ASM International (ASMIY) AI Stock Analysis

• Market Cap: $41.13B
• Dividend Yield: 0.55%
• Average Volume (3M): 395.00
• Price to Earnings (P/E): 46.2
• Beta (1Y): 1.44
• Revenue Growth: 21.38%
• EPS Growth: 49.42%
• Country: US
• Employees: 4,558
• Sector: Technology
• Sector Strength: 88
• Industry: Semiconductors
• EPS (TTM): 4.90
• Shares Outstanding: 49,328,550
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 395
• PEG Ratio: -4.94
• Price to Book (P/B): 7.20
• Price to Sales (P/S): 9.20
• P/FCF Ratio: 50.63
• Enterprise Value/Market Cap: 0.83
• Enterprise Value/Revenue: 10.38
• Enterprise Value/Gross Profit: 20.02
• Enterprise Value/Ebitda: 23.73
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 76 Outperform
• Price Target: $904.00 ▲(63.11% Upside)
• Action: Reiterated Date: 01/18/26
• Date: Action: Reiterated 01/18/26

The score is driven primarily by strong financial performance (high margins, low leverage, and growing free cash flow). Earnings call commentary supports a positive long-term outlook but flags near-term demand/order and China-related risks. Technicals are strong but appear overextended, while valuation is the main headwind due to a high P/E and low dividend yield.

Positive Factors

High Profitability

Sustained high gross and net margins indicate durable pricing power and differentiated technology (ALD/epitaxy). Robust margins support reinvestment in R&D, absorb cyclical downturns, and enable consistent internal funding for product development and long-term competitiveness.

Very Low Leverage

Extremely low leverage and a high equity ratio provide financial flexibility to fund capex, M&A or R&D without stressing liquidity. This reduces refinancing and covenant risk, making the company better positioned to weather semiconductor cycle volatility over the next several years.

Strong Cash Generation

Consistent FCF growth and healthy cash conversion underpin sustainable internal funding for product development and shareholder returns. Reliable cash generation also supports resilience through downturns and enables strategic investments to extend competitive advantages in equipment and services.

Negative Factors

China Market Weakness

A substantial decline in China bookings represents a structural revenue risk given China's size in semiconductor demand. Export controls and reduced Chinese customer spending can permanently reduce addressable market share and delay product ramps, pressuring multi-year growth trajectories.

Order Intake Softness

A sustained drop in order intake signals lower near-term demand visibility and potential underutilization of production capacity. If persistent, weaker bookings can compress future revenue and margin scalability, complicating investment planning and the delivery of raised long-term targets.

End-market Concentration Risk

Declines in memory-related sales and ongoing weakness in power/analog/wafer segments highlight exposure to cyclical end-markets. Heavy reliance on memory and select segments increases revenue volatility and may delay commercialization of new product wins in advanced logic and DRAM.

ASM International Business Overview & Revenue Model

Company Description

ASM International NV, together with its subsidiaries, engages in the research, development, manufacture, marketing, and servicing of equipment and materials that are used to produce semiconductor devices in the United States, Europe, and Asia. Its products include wafer processing deposition systems for single-wafer atomic layer deposition, plasma enhanced chemical vapor deposition, epitaxy, and batch diffusion/furnace systems, as well as provides spare parts and support services. The company also manufactures and sells equipment, which is used in wafer processing, encompassing the fabrication steps in which silicon wafers are layered with semiconductor devices. It serves manufacturers of semiconductor devices and integrated circuits. The company was formerly known as Advanced Semiconductor Materials International NV. ASM International NV was incorporated in 1968 and is headquartered in Almere, the Netherlands.

How the Company Makes Money

ASM 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 Financial Statement Overview

Summary

Strong overall fundamentals: solid revenue growth (TTM +4.79%) and high profitability (gross margin 51.86%, net margin 23.86%). Balance sheet strength stands out with very low leverage (debt-to-equity 0.0149) and healthy ROE (21.15%), supported by growing free cash flow (TTM +14.72%).

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	3.28B	2.93B	2.63B	2.41B	1.73B	1.33B
Gross Profit	1.70B	1.48B	1.27B	1.14B	828.13M	623.57M
EBITDA	1.44B	990.54M	834.57M	594.06M	667.76M	393.79M
Net Income	782.58M	685.73M	752.07M	389.11M	494.71M	285.40M
Balance Sheet
Total Assets	5.26B	5.16B	4.23B	3.75B	2.71B	2.23B
Cash, Cash Equivalents and Short-Term Investments	1.08B	926.00M	637.26M	419.31M	491.51M	435.23M
Total Debt	57.48M	35.26M	33.56M	28.12M	23.46M	6.22M
Total Liabilities	1.41B	1.41B	999.92M	1.00B	469.33M	375.21M
Stockholders Equity	3.85B	3.75B	3.23B	2.75B	2.24B	1.85B
Cash Flow
Free Cash Flow	816.60M	532.92M	418.18M	333.01M	223.79M	101.56M
Operating Cash Flow	1.17B	897.65M	735.89M	541.49M	380.64M	264.35M
Investing Cash Flow	-495.92M	-349.97M	-289.04M	-474.88M	-114.40M	-144.31M
Financing Cash Flow	-316.26M	-301.03M	-236.05M	-132.60M	-240.26M	-170.45M

ASM International Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 554.24
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: 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 827.40, below the 50-day MA of 743.97, and below the 200-day MA of 613.18, indicating a bullish trend. The MACD of 22.31 indicates Positive momentum. The RSI at 60.06 is Neutral, neither overbought nor oversold. The STOCH value of 86.39 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

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
UMC	77 Outperform	$27.14B	19.44	11.43%	6.06%	5.87%	-20.93%
ASMIY	76 Outperform	$41.13B	46.25	21.33%	0.55%	21.38%	49.42%
GFS	69 Neutral	$26.46B	29.86	7.80%	―	0.25%	-106.22%
ON	64 Neutral	$27.59B	209.80	1.47%	―	-16.13%	-81.06%
STM	64 Neutral	$30.28B	178.33	0.93%	1.28%	-17.33%	-76.71%
ASX	63 Neutral	$53.29B	39.06	12.53%	2.29%	8.01%	10.41%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%