Axcelis Technologies (ACLS) AI Stock Analysis

• Market Cap: $2.58B
• Dividend Yield: N/A
• Average Volume (3M): 712.78K
• Price to Earnings (P/E): 17.0
• Beta (1Y): 1.71
• Revenue Growth: -19.38%
• EPS Growth: -33.03%
• Country: US
• Employees: 1,524
• Sector: Technology
• Sector Strength: 88
• Industry: Semiconductors
• EPS (TTM): 1.13
• Shares Outstanding: 30,997,551
• 10 Day Avg. Volume: 548,248
• 30 Day Avg. Volume: 712,781
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 0.68
• Enterprise Value/Revenue: 1.95
• Enterprise Value/Gross Profit: 4.33
• Enterprise Value/Ebitda: 8.52
• 1Y Price Target: $97.00
• Price Target Upside: 16.52% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 7

• Rating: 74 Outperform
• Price Target: $91.00 ▲(9.31% Upside)

Axcelis Technologies demonstrates strong financial performance and strategic execution, with robust profitability and efficient cost management. The technical indicators suggest potential short-term weakness, but the company's reasonable valuation and positive earnings call outlook support a solid overall score. The main risks include declining bookings and market softness, particularly in the memory segment.

Positive Factors

Cash Flow Management

Axcelis Technologies demonstrates robust cash flow management, indicating strong cash generation capabilities, which supports long-term operational stability and investment flexibility.

Market Leadership

Leadership in high-energy ion implantation positions Axcelis well for capturing demand in next-generation semiconductor architectures, ensuring sustained competitive advantage.

Strong Balance Sheet

A strong balance sheet with significant cash reserves enhances Axcelis's ability to invest in growth opportunities and weather economic uncertainties, supporting long-term resilience.

Negative Factors

Decline in Revenue Growth

The decline in revenue growth suggests challenges in maintaining sales momentum, potentially impacting future profitability and market share if not addressed.

Decline in Bookings

A decline in bookings reflects ongoing market softness, which could lead to reduced future revenues and pressure on maintaining current production levels.

Muted Memory Market

Continued softness in the memory market may limit growth opportunities for Axcelis, affecting its ability to capitalize on this segment's potential demand.

Axcelis Technologies Business Overview & Revenue Model

Company Description

Axcelis Technologies (ACLS) is a leading provider of innovative ion implantation and other equipment solutions for the semiconductor industry. The company specializes in the design, manufacture, and service of advanced semiconductor processing equipment, primarily focusing on ion implantation systems that are critical for the production of integrated circuits. Axcelis serves a diverse range of customers, including major semiconductor manufacturers, and is known for its commitment to technology leadership and customer support.

How the Company Makes Money

Axcelis Technologies generates revenue primarily through the sale of its semiconductor manufacturing equipment, particularly ion implantation systems. The company offers a range of products, including high-energy and low-energy ion implanters, which are essential for various semiconductor fabrication processes. In addition to equipment sales, Axcelis also earns money from aftermarket services, including maintenance, spare parts, and upgrades, which provide a recurring revenue stream. Strategic partnerships with leading semiconductor manufacturers and technology collaborations further enhance its market position and contribute to its earnings. The company's ability to innovate and adapt to the evolving needs of the semiconductor market is a critical factor in its revenue generation.

Axcelis Technologies Financial Statement Overview

Summary

Axcelis Technologies presents a strong financial position with solid profitability, efficient leverage management, and robust cash flow generation. The recent decline in revenue growth is a concern, but the company continues to maintain healthy margins and a strong balance sheet.

Income Statement

Axcelis Technologies shows strong profitability with a consistent gross profit margin around 44-45% over the years. However, the recent TTM data indicates a decline in revenue growth rate by 6.47%, which is a concern. Despite this, the company maintains a healthy net profit margin of 17.69% in TTM, showcasing efficient cost management. The EBIT and EBITDA margins have slightly decreased in TTM compared to previous years, indicating some pressure on operational efficiency.

Balance Sheet

The company maintains a low debt-to-equity ratio, indicating prudent financial leverage management. The return on equity, although slightly decreased in TTM to 15.70%, remains strong, reflecting effective use of shareholder funds. The equity ratio is stable, suggesting a solid financial structure with a good proportion of assets financed by equity.

Cash Flow

Axcelis Technologies demonstrates robust cash flow management with a high free cash flow to net income ratio of 95.66% in TTM. The free cash flow growth rate has rebounded positively in TTM after a decline in the previous year, indicating improved cash generation capabilities. However, the operating cash flow to net income ratio is slightly below 1, suggesting room for improvement in converting income into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	896.09M	1.02B	1.13B	920.00M	662.43M	474.56M
Gross Profit	402.30M	454.65M	491.30M	401.79M	286.44M	198.58M
EBITDA	204.59M	251.54M	297.01M	222.07M	136.08M	71.04M
Net Income	158.49M	200.99M	246.26M	183.08M	98.65M	49.98M
Balance Sheet
Total Assets	1.32B	1.35B	1.28B	1.01B	753.24M	624.62M
Cash, Cash Equivalents and Short-Term Investments	549.84M	571.34M	506.15M	432.17M	294.92M	203.48M
Total Debt	43.00M	73.47M	75.89M	58.71M	56.47M	52.67M
Total Liabilities	301.10M	335.99M	417.08M	346.38M	214.28M	143.02M
Stockholders Equity	1.02B	1.01B	864.88M	667.26M	538.96M	481.60M
Cash Flow
Free Cash Flow	130.07M	128.64M	136.21M	204.92M	141.47M	62.27M
Operating Cash Flow	138.05M	140.82M	156.87M	215.61M	150.19M	69.70M
Investing Cash Flow	-11.58M	-108.73M	-100.86M	-257.25M	-8.72M	-7.27M
Financing Cash Flow	-97.63M	-71.19M	-68.27M	-65.48M	-52.45M	-2.39M

Axcelis Technologies Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 83.25
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ACLS, the sentiment is Neutral. The current price of 83.25 is below the 20-day moving average (MA) of 85.29, below the 50-day MA of 85.93, and above the 200-day MA of 68.65, indicating a neutral trend. The MACD of -1.38 indicates Positive momentum. The RSI at 45.22 is Neutral, neither overbought nor oversold. The STOCH value of 62.45 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for ACLS.

Axcelis Technologies Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FORM	―	$3.33B	77.79	4.53%	―	8.30%	-63.69%
ACLS	―	$2.58B	17.02	16.19%	―	-19.38%	-33.03%
DIOD	―	$2.65B	41.33	3.49%	―	2.86%	-34.32%
SIMO	―	$3.37B	41.72	10.16%	1.93%	-0.29%	1.47%
Sector *	―	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
IPGP	―	$3.66B	-17.77	-9.89%	―	-14.77%	-261.91%
POWI	―	$2.41B	73.03	4.68%	1.95%	7.16%	-21.24%

Axcelis Technologies Corporate Events

Axcelis Technologies Announces Merger with Veeco Instruments

On September 30, 2025, Axcelis Technologies entered into a merger agreement with Veeco Instruments, aiming to create a leading semiconductor equipment company. This merger is expected to impact the companies’ market positioning and operations, with potential benefits including synergies and growth opportunities, although it is subject to regulatory approvals and other conditions.

The most recent analyst rating on (ACLS) stock is a Buy with a $92.00 price target. To see the full list of analyst forecasts on Axcelis Technologies stock, see the ACLS Stock Forecast page.

Axcelis Technologies Announces Merger with Veeco Instruments

On September 30, 2025, Axcelis Technologies and Veeco Instruments entered into a merger agreement, with Axcelis acquiring Veeco to form a leading semiconductor equipment company. The merger, expected to close in 2026, aims to diversify the technology portfolio, expand market opportunities, and achieve cost synergies, with Axcelis shareholders owning approximately 58% of the combined entity. The merger is anticipated to enhance R&D capabilities and be accretive to non-GAAP earnings per share within the first year post-closing, benefiting stakeholders with a stronger market position and growth potential.

The most recent analyst rating on (ACLS) stock is a Buy with a $92.00 price target. To see the full list of analyst forecasts on Axcelis Technologies stock, see the ACLS Stock Forecast page.

Axcelis Leadership’s Inactivity on Securities Plans Raises Investor Concerns

During the quarter ending June 30, 2025, Axcelis did not see any of its directors or officers engage in adopting or terminating contracts or plans related to the purchase or sale of its securities under Rule 10b5-1(c) of the Exchange Act. This lack of activity could be perceived as a risk factor, as it might indicate a cautious or uncertain stance from the company’s leadership regarding the future performance of Axcelis securities. Investors may interpret this as a sign of potential instability or lack of confidence in the company’s strategic direction. Such perceptions could influence market sentiment and impact Axcelis’s stock performance adversely.

Axcelis Technologies Q2 2025 Earnings Call Highlights

The recent earnings call for Axcelis Technologies presented a mixed outlook for the company. While the firm exceeded revenue and earnings expectations, challenges in the memory and general mature segments, along with a decline in bookings, tempered the overall sentiment. However, the company’s strong cash flow and share repurchases provided a positive note, indicating a balanced perspective on future growth.

Axcelis Technologies Reports Strong Q2 2025 Results

Axcelis Technologies, Inc., based in Beverly, Massachusetts, is a prominent player in the semiconductor industry, specializing in the design and manufacture of ion implantation systems, a critical component in integrated circuit manufacturing.