Ipg Photonics Intrinsic Value Calculator – Analysts Give IPG Photonics Co. a “Moderate Buy” Rating on Shares
November 14, 2024

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IPG ($NASDAQ:IPGP) Photonics Co. is a global leader in high-performance fiber lasers and amplifiers for diverse applications in the industrial, aerospace, and medical fields. With a strong focus on research and development, the company has established itself as a top player in the laser industry, providing cutting-edge solutions for various industries. Recently, IPG Photonics Co. has caught the attention of analysts, with a consensus of six analysts giving the stock a “Moderate Buy” rating. This rating indicates that the stock is expected to perform slightly better than the average market performance. This positive outlook is based on several factors, including the company’s financial performance, growth potential, and market trends. One of the key reasons for this “Moderate Buy” rating is IPG Photonics Co.’s strong financial performance. This is a clear indication of its stability and sustainability in the market.
Additionally, IPG Photonics Co. has a healthy balance sheet, with a strong cash position and low debt levels, giving it room for further growth and investment. Analysts also see great potential for growth in IPG Photonics Co.’s future. The company has a diverse portfolio of products, catering to various industries, which helps to mitigate risks and maintain a steady stream of revenue. Furthermore, its focus on research and development has led to continuous innovation and the introduction of new products, allowing it to stay ahead of the competition. Market trends also play a crucial role in the “Moderate Buy” rating for IPG Photonics Co. The demand for high-performance fiber lasers and amplifiers is on the rise, driven by the increasing adoption of advanced manufacturing technologies. With its strong product portfolio and global presence, IPG Photonics Co. is well-positioned to capitalize on this growing market demand. As it continues to innovate and expand its reach, the stock is likely to remain a top performer in the laser industry, making it an attractive investment opportunity for investors.
Market Price
On Friday, the stock of IPG PHOTONICS opened at $85.35 and closed at $83.86, representing a decline of 2.2% from the previous day’s closing price of $85.75. This drop in stock price may have been influenced by various factors, including market conditions and investor sentiment. This suggests that while there may be some short-term volatility, the company’s long-term growth prospects are still favorable. One factor contributing to the positive outlook for IPG PHOTONICS is its strong financial performance. This indicates that IPG PHOTONICS is successfully executing its growth strategy and generating solid returns for its investors. With an expanding global demand for these products, the company is well-positioned to capitalize on this growing market and continue its strong growth trajectory. Of course, no investment comes without risks, and IPG PHOTONICS is not immune to them. The company operates in a highly competitive industry where technological advancements and pricing pressures can significantly impact its performance.
Additionally, as a global company, it is exposed to geopolitical and economic uncertainties that could affect its operations and financial results. In summary, while there are potential risks to consider, analysts overall give IPG PHOTONICS a positive rating based on its financial performance and market position. As always, it is essential to conduct thorough research and consult with a financial advisor before making any investment decisions. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Ipg Photonics. More…
| Total Revenues | Net Income | Net Margin |
| 1.29k | 218.88 | 17.0% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Ipg Photonics. More…
| Operations | Investing | Financing |
| 295.99 | -237.55 | -236.38 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Ipg Photonics. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 2.7k | 283.51 | 52.14 |
Key Ratios Snapshot
Some of the financial key ratios for Ipg Photonics are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 2.4% | 0.0% | 18.0% |
| FCF Margin | ROE | ROA |
| 14.4% | 6.0% | 5.4% |
Analysis – Ipg Photonics Intrinsic Value Calculator
After conducting a thorough analysis of IPG PHOTONICS‘s financial health, GoodWhale has determined that the company is currently undervalued by 36.9%. Our team has calculated a fair value of $132.9 for IPG PHOTONICS shares using our proprietary Valuation Line. This valuation takes into account various factors such as the company’s financial performance, market trends, and industry competition. One of the key highlights of our analysis is the significant gap between IPG PHOTONICS’s current stock price of $83.86 and our calculated fair value. This indicates that there is potential for investors to purchase IPG PHOTONICS shares at a discounted price. We believe that this undervaluation presents an attractive opportunity for investors to enter the market and potentially see a profitable return on their investment in the future. Furthermore, our analysis also shows that IPG PHOTONICS has a strong overall financial well-being. The company has demonstrated consistent revenue growth and profitability, which is a positive sign for investors. Additionally, IPG PHOTONICS has a strong competitive position in the photonics industry, with innovative technology and a global presence. In conclusion, GoodWhale believes that IPG PHOTONICS is a solid investment opportunity for those looking to enter the market or expand their portfolio. With its undervalued stock price and strong financial health, the company has the potential to generate significant returns for investors in the long run. More…

Peers
Its main competitors are SUMCO Corp, AXT Inc, and Entegris Inc.
– SUMCO Corp ($TSE:3436)
SUMCO Corp is a Japanese manufacturer of silicon wafers for the semiconductor industry. The company has a market cap of 642.21B as of 2022 and a Return on Equity of 10.27%. SUMCO is the world’s second largest manufacturer of silicon wafers, behind only Shin-Etsu Chemical. The company has a strong presence in Asia, North America, and Europe.
– AXT Inc ($NASDAQ:AXTI)
AXT is a global manufacturer of compound semiconductor substrates. The company’s products are used in a variety of electronic and optoelectronic applications, including mobile devices, data centers, and communications infrastructure. AXT’s products are also used in a variety of other industries, including automotive, aerospace, and defense.
AXT’s market cap is $186.88M as of 2022. The company has a return on equity of 4.5%.
AXT is a global manufacturer of compound semiconductor substrates. The company’s products are used in a variety of electronic and optoelectronic applications, including mobile devices, data centers, and communications infrastructure. AXT’s products are also used in a variety of other industries, including automotive, aerospace, and defense.
– Entegris Inc ($NASDAQ:ENTG)
Found in 1980, Entegris is a company that specializes in providing materials and solutions for advanced manufacturing processes in the semiconductor and other high-tech industries. Headquartered in Billerica, Massachusetts, Entegris has over 4,000 employees in research, development, manufacturing, and customer service positions across the globe. The company’s products and services are used by customers in over 50 countries.
As of 2022, Entegris has a market capitalization of 11.31 billion dollars and a return on equity of 27.61%. The company’s products and services are essential to the manufacture of semiconductors and other high-tech products. Entegris is a well-established company with a long history of success.
Summary
IPG Photonics Co. has been given a “Moderate Buy” recommendation by six analysts. This suggests that the stock is expected to perform well in the future, but may not be a top performer. It is important for investors to carefully consider this information before making any investment decisions.
While the overall consensus is positive, it is still recommended to conduct further research and analysis on IPG Photonics Co. before making any investment decisions. Factors such as market trends, financial performance, and industry competition should also be considered in order to make an informed investment decision.
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