sold shares worth $88,800 and none bought.
SaleRam AmitChief Technology Officer2× since May 20, 2026: 6,000 shares, avg. $14.80$88,800Jun 1, 2026
Plus 4 other filings such as grants, option exercises or tax withholding. They are not market purchases or sales.
Sales are often planned (taxes, diversification, 10b5-1 plans). Purchases with their own money are seen as the stronger sign. For information only: not part of the quality score or Fair Value.
Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card.95/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Revenue growth 1 year
+17.2%
Revenue growth 3 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+15.8%
Revenue growth 5 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+13.7%
Start year 2020 (pandemic). Over 10 years: +14.4% a year
Revenue growth 28 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+4.5%
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What shareholders gained per year (last 3 years) ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 3 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate.
≈ +43.2%
Earnings growth per share plus dividend.
Earnings per share, growth per year+43.2%
Dividend (yield on the price)0.0%
Profit margin 2020 to 2025 ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.−12% → 12%
⚠ Approximate: the rate leans on 2025, which sits 111% above its own trend.
Growth Forecast
Little optimism in the price
The price assumes less growth than the company has delivered so far.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
−14.9%
The company could shrink this much every year for the next five years and today's price would still be justified.
What forecasts expect
n/a
No analyst forecast available.
After inflation (USA: IMF forecast 2.4% a year to 2030, 3.1% from 2016 to 2025) that is about −16.9% a year for the price.
News mood ⓘNews mood, the average tone of recent news (97 articles), rated against how stocks are usually covered. 🚀 Hype = unusually upbeat · 🙂 Positive = above average · 😐 Neutral = typical · 🙁 Negative = below average · 😨 Very negative = unusually downbeat. It reflects the tone of coverage, not our valuation.Positive
Recent news coverage is more positive than average.
Price, fair value, quality and upside side by side.
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Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.Telecom Services · 234 stocks
Beats the industry median on 6/14 measures
A mixed picture versus its industry peers.
Valuation
Quality Score68 · Top 25%
Fair Value upside+34.4% · Above median
Profitability
Return on equity (12 months)6.4% · Below median
Return on assets8.3% · Top 25%
Net margin (12 months)10.5% · Above median
Operating margin (12 months)−32.0% · Bottom 25%
Growth and dividend
Revenue growth (quarter YoY)−33.4% · Bottom 25%
Balance sheet
Debt / equity0.00× · Lowest 25%
Valuation Multiplesvs Telecom Services median · lower = cheaper
P/E (12 months)24.0× · Pricier than median
P/B1.49× · Cheaper than median
P/S (12 months)2.51× · Priciest 25%
Price / free cash flow (fiscal year)11.9× · Pricier than median
For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.
Cite: Fair Value Calculator (2026). "Radcom Ltd Fair Value". https://www.fairvalue-calculator.com/stock/RDCM
Frequently asked questions
Is Radcom Ltd (RDCM) overvalued or undervalued?
As of Nov 8, 2026, our model estimates a fair value of $13.53 versus a price of $10.07, about +34% upside (undervalued).
What is the fair value of RDCM?
Our model-based fair value for Radcom Ltd is $13.53 (as of Nov 8, 2026), built from audited fundamentals. The current price: $10.07.
What is the quality score of RDCM?
Radcom Ltd has a Quality Score of 68/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for Radcom Ltd (RDCM)?
Our model-based price target is the fair value of $13.53 (as of Nov 8, 2026) from 24 valuation models. Cautious scenario $9.85, optimistic scenario $19.01. It is a calculation from audited fundamentals, not an analyst target.
What is the Radcom Ltd stock forecast for 2026?
Our models put fair value at $13.53, about +34% upside versus a price of $10.07 (undervalued). Cautious scenario $9.85, optimistic scenario $19.01. The calculation is refreshed regularly with new filings.
What is the revenue of Radcom Ltd (RDCM)?
Radcom Ltd reported trailing-twelve-month revenue of about $67.6M (latest available figure, as of Nov 8, 2026).
What growth is priced into Radcom Ltd (RDCM)?
For today's price to be fair in a discounted-cash-flow model, Radcom Ltd would have to grow free cash flow by -14.9 % per year for five years (discount rate 12.0 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew +13.7 % per year. As of Nov 8, 2026.
What discount rate (WACC) does the fair value of RDCM use?
Our models discount Radcom Ltd at 12.0 %: a base by market capitalisation (micro), damped by beta 0.77, country premium for USA. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For Radcom Ltd that is -14.9 % per year for five years, then slowing evenly to 2 % by year ten, using the same discount rate (12.0 %) and the same formula as our fair value.
How much growth has Radcom Ltd (RDCM) delivered so far?
Over the past 5 years revenue at Radcom Ltd grew +13.7 % a year. The price currently implies free-cash-flow growth of -14.9 % per year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of Radcom Ltd (RDCM) growing?
The median revenue growth in the sector is +11.5 % a year. That is the yardstick for the growth priced into Radcom Ltd (-14.9 % per year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of Radcom Ltd (RDCM)?
The free-cash-flow yield on the price is 8.39 %: that much free cash flow Radcom Ltd produces per unit of market value. When it exceeds the discount rate of our models (12.0 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of Radcom Ltd (RDCM)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Radcom Ltd it is $13.53 per share (as of Nov 8, 2026), against a price of $10.07. It is the blended result of 24 valuation models in 7 families (DCF Models, Earnings-Based, Multiples, Asset-Based, Growth DCF, Economic Profit, Growth Earnings).
Is Radcom Ltd stock overvalued or undervalued in 2026?
As of Nov 8, 2026, RDCM trades below its calculated fair value: price $10.07, fair value $13.53, a gap of about +34% (undervalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of RDCM?
No. The price is what the market pays today ($10.07); the fair value is what the company's own numbers justify ($13.53). For Radcom Ltd the two are $3.46 per share apart. That gap is exactly why we show both numbers side by side.
How much is Radcom Ltd worth?
The market values Radcom Ltd at about $170M (market capitalisation, as of Nov 8, 2026). Per share that is $10.07; our models calculate a fair value of $13.53 per share.
What do the bullish and bearish scenarios say about RDCM?
Our models span a range for Radcom Ltd: cautious scenario $9.85, base $13.53, optimistic $19.01 per share (as of Nov 8, 2026, price $10.07). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of RDCM?
Radcom Ltd trades at a price-to-earnings ratio of 24.0 (as of Nov 8, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of $13.53 is built from several models across several years. Median P/E at fiscal year-end, 5 fiscal years (2016 to 2025), reported earnings: 33.2. Other multiples: PEG 11.1, P/B 1.5, P/S 2.5, EV/EBITDA 33.0.
What is the PEG ratio of RDCM?
The PEG ratio of Radcom Ltd is 11.08 (P/E divided by earnings growth, as of Nov 8, 2026). That is above 1, so the growth is already paid for in the price.
How solid is the balance sheet of Radcom Ltd (RDCM)?
Balance-sheet figures for Radcom Ltd (as of Nov 8, 2026): return on equity 6.4%, debt of 0.00 per unit of equity. They feed the Quality Score of 68/100, which measures business quality independently of the share price.
How far is RDCM from its 52-week high?
Radcom Ltd trades at $10.07, about 38% below its 52-week high of $16.14 and 2% above the low of $9.91 (as of Nov 6, 2026). Distance from the high says nothing about value: that is what the fair value of $13.53 is for.
Which stocks are comparable to Radcom Ltd?
From the same area (Communication Services) we also value China Mobile Limited, Verizon Communications Inc, T-Mobile US, Inc, AT&T Inc, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is Radcom Ltd stock attractive at the current price?
The data as of Nov 8, 2026: price $10.07, calculated fair value $13.53 (+34%), Quality Score 68/100, from 24 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of RDCM calculated?
We run Radcom Ltd through 24 models from 7 families: DCF Models, Earnings-Based, Multiples, Asset-Based, Growth DCF, Economic Profit, Growth Earnings. Every model gets the same audited fundamentals; the fair value of $13.53 builds on their evidence-weighted average, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 13.3% above its aggregate fair value. Radcom Ltd currently trades 26% below its own fair value, and the market average says nothing about that. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of Radcom Ltd (RDCM)?
The closing price on Nov 6, 2026 was $10.07. Our model-based fair value is $13.53, about +34% upside (undervalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with Radcom Ltd right now?
Solid quality (68/100) at a price below fair value, the discount is the argument here, not the business quality. A fairly wide model range ($9.85 to $19.01) leaves room in how you read the outcome.
Where does the earnings growth of Radcom Ltd (RDCM) come from?
Earnings per share at Radcom Ltd grew +16.4 % a year from 2014 to 2025. Broken into its drivers: revenue per share +4.1 %, EBIT margin +7.2 %, tax rate +0.3 %, residual (interest, one-offs) +3.9 %. The four rates multiply to the earnings growth rate, they do not add up. Start and end are three-year averages so a single exceptional year does not distort the result.
Key figures of Radcom Ltd
How large is the market capitalisation of Radcom Ltd (RDCM)?
The market capitalisation of Radcom Ltd is $170M. The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What is the P/S ratio of Radcom Ltd (RDCM)?
The price-to-sales ratio of Radcom Ltd is 2.51 (last twelve months). Price to sales: market value relative to yearly revenue. Useful when profit is thin or distorted.
What are the earnings per share of Radcom Ltd (RDCM)?
Earnings per share at Radcom Ltd are $0.4200 (price ÷ EPS = P/E 24.0). Earnings per share over the last twelve months: total profit spread across every single share.
What is the net margin of Radcom Ltd (RDCM)?
The net margin of Radcom Ltd is 10.5% (last twelve months). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of Radcom Ltd (RDCM)?
The return on equity (ROE) of Radcom Ltd is 6.4% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of Radcom Ltd (RDCM)?
On an EBIT basis the return on assets of Radcom Ltd is −0.5% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of Radcom Ltd (RDCM)?
The operating margin of Radcom Ltd is −32.0% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at Radcom Ltd (RDCM)?
Revenue at Radcom Ltd is growing −33.4% versus a year earlier (3y avg +15.8%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at Radcom Ltd (RDCM)?
Earnings per share at Radcom Ltd are growing +20.0% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net cash does Radcom Ltd (RDCM) hold?
Radcom Ltd holds more cash than debt, $27.3M net (fiscal year 2025). The company holds more cash than debt, a safety cushion.
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Some data
Nov 8, 2026