Sequans Communications (FRA:6SQ0) Moat Score: 3/10 (As of Jul. 22, 2026)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

FRA:6SQ0 Sequans Communications SA FRA:6SQ0
43 GF Score
Price €2.30
GF Value €3.96
Valuation Possible Value Trap
! 7 Warning Signs
View Full Analysis

What is Sequans Communications Moat Score?

Sequans Communications FRA:6SQ0 -1.71% 43 Moat Score is 3 as of Jul. 22, 2026. GuruFocus rates FRA:6SQ0 with a GF Score™ of 43/100 and a GF Value™ of €3.96 (Possible Value Trap). The stock has 7 warning signs investors should review. Among 998 Semiconductors companies, Sequans Communications ranks better than 86.57% on this metric.

Sequans Communications has the Moat Score of 3, which implies that the company might have No Moat - Very weak/transient advantages.

Sequans Communications has No Moat: Sequans Communications operates in a competitive semiconductor market with limited market share and no significant cost advantages, network effects, or regulatory barriers.

Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more.

The company's Moat Score is based on these criteria:

1. Market leadership and sustainable market share
2. Network effects and significant customer switching costs
3. Valuable intellectual property and patents
4. Strong brand strength and deep customer loyalty
5. Durable cost advantages (e.g., economies of scale, proprietary technology)
6. Significant regulatory barriers and exclusive licenses
7. Superior distribution network
8. Strong and sustainable pricing power
9. Consistent and impactful innovation and R&D capabilities

Based on the research, GuruFocus believes Sequans Communications might have No Moat - Very weak/transient advantages.


Sequans Communications  (FRA:6SQ0) Moat Score Explanation

The Moat Score ranges from 0 to 10, with 10 as the highest. GuruFocus divided Moat Score into following 8 categories:

Moat Score Moat Level
10Wide Moat - Exceptionally dominant and durable wide moat
8 - 9Wide Moat - Clear and robust wide moat
7Wide Moat - Entry-level wide moat, clearly possessing durable advantages
6Narrow Moat - Strong narrow moat, clearly distinguishable but not wide
5Narrow Moat - Solid narrow moat
4Narrow Moat - Discernible but modest moat
1 - 3No Moat - Very weak/transient advantages
0No Moat - No discernible moat

Sequans Communications Moat Score Related Terms


FRA:6SQ0 vs NA, PXLW, MOBX: Moat Score Comparison

For the Semiconductors subindustry, Sequans Communications's Moat Score, along with its competitors' market caps and Moat Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Sequans Communications Moat Score vs Semiconductors Industry

For the Semiconductors industry and Technology sector, Sequans Communications's Moat Score distribution charts can be found below:

* The bar in red indicates where Sequans Communications's Moat Score falls into.


FRA:6SQ0
43GF Score
Sequans Communications SA FRA:6SQ0
Moat Score is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis
Frequently Asked Questions Learn more about Moat Score →
What does a Moat Score of 3 mean?
Sequans Communications (FRA:6SQ0) has a Moat Score of 3 as of Jul. 22, 2026. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. According to the industry distribution chart, Sequans Communications ranks #134 out of 998 companies in the Semiconductors industry, placing it in the top 13.4%.
Is Sequans Communications' Moat Score too high?
Sequans Communications' current Moat Score is 3. Based on the distribution chart, Sequans Communications ranks #134 out of 998 companies in the Semiconductors industry, which is in the top quartile — a strong position relative to peers. Overall, Sequans Communications has a GF Score™ of 43/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Sequans Communications' Moat Score compare to NA and PXLW?
According to the Semiconductors industry distribution chart, Sequans Communications ranks #134 out of 998 companies for Moat Score. This places Sequans Communications in the top 13% of its industry — outperforming the majority of peers. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Moat Score for a Semiconductors company?
A good Moat Score depends on the Semiconductors industry context. However, Moat Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Moat Score mean?
A high Moat Score can signal that a stock is expensive relative to its fundamentals. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. Sequans Communications's current Moat Score is 3. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sequans Communications stock overvalued right now?
Based on GuruFocus' analysis, Sequans Communications (FRA:6SQ0) is currently considered Possible Value Trap. The stock's GF Value™ is €3.96, compared to a current price of €2.30 — trading 41.9% below its estimated fair value. The current Moat Score is 3. Sequans Communications' overall GF Score™ is 43/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Moat Score calculated?
Moat Score is calculated from a company's financial statements. For Sequans Communications (FRA:6SQ0), the current Moat Score is 3 as of Jul. 22, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Sequans Communications (FRA:6SQ0) Overvalued in 2026?

Based on GuruFocus' analysis, Sequans Communications stock appears to be undervalued. The current stock price of €2.30 is trading 41.9% below its estimated GF Value™ of €3.96. GuruFocus considers Sequans Communications to be Possible Value Trap.

Key valuation signals for FRA:6SQ0:

  • Moat Score: 3
  • GF Value™: €3.96 vs. price of €2.30 (41.9% below fair value)
  • GF Score™: 43/100 with 7 warning signs

No single metric tells the full story. See the FRA:6SQ0 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Sequans Communications Business Description

Other Exchanges SQNS:USA
Address 15-55 Boulevard Charles de Gaulle, Colombes, FRA, 92700
Sequans Communications SA is a fabless semiconductor company specializing in wireless 4G and 5G cellular technologies for the Internet of Things (IoT). Sequans' engineers design and develop, secure, and energy-efficient semiconductor solutions that enable the next generation of AI-connected applications, including smart energy metering, industrial automation, smart mobility and logistics, secure payments, e-health, and smart home solutions. The Company offers a comprehensive portfolio of wireless connectivity solutions, including radio frequency (RF) transceivers, integrated circuits (ICs) for baseband processing, as well as modules, software, & protocol stacks. The Company has one operating segment, which is the design & marketing of semiconductor components for cellular wireless systems.
43GF Score

Get the complete analysis for FRA:6SQ0

Moat Score is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€2.30
Price
€3.96
GF Value