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Asm International (ASMIY)
OTHER OTC:ASMIY
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ASM International
(OTC:ASMIY)
Select Model
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Rating:77Outperform
Price Target:
$777.00
▲(40.19% Upside)
ASM International's strong financial performance and positive earnings call outlook are the primary drivers of its overall score. The company's robust growth, profitability, and stability metrics, along with effective cash flow management, provide a solid foundation. Technical analysis indicates mixed momentum, while valuation metrics suggest the stock is priced at a premium. Despite some challenges highlighted in the earnings call, the long-term outlook remains positive.
Positive Factors
Revenue Growth
Consistent revenue growth indicates strong demand for ASM International's products and a solid market position, supporting long-term expansion.
Strong Gross Margin
Sustained high gross margins reflect efficient operations and pricing power, contributing to long-term profitability and competitive advantage.
Cash Flow Management
Strong cash flow generation enhances financial flexibility, enabling ASM International to invest in growth opportunities and withstand market fluctuations.
Negative Factors
Decrease in Orders
A decline in new orders could signal weakening demand, potentially impacting future revenue growth and market share if not addressed.
China Market Challenges
Challenges in the Chinese market, a key semiconductor hub, may hinder ASM's growth prospects and require strategic adjustments.
Export Controls Impact
Export restrictions can limit market access and sales, affecting ASM's ability to capitalize on global demand and expand its customer base.
ASM International (ASMIY) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$35.26B
Dividend Yield0.55%
Average Volume (3M)395.00
Price to Earnings (P/E)39.9
Beta (1Y)1.51
Revenue Growth21.38%
EPS Growth49.42%
CountryUS
Employees4,558
SectorTechnology
Sector Strength88
IndustrySemiconductors
Share Statistics
EPS (TTM)4.90
Shares Outstanding49,328,550
10 Day Avg. Volume0
30 Day Avg. Volume395
Financial Highlights & Ratios
PEG Ratio-4.94
Price to Book (P/B)7.20
Price to Sales (P/S)9.20
P/FCF Ratio50.63
Enterprise Value/Market Cap0.80
Enterprise Value/Revenue8.23
Enterprise Value/Gross Profit15.86
Enterprise Value/Ebitda18.46
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
ASM International Business Overview & Revenue Model
Company DescriptionASM International N.V. (ASMIY) is a leading supplier of equipment and materials used in the semiconductor manufacturing industry. The company specializes in the development and production of atomic layer deposition (ALD) and other advanced manufacturing technologies that enable the fabrication of semiconductors and microelectronics. ASM International operates primarily in the semiconductor sector and offers a range of products, including ALD systems, epitaxy systems, and other deposition technologies, aimed at enhancing the performance and efficiency of semiconductor devices.
How the Company Makes MoneyASM International generates revenue primarily through the sale of its semiconductor manufacturing equipment and systems, which are sold to foundries and integrated device manufacturers (IDMs) globally. The company's revenue model includes both product sales and ongoing service contracts, which provide maintenance, support, and upgrades for the equipment sold. Key revenue streams include the initial sale of ALD and epitaxy systems, as well as recurring revenue from service agreements and spare parts. Additionally, ASMIY benefits from strategic partnerships with major semiconductor manufacturers and technology companies, which facilitate collaboration on research and development initiatives, further driving growth and innovation in their product offerings.
ASM International Earnings Call Summary
Earnings Call Date:Oct 28, 2025
(Q3-2025)
| % Change Since: |
Next Earnings Date:Mar 03, 2026
Earnings Call Sentiment Neutral
The earnings call highlighted strong revenue growth and a robust gross margin, driven by increases in equipment sales and strategic wins in new areas. However, there were significant challenges, including a decline in order intake, market difficulties in China, and ongoing weakness in certain segments. Despite these challenges, the company maintains a positive long-term outlook with increased financial targets for 2030.Q3-2025 Updates
Positive Updates
Revenue Growth
Third quarter 2025 revenue reached EUR 800 million, up 8% year-on-year at constant currency, driven by a 10% increase in equipment sales.
Strong Gross Margin
Gross margin remained strong at 51.9%, up from 49.4% in the third quarter of last year.
Positive Cash Flow
Free cash flow amounted to EUR 239 million in Q3, excluding earn-outs, and EUR 628 million in the first nine months.
New Wins in Advanced Packaging
Recent new wins in Epi and ALD dipole and work function-related layers in DRAM HBM expected to ramp in 2026 and 2027.
Increased 2030 Financial Targets
ASM raised its gross margin target to 47%-51% and expects revenue to grow to more than EUR 5.7 billion by 2030.
Negative Updates
Decrease in Orders
New orders amounted to EUR 637 million, a decrease of 7% compared to the second quarter and the third quarter of last year.
China Market Challenges
Significant drop in bookings from China, with expected decline in sales from China in the second half compared to the first half.
Memory Sales Decline
Memory sales decreased compared to Q3 of last year, primarily due to reduced sales from Chinese customers.
Uncertainty in Power/Analog/Wafer Segment
Continued weak market conditions with no immediate signs of recovery in the power/analog/wafer segment.
Impact of Export Controls
Additional impact incurred from export restrictions announced earlier in the month, affecting sales projections.
Company Guidance
During the ASM International Third Quarter 2025 Earnings Call, the company provided guidance highlighting several key metrics and trends. Revenue for Q3 2025 reached EUR 800 million, reflecting an 8% year-on-year increase at constant currency, and was at the high end of their guidance range of flat to down 5%. The gross margin remained strong at 51.9%, up from 49.4% in the previous year, though it is expected to slightly decrease to around 51% for the full year due to a less favorable mix. For Q4 2025, ASM expects revenue between EUR 630 million and EUR 660 million, with full-year revenue growth anticipated to be close to 10% at constant currencies. SG&A expenses decreased by 10% year-on-year, and gross R&D was up by 10%, partially offset by higher capitalized development expenses. Looking forward, ASM projects revenue growth in 2026, driven by advanced logic/foundry and DRAM markets, despite a projected double-digit decline in China sales. The company aims for revenue to exceed EUR 5.7 billion by 2030, with a CAGR of at least 12% from 2024 to 2030, and has raised its gross margin target to 47%-51%.ASM International Financial Statement Overview
Summary
ASM International presents a robust financial profile with strong growth, profitability, and stability metrics. The company has achieved consistent revenue and profit growth, supported by high margins and efficient operations. Its balance sheet is characterized by low leverage and high equity, reducing financial risk. Additionally, the company demonstrates effective cash flow management, ensuring liquidity and operational flexibility. Overall, ASM International is well-positioned in the semiconductor industry with a solid financial foundation.Income Statement
ASM International has demonstrated strong revenue growth with a 4.79% increase in the TTM period. The company maintains impressive profitability metrics, with a gross profit margin of 51.86% and a net profit margin of 23.86%. The EBIT and EBITDA margins are also robust at 36.42% and 43.76%, respectively, indicating efficient operational management. The consistent revenue growth and high margins reflect a competitive position in the semiconductor industry.Balance Sheet
The balance sheet of ASM International is solid, characterized by a low debt-to-equity ratio of 0.0149, which suggests minimal leverage and financial risk. The return on equity (ROE) is strong at 21.15%, indicating effective use of equity capital to generate profits. The equity ratio stands at 73.15%, reflecting a stable financial structure with a significant portion of assets financed by equity. Overall, the company exhibits financial stability and low leverage risk.Cash Flow
ASM International's cash flow performance is commendable, with a 14.72% growth in free cash flow in the TTM period. The operating cash flow to net income ratio is slightly above 1, indicating healthy cash generation relative to net income. The free cash flow to net income ratio of 69.51% suggests efficient conversion of earnings into cash. The positive cash flow growth and strong cash conversion ratios highlight the company's ability to generate and manage cash effectively.| Breakdown | TTM | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 3.42B | 2.93B | 2.63B | 2.41B | 1.73B | 1.33B |
| Gross Profit | 1.77B | 1.48B | 1.27B | 1.14B | 828.13M | 623.57M |
| EBITDA | 1.52B | 990.54M | 834.57M | 594.06M | 667.76M | 393.79M |
| Net Income | 848.22M | 685.73M | 752.07M | 389.11M | 494.71M | 285.40M |
Balance Sheet | ||||||
| Total Assets | 6.16B | 5.16B | 4.23B | 3.75B | 2.71B | 2.23B |
| Cash, Cash Equivalents and Short-Term Investments | 1.27B | 926.00M | 637.26M | 419.31M | 491.51M | 435.23M |
| Total Debt | 67.33M | 35.26M | 33.56M | 28.12M | 23.46M | 6.22M |
| Total Liabilities | 1.65B | 1.41B | 999.92M | 1.00B | 469.33M | 375.21M |
| Stockholders Equity | 4.51B | 3.75B | 3.23B | 2.75B | 2.24B | 1.85B |
Cash Flow | ||||||
| Free Cash Flow | 865.23M | 532.92M | 418.18M | 333.01M | 223.79M | 101.56M |
| Operating Cash Flow | 1.23B | 897.65M | 735.89M | 541.49M | 380.64M | 264.35M |
| Investing Cash Flow | -526.57M | -349.97M | -289.04M | -474.88M | -114.40M | -144.31M |
| Financing Cash Flow | -335.71M | -301.03M | -236.05M | -132.60M | -240.26M | -170.45M |
ASM International Technical Analysis
Positive
554.24
Price Trends
615.43
Positive
592.40
Positive
560.10
Positive
Market Momentum
31.69
Negative
69.12
Neutral
82.26
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ASMIY, the sentiment is Positive. The current price of 554.24 is below the 20-day moving average (MA) of 640.05, below the 50-day MA of 615.43, and below the 200-day MA of 560.10, indicating a bullish trend. The MACD of 31.69 indicates Negative momentum. The RSI at 69.12 is Neutral, neither overbought nor oversold. The STOCH value of 82.26 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ASMIY.
ASM International Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
77 Outperform | $35.26B | 39.87 | 21.33% | 0.55% | 21.38% | 49.42% | |
73 Outperform | $25.01B | 76.67 | 3.87% | ― | -16.13% | -81.06% | |
69 Neutral | $37.49B | 33.95 | 11.17% | 2.29% | 8.01% | 10.41% | |
69 Neutral | $21.91B | 17.04 | 10.97% | 6.06% | 5.87% | -20.93% | |
63 Neutral | $22.08B | -478.30 | -0.38% | ― | 0.25% | -106.22% | |
61 Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% | |
60 Neutral | $25.68B | 50.70 | 3.00% | 1.28% | -17.33% | -76.71% |
* Technology Sector Average
ASMIY
ASM International
731.76
137.06
23.05%
ASX
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18.27
8.39
84.92%
ON
ON Semiconductor
58.75
2.88
5.15%
STM
STMicroelectronics
28.35
4.64
19.57%
UMC
United Micro
8.85
2.93
49.49%
GFS
GlobalFoundries Inc
39.89
-0.90
-2.21%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.