ELMOS Semiconductor (ELG) AI Stock Analysis

• Market Cap: €1.57B
• Dividend Yield: 1.09%
• Average Volume (3M): 35.76K
• Price to Earnings (P/E): 12.8
• Beta (1Y): 1.28
• Revenue Growth: -1.67%
• EPS Growth: 18.77%
• Country: DE
• Employees: 1,161
• Sector: Technology
• Sector Strength: 87
• Industry: Semiconductors
• EPS (TTM): 1.08
• Shares Outstanding: 17,700,000
• 10 Day Avg. Volume: 58,298
• 30 Day Avg. Volume: 35,762
• PEG Ratio: 0.15
• Price to Book (P/B): 2.55
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 62.08
• 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: €94.50
• Price Target Upside: 2.83% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5

• Rating: 74 Outperform
• Price Target: €94.00 ▲(2.29%Upside)

The overall stock score of 74 reflects strong financial performance and fair valuation. However, technical indicators suggest the stock may be overbought, presenting short-term risks.

Positive Factors

Capacity Expansion

Elmos has significantly invested in capacity expansion over the past few years, which allows the company to scale capex back significantly.

Electrification and Vehicle Features

Elmos is expected to benefit significantly from continued electrification, ADAS, more comfort and premium features, and the new zonal architecture in vehicles.

Market Position

The company has a strong market position in three of its five main product categories, including the #1 position for motor control ICs, LED lighting, and ultrasonic parking.

Negative Factors

Automotive Industry Weakness

The stock has suffered significantly over the past months due to weakness in the automotive industry, which accounts for a majority of Elmos's sales.

Market Weakness Impact

The current market weakness in the automotive sector has caught up with Elmos, leading to growth of only 1%.

Preliminary Q4 Results

Elmos published its preliminary Q4 results, which are slightly below market expectations.

ELMOS Semiconductor Business Overview & Revenue Model

Company Description

Elmos Semiconductor SE, together with its subsidiaries, develops, produces, and markets semiconductors and sensors primarily for use in the automotive industry worldwide. It offers sensor ICs, which include ultrasonic distance, sensor signal processor, integrated absolute pressure system, optical IR sensor, ToF imager, and passive infrared ICs; interface ICs, such as PSI5 transceivers, LIN/CAN, and KNX/EIB transceivers; and special project products comprising ASIC design, as well as automotive safety, engine management, and relay driver ICs. The company also provides motor control ICs, including stepper, brushless DC, and DC motor controller ICs; and power management ICs, such as LED driver, DC/DC converter, and low dropout regulator ICs. Its products are used in automotive applications comprising ADAS and safety, body and convenience, infotainment, lighting, and powertrain; and smart home and industrial automation applications. The company was founded in 1984 and is headquartered in Dortmund, Germany.

How the Company Makes Money

ELMOS Semiconductor generates revenue through the sale of its semiconductor products, with a strong emphasis on the automotive market. The company's key revenue streams include the development and sale of custom ASICs and standard components used in vehicle electronics systems, such as sensor interfaces, lighting control units, and driver assistance systems. ELMOS maintains significant partnerships with automotive manufacturers and suppliers, enabling it to secure long-term contracts and access to new market opportunities. Additionally, the company's investment in research and development allows it to continuously innovate and introduce new products, further driving its revenue growth.

ELMOS Semiconductor Financial Statement Overview

Summary

ELMOS Semiconductor exhibits strong revenue growth and profitability, with a solid equity base supporting its balance sheet. However, challenges in maintaining EBIT and free cash flow may pose risks if not addressed.

Income Statement

ELMOS Semiconductor has demonstrated strong revenue growth over recent years, particularly notable from 2020 to 2022. The Gross Profit Margin remains robust and consistent, indicating effective cost management. However, the decline in EBIT from 2023 to 2024 is concerning, impacting the company's profitability metrics. Despite this, the Net Profit Margin remains healthy due to strong net income figures.

Balance Sheet

The company's balance sheet shows a solid equity base with an increasing trend in stockholders' equity. The Debt-to-Equity ratio is at a manageable level, suggesting prudent leverage usage. The Equity Ratio is strong, highlighting the company's reliance on equity rather than debt. However, the increase in total debt from 2020 to 2024 warrants monitoring.

Cash Flow

The cash flow statement reveals challenges in maintaining positive free cash flow, with significant capital expenditures impacting free cash flow negatively. Operating cash flow remains positive, albeit declining from 2023 to 2024. The company's ability to generate free cash flow relative to net income is under pressure, indicating potential constraints on liquidity if trends persist.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	571.18M	581.11M	575.01M	447.25M	322.09M	232.56M
Gross Profit	246.99M	254.54M	271.31M	207.54M	144.67M	92.55M
EBITDA	202.05M	211.20M	194.18M	154.39M	91.79M	40.09M
Net Income	122.67M	128.70M	99.15M	71.38M	39.81M	6.42M
Balance Sheet
Total Assets	784.53M	799.83M	812.40M	542.43M	418.01M	395.50M
Cash, Cash Equivalents and Short-Term Investments	104.70M	95.51M	92.38M	42.01M	25.39M	43.63M
Total Debt	0.00	111.30M	116.64M	75.56M	74.18M	45.15M
Total Liabilities	202.51M	236.65M	364.45M	182.01M	117.85M	85.28M
Stockholders Equity	581.54M	562.72M	447.44M	359.79M	299.44M	309.58M
Cash Flow
Free Cash Flow	19.64M	-50.77M	-24.55M	14.78M	10.90M	4.74M
Operating Cash Flow	78.87M	16.27M	102.64M	98.64M	79.60M	27.28M
Investing Cash Flow	11.43M	-1.11M	-73.75M	-72.61M	-73.60M	-42.35M
Financing Cash Flow	-32.62M	-22.56M	22.94M	-7.45M	-28.72M	-39.46M

ELMOS Semiconductor Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 91.90
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:ELG, the sentiment is Positive. The current price of 91.9 is above the 20-day moving average (MA) of 81.59, above the 50-day MA of 72.76, and above the 200-day MA of 66.80, indicating a bullish trend. The MACD of 5.60 indicates Negative momentum. The RSI at 77.68 is Negative, neither overbought nor oversold. The STOCH value of 91.46 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DE:ELG.

ELMOS Semiconductor Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ELG	74 Outperform	€1.57B	12.84	23.28%	1.09%	-1.67%	18.77%
Sector *	49 Neutral	C$2.96B	2.13	-80.92%	2.67%	12.55%	-24.47%
IFNNF		$56.59B	68.61	7.74%	0.86%	―	―
0NP9		€1.83B	17.98	12.25%	0.92%	―	―
0G0X		€599.63M	229.45	-14.35%	0.70%	―	―
0R8P		€1.27B	31.81	2.02%	0.47%	―	―
0Q3C		€834.97M	14.63	21.21%	0.69%	―	―