MACOM TECHNOLOGY SOLUTIONS H (MTSI)
US55405Y1001 - Common Stock
MTSI gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 108 industry peers in the Semiconductors & Semiconductor Equipment industry. MTSI has an excellent financial health rating, but there are some minor concerns on its profitability. While showing a medium growth rate, MTSI is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
MTSI had positive earnings in the past year.
In the past year MTSI had a positive cash flow from operations.
Of the past 5 years MTSI 4 years were profitable.
In the past 5 years MTSI always reported a positive cash flow from operatings.
1.2 Ratios
MTSI's Return On Assets of 4.38% is fine compared to the rest of the industry. MTSI outperforms 61.11% of its industry peers.
With a decent Return On Equity value of 6.82%, MTSI is doing good in the industry, outperforming 60.19% of the companies in the same industry.
The Return On Invested Capital of MTSI (3.66%) is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for MTSI is significantly below the industry average of 11.13%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.38% | ||
| ROE | 6.82% | ||
| ROIC | 3.66% |
ROA(3y)12.76%
ROA(5y)7.52%
ROE(3y)22.9%
ROE(5y)12.28%
ROIC(3y)5.66%
ROIC(5y)4.74%
1.3 Margins
MTSI has a Profit Margin of 10.53%. This is in the better half of the industry: MTSI outperforms 62.04% of its industry peers.
In the last couple of years the Profit Margin of MTSI has grown nicely.
The Operating Margin of MTSI (10.10%) is better than 63.89% of its industry peers.
MTSI's Operating Margin has declined in the last couple of years.
MTSI has a better Gross Margin (53.97%) than 74.07% of its industry peers.
In the last couple of years the Gross Margin of MTSI has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.1% | ||
| PM (TTM) | 10.53% | ||
| GM | 53.97% |
OM growth 3Y-8.88%
OM growth 5YN/A
PM growth 3Y18.94%
PM growth 5YN/A
GM growth 3Y-1.42%
GM growth 5Y4.09%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), MTSI is destroying value.
The number of shares outstanding for MTSI has been increased compared to 1 year ago.
MTSI has more shares outstanding than it did 5 years ago.
The debt/assets ratio for MTSI has been reduced compared to a year ago.
2.2 Solvency
MTSI has an Altman-Z score of 10.32. This indicates that MTSI is financially healthy and has little risk of bankruptcy at the moment.
MTSI has a Altman-Z score of 10.32. This is in the better half of the industry: MTSI outperforms 77.78% of its industry peers.
The Debt to FCF ratio of MTSI is 3.49, which is a good value as it means it would take MTSI, 3.49 years of fcf income to pay off all of its debts.
MTSI has a better Debt to FCF ratio (3.49) than 64.81% of its industry peers.
A Debt/Equity ratio of 0.43 indicates that MTSI is not too dependend on debt financing.
With a Debt to Equity ratio value of 0.43, MTSI is not doing good in the industry: 70.37% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | 3.49 | ||
| Altman-Z | 10.32 |
ROIC/WACC0.25
WACC14.53%
2.3 Liquidity
MTSI has a Current Ratio of 8.35. This indicates that MTSI is financially healthy and has no problem in meeting its short term obligations.
MTSI has a Current ratio of 8.35. This is amongst the best in the industry. MTSI outperforms 93.52% of its industry peers.
A Quick Ratio of 6.55 indicates that MTSI has no problem at all paying its short term obligations.
MTSI has a Quick ratio of 6.55. This is amongst the best in the industry. MTSI outperforms 91.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 8.35 | ||
| Quick Ratio | 6.55 |
3. Growth
3.1 Past
The earnings per share for MTSI have decreased by -5.26% in the last year.
The Earnings Per Share has been growing slightly by 5.96% on average over the past years.
MTSI shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 12.52%.
Measured over the past years, MTSI shows a small growth in Revenue. The Revenue has been growing by 7.86% on average per year.
EPS 1Y (TTM)-5.26%
EPS 3Y5.96%
EPS 5YN/A
EPS Q2Q%30.36%
Revenue 1Y (TTM)12.52%
Revenue growth 3Y6.33%
Revenue growth 5Y7.86%
Sales Q2Q%33.47%
3.2 Future
Based on estimates for the next years, MTSI will show a quite strong growth in Earnings Per Share. The EPS will grow by 15.16% on average per year.
The Revenue is expected to grow by 13.87% on average over the next years. This is quite good.
EPS Next Y36.59%
EPS Next 2Y25.92%
EPS Next 3Y15.16%
EPS Next 5YN/A
Revenue Next Year24.34%
Revenue Next 2Y17.46%
Revenue Next 3Y13.87%
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 accelerating.
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
The Price/Earnings ratio is 53.05, which means the current valuation is very expensive for MTSI.
The rest of the industry has a similar Price/Earnings ratio as MTSI.
MTSI's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 27.54.
The Price/Forward Earnings ratio is 38.87, which means the current valuation is very expensive for MTSI.
MTSI's Price/Forward Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.99, MTSI is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 53.05 | ||
| Fwd PE | 38.87 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MTSI is on the same level as its industry peers.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of MTSI indicates a somewhat cheap valuation: MTSI is cheaper than 62.96% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 70.14 | ||
| EV/EBITDA | 66.04 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
MTSI has a very decent profitability rating, which may justify a higher PE ratio.
MTSI's earnings are expected to grow with 15.16% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.45
PEG (5Y)N/A
EPS Next 2Y25.92%
EPS Next 3Y15.16%
5. Dividend
5.1 Amount
No dividends for MTSI!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
MACOM TECHNOLOGY SOLUTIONS H
NASDAQ:MTSI (12/24/2024, 7:26:59 PM)
After market: 135.82 0 (0%)135.82
+1.12 (+0.83%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners86.62%
Inst Owner Change2.89%
Ins Owners22.48%
Ins Owner Change-0.96%
Market Cap9.83B
Analysts78
Price Target150.41 (10.74%)
Short Float %5.35%
Short Ratio5.93
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-2.24%
Min EPS beat(2)-2.48%
Max EPS beat(2)-2%
EPS beat(4)0
Avg EPS beat(4)-1.6%
Min EPS beat(4)-2.48%
Max EPS beat(4)-0.48%
EPS beat(8)1
Avg EPS beat(8)-1.09%
EPS beat(12)4
Avg EPS beat(12)-0.37%
EPS beat(16)8
Avg EPS beat(16)0.95%
Revenue beat(2)0
Avg Revenue beat(2)-1.86%
Min Revenue beat(2)-1.91%
Max Revenue beat(2)-1.81%
Revenue beat(4)1
Avg Revenue beat(4)-1.06%
Min Revenue beat(4)-1.91%
Max Revenue beat(4)1.28%
Revenue beat(8)1
Avg Revenue beat(8)-1.34%
Revenue beat(12)1
Avg Revenue beat(12)-1.34%
Revenue beat(16)1
Avg Revenue beat(16)-1.43%
PT rev (1m)25.68%
PT rev (3m)24.64%
EPS NQ rev (1m)0%
EPS NQ rev (3m)5.51%
EPS NY rev (1m)1.39%
EPS NY rev (3m)3.05%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)6.07%
Revenue NY rev (1m)2.43%
Revenue NY rev (3m)4.93%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 53.05 | ||
| Fwd PE | 38.87 | ||
| P/S | 13.48 | ||
| P/FCF | 70.14 | ||
| P/OCF | 60.46 | ||
| P/B | 8.73 | ||
| P/tB | 13.69 | ||
| EV/EBITDA | 66.04 |
EPS(TTM)2.56
EY1.88%
EPS(NY)3.49
Fwd EY2.57%
FCF(TTM)1.94
FCFY1.43%
OCF(TTM)2.25
OCFY1.65%
SpS10.08
BVpS15.56
TBVpS9.92
PEG (NY)1.45
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.38% | ||
| ROE | 6.82% | ||
| ROCE | 4.47% | ||
| ROIC | 3.66% | ||
| ROICexc | 5.65% | ||
| ROICexgc | 9.16% | ||
| OM | 10.1% | ||
| PM (TTM) | 10.53% | ||
| GM | 53.97% | ||
| FCFM | 19.22% |
ROA(3y)12.76%
ROA(5y)7.52%
ROE(3y)22.9%
ROE(5y)12.28%
ROIC(3y)5.66%
ROIC(5y)4.74%
ROICexc(3y)9.02%
ROICexc(5y)7.42%
ROICexgc(3y)15.12%
ROICexgc(5y)13.8%
ROCE(3y)6.93%
ROCE(5y)5.8%
ROICexcg growth 3Y-25.63%
ROICexcg growth 5YN/A
ROICexc growth 3Y-15.93%
ROICexc growth 5YN/A
OM growth 3Y-8.88%
OM growth 5YN/A
PM growth 3Y18.94%
PM growth 5YN/A
GM growth 3Y-1.42%
GM growth 5Y4.09%
F-Score5
Asset Turnover0.42
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | 3.49 | ||
| Debt/EBITDA | 3.47 | ||
| Cap/Depr | 33.37% | ||
| Cap/Sales | 3.08% | ||
| Interest Coverage | 18.49 | ||
| Cash Conversion | 115.42% | ||
| Profit Quality | 182.41% | ||
| Current Ratio | 8.35 | ||
| Quick Ratio | 6.55 | ||
| Altman-Z | 10.32 |
F-Score5
WACC14.53%
ROIC/WACC0.25
Cap/Depr(3y)42.34%
Cap/Depr(5y)35.01%
Cap/Sales(3y)3.6%
Cap/Sales(5y)3.42%
Profit Quality(3y)123.95%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-5.26%
EPS 3Y5.96%
EPS 5YN/A
EPS Q2Q%30.36%
EPS Next Y36.59%
EPS Next 2Y25.92%
EPS Next 3Y15.16%
EPS Next 5YN/A
Revenue 1Y (TTM)12.52%
Revenue growth 3Y6.33%
Revenue growth 5Y7.86%
Sales Q2Q%33.47%
Revenue Next Year24.34%
Revenue Next 2Y17.46%
Revenue Next 3Y13.87%
Revenue Next 5YN/A
EBIT growth 1Y-31.41%
EBIT growth 3Y-3.11%
EBIT growth 5YN/A
EBIT Next Year60.85%
EBIT Next 3Y25.21%
EBIT Next 5YN/A
FCF growth 1Y-1.41%
FCF growth 3Y2.44%
FCF growth 5YN/A
OCF growth 1Y-2.55%
OCF growth 3Y3.1%
OCF growth 5Y51.03%