ACM Research Inc (ACMR, Financial), a leading player in the semiconductors industry, has seen a significant surge in its stock price over the past three months. With a current market cap of $1.11 billion and a stock price of $18.52, the company's stock has experienced a 35.97% increase over the past quarter, despite a slight dip of 2.15% in the past week. This article aims to provide an in-depth analysis of ACMR's stock performance, profitability, growth, and competitive landscape.
Stock Performance Analysis
ACMR's stock performance has been impressive, with a significant 35.97% increase over the past three months. However, the stock has seen a slight dip of 2.15% over the past week. According to the GF Value, a measure defined by GuruFocus.com that calculates a stock's intrinsic value using historical multiples, past performance adjustments, and future business estimates, ACMR is currently significantly undervalued with a GF Value of $56.98. This is a notable change from the past GF Value of $64.6, which indicated a possible value trap.
Company Overview
ACM Research Inc is a US-based company engaged in developing, manufacturing, and selling single-wafer wet cleaning equipment. This equipment is used by semiconductor manufacturers in numerous manufacturing steps to remove particles, contaminants, and other random defects to improve product yield in fabricating integrated circuits, or chips. The company's innovative solutions have positioned it as a key player in the semiconductors industry.
Profitability Analysis
ACMR's Profitability Rank stands at 8/10, indicating a high level of profitability. The company's Operating Margin of 19.00% is better than 80.19% of companies in the industry. Similarly, its ROE of 9.95%, ROA of 5.49%, and ROIC of 9.78% are all better than the majority of companies in the industry. Over the past 10 years, ACMR has been profitable for 7 years, which is better than 50.73% of companies.
Growth Analysis
ACMR's Growth Rank is 10/10, indicating strong growth. The company's 3-year and 5-year revenue growth rates per share are 47.00% and 31.10% respectively, both of which are better than the majority of companies in the industry. The future 3-year to 5-year total revenue growth rate estimate is 26.79%, which is also better than 91.03% of companies. Furthermore, the company's 3-year EPS without NRI growth rate is better than 44.56% of companies.
Major Stock Holders
The top two holders of ACMR's stock are HOTCHKIS & WILEY, holding 911,210 shares or 1.52% of the company, and Steven Cohen (Trades, Portfolio), holding 10,100 shares or 0.02% of the company.
Competitive Landscape
ACMR's main competitors in the semiconductors industry are Ichor Holdings Ltd (ICHR, Financial) with a market cap of $872.893 million, Indie Semiconductor Inc (INDI, Financial) with a market cap of $858.197 million, and Veeco Instruments Inc (VECO, Financial) with a market cap of $1.55 billion.
Conclusion
In conclusion, ACM Research Inc's impressive stock performance, high profitability, strong growth, and competitive position in the semiconductors industry make it a compelling investment. Despite the recent dip, the stock's significant undervaluation according to the GF Value suggests potential for further growth. Investors should keep a close eye on this promising company.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
