X-Fab Silicon Foundries SE (XFAB) AI Stock Analysis

• Market Cap: €672.10M
• Dividend Yield: N/A
• Average Volume (3M): 178.85K
• Price to Earnings (P/E): 36.2
• Beta (1Y): 1.38
• Revenue Growth: -5.30%
• EPS Growth: -81.29%
• Country: FR
• Employees: 4,500
• Sector: Technology
• Sector Strength: 88
• Industry: Semiconductors
• EPS (TTM): 0.11
• Shares Outstanding: 130,781,680
• 10 Day Avg. Volume: 151,834
• 30 Day Avg. Volume: 178,852
• PEG Ratio: -0.18
• Price to Book (P/B): 0.67
• Price to Sales (P/S): 0.83
• P/FCF Ratio: -2.17
• 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: €6.50
• Price Target Upside: 26.46% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 57 Neutral
• Price Target: €5.00 ▼(-2.72% Downside)

The overall stock score for X-Fab Silicon Foundries SE is primarily influenced by its strong financial management and robust balance sheet. However, bearish technical indicators and a high P/E ratio suggest potential risks. The lack of earnings call data and corporate events further limits the assessment of future prospects.

Positive Factors

Strong Balance Sheet

A strong balance sheet with zero debt enhances financial stability, providing flexibility for strategic investments and resilience against downturns.

Operational Efficiency

High operational efficiency through strong EBIT and EBITDA margins supports sustained profitability and competitive positioning in the semiconductor industry.

Revenue Model

Long-term contracts provide stable revenue streams, reducing volatility and supporting predictable financial performance over time.

Negative Factors

Revenue Decline

Declining revenue and net income can impact growth prospects and may require strategic adjustments to regain momentum and financial health.

Negative Free Cash Flow

Negative free cash flow due to high capital expenditures could strain liquidity, necessitating careful management to avoid financial constraints.

Revenue Growth Challenges

A significant decline in revenue growth indicates potential challenges in market demand or competitive pressures, requiring strategic focus to reverse the trend.

X-Fab Silicon Foundries SE Business Overview & Revenue Model

Company Description

X-FAB Silicon Foundries SE operates as an analog/mixed-signal semiconductor technology foundry. The company manufactures silicon wafers for automotive, industrial, consumer, medical, and mobile communications, and other applications; and analog/mixed-signal integrated circuits, sensors, and micro-electro-mechanical systems. It also provides manufacturing and design support services for customers that design analog/mixed-signal integrated circuits and other semiconductor devices, as well as engineering and prototyping, outsourcing, technical, and design support services. The company serves integrated device manufacturers, original equipment manufacturers, and fabless semiconductor companies. It operates in Belgium, Germany, the United Kingdom, Austria, France, Switzerland, Denmark, Sweden, Finland, Netherlands, Ireland, Singapore, China, Japan, Thailand, Malaysia, Korea, Taiwan, Hong Kong, New Zealand, the United States, and internationally. The company was founded in 1992 and is based in Tessenderlo, Belgium. X-FAB Silicon Foundries SE is a subsidiary of XTRION NV.

How the Company Makes Money

XFAB generates revenue primarily through its silicon foundry services, which involve the fabrication of semiconductor wafers for clients in various industries. The company's key revenue streams include contract manufacturing agreements, where clients pay for the production of their specific semiconductor designs, and engineering services, which entail customization and optimization of semiconductor processes. Strategic partnerships with technology firms and collaborations with research institutions further enhance its capabilities, enabling XFAB to attract a diverse clientele. Additionally, the increasing demand for advanced semiconductor solutions, particularly in the automotive and healthcare sectors, provides significant growth opportunities that contribute to the company's earnings.

X-Fab Silicon Foundries SE Financial Statement Overview

Summary

X-Fab Silicon Foundries SE demonstrates strong financial management with a solid balance sheet and efficient operations. However, recent declines in revenue and net income, coupled with negative free cash flow, pose challenges that may affect future performance. Maintaining revenue stability and addressing capital expenditure impacts are key for sustained growth.

Income Statement

X-Fab Silicon Foundries SE has shown solid revenue growth over the years, albeit with a decline in 2024. The gross profit margin and net profit margin are reasonable, but there's room for improvement. The EBIT and EBITDA margins are strong, indicating operational efficiency. However, the decline in revenue and net income in 2024 raises concerns about sustainability.

Balance Sheet

The company's balance sheet is robust with a strong equity base and zero total debt in 2024, indicating financial stability. The return on equity is consistent, and the equity ratio is high, signaling a low leverage position. Overall, the balance sheet highlights a well-capitalized company with prudent financial management.

Cash Flow

Operating cash flow has been healthy, but the free cash flow turned negative in 2024 due to high capital expenditures, which could be a concern if not managed carefully. The cash flow to net income ratios suggest efficient cash conversion, but the negative free cash flow indicates potential liquidity constraints if high capital spending continues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	803.76M	816.38M	906.79M	739.47M	657.75M	477.59M
Gross Profit	172.40M	182.95M	258.05M	175.95M	149.98M	43.73M
EBITDA	187.05M	224.93M	256.19M	133.84M	150.55M	96.61M
Net Income	18.70M	61.52M	161.90M	52.49M	83.61M	13.55M
Balance Sheet
Total Assets	1.66B	1.90B	1.70B	1.26B	986.93M	832.80M
Cash, Cash Equivalents and Short-Term Investments	148.28M	215.84M	406.24M	369.43M	290.19M	205.87M
Total Debt	397.60M	414.13M	260.98M	296.94M	127.03M	76.21M
Total Liabilities	763.23M	876.66M	743.27M	458.09M	242.59M	173.12M
Stockholders Equity	895.00M	1.02B	960.54M	796.97M	743.97M	659.33M
Cash Flow
Free Cash Flow	-186.37M	-313.50M	72.17M	-80.59M	42.54M	35.90M
Operating Cash Flow	119.90M	196.05M	409.96M	99.99M	109.51M	74.35M
Investing Cash Flow	-300.69M	-496.13M	-323.62M	-174.98M	-65.15M	-31.93M
Financing Cash Flow	42.11M	116.30M	-53.16M	158.03M	48.23M	-16.63M

X-Fab Silicon Foundries SE Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 5.14
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FR:XFAB, the sentiment is Negative. The current price of 5.14 is above the 20-day moving average (MA) of 5.12, below the 50-day MA of 5.30, and below the 200-day MA of 5.73, indicating a bearish trend. The MACD of -0.04 indicates Negative momentum. The RSI at 48.45 is Neutral, neither overbought nor oversold. The STOCH value of 29.52 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FR:XFAB.

X-Fab Silicon Foundries SE Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
XFAB	57 Neutral	€672.10M	36.16	2.04%	―	-5.30%	-81.29%
STMMI	57 Neutral	€19.76B	42.29	3.17%	1.40%	-18.77%	-76.73%
SOI	56 Neutral	€820.87M	72.35	0.73%	―	-14.27%	-89.94%
WLN	52 Neutral	€460.27M	-0.10	-71.58%	―	-2.35%	-387.75%
ETL	39 Underperform	€1.99B	-0.95	-32.71%	―	2.53%	-192.58%