Cohu (COHU) AI Stock Analysis

• Market Cap: $935.03M
• Dividend Yield: N/A
• Average Volume (3M): 360.20K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.63
• Revenue Growth: -21.27%
• EPS Growth: -207.30%
• Country: US
• Employees: 2,986
• Sector: Technology
• Sector Strength: 80
• Industry: Semiconductors
• EPS (TTM): 0.02
• Shares Outstanding: 46,681,644
• 10 Day Avg. Volume: 383,917
• 30 Day Avg. Volume: 360,200
• PEG Ratio: 0.05
• Price to Book (P/B): 1.47
• Price to Sales (P/S): 3.13
• P/FCF Ratio: -160.20
• Enterprise Value/Market Cap: 0.80
• Enterprise Value/Revenue: 1.90
• Enterprise Value/Gross Profit: 4.58
• Enterprise Value/Ebitda: -20.60
• 1Y Price Target: $24.60
• Price Target Upside: 25.96% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 6

• Rating: 54 Neutral
• Price Target: $20.00 ▲(2.41% Upside)

Cohu's overall stock score reflects its financial challenges, with declining revenues and profitability being the most significant factors. The earnings call provided some optimism with guidance for revenue growth and new orders, but valuation concerns and technical indicators suggest caution. The stock's stable balance sheet and positive operating cash flow provide some support, but improvements in profitability and revenue growth are needed for a higher score.

Positive Factors

Design Wins

Cohu continues to prioritize securing new design wins and streamlining operations during the downturn.

Financial Performance

COHU reported another solid quarter with results exceeding consensus estimates.

Restructuring Benefits

Ongoing restructuring plan to optimize manufacturing and labor costs should pay dividends in CY26 with target OpEx levels.

Negative Factors

Market Uncertainty

Limited visibility towards the timing of market recovery.

Tariff Impact

Uncertainty of how tariffs may impact demand puts risk on the trajectory of C2H25 which Cohu has limited visibility given the generally short lead times of its consumable products.

Tax Impact

Sept '25 Q tax catch-up bill expected to total $15M while future rate jumps to low 30% from prior ~20%.

Cohu Business Overview & Revenue Model

Company Description

Cohu, Inc., through its subsidiaries, provides semiconductor test equipment and services in China, the United States, Taiwan, Malaysia, the Philippines, and internationally. The company supplies semiconductor test and inspection handlers, micro-electromechanical system (MEMS) test modules, test contactors, thermal sub-systems, and semiconductor automated test equipment for semiconductor and electronics manufacturers, and test subcontractors. It also provides semiconductor automated test equipment for wafer level and device package testing; various test handlers, including pick-and-place, turret, gravity, strip, and MEMS and thermal sub-systems; interface products comprising test contactors, and probe heads and pins; spares and kits; various parts and labor warranties on test and handling systems, and instruments; and training on the maintenance and operation of its systems, as well as application, data management software, and consulting services on its products. In addition, the company offers data analytics product that includes DI-Core, a software suite used to optimize Cohu equipment performance, which provides real-time online performance monitoring and process control. It markets its products through direct sales force and independent sales representatives. The company was formerly known as Cohu Electronics, Inc. and changed its name to Cohu, Inc. in 1972. Cohu, Inc. was incorporated in 1947 and is headquartered in Poway, California.

How the Company Makes Money

Cohu generates revenue primarily through the sale of its test and inspection equipment to semiconductor manufacturers and electronic device producers. The company operates on a business model that includes direct sales of equipment, as well as recurring revenues from service agreements, spare parts, and upgrades for their equipment. Key revenue streams include the Semiconductor Test segment, which contributes a significant portion of the overall revenue, and the Electronics Test segment. Cohu also benefits from partnerships with leading semiconductor manufacturers and technology firms, which enhance its market presence and provide opportunities for collaborative innovations. Additionally, the growing demand for advanced semiconductor testing solutions due to the increasing complexity of electronic devices supports Cohu's growth and revenue generation efforts.

Cohu Financial Statement Overview

Summary

Cohu faces challenges with declining revenue and negative profitability. Despite strong equity and liquidity positions, operational efficiency and profitability remain pressured, impacting overall financial performance.

Income Statement

Cohu's income statement reveals significant challenges with declining revenue and negative profitability. The TTM revenue of $390.96M decreased from $401.78M in the prior year. The net profit margin turned negative, with net losses reported in recent periods. This indicates a downturn in operational efficiency and profitability. Additionally, EBIT and EBITDA margins are negative, highlighting operational struggles.

Balance Sheet

Cohu's balance sheet shows a strong equity position with a high equity ratio of approximately 88.9% TTM. The debt-to-equity ratio is low at 0.03 TTM, indicating conservative leverage. However, the declining net income impacts the return on equity, which is negative. The company maintains a substantial cash position, indicating robust liquidity.

Cash Flow

Cash flow analysis indicates moderate performance. While operating cash flow has improved in the TTM, free cash flow remains negative due to capital expenditures. The operating cash flow to net income ratio is high, suggesting better cash generation relative to earnings. However, the negative free cash flow growth rate presents a concern for long-term cash sustainability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	393.94M	401.78M	636.32M	812.77M	887.21M	636.01M
Gross Profit	163.73M	180.29M	302.81M	383.33M	386.96M	271.78M
EBITDA	-36.41M	-11.84M	98.94M	178.97M	180.64M	74.11M
Net Income	-87.10M	-69.82M	28.16M	96.85M	167.32M	-13.84M
Balance Sheet
Total Assets	1.01B	999.41M	1.15B	1.23B	1.26B	1.10B
Cash, Cash Equivalents and Short-Term Investments	209.41M	262.09M	335.70M	385.58M	379.90M	170.03M
Total Debt	50.45M	18.69M	58.94M	98.18M	139.83M	345.73M
Total Liabilities	179.65M	142.52M	200.18M	298.57M	376.54M	583.89M
Stockholders Equity	830.54M	856.89M	950.17M	928.84M	882.50M	511.62M
Cash Flow
Free Cash Flow	2.60M	-7.86M	85.42M	98.09M	85.73M	31.07M
Operating Cash Flow	21.51M	2.78M	101.47M	112.86M	97.73M	49.73M
Investing Cash Flow	-38.85M	21.92M	-30.21M	-67.87M	39.89M	-18.36M
Financing Cash Flow	-8.40M	-59.03M	-68.14M	-91.07M	6.53M	-38.07M

Cohu Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 19.53
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For COHU, the sentiment is Neutral. The current price of 19.53 is above the 20-day moving average (MA) of 19.45, above the 50-day MA of 19.47, and below the 200-day MA of 20.62, indicating a neutral trend. The MACD of 0.20 indicates Negative momentum. The RSI at 49.37 is Neutral, neither overbought nor oversold. The STOCH value of 40.61 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for COHU.

Cohu Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$35.38B	6.84	-10.99%	1.97%	8.74%	-8.28%
IMOS	58 Neutral	$548.63M	113.03	0.66%	5.42%	0.15%	-92.08%
COHU	54 Neutral	$935.03M	―	-10.09%	―	-21.27%	-207.30%
AOSL	54 Neutral	$785.52M	―	-11.32%	―	5.92%	-746.07%
UCTT	53 Neutral	$1.04B	38.78	-19.47%	―	14.28%	-1644.64%
AAOI	48 Neutral	$1.63B	―	-50.93%	―	77.94%	-75.13%
ICHR	46 Neutral	$633.00M	―	-2.98%	―	15.45%	49.82%

Cohu Corporate Events

Cohu to Present at B. Riley Securities Conference

On May 21, 2025, Cohu, Inc. management will participate in the B. Riley Securities 25th Annual Institutional Investor Conference in Marina Del Rey, California. The company will present information that includes forward-looking statements, which are not considered filed under the Securities Exchange Act of 1934.

The most recent analyst rating on (COHU) stock is a Hold with a $36.00 price target. To see the full list of analyst forecasts on Cohu stock, see the COHU Stock Forecast page.

Cohu Stockholders Approve Key Proposals at Annual Meeting

Cohu held its 2025 Annual Meeting of Stockholders on May 16, 2025, where stockholders voted on three key proposals. The election of Class 3 directors resulted in the re-election of Steven J. Bilodeau, James A. Donahue, and Andreas W. Mattes. Additionally, the advisory vote on executive compensation was approved, and Ernst & Young LLP’s appointment as the independent registered public accounting firm for fiscal year 2025 was ratified.

The most recent analyst rating on (COHU) stock is a Hold with a $36.00 price target. To see the full list of analyst forecasts on Cohu stock, see the COHU Stock Forecast page.