AMKOR TECHNOLOGY INC (AMKR) Stock Fundamental Analysis
NASDAQ:AMKR - Nasdaq - US0316521006 - Common Stock - Currency: USD
We assign a fundamental rating of 5 out of 10 to AMKR. AMKR was compared to 108 industry peers in the Semiconductors & Semiconductor Equipment industry. AMKR has an average financial health and profitability rating. AMKR scores decently on growth, while it is valued quite cheap. This could make an interesting combination. This makes AMKR very considerable for value investing!
1. Profitability
1.1 Basic Checks
AMKR had positive earnings in the past year.
In the past year AMKR had a positive cash flow from operations.
Each year in the past 5 years AMKR has been profitable.
In the past 5 years AMKR always reported a positive cash flow from operatings.
1.2 Ratios
AMKR has a Return On Assets of 5.10%. This is in the better half of the industry: AMKR outperforms 64.81% of its industry peers.
With a decent Return On Equity value of 8.53%, AMKR is doing good in the industry, outperforming 63.89% of the companies in the same industry.
AMKR's Return On Invested Capital of 6.55% is fine compared to the rest of the industry. AMKR outperforms 71.30% of its industry peers.
AMKR had an Average Return On Invested Capital over the past 3 years of 9.33%. This is below the industry average of 11.67%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.1% | ||
| ROE | 8.53% | ||
| ROIC | 6.55% |
ROA(3y)7.21%
ROA(5y)7.8%
ROE(3y)12.83%
ROE(5y)14.98%
ROIC(3y)9.33%
ROIC(5y)10.58%
1.3 Margins
AMKR has a Profit Margin (5.60%) which is in line with its industry peers.
In the last couple of years the Profit Margin of AMKR has grown nicely.
AMKR has a Operating Margin of 6.94%. This is in the better half of the industry: AMKR outperforms 60.19% of its industry peers.
In the last couple of years the Operating Margin of AMKR has grown nicely.
AMKR's Gross Margin of 14.77% is on the low side compared to the rest of the industry. AMKR is outperformed by 87.04% of its industry peers.
In the last couple of years the Gross Margin of AMKR has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.94% | ||
| PM (TTM) | 5.6% | ||
| GM | 14.77% |
OM growth 3Y-17.77%
OM growth 5Y4.12%
PM growth 3Y-18.82%
PM growth 5Y13.44%
GM growth 3Y-9.56%
GM growth 5Y-1.61%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so AMKR is destroying value.
AMKR has more shares outstanding than it did 1 year ago.
The number of shares outstanding for AMKR has been increased compared to 5 years ago.
The debt/assets ratio for AMKR has been reduced compared to a year ago.
2.2 Solvency
AMKR has an Altman-Z score of 3.09. This indicates that AMKR is financially healthy and has little risk of bankruptcy at the moment.
AMKR has a Altman-Z score (3.09) which is in line with its industry peers.
The Debt to FCF ratio of AMKR is 3.36, which is a good value as it means it would take AMKR, 3.36 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of AMKR (3.36) is better than 62.96% of its industry peers.
A Debt/Equity ratio of 0.22 indicates that AMKR is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.22, AMKR is in line with its industry, outperforming 41.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 3.36 | ||
| Altman-Z | 3.09 |
ROIC/WACC0.56
WACC11.62%
2.3 Liquidity
AMKR has a Current Ratio of 2.11. This indicates that AMKR is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 2.11, AMKR is doing worse than 75.00% of the companies in the same industry.
A Quick Ratio of 1.90 indicates that AMKR should not have too much problems paying its short term obligations.
AMKR has a Quick ratio (1.90) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.11 | ||
| Quick Ratio | 1.9 |
3. Growth
3.1 Past
AMKR shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -5.48%.
AMKR shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 21.09% yearly.
The Revenue has decreased by -2.85% in the past year.
AMKR shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.29% yearly.
EPS 1Y (TTM)-5.48%
EPS 3Y-19.24%
EPS 5Y21.09%
EPS Q2Q%-10.42%
Revenue 1Y (TTM)-2.85%
Revenue growth 3Y0.96%
Revenue growth 5Y9.29%
Sales Q2Q%-7%
3.2 Future
AMKR is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 19.95% yearly.
The Revenue is expected to grow by 3.97% on average over the next years.
EPS Next Y9.06%
EPS Next 2Y24.18%
EPS Next 3Y19.95%
EPS Next 5YN/A
Revenue Next Year-0.76%
Revenue Next 2Y3.94%
Revenue Next 3Y3.97%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 16.12, which indicates a correct valuation of AMKR.
Compared to the rest of the industry, the Price/Earnings ratio of AMKR indicates a rather cheap valuation: AMKR is cheaper than 85.19% of the companies listed in the same industry.
AMKR is valuated rather cheaply when we compare the Price/Earnings ratio to 30.30, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 14.78, AMKR is valued correctly.
Compared to the rest of the industry, the Price/Forward Earnings ratio of AMKR indicates a rather cheap valuation: AMKR is cheaper than 89.81% of the companies listed in the same industry.
AMKR is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.06, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.12 | ||
| Fwd PE | 14.78 |
4.2 Price Multiples
94.44% of the companies in the same industry are more expensive than AMKR, based on the Enterprise Value to EBITDA ratio.
93.52% of the companies in the same industry are more expensive than AMKR, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.9 | ||
| EV/EBITDA | 4.53 |
4.3 Compensation for Growth
AMKR's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
AMKR has a very decent profitability rating, which may justify a higher PE ratio.
AMKR's earnings are expected to grow with 19.95% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.78
PEG (5Y)0.76
EPS Next 2Y24.18%
EPS Next 3Y19.95%
5. Dividend
5.1 Amount
AMKR has a Yearly Dividend Yield of 1.47%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 2.34, AMKR pays a better dividend. On top of this AMKR pays more dividend than 84.26% of the companies listed in the same industry.
AMKR's Dividend Yield is slightly below the S&P500 average, which is at 2.29.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.47% |
5.2 History
AMKR has been paying a dividend for over 5 years, so it has already some track record.
AMKR has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
AMKR pays out 50.45% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP50.45%
EPS Next 2Y24.18%
EPS Next 3Y19.95%
22.24
-0.77 (-3.35%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners44.37%
Inst Owner Change0.99%
Ins Owners0.38%
Ins Owner Change-0.59%
Market Cap5.49B
Analysts73.33
Price Target31.39 (41.14%)
Short Float %4.1%
Short Ratio3.06
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.47% |
Yearly Dividend0.73
Dividend Growth(5Y)N/A
DP50.45%
Div Incr Years4
Div Non Decr Years4
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)3.68%
Min EPS beat(2)-4.11%
Max EPS beat(2)11.47%
EPS beat(4)3
Avg EPS beat(4)23.75%
Min EPS beat(4)-4.11%
Max EPS beat(4)70.3%
EPS beat(8)7
Avg EPS beat(8)16.91%
EPS beat(12)10
Avg EPS beat(12)15.25%
EPS beat(16)14
Avg EPS beat(16)21.08%
Revenue beat(2)0
Avg Revenue beat(2)-2.38%
Min Revenue beat(2)-3.94%
Max Revenue beat(2)-0.82%
Revenue beat(4)0
Avg Revenue beat(4)-1.87%
Min Revenue beat(4)-3.94%
Max Revenue beat(4)-0.82%
Revenue beat(8)1
Avg Revenue beat(8)-1.21%
Revenue beat(12)4
Avg Revenue beat(12)-0.44%
Revenue beat(16)7
Avg Revenue beat(16)1.37%
PT rev (1m)0%
PT rev (3m)-14.39%
EPS NQ rev (1m)-0.53%
EPS NQ rev (3m)-0.53%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.11%
Revenue NQ rev (1m)0.06%
Revenue NQ rev (3m)0.06%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.02%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.12 | ||
| Fwd PE | 14.78 | ||
| P/S | 0.87 | ||
| P/FCF | 15.9 | ||
| P/OCF | 5.04 | ||
| P/B | 1.32 | ||
| P/tB | 1.33 | ||
| EV/EBITDA | 4.53 |
EPS(TTM)1.38
EY6.21%
EPS(NY)1.5
Fwd EY6.77%
FCF(TTM)1.4
FCFY6.29%
OCF(TTM)4.41
OCFY19.85%
SpS25.62
BVpS16.82
TBVpS16.75
PEG (NY)1.78
PEG (5Y)0.76
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.1% | ||
| ROE | 8.53% | ||
| ROCE | 7.99% | ||
| ROIC | 6.55% | ||
| ROICexc | 9.36% | ||
| ROICexgc | 9.41% | ||
| OM | 6.94% | ||
| PM (TTM) | 5.6% | ||
| GM | 14.77% | ||
| FCFM | 5.46% |
ROA(3y)7.21%
ROA(5y)7.8%
ROE(3y)12.83%
ROE(5y)14.98%
ROIC(3y)9.33%
ROIC(5y)10.58%
ROICexc(3y)12.77%
ROICexc(5y)14.21%
ROICexgc(3y)12.84%
ROICexgc(5y)14.3%
ROCE(3y)11.37%
ROCE(5y)12.9%
ROICexcg growth 3Y-21.32%
ROICexcg growth 5Y6.25%
ROICexc growth 3Y-21.24%
ROICexc growth 5Y6.36%
OM growth 3Y-17.77%
OM growth 5Y4.12%
PM growth 3Y-18.82%
PM growth 5Y13.44%
GM growth 3Y-9.56%
GM growth 5Y-1.61%
F-Score5
Asset Turnover0.91
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 3.36 | ||
| Debt/EBITDA | 0.89 | ||
| Cap/Depr | 125.08% | ||
| Cap/Sales | 11.77% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 105.4% | ||
| Profit Quality | 97.47% | ||
| Current Ratio | 2.11 | ||
| Quick Ratio | 1.9 | ||
| Altman-Z | 3.09 |
F-Score5
WACC11.62%
ROIC/WACC0.56
Cap/Depr(3y)130.67%
Cap/Depr(5y)127.74%
Cap/Sales(3y)12.04%
Cap/Sales(5y)11.95%
Profit Quality(3y)89.01%
Profit Quality(5y)76.86%
High Growth Momentum
Growth
EPS 1Y (TTM)-5.48%
EPS 3Y-19.24%
EPS 5Y21.09%
EPS Q2Q%-10.42%
EPS Next Y9.06%
EPS Next 2Y24.18%
EPS Next 3Y19.95%
EPS Next 5YN/A
Revenue 1Y (TTM)-2.85%
Revenue growth 3Y0.96%
Revenue growth 5Y9.29%
Sales Q2Q%-7%
Revenue Next Year-0.76%
Revenue Next 2Y3.94%
Revenue Next 3Y3.97%
Revenue Next 5YN/A
EBIT growth 1Y-6.76%
EBIT growth 3Y-16.98%
EBIT growth 5Y13.79%
EBIT Next Year199.9%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-33.71%
FCF growth 3Y0.35%
FCF growth 5Y30.41%
OCF growth 1Y-14.26%
OCF growth 3Y-0.97%
OCF growth 5Y14.07%