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Siltronic AG (DE:WAF)
XETRA:WAF
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Siltronic (WAF) AI Stock Analysis

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DE:WAF

Siltronic

(XETRA:WAF)

Rating:46Neutral
Price Target:
€35.00
▼(-5.20% Downside)
Siltronic's overall stock score is primarily impacted by its financial performance and technical analysis. The company faces significant financial challenges, including declining revenue and negative cash flow. The technical indicators suggest a bearish trend, with the stock trading below key moving averages and showing oversold conditions. The high P/E ratio and low dividend yield further contribute to a cautious outlook.
Positive Factors
Balance Sheet Strength
Siltronic AG has a sufficient cash cushion, limiting the need for additional capital and providing downside protection for the shares.
Financial Performance
Siltronic's Q2 results exceeded expectations due to a later than anticipated activation of D&A, with EBITDA 25% ahead, indicating strong financial performance.
Market Opportunities
The wafer volume pick up later in 2025 is expected to be supported by a demand recovery in key semi markets such as automotive and industrial sectors.
Negative Factors
Debt Levels
Net cash flow remained negative, with net debt increasing to €902.8m, putting pressure on Siltronic's financial stability.
Inventory Levels
Stubbornly elevated wafer inventories pose risks for Siltronic, creating a cautious outlook for potential recovery.
Market Conditions
The outlook for Siltronic AG remains challenging with no short-term catalyst and power inventories still increasing, affecting stock prospects.

Siltronic (WAF) vs. iShares MSCI Germany ETF (EWG)

Siltronic Business Overview & Revenue Model

Company DescriptionSiltronic AG, together with its subsidiaries, manufactures and sells hyperpure semiconductor silicon wafers with diameters of up to 300 mm worldwide. It offers polished and epitaxial wafers. The company also provides special products, such as Ultimate Silicon, an optimal crystal for polished wafers; PowerFZ, a wafer product based on the float zone method; and HIREF, a high reflective non-polished wafer product. Its silicon wafers are used in computers, smartphones, flat screens, sensors, industrial equipment, navigation systems, electric cars, wind turbines, and other applications. The company was formerly known as Wacker Siltronic AG and changed its name to Siltronic AG in 2004. Siltronic AG was founded in 1953 and is headquartered in Munich, Germany.
How the Company Makes MoneySiltronic generates revenue primarily through the sale of silicon wafers. Its revenue model is based on direct sales to semiconductor manufacturers who require specific wafer specifications for their production processes. Key revenue streams include various wafer sizes and types, including standard and customized products, which cater to different applications in the industry. Furthermore, the company benefits from long-term contracts and partnerships with major clients, ensuring a stable demand for its products. Additionally, Siltronic invests in research and development to innovate and improve its wafer technology, which can lead to higher margins and new market opportunities.

Siltronic Financial Statement Overview

Summary
Siltronic faces challenges with declining revenue and profitability, increased leverage, and negative free cash flow. Operational efficiency is a strength, but the company must address cash flow issues and manage debt levels to improve financial stability.
Income Statement
55
Neutral
Siltronic's income statement shows declining revenue and profitability metrics over the TTM period. The Gross Profit Margin and Net Profit Margin have decreased compared to previous years, indicating pressure on profitability. The Revenue Growth Rate is negative, reflecting a challenging market environment. However, the company maintains a positive EBIT and EBITDA margin, suggesting operational efficiency.
Balance Sheet
60
Neutral
The balance sheet reveals a moderate Debt-to-Equity Ratio, which has increased over recent periods, indicating rising leverage. Return on Equity has declined, reflecting reduced profitability. However, the company maintains a solid Equity Ratio, suggesting a stable capital structure despite increased debt levels.
Cash Flow
45
Neutral
Siltronic's cash flow statement highlights challenges with negative Free Cash Flow and declining Free Cash Flow Growth. The Operating Cash Flow to Net Income Ratio is below 1, indicating potential cash flow issues. The negative Free Cash Flow to Net Income Ratio suggests that the company is not generating sufficient free cash flow relative to its net income.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue1.39B1.41B1.51B1.81B1.41B1.21B
Gross Profit249.80M275.40M372.20M615.30M441.20M339.50M
EBITDA338.90M348.60M455.90M690.70M480.00M337.10M
Net Income29.40M63.00M184.40M390.60M253.30M160.80M
Balance Sheet
Total Assets4.93B5.08B4.50B4.05B2.46B1.92B
Cash, Cash Equivalents and Short-Term Investments570.40M663.70M456.90M1.04B555.40M455.70M
Total Debt1.56B1.52B904.60M770.50M105.80M52.40M
Total Liabilities2.79B2.87B2.41B1.98B1.14B1.05B
Stockholders Equity1.94B2.01B1.90B1.89B1.19B786.10M
Cash Flow
Free Cash Flow-253.50M-355.40M-710.90M-118.20M108.40M31.90M
Operating Cash Flow253.00M344.50M487.90M804.50M501.10M236.70M
Investing Cash Flow-657.80M-959.80M-628.90M-1.33B-322.20M-36.40M
Financing Cash Flow461.40M525.60M42.80M577.10M-64.50M-95.30M

Siltronic Technical Analysis

Technical Analysis Sentiment
Negative
Last Price36.92
Price Trends
50DMA
39.56
Negative
100DMA
38.10
Negative
200DMA
41.82
Negative
Market Momentum
MACD
-0.67
Negative
RSI
45.35
Neutral
STOCH
52.49
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:WAF, the sentiment is Negative. The current price of 36.92 is above the 20-day moving average (MA) of 36.56, below the 50-day MA of 39.56, and below the 200-day MA of 41.82, indicating a neutral trend. The MACD of -0.67 indicates Negative momentum. The RSI at 45.35 is Neutral, neither overbought nor oversold. The STOCH value of 52.49 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DE:WAF.

Siltronic Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
61
Neutral
$35.62B7.50-10.94%1.87%8.86%-10.27%
46
Neutral
€1.13B38.291.51%0.54%-0.55%-73.49%
$55.00B74.346.85%0.88%
€1.45B11.5923.45%
€599.63M229.45-14.35%
€514.59M9.1422.01%1.12%
$3.86B14.945.37%3.60%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
DE:WAF
Siltronic
36.90
-37.27
-50.25%
IFNNF
Infineon Technologies AG
41.90
6.22
17.43%
GB:0N9K
ELMOS Semiconductor
84.60
3.43
4.23%
GB:0G0X
First Sensor
58.00
-2.11
-3.51%
GB:0Q3C
Suss Microtec
27.20
-29.23
-51.80%
WKCMF
Wacker Chemie AG
78.66
-12.09
-13.32%
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.Date of analysis: Aug 06, 2025