ams-OSRAM (AMS) AI Stock Analysis

• Market Cap: CHF1.06B
• Dividend Yield: N/A
• Average Volume (3M): 556.18K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.78
• Revenue Growth: -3.98%
• EPS Growth: 95.78%
• Country: CH
• Employees: 19,700
• Sector: Technology
• Sector Strength: 86
• Industry: Semiconductors
• EPS (TTM): -0.22
• Shares Outstanding: 99,844,390
• 10 Day Avg. Volume: 505,337
• 30 Day Avg. Volume: 556,177
• PEG Ratio: -0.10
• Price to Book (P/B): 1.18
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -29.23
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: CHF10.91
• Price Target Upside: 0.47% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 8

• Rating: 56 Neutral
• Price Target: CHF11.00 ▲(1.29%Upside)

ams-OSRAM has a challenging financial position with declining revenues and persistent losses, which significantly impacts its overall score. Technical indicators provide some positive signs, but valuation concerns due to negative earnings weigh heavily. Earnings call insights about strategic improvements offer some optimism, yet financial and market uncertainties persist.

Positive Factors

Earnings

Q4 results were above consensus with a beat on adjusted EBITDA.

Financial Performance

Growth is expected in the second half of the year with positive free cash flow over €100m.

Financial Strategy

Disposals are expected to raise the margin and cash flow profile into 2025.

Negative Factors

Demand Environment

The ongoing weak demand environment in auto and industrial applications negatively impacts Ams-Osram's semiconductor business.

Earnings Forecast

Reduced earnings forecasts have led to a decrease in the price target from CHF 15.00 to CHF 9.50.

Inventory Management

Inventory corrections in the industrial business are likely to continue, impacting future performance.

ams-OSRAM Business Overview & Revenue Model

Company Description

ams-OSRAM AG designs, manufactures, and sells LED and optical sensor solutions in Europe, the Middle East, Africa, the Americas, and the Asia/Pacific. The company operates through Semiconductor and Lamps & Systems segments. The Semiconductor segment offers semiconductor-based products and solutions, such as LEDs, lasers, and optical and image sensors for automotive, consumer, and industrial end markets. The Lamps & Systems segment provides lamps and lighting systems, such as spectral sensing, ambient and smart lighting, horticulture lighting, time-of-flight, presence detection, near-infrared, human-centric lighting, outdoor and indoor lighting solutions for automotive, industrial, and medical end markets. The company was formerly known as ams AG and changed its name to ams-OSRAM AG in January 2022. ams-OSRAM AG was founded in 1981 and is headquartered in Premstätten, Austria.

How the Company Makes Money

ams-OSRAM makes money through the sale of its advanced sensor solutions and photonics products to a wide range of industries. Key revenue streams include the automotive sector, where the company supplies intelligent sensor systems for applications such as driver assistance and interior lighting. In the consumer electronics sector, ams-OSRAM provides optical sensors for mobile devices, enhancing features like facial recognition and ambient light detection. The company also generates revenue from the industrial and medical sectors by offering innovative solutions for automation and diagnostic equipment. Additionally, strategic partnerships and collaborations with technology companies and manufacturers contribute to its earnings by expanding market reach and driving technological advancements.

ams-OSRAM Financial Statement Overview

Summary

ams-OSRAM faces significant financial challenges, including declining revenues and persistent net losses. The company has a high debt burden and negative cash flow, but efforts in deleveraging and some improvement in cash generation are noted.

Income Statement

The income statement reveals a challenging environment for ams-OSRAM, with declining revenue and persistent net losses. The TTM gross profit margin stands at 24.92%, which is relatively stable compared to prior periods, but the company is struggling with negative net profit margins, currently at -4.61% TTM. Revenue growth is negative, with a decrease of approximately 6.26% compared to the previous year. Additionally, EBIT and EBITDA margins have shown signs of improvement but remain a concern due to ongoing losses.

Balance Sheet

The balance sheet highlights a high debt burden with a debt-to-equity ratio of 1.89 TTM, indicating significant leverage. However, the company's equity ratio is relatively low at 17.62% TTM, suggesting a modest level of financial stability. Return on Equity (ROE) is negative, reflecting ongoing profitability challenges. Despite these concerns, the reduction in total liabilities year-over-year signals some efforts toward deleveraging.

Cash Flow

Cash flow analysis shows volatility, with the TTM free cash flow remaining negative at -44 million. The operating cash flow to net income ratio is negative due to ongoing losses, while the free cash flow to net income ratio demonstrates the company's struggle to convert earnings into cash. The free cash flow growth rate is positive compared to the previous period, indicating some improvement in cash generation, although capital expenditures remain significant.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.43B	3.59B	4.82B	5.04B	3.50B
Gross Profit	857.00M	1.02B	1.26B	1.44B	1.03B
EBITDA	462.00M	471.00M	855.00M	938.00M	613.00M
Net Income	-786.00M	-1.61B	-444.00M	-32.00M	-90.00M
Balance Sheet
Total Assets	6.90B	7.40B	8.83B	9.64B	9.96B
Cash, Cash Equivalents and Short-Term Investments	1.12B	1.18B	1.11B	1.34B	1.62B
Total Debt	2.69B	2.67B	3.02B	3.40B	3.59B
Total Liabilities	5.67B	5.50B	6.00B	6.49B	6.94B
Stockholders Equity	1.23B	1.90B	2.83B	3.14B	3.09B
Cash Flow
Free Cash Flow	-67.00M	-375.00M	62.00M	482.00M	525.00M
Operating Cash Flow	435.00M	674.00M	599.00M	792.00M	702.00M
Investing Cash Flow	-424.00M	-826.00M	-183.00M	-560.00M	-1.49B
Financing Cash Flow	-98.00M	245.00M	-726.00M	-534.00M	1.95B

ams-OSRAM Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 10.86
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CH:AMS, the sentiment is Neutral. The current price of 10.86 is below the 20-day moving average (MA) of 11.73, above the 50-day MA of 9.67, and above the 200-day MA of 8.07, indicating a neutral trend. The MACD of 0.58 indicates Positive momentum. The RSI at 47.12 is Neutral, neither overbought nor oversold. The STOCH value of 18.47 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for CH:AMS.

ams-OSRAM Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LOGN	74 Outperform	CHF11.43B	21.02	28.96%	0.02%	5.97%	6.79%
TEMN	72 Outperform	$4.93B	45.24	18.34%	0.03%	-25.15%	-3.55%
Sector *	63 Neutral	£505.90M	23.87	-8.45%	173.32%	4.53%	-18.72%
SWON	63 Neutral	CHF1.49B	―		4.32%	0.62%	-107.20%
AMS	56 Neutral	CHF1.06B	―	-13.29%	―	-3.98%	95.78%
UBXN	54 Neutral	CHF752.30M	―	-24.38%	1.09%	-54.43%	-1090.31%

ams-OSRAM Corporate Events

ams OSRAM Issues €500M Bonds for Strategic Debt Management and Reports Strong Q2 Results

ams OSRAM has successfully placed €500 million in bonds maturing in 2029 to pre-finance outstanding OSRAM shares and repurchase €150 million of the 2027 convertible bond. This strategic move aims to manage debt effectively and prepare for potential exercises of put options by OSRAM minority shareholders. The company also reported solid preliminary Q2 results with revenue of €775 million and an adjusted EBITDA margin of 18.8%. Looking ahead, ams OSRAM expects improved profitability and positive free cash flow for the fiscal year 2025, indicating a strong financial position and strategic focus on efficiency.

The most recent analyst rating on (CH:AMS) stock is a Hold with a CHF25.00 price target. To see the full list of analyst forecasts on ams-OSRAM stock, see the CH:AMS Stock Forecast page.

ams-OSRAM AG Announces 2025 Ordinary General Meeting

ams-OSRAM AG has announced the convening of its Ordinary General Meeting for June 26, 2025, where shareholders will discuss and vote on several key resolutions, including financial statements, remuneration policies, and the introduction of new authorized capital. This meeting is significant as it will address the company’s strategic financial decisions and governance, potentially impacting its market positioning and shareholder value.

The most recent analyst rating on (CH:AMS) stock is a Hold with a CHF25.00 price target. To see the full list of analyst forecasts on ams-OSRAM stock, see the CH:AMS Stock Forecast page.

ams OSRAM Announces 2025 General Meeting Proposals

ams OSRAM has announced the proposals for its 2025 General Meeting, including a resolution on a 10% Authorized Capital 2025 and a share buyback authorization. These proposals aim to enhance the company’s capital management and shareholder value, potentially impacting its market positioning and stakeholder interests.

The most recent analyst rating on (CH:AMS) stock is a Hold with a CHF25.00 price target. To see the full list of analyst forecasts on ams-OSRAM stock, see the CH:AMS Stock Forecast page.

ams OSRAM Exceeds Q1 Expectations and Plans Debt Reduction

ams OSRAM reported strong Q1 2025 financial results, with revenue of €820 million and an adjusted EBITDA margin of 16.4%, surpassing expectations. The company is implementing strategic measures to accelerate debt reduction, including potential business unit sales, aiming to improve its financial structure and reduce interest costs, despite economic uncertainties and new US tariff impacts.