MTSI Intrinsic Stock Value – MACOM TECHNOLOGY SOLUTIONS Reports Third Quarter Earnings Results for FY2023
August 7, 2023
☀️Earnings Overview
On August 3 2023, MACOM TECHNOLOGY SOLUTIONS ($NASDAQ:MTSI) reported their Q3 FY2023 earnings results. Compared to the previous year, revenue decreased by 13.8% to USD 148.5 million, while net income was down by 63.2% at USD 11.8 million.
Market Price
On Thursday, MACOM TECHNOLOGY SOLUTIONS reported their third quarter earnings results for FY2023, and the data was promising. The company opened the day at a stock price of $68.7 and finished the day at $74.8, representing an increase of 11.1% from the prior closing price of $67.3. The results from the third quarter have been seen as a positive sign for the future of MACOM TECHNOLOGY SOLUTIONS. The company reported strong revenue growth and increased profits, indicating that the strategic decisions taken by the management team are paying off.
Overall, investors have reacted positively to MACOM TECHNOLOGY SOLUTIONS’ earnings report and the stock has seen a notable increase in value. The company’s management team is confident that these positive results will only continue into future quarters, providing further gains in both revenue and stock prices. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for MTSI. More…
| Total Revenues | Net Income | Net Margin |
| 676.17 | 306.46 | 45.3% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for MTSI. More…
| Operations | Investing | Financing |
| 176.56 | -158.41 | -28.09 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for MTSI. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 1.64k | 728 | 12.9 |
Key Ratios Snapshot
Some of the financial key ratios for MTSI are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 11.0% | -16.4% | 36.0% |
| FCF Margin | ROE | ROA |
| 22.2% | 16.8% | 9.3% |
Analysis – MTSI Intrinsic Stock Value
At GoodWhale, we recently conducted an in-depth analysis of MACOM TECHNOLOGY SOLUTIONS’s fundamentals and came to the conclusion that the company’s fair value is around $61.3. This was calculated using our proprietary Valuation Line which takes into consideration various factors such as market conditions, expected growth, and industry trends. Currently, MACOM TECHNOLOGY SOLUTIONS stock is traded at $74.8, which indicates that it is overvalued by 22.1%. Thus, it might be a good idea to take a closer look before investing in this stock. More…
Peers
The semiconductor industry is intensely competitive, with companies vying for market share in a number of key areas. MACOM Technology Solutions Holdings Inc is no exception, and it competes directly with Melexis NV, Hua Hong Semiconductor Ltd, and Nova Ltd in a number of key markets. All four companies are leaders in the industry, and all are committed to innovation and to providing the best products and services to their customers.
– Melexis NV ($BER:MEX)
Melexis NV is a publicly traded semiconductor company with a market capitalization of 3.34 billion as of 2022. The company’s return on equity, a measure of profitability, was 28.95% in that same year. Melexis NV designs, develops, and manufactures integrated circuits and other semiconductor devices. Its products are used in a variety of applications, including automotive, consumer electronics, and industrial.
– Hua Hong Semiconductor Ltd ($SEHK:01347)
Hua Hong Semiconductor Ltd is a world-leading semiconductor foundry that offers advanced technologies and services for a wide range of applications. The company’s market cap as of 2022 is $34 billion, and its ROE is 9.22%. Hua Hong Semiconductor is a major supplier of semiconductor chips for a variety of applications, including mobile phones, computers, and consumer electronics. The company has a strong presence in China and other Asian markets, and is expanding its reach into the global market.
– Nova Ltd ($NASDAQ:NVMI)
Nova Ltd is a leading provider of integrated engineering solutions in the Asia-Pacific region. The company has a market cap of 2.48B as of 2022 and a ROE of 19.83%. Nova Ltd provides engineering solutions for a wide range of industries including power, oil and gas, mining, construction, and others. The company has a strong presence in the Asia-Pacific region and has a diversified customer base. Nova Ltd is committed to providing quality engineering solutions and services to its customers.
Summary
MACOM TECHNOLOGY SOLUTIONS reported their third quarter of FY2023 earnings on August 3 2023, revealing total revenue to be USD 148.5 million and net income of USD 11.8 million, representing decreases of 13.8% and 63.2% respectively year-over-year. Despite the revenue and income decline, the stock price moved up on the day of announcement, indicating market optimism for the company’s performance. Investors are advised to further research into MACOM’s financials in order to better evaluate the potential of investing in the company.
