Axcelis Technologies (ACLS) AI Stock Analysis

• Market Cap: $2.35B
• Dividend Yield: N/A
• Average Volume (3M): 456.49K
• Price to Earnings (P/E): 13.4
• Beta (1Y): 1.72
• Revenue Growth: -15.14%
• EPS Growth: -28.30%
• Country: US
• Employees: 1,524
• Sector: Technology
• Sector Strength: 95
• Industry: Semiconductors
• EPS (TTM): 1.04
• Shares Outstanding: 32,129,540
• 10 Day Avg. Volume: 439,462
• 30 Day Avg. Volume: 456,489
• PEG Ratio: -1.16
• Price to Book (P/B): 2.24
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 17.59
• Enterprise Value/Market Cap: 0.92
• Enterprise Value/Revenue: 0.52
• Enterprise Value/Gross Profit: 5.07
• Enterprise Value/Ebitda: 2.22
• 1Y Price Target: $74.33
• Price Target Upside: 1.98% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 7

• Rating: 84 Outperform
• Price Target: $88.00 ▲(20.73%Upside)

Axcelis Technologies scores highly due to its robust financial performance and positive earnings call outcomes. Strong financial health, coupled with reasonable valuation and positive technical indicators, support the company’s favorable position in the semiconductor industry. While nearing overbought levels technically, the company’s clear growth strategy and financial transparency enhance its attractiveness to investors.

Positive Factors

Earnings

Axcelis posted upside results driven by higher than anticipated margins and sales.

Financial Performance

Axcelis's net GAAP income of $0.88 per diluted share beat investor expectations by $0.50 per diluted share.

Negative Factors

Market Exposure

Axcelis has little exposure to AI and advanced nodes that are in control of the semi sector while the bottom in power semis is still being debated.

Revenue Guidance

Axcelis guided to lower margins, sales, and earnings in the June quarter and sees a flatish second half.

Axcelis Technologies Business Overview & Revenue Model

Company Description

Axcelis Technologies, Inc. designs, manufactures, and services ion implantation and other processing equipment used in the fabrication of semiconductor chips in the United States, Europe, and Asia. The company offers high energy, high current, and medium current implanters for various application requirements. It also provides aftermarket lifecycle products and services, including used tools, spare parts, equipment upgrades, maintenance services, and customer training. It sells its equipment and services to semiconductor chip manufacturers through its direct sales force. The company was founded in 1978 and is headquartered in Beverly, Massachusetts.

How the Company Makes Money

Axcelis Technologies generates revenue primarily through the sale of its semiconductor processing equipment, particularly its ion implantation systems. These systems are essential for doping processes in semiconductor manufacturing. The company's revenue streams include equipment sales, aftermarket services such as maintenance and spare parts, and customer support. Axcelis also benefits from strategic partnerships with semiconductor manufacturers and maintains a competitive edge through continuous innovation and technological advancements. The company's earnings are influenced by global semiconductor demand, technological trends, and its ability to maintain long-term relationships with key clients in the semiconductor industry.

Axcelis Technologies Financial Statement Overview

Summary

Axcelis Technologies exhibits strong financial health across all key areas. The income statement highlights impressive growth and profitability, supported by efficient operations. The balance sheet is robust with low leverage and high equity, providing financial stability. Cash flows are stable and strong, indicating effective cash management. Collectively, these factors position the company well within the semiconductor industry, with excellent growth prospects and financial resilience.

Income Statement

Axcelis Technologies has demonstrated strong revenue growth over the years, with a significant increase in total revenue from $474.56M in 2020 to $958.06M in TTM (Trailing-Twelve-Months). The gross profit margin for TTM is 44.6%, indicating efficient cost management. Net profit margin stands at an impressive 18.6%, showcasing robust profitability. EBIT and EBITDA margins are healthy at 19.1% and 21.6%, respectively. The consistent upward trajectory in earnings and margins suggests a strong competitive position in the semiconductor industry.

Balance Sheet

The balance sheet reflects a solid financial structure, with a low debt-to-equity ratio of 0.042, indicating low leverage and financial risk. Return on equity (ROE) is strong at 17.3% for TTM, reflecting efficient use of equity capital. The equity ratio is 76.6%, showing a high proportion of equity financing, which enhances financial stability. Overall, the company maintains a strong balance sheet with ample liquidity and low debt levels.

Cash Flow

Operating cash flow to net income ratio is 0.78, indicating robust cash generation relative to earnings. Free cash flow grew slightly from $128.64M in 2024 to $130.39M in TTM, reflecting stable cash flow generation. The free cash flow to net income ratio is 0.73, suggesting good cash conversion efficiency. The company's cash flow profile is solid, supporting ongoing operations and potential growth initiatives.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.02B	1.13B	920.00M	662.43M	474.56M
Gross Profit	454.65M	491.30M	401.79M	286.44M	198.58M
EBITDA	251.54M	297.01M	222.07M	136.08M	71.04M
Net Income	200.99M	246.26M	183.08M	98.65M	49.98M
Balance Sheet
Total Assets	1.35B	1.28B	1.01B	753.24M	624.62M
Cash, Cash Equivalents and Short-Term Investments	571.34M	506.15M	432.17M	294.92M	203.48M
Total Debt	43.67M	45.19M	46.41M	47.39M	48.15M
Total Liabilities	335.99M	417.08M	346.38M	214.28M	143.02M
Stockholders Equity	1.01B	864.88M	667.26M	538.96M	481.60M
Cash Flow
Free Cash Flow	128.64M	136.21M	204.92M	141.47M	62.27M
Operating Cash Flow	140.82M	156.87M	215.61M	150.19M	69.70M
Investing Cash Flow	-108.73M	-100.86M	-257.25M	-8.72M	-7.27M
Financing Cash Flow	-71.19M	-68.27M	-65.48M	-52.45M	-2.39M

Axcelis Technologies Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 72.89
• 50DMA: Positive
• 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 72.89 is below the 20-day moving average (MA) of 73.28, above the 50-day MA of 67.97, and above the 200-day MA of 67.42, indicating a neutral trend. The MACD of 1.55 indicates Positive momentum. The RSI at 53.68 is Neutral, neither overbought nor oversold. The STOCH value of 51.99 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
ACLS	84 Outperform	$2.35B	13.35	18.45%	―	-15.14%	-28.30%
ACMR	80 Outperform	$2.04B	20.26	12.21%	―	26.21%	17.34%
PLAB	73 Outperform	$1.27B	11.13	11.23%	―	-3.19%	-11.06%
FORM	73 Outperform	$2.70B	50.15	4.53%	―	8.30%	-63.69%
VECO	71 Outperform	$1.30B	20.44	8.68%	―	3.30%	―
Sector *	62 Neutral	$34.85B	5.63	-12.19%	2.01%	5.91%	-17.91%
KLIC	62 Neutral	$1.84B	96.43	2.29%	2.31%	-6.17%	―

Axcelis Technologies Corporate Events

Axcelis Technologies Approves Equity Plan Amendment at Annual Meeting

At the 2025 annual meeting held on May 7, Axcelis Technologies‘ stockholders approved an amendment to the 2012 Equity Incentive Plan, increasing the number of shares reserved for future issuance by 3,000,000. Additionally, the board fixed its size at eight members and appointed Jorge Titinger as the Non-Executive Chairperson. The meeting also ratified the appointment of Ernst & Young LLP as independent auditors and approved the executive compensation for 2024.