ams-OSRAM (AMS) AI Stock Analysis

• Market Cap: CHF944.73M
• Dividend Yield: N/A
• Average Volume (3M): 398.91K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.62
• Revenue Growth: -5.11%
• EPS Growth: 88.12%
• Country: CH
• Employees: 19,700
• Sector: Technology
• Sector Strength: 86
• Industry: Semiconductors
• EPS (TTM): 0.17
• Shares Outstanding: 99,844,390
• 10 Day Avg. Volume: 297,555
• 30 Day Avg. Volume: 398,909
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: CHF12.01
• Price Target Upside: 26.18% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 8

• Rating: 48 Neutral
• Price Target: CHF10.00 ▲(5.04% Upside)

The overall stock score reflects significant financial challenges, including declining revenue and high leverage, which weigh heavily on the company's outlook. Technical analysis provides mixed signals, with some support from longer-term trends but short-term bearish momentum. Valuation metrics are unattractive due to negative profitability and lack of dividends. The earnings call offers some optimism with improved profitability and strategic wins, but these are overshadowed by ongoing revenue and currency challenges.

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 generates revenue through the sale of its semiconductor products, which include sensors, LED modules, and other electronic components. The company's revenue model is primarily based on direct sales to original equipment manufacturers (OEMs) and distributors, with a focus on high-margin products in growing markets. Key revenue streams include automotive lighting solutions, consumer electronics sensors, and industrial applications, with significant contributions from partnerships with major technology firms and car manufacturers. Additionally, AMS benefits from recurring revenue through long-term contracts and collaborations, enhancing its financial stability and growth prospects.

ams-OSRAM Financial Statement Overview

Summary

ams-OSRAM is facing financial challenges across all verticals. The income statement highlights declining revenue and profitability, while the balance sheet shows high leverage and negative returns on equity. Cash flow analysis indicates difficulties in generating free cash flow. The company needs to address these issues to improve financial stability and performance.

Income Statement

The income statement shows declining revenue and profitability. The TTM data indicates a negative net profit margin of -3.39%, and a slight decrease in revenue compared to the previous period. The gross profit margin is moderate at 24.42%, but the company is struggling with profitability as evidenced by the negative net income and EBIT margins. The revenue growth rate is negative, indicating a contraction in sales.

Balance Sheet

The balance sheet reveals high leverage with a debt-to-equity ratio of 2.09 in the TTM period, indicating significant reliance on debt. The return on equity is negative, reflecting the company's inability to generate profits from shareholders' equity. The equity ratio is not explicitly calculated, but the high debt levels suggest potential financial risk.

Cash Flow

Cash flow analysis shows a challenging situation with negative free cash flow growth of -240.91% in the TTM period. The operating cash flow to net income ratio is 0.18, indicating some ability to generate cash from operations despite net losses. However, the free cash flow to net income ratio is low, reflecting limited cash generation relative to net losses.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.36B	3.43B	3.59B	4.82B	5.04B	3.50B
Gross Profit	820.00M	857.00M	1.02B	1.26B	1.44B	1.03B
EBITDA	652.00M	462.00M	471.00M	855.00M	938.00M	613.00M
Net Income	-114.00M	-786.00M	-1.61B	-444.00M	-32.00M	-90.00M
Balance Sheet
Total Assets	6.04B	6.90B	7.40B	8.83B	9.64B	9.96B
Cash, Cash Equivalents and Short-Term Investments	602.00M	1.12B	1.18B	1.11B	1.34B	1.62B
Total Debt	2.08B	2.69B	2.67B	3.02B	3.40B	3.59B
Total Liabilities	5.04B	5.67B	5.50B	6.00B	6.49B	6.94B
Stockholders Equity	994.00M	1.23B	1.90B	2.83B	3.14B	3.09B
Cash Flow
Free Cash Flow	62.00M	-67.00M	-375.00M	62.00M	482.00M	525.00M
Operating Cash Flow	360.00M	435.00M	674.00M	599.00M	792.00M	702.00M
Investing Cash Flow	-213.00M	-424.00M	-826.00M	-183.00M	-560.00M	-1.49B
Financing Cash Flow	-516.00M	-98.00M	245.00M	-726.00M	-534.00M	1.95B

ams-OSRAM Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 9.52
• 50DMA: Negative
• 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 CH:AMS, the sentiment is Negative. The current price of 9.52 is below the 20-day moving average (MA) of 10.17, below the 50-day MA of 10.83, and above the 200-day MA of 8.25, indicating a neutral trend. The MACD of -0.25 indicates Positive momentum. The RSI at 35.41 is Neutral, neither overbought nor oversold. The STOCH value of 25.16 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CH:AMS.

ams-OSRAM Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IFCN	75 Outperform	CHF2.34B	25.22		2.26%	-0.84%	-8.41%
Sector *	61 Neutral	$35.09B	8.26	-10.59%	1.90%	8.56%	-9.51%
AMS	48 Neutral	CHF944.73M	―	-9.68%	―	-5.11%	88.12%
0QNH	―	CHF2.23B	30.66	11.64%	1.53%	―	―
KDCXF	―	$96.86M	5.65	-52.82%	―	―	―
LMHDF	―	$721.35M	74.23	5.60%	8.30%	―	―
UBLXF	―	$1.25B	―	-20.37%	1.00%	―	―

ams-OSRAM Corporate Events

ams OSRAM Reports Strong Q2 2025 Results Amid Debt Reduction Efforts

ams OSRAM reported a solid performance in Q2 2025, achieving an adjusted EBITDA margin of 18.8% and revenue of €775 million, despite facing challenges such as negative currency effects. The company confirmed its 2025 free cash flow outlook of over €100 million and took initial steps in its accelerated debt reduction plan, including the sale of its Entertainment & Industrial Lamps business for €114 million. The company extended its revolving credit facility and issued private placement bonds to manage its debt effectively. These strategic moves are aimed at strengthening its financial position and reducing interest expenses, with expectations of a stronger second half of the year.

The most recent analyst rating on (CH:AMS) stock is a Hold with a CHF15.00 price target. To see the full list of analyst forecasts on ams-OSRAM stock, see the CH:AMS Stock Forecast page.

ams OSRAM Sells Lamp Business to Ushio Inc. for EUR 114 Million

ams OSRAM has announced the sale of its Entertainment and Industry Lamps business to Ushio Inc. for EUR 114 million as part of its debt reduction plan. This transaction marks the first step in a broader strategy to streamline operations and focus on core markets, with the aim of achieving proceeds significantly over EUR 500 million. The sale is expected to close by the first quarter of 2026, transferring approximately 500 employees to Ushio Inc., a global leader in optical technologies.

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 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.