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

• Market Cap: €854.99M
• Dividend Yield: N/A
• Average Volume (3M): 178.85K
• Price to Earnings (P/E): 30.5
• Beta (1Y): 1.24
• Revenue Growth: -9.34%
• EPS Growth: -75.43%
• Country: FR
• Employees: 4,500
• Sector: Technology
• Sector Strength: 88
• Industry: Semiconductors
• EPS (TTM): 0.00
• 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: €7.50
• Price Target Upside: 15.38% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 63 Neutral
• Price Target: €7.00 ▲(7.69% Upside)

The overall stock score of 63 reflects a combination of strong financial management and operational efficiency, offset by recent declines in revenue and net income, negative free cash flow, and weak technical indicators. The high P/E ratio suggests the stock is overvalued, which, along with the absence of a dividend yield, limits its appeal. Addressing these financial and market challenges is crucial for future performance.

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 foundry services, which involve the fabrication of semiconductors for a diverse array of clients. The company's revenue model is based on charging customers for manufacturing services, which can include wafer processing, assembly, and testing of semiconductor products. Key revenue streams are derived from long-term contracts with clients in various sectors, ensuring a steady flow of income. Additionally, XFAB benefits from partnerships with technology firms and research institutions, which can lead to collaborative projects and shared innovations. The increasing demand for customized semiconductor solutions and the growth of sectors such as automotive and industrial IoT (Internet of Things) further contribute to the company's earnings, positioning XFAB as a crucial player in the semiconductor industry.

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	814.52M	816.38M	906.79M	739.47M	657.75M	477.59M
Gross Profit	182.29M	182.95M	258.05M	175.95M	149.98M	43.73M
EBITDA	199.90M	224.93M	256.19M	133.84M	150.55M	96.61M
Net Income	30.45M	61.52M	161.90M	52.49M	83.61M	13.55M
Balance Sheet
Total Assets	1.95B	1.90B	1.70B	1.26B	986.93M	832.80M
Cash, Cash Equivalents and Short-Term Investments	155.01M	215.84M	406.24M	369.43M	290.19M	205.87M
Total Debt	0.00	414.13M	260.98M	296.94M	127.03M	76.21M
Total Liabilities	914.87M	876.66M	743.27M	458.09M	242.59M	173.12M
Stockholders Equity	1.04B	1.02B	960.54M	796.97M	743.97M	659.33M
Cash Flow
Free Cash Flow	-278.62M	-313.50M	72.17M	-80.59M	42.54M	35.90M
Operating Cash Flow	159.62M	196.05M	409.96M	99.99M	109.51M	74.35M
Investing Cash Flow	-431.00M	-496.13M	-323.62M	-174.98M	-65.15M	-31.93M
Financing Cash Flow	128.64M	116.30M	-53.16M	158.03M	48.23M	-16.63M

X-Fab Silicon Foundries SE Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 6.50
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• 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 6.5 is below the 20-day moving average (MA) of 6.80, below the 50-day MA of 6.78, and above the 200-day MA of 5.67, indicating a neutral trend. The MACD of -0.05 indicates Positive momentum. The RSI at 42.03 is Neutral, neither overbought nor oversold. The STOCH value of 38.23 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
SOI	69 Neutral	€1.35B	14.71	5.91%	―	-8.90%	-48.52%
XFAB	63 Neutral	€854.99M	30.51	3.08%	―	-9.34%	-75.43%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
STMMI	54 Neutral	€22.15B	38.58	3.17%	1.46%	-18.77%	-76.73%
WLN	52 Neutral	€690.26M	―	-71.58%	―	-2.35%	-387.75%
ETL	46 Neutral	€1.60B	―	-32.71%	―	2.53%	-192.60%