FORMFACTOR INC (FORM) Stock Fundamental Analysis
USA - NASDAQ:FORM - US3463751087 - Common Stock
31.9 USD
+1.18 (+3.84%)
31.9 USD
0 (0%)
Taking everything into account, FORM scores 5 out of 10 in our fundamental rating. FORM was compared to 112 industry peers in the Semiconductors & Semiconductor Equipment industry. FORM is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. FORM is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
FORM had positive earnings in the past year.
In the past year FORM had a positive cash flow from operations.
FORM had positive earnings in each of the past 5 years.
FORM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
FORM has a better Return On Assets (3.72%) than 62.50% of its industry peers.
With a Return On Equity value of 4.44%, FORM perfoms like the industry average, outperforming 58.93% of the companies in the same industry.
FORM's Return On Invested Capital of 3.51% is in line compared to the rest of the industry. FORM outperforms 58.93% of its industry peers.
The Average Return On Invested Capital over the past 3 years for FORM is significantly below the industry average of 10.87%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.72% | ||
| ROE | 4.44% | ||
| ROIC | 3.51% |
ROA(3y)6.18%
ROA(5y)6.98%
ROE(3y)7.56%
ROE(5y)8.7%
ROIC(3y)4.12%
ROIC(5y)6.44%
1.3 Margins
The Profit Margin of FORM (5.75%) is comparable to the rest of the industry.
In the last couple of years the Profit Margin of FORM has grown nicely.
FORM has a Operating Margin of 5.40%. This is comparable to the rest of the industry: FORM outperforms 55.36% of its industry peers.
FORM's Operating Margin has declined in the last couple of years.
With a Gross Margin value of 38.68%, FORM is not doing good in the industry: 60.71% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of FORM has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.4% | ||
| PM (TTM) | 5.75% | ||
| GM | 38.68% |
OM growth 3Y-24.15%
OM growth 5Y-7.25%
PM growth 3Y-5.78%
PM growth 5Y6.46%
GM growth 3Y-1.62%
GM growth 5Y0.02%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so FORM is destroying value.
FORM has less shares outstanding than it did 1 year ago.
FORM has more shares outstanding than it did 5 years ago.
The debt/assets ratio for FORM has been reduced compared to a year ago.
2.2 Solvency
FORM has an Altman-Z score of 8.75. This indicates that FORM is financially healthy and has little risk of bankruptcy at the moment.
FORM has a Altman-Z score of 8.75. This is in the better half of the industry: FORM outperforms 71.43% of its industry peers.
FORM has a debt to FCF ratio of 3.51. This is a good value and a sign of high solvency as FORM would need 3.51 years to pay back of all of its debts.
FORM's Debt to FCF ratio of 3.51 is in line compared to the rest of the industry. FORM outperforms 59.82% of its industry peers.
FORM has a Debt/Equity ratio of 0.01. This is a healthy value indicating a solid balance between debt and equity.
FORM has a better Debt to Equity ratio (0.01) than 66.96% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 3.51 | ||
| Altman-Z | 8.75 |
ROIC/WACC0.31
WACC11.31%
2.3 Liquidity
A Current Ratio of 4.24 indicates that FORM has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 4.24, FORM is in the better half of the industry, outperforming 64.29% of the companies in the same industry.
FORM has a Quick Ratio of 3.34. This indicates that FORM is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of FORM (3.34) is better than 63.39% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.24 | ||
| Quick Ratio | 3.34 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 17.89% over the past year.
The Earnings Per Share has been growing slightly by 2.03% on average over the past years.
FORM shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 8.30%.
The Revenue has been growing slightly by 5.31% on average over the past years.
EPS 1Y (TTM)17.89%
EPS 3Y-10.05%
EPS 5Y2.03%
EPS Q2Q%-22.86%
Revenue 1Y (TTM)8.3%
Revenue growth 3Y-0.26%
Revenue growth 5Y5.31%
Sales Q2Q%-0.85%
3.2 Future
Based on estimates for the next years, FORM will show a quite strong growth in Earnings Per Share. The EPS will grow by 18.19% on average per year.
FORM is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.45% yearly.
EPS Next Y-4.82%
EPS Next 2Y10.14%
EPS Next 3Y6.84%
EPS Next 5Y18.19%
Revenue Next Year0.46%
Revenue Next 2Y3.84%
Revenue Next 3Y7.45%
Revenue Next 5Y7.45%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
FORM is valuated quite expensively with a Price/Earnings ratio of 28.48.
FORM's Price/Earnings ratio is a bit cheaper when compared to the industry. FORM is cheaper than 75.00% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.20, FORM is valued at the same level.
With a Price/Forward Earnings ratio of 22.87, FORM is valued on the expensive side.
Based on the Price/Forward Earnings ratio, FORM is valued a bit cheaper than 71.43% of the companies in the same industry.
FORM is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 22.71, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.48 | ||
| Fwd PE | 22.87 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of FORM indicates a somewhat cheap valuation: FORM is cheaper than 66.07% of the companies listed in the same industry.
FORM's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 676.89 | ||
| EV/EBITDA | 25.42 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)14.02
EPS Next 2Y10.14%
EPS Next 3Y6.84%
5. Dividend
5.1 Amount
FORM does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
31.9
+1.18 (+3.84%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners101.36%
Inst Owner Change-0.62%
Ins Owners0.89%
Ins Owner Change5.66%
Market Cap2.46B
Analysts72
Price Target33.79 (5.92%)
Short Float %3.87%
Short Ratio4
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)3.56%
Min EPS beat(2)-11.93%
Max EPS beat(2)19.06%
EPS beat(4)2
Avg EPS beat(4)2.04%
Min EPS beat(4)-11.93%
Max EPS beat(4)19.06%
EPS beat(8)4
Avg EPS beat(8)3.1%
EPS beat(12)8
Avg EPS beat(12)9.08%
EPS beat(16)12
Avg EPS beat(16)9.46%
Revenue beat(2)1
Avg Revenue beat(2)-0.12%
Min Revenue beat(2)-1.17%
Max Revenue beat(2)0.94%
Revenue beat(4)2
Avg Revenue beat(4)-0.31%
Min Revenue beat(4)-2.8%
Max Revenue beat(4)1.78%
Revenue beat(8)4
Avg Revenue beat(8)-0.18%
Revenue beat(12)6
Avg Revenue beat(12)-0.32%
Revenue beat(16)7
Avg Revenue beat(16)-0.36%
PT rev (1m)-2.57%
PT rev (3m)-15.06%
EPS NQ rev (1m)-4.68%
EPS NQ rev (3m)-37.42%
EPS NY rev (1m)-13.56%
EPS NY rev (3m)-13.56%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-4.09%
Revenue NY rev (1m)0.38%
Revenue NY rev (3m)0.38%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.48 | ||
| Fwd PE | 22.87 | ||
| P/S | 3.22 | ||
| P/FCF | 676.89 | ||
| P/OCF | 23.41 | ||
| P/B | 2.48 | ||
| P/tB | 3.15 | ||
| EV/EBITDA | 25.42 |
EPS(TTM)1.12
EY3.51%
EPS(NY)1.4
Fwd EY4.37%
FCF(TTM)0.05
FCFY0.15%
OCF(TTM)1.36
OCFY4.27%
SpS9.92
BVpS12.84
TBVpS10.12
PEG (NY)N/A
PEG (5Y)14.02
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.72% | ||
| ROE | 4.44% | ||
| ROCE | 3.9% | ||
| ROIC | 3.51% | ||
| ROICexc | 4.6% | ||
| ROICexgc | 6.21% | ||
| OM | 5.4% | ||
| PM (TTM) | 5.75% | ||
| GM | 38.68% | ||
| FCFM | 0.48% |
ROA(3y)6.18%
ROA(5y)6.98%
ROE(3y)7.56%
ROE(5y)8.7%
ROIC(3y)4.12%
ROIC(5y)6.44%
ROICexc(3y)5.96%
ROICexc(5y)9.39%
ROICexgc(3y)9.3%
ROICexgc(5y)16.23%
ROCE(3y)4.58%
ROCE(5y)7.16%
ROICexcg growth 3Y-30.39%
ROICexcg growth 5Y-14.73%
ROICexc growth 3Y-26.71%
ROICexc growth 5Y-8.11%
OM growth 3Y-24.15%
OM growth 5Y-7.25%
PM growth 3Y-5.78%
PM growth 5Y6.46%
GM growth 3Y-1.62%
GM growth 5Y0.02%
F-Score6
Asset Turnover0.65
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 3.51 | ||
| Debt/EBITDA | 0.15 | ||
| Cap/Depr | 286.15% | ||
| Cap/Sales | 13.27% | ||
| Interest Coverage | 109.5 | ||
| Cash Conversion | 136.94% | ||
| Profit Quality | 8.27% | ||
| Current Ratio | 4.24 | ||
| Quick Ratio | 3.34 | ||
| Altman-Z | 8.75 |
F-Score6
WACC11.31%
ROIC/WACC0.31
Cap/Depr(3y)146.08%
Cap/Depr(5y)140.5%
Cap/Sales(3y)7.4%
Cap/Sales(5y)7.78%
Profit Quality(3y)85.07%
Profit Quality(5y)97.31%
High Growth Momentum
Growth
EPS 1Y (TTM)17.89%
EPS 3Y-10.05%
EPS 5Y2.03%
EPS Q2Q%-22.86%
EPS Next Y-4.82%
EPS Next 2Y10.14%
EPS Next 3Y6.84%
EPS Next 5Y18.19%
Revenue 1Y (TTM)8.3%
Revenue growth 3Y-0.26%
Revenue growth 5Y5.31%
Sales Q2Q%-0.85%
Revenue Next Year0.46%
Revenue Next 2Y3.84%
Revenue Next 3Y7.45%
Revenue Next 5Y7.45%
EBIT growth 1Y39.88%
EBIT growth 3Y-24.35%
EBIT growth 5Y-2.32%
EBIT Next Year24.15%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-17.41%
FCF growth 3Y2.76%
FCF growth 5Y-4.62%
OCF growth 1Y31.67%
OCF growth 3Y-5.53%
OCF growth 5Y-0.58%