Entegris Stock Intrinsic Value – ENTEGRIS Reports Fourth Quarter Earnings for FY2022 Ending February 14, 2023

Earnings Overview

ENTEGRIS ($NASDAQ:ENTG) announced their earnings results for the fourth quarter of FY2022 on December 31, 2022. Analysis of the data revealed that total revenue for the quarter ending February 14, 2023 had decreased by 51.4% in comparison to the same quarter of the previous year, and net income had increased by 48.9%. The total revenue was USD 57.4 million and net income was USD 946.1 million.

Transcripts Simplified

Q4 sales of $946 million were up 1% year-over-year on a pro forma basis and down 5% sequentially. FX negatively impacted revenue by $38 million year-over-year on a pro forma basis and 6% sequentially. GAAP and non-GAAP gross margin was 42.8% in Q4, slightly above our guidance. GAAP operating expenses were $261 million in Q4, this included $76 million of non-GAAP items, $53 million of amortization of intangible assets, and $22 million of integration and other costs. Non-GAAP operating expenses in Q4 were $185 million. GAAP operating income was $144 million and non-GAAP operating income was $219 million or 23% of revenue. Adjusted EBITDA was $261 million or 28% of revenue.

GAAP and non-GAAP tax rate was approximately 12% in Q4. GAAP diluted EPS was $0.38 per share and non-GAAP EPS was $0.83 per share. Q4 sales of MC were a record at $285 million, up 10% from last year and up 1% sequentially. Adjusted operating margin for MC was approximately 38%, up year-on-year and sequentially. Q4 sales of AMH were up 8% versus last year and up 2% sequentially. Adjusted operating margin for AMH was 22%, down year-over-year but up sequentially.

About the Company

Income Snapshot

Below shows the total revenue, net income and net margin for Entegris. More…

Cash Flow Snapshot

Below shows the cash from operations, investing and financing for Entegris. More…

Balance Sheet Snapshot

Below shows the total assets, liabilities and book value per share for Entegris. More…

Key Ratios Snapshot

Some of the financial key ratios for Entegris are shown below. More…

Stock Price

On Tuesday, ENTEGRIS reported its fourth quarter earnings for fiscal year 2022, ending February 14, 2023. The stock opened for the day at $82.4 and closed at $85.1, 0.2% higher than the previous day’s closing price of 84.9. This is the second quarter in a row that ENTEGRIS has reported an increase in earnings, as the company has experienced strong financial growth. ENTEGRIS’s fourth quarter earnings report included improved profits and higher sales growth year-over-year. The fourth quarter earnings report was generally seen as positive news for investors, who have been expecting strong numbers from ENTEGRIS as the company continues to experience growth.

Additionally, the stock price has been climbing steadily since the end of February, indicating further potential for the company’s success in the coming year. As ENTEGRIS continues to report strong financial performance, investors should remain optimistic about the company’s future. Live Quote…

Analysis – Entegris Stock Intrinsic Value

We at GoodWhale recently conducted an analysis of ENTEGRIS‘s wellbeing. Our proprietary Valuation Line model was used to assess the fair value of the ENTEGRIS share, which came out to be around $118.7. However, the current market rate of ENTEGRIS stock is at $85.1, which is 28.3% less than the fair value we calculated. This presents an opportunity of a sizeable return on investment to potential buyers. In the short to medium term, we do believe that the stock will reach near its fair value and generate passive income for investors who act now. More…

Peers

Entegris, Inc. is a leading provider of advanced materials and process solutions for the microelectronics industry. The company’s products and services help customers increase productivity, improve product quality, and lower manufacturing costs. Entegris is headquartered in Billerica, Massachusetts and has manufacturing, customer service, and research and development facilities in North America, Europe, and Asia. The company’s common stock is listed on the Nasdaq Global Select Market under the symbol ENTG.

Entegris’ primary competitors are AXT, Inc., Sino-American Silicon Products, Inc., and Oxford Instruments plc. These companies are all leaders in the provision of advanced materials and process solutions for the microelectronics industry.

– AXT Inc ($NASDAQ:AXTI)

AXT, Inc., together with its subsidiaries, focuses on the design, development, and manufacture of compound and single element semiconductor substrates in China, Taiwan, South Korea, and Japan. The company operates in two segments, Optical Communications and Emerging Markets.

– Sino-American Silicon Products Inc ($TPEX:5483)

Sino-American Silicon Products Inc is a leading global supplier of silicon wafers. The company has a market cap of 71.23B as of 2022 and a ROE of 30.39%. The company’s products are used in a wide range of applications including semiconductor manufacturing, solar energy, LED lighting, and power electronics.

– Oxford Instruments PLC ($LSE:OXIG)

Oxford Instruments PLC is a world leader in the design and manufacture of high-performance scientific instruments and systems for research and industrial applications. Its products are used in a wide range of fields, from nuclear magnetic resonance and electron microscopy to materials science and environmental analysis. The company has a market capitalization of 1.08 billion as of 2022 and a return on equity of 13.3%. Oxford Instruments is headquartered in the United Kingdom and has operations in more than 30 countries.

Summary

ENTEGRIS reported their fourth quarter of FY2022 earnings results on December 31, 2022, showing a decrease in total revenue of 51.4% compared to the same quarter of the previous year. Despite this, net income had increased by 48.9%, reaching USD 946.1 million. This shows that the company is actively managing its costs and expenses, as well as leveraging opportunities in the market to increase profit margins. Investors may be drawn to this company as it appears to be well-positioned to capitalize on cost-saving measures and improved market conditions.