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Atomera (ATOM)
NASDAQ:ATOM
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Atomera
(NASDAQ:ATOM)
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Rating:52Neutral
Price Target:
$4.50
▲(8.70% Upside)
Atomera's overall stock score reflects significant financial challenges, with persistent losses and negative cash flow weighing heavily on its prospects. While technical indicators show some bullish momentum, the valuation remains unattractive due to negative earnings. Positive developments from the earnings call suggest potential future growth, but immediate financial concerns dominate the outlook.
Atomera (ATOM) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$130.34M
Dividend YieldN/A
Average Volume (3M)340.28K
Price to Earnings (P/E)―
Beta (1Y)1.24
Revenue Growth-92.34%
EPS Growth8.99%
CountryUS
Employees20
SectorTechnology
Sector Strength88
IndustrySemiconductors
Share Statistics
EPS (TTM)-0.17
Shares Outstanding31,482,756
10 Day Avg. Volume432,246
30 Day Avg. Volume340,277
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)N/A
P/FCF RatioN/A
Enterprise Value/Market Cap1.02
Enterprise Value/Revenue2.70K
Enterprise Value/Gross Profit-373.09
Enterprise Value/Ebitda-7.24
Forecast
1Y Price Target
$5.25Price Target Upside26.81% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering2
Atomera Business Overview & Revenue Model
Company DescriptionAtomera Incorporated develops, commercializes, and licenses proprietary materials, processes, and technologies for the semiconductor industry in North America and the Asia Pacific. The company's lead technology is the Mears Silicon Technology, a thin film of reengineered silicon that can be applied as a transistor channel enhancement to CMOS-type transistors. Its customers include foundries, integrated device manufacturers, fabless semiconductor manufacturers, original equipment manufacturers, and electronic design automation companies. The company was formerly known as Mears Technologies, Inc. and changed its name to Atomera Incorporated in January 2016. Atomera Incorporated was incorporated in 2001 and is headquartered in Los Gatos, California.
How the Company Makes MoneyAtomera generates revenue through the licensing of its MST technology to semiconductor manufacturers, allowing them to integrate Atomera's advancements into their production processes. This revenue model includes upfront licensing fees, as well as ongoing royalties based on the volume of products sold that incorporate MST. Key partnerships with major players in the semiconductor industry further bolster Atomera's earnings potential, as these collaborations facilitate technology adoption and provide a pathway for scaling production. Additionally, Atomera may engage in research and development contracts that contribute to its revenue, particularly in developing customized solutions for clients.
Atomera Earnings Call Summary
Earnings Call Date:Aug 05, 2025
(Q2-2025)
| % Change Since: |
Next Earnings Date:Oct 29, 2025
Earnings Call Sentiment Neutral
The earnings call presented a mix of significant positive developments including increased wafer activity, strategic collaborations, and promising engagements with transformative customers. However, these were somewhat offset by the delay in STMicro's initiative and an increased net loss. The positive aspects indicate strong future potential, but immediate financial challenges temper the outlook.Q2-2025 Updates
Positive Updates
Increased Wafer Activity
Atomera reports high levels of wafer activity, indicating strong business momentum and numerous ongoing projects with licensees and potential customers.
New High in Customer Wafer Runs
The company has reached a new high watermark on customer wafer runs, showcasing increased engagement and interest in MST technology.
Strategic Collaborations
Atomera announced a strategic collaboration with Incize for GaN devices, expanding focus to include GaN for RF, and joined the National Semiconductor Technology Center to contribute to and benefit from semiconductor advancements.
Innovative Solutions and Patent Milestone
Atomera has surpassed 400 issued and pending patents, demonstrating its innovative capabilities, and has proposed solutions for LNAs that have generated significant market interest.
Positive Developments with Transformative Customers
Two transformative customers are engaged in large-scale demo plans and multiple wafer runs, indicating potential significant future revenue.
Negative Updates
Delay in STMicro Initiative
STMicro's shift to a 300-millimeter wafer production has delayed Atomera's MST rollout, pushing back process qualification beyond 2025.
Increased Net Loss
Atomera reported a GAAP net loss of $5 million for Q2 2025, higher than the $4.4 million loss in Q2 of the previous year.
Operational Expense Increase
GAAP operating expenses increased by $565,000, attributed to higher R&D and payroll costs, despite lower sales and marketing expenses.
Company Guidance
During Atomera's Second Quarter 2025 Update Call, the company discussed various metrics and guidance for the current fiscal year. Atomera reported a GAAP net loss for Q2 2025 of $5 million, translating to $0.17 per share, compared to a loss of $4.4 million or $0.16 per share in the same quarter of the previous year. Operating expenses increased to $5.2 million, driven by higher R&D and G&A costs, partly offset by reduced sales and marketing expenses due to lower headcount. The company's non-GAAP net loss was $4 million, up from $3.6 million in Q2 2024. Atomera's cash balance stood at $22 million as of June 30, 2025, with cash used in operating activities totaling $3.5 million for the quarter. The company anticipates recognizing a small amount of NRE revenue in Q3 from wafer shipments, and it maintains its non-GAAP OpEx guidance for 2025 between $17.25 million and $17.75 million. Despite delays in STMicro's rollout plans, Atomera remains optimistic about future revenue potential and continues to engage with multiple customers on MST applications, with ongoing efforts to expand its engineering and sales teams to support increased customer activity.Atomera Financial Statement Overview
Summary
Atomera is facing significant financial challenges, with continuous losses impacting profitability and cash flow. Despite a low debt-to-equity ratio, the company struggles with negative net income and free cash flow, raising concerns about its operational efficiency and long-term viability.Income Statement
Atomera's income statement indicates significant challenges with profitability. The gross profit margin has dropped due to decreasing gross profit despite minor revenue growth. The company has consistently reported negative net income, resulting in a negative net profit margin over the years. Although there was a slight revenue increase from the previous year, it has not translated into profitability improvements. The negative EBIT and EBITDA margins further highlight operational inefficiencies and high costs.30
Negative
Balance Sheet
The balance sheet reveals a relatively low debt-to-equity ratio, suggesting manageable leverage. However, the return on equity is negative due to consistent net losses, indicating poor returns to shareholders. The equity ratio remains high, reflecting a stronger reliance on equity financing. Despite this, ongoing losses and declining equity raise concerns about long-term sustainability.45
Neutral
Cash Flow
Atomera's cash flow statement shows persistent negative free cash flow, suggesting operational cash burn. Operating cash flow to net income and free cash flow to net income ratios indicate inefficiencies in converting revenue into cash. While there was a significant inflow from financing activities, it mainly covers operational deficits without contributing to growth investments.35
Negative
| Breakdown | TTM | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 49.00K | 135.00K | 550.00K | 382.00K | 400.00K | 62.00K |
| Gross Profit | -355.00K | 12.00K | 522.00K | 301.00K | 147.00K | 49.00K |
| EBITDA | -18.29M | -16.94M | -18.16M | -15.68M | -15.27M | -14.70M |
| Net Income | -19.43M | -18.43M | -19.79M | -17.36M | -15.71M | -14.66M |
Balance Sheet | ||||||
| Total Assets | 24.08M | 29.12M | 24.03M | 26.73M | 36.06M | 39.40M |
| Cash, Cash Equivalents and Short-Term Investments | 22.03M | 26.77M | 19.53M | 21.18M | 28.70M | 37.94M |
| Total Debt | 1.27M | 1.98M | 3.64M | 4.88M | 6.54M | 692.00K |
| Total Liabilities | 2.79M | 4.05M | 5.86M | 6.42M | 7.68M | 2.05M |
| Stockholders Equity | 21.29M | 25.08M | 18.17M | 20.31M | 28.38M | 37.34M |
Cash Flow | ||||||
| Free Cash Flow | -14.22M | -13.25M | -14.59M | -12.54M | -12.55M | -12.20M |
| Operating Cash Flow | -14.21M | -13.24M | -14.56M | -12.50M | -12.44M | -12.07M |
| Investing Cash Flow | 3.87M | 6.08M | -6.75M | -39.00K | -109.00K | -131.00K |
| Financing Cash Flow | 17.89M | 20.34M | 12.71M | 5.02M | 3.31M | 35.27M |
Atomera Technical Analysis
Positive
4.14
Price Trends
3.94
Positive
4.88
Negative
6.03
Negative
Market Momentum
0.09
Negative
60.96
Neutral
73.54
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ATOM, the sentiment is Positive. The current price of 4.14 is above the 20-day moving average (MA) of 3.49, above the 50-day MA of 3.94, and below the 200-day MA of 6.03, indicating a neutral trend. The MACD of 0.09 indicates Negative momentum. The RSI at 60.96 is Neutral, neither overbought nor oversold. The STOCH value of 73.54 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ATOM.
Atomera Risk Analysis
Atomera disclosed 25 risk factors in its most recent earnings report. Atomera reported the most risks in the "Tech & Innovation" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Atomera Peers Comparison
Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
68 Neutral | 106.68M | -124.09 | 2.90% | ― | -0.81% | -117.62% | |
68 Neutral | 185.98M | 108.16 | 2.59% | ― | -11.27% | -9.20% | |
59 Neutral | 110.14M | 39.14 | ― | ― | 63.66% | -17.23% | |
52 Neutral | $130.34M | ― | -100.22% | ― | -92.34% | 8.99% | |
49 Neutral | 98.23M | -12.57 | -26.25% | ― | -25.90% | -459.91% | |
47 Neutral | 117.83M | -3.53 | -14.16% | ― | 4.09% | 9.30% | |
61 Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% |
* Technology Sector Average
Performance Comparison
ATOM
Atomera
4.14
1.48
55.64%
INTT
inTEST
8.55
1.53
21.79%
MX
MagnaChip
3.28
-1.43
-30.36%
QUIK
QuickLogic
5.98
-1.89
-24.02%
MRAM
Everspin Technologies
8.22
2.32
39.32%
ICG
Intchains Group Ltd. ADR
1.82
-6.66
-78.54%
Atomera Corporate Events
Executive/Board ChangesShareholder MeetingsBusiness Operations and Strategy
Atomera Holds Annual Stockholders Meeting, Elects Directors
Positive
May 16, 2025
On May 15, 2025, Atomera Incorporated held its Annual Meeting of Stockholders, where key decisions were made regarding the company’s governance and strategic direction. The stockholders elected five directors to the board, ratified the appointment of CBIZ CPAs P.C. as the independent accounting firm, approved executive compensation, and endorsed an amendment to the company’s 2023 Stock Incentive Plan, indicating continued support for the company’s leadership and strategic initiatives.
The most recent analyst rating on (ATOM) stock is a Buy with a $7.00 price target. To see the full list of analyst forecasts on Atomera stock, see the ATOM Stock Forecast page.
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.