Qualitau (QLTU) AI Stock Analysis

• Market Cap: 1.77B
• Dividend Yield: 3.51%
• Average Volume (3M): 12.84K
• Price to Earnings (P/E): 32.8
• Beta (1Y): 0.69
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: IL
• Employees: 72
• Sector: Technology
• Sector Strength: 85
• Industry: Semiconductors
• EPS (TTM): 11.81
• Shares Outstanding: 4,556,264
• 10 Day Avg. Volume: 13,161
• 30 Day Avg. Volume: 12,841
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: 43,917.00
• Price Target Upside: 5.82% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 71 Outperform
• Price Target: 43,917.00 ▲(5.82% Upside)

Qualitau's strong financial performance and robust cash flow generation are major strengths, providing a solid foundation for the company. However, technical indicators suggest the stock may be overbought, and the high P/E ratio raises concerns about overvaluation. The attractive dividend yield offers a silver lining for income-focused investors.

Positive Factors

Cash Flow Generation

Strong cash flow generation ensures liquidity and supports future investments, enabling Qualitau to fund growth initiatives and maintain financial stability.

Balance Sheet Health

A low debt-to-equity ratio indicates financial stability and flexibility, allowing Qualitau to withstand economic fluctuations and invest in growth opportunities.

Profitability

High profitability through efficient cost management supports sustainable growth and provides a competitive edge in the semiconductor industry.

Negative Factors

Revenue Growth Slowdown

A slowdown in revenue growth may indicate market saturation or increased competition, necessitating strategic initiatives to drive future growth.

Industry Competition

High competition in the semiconductor industry can pressure margins and require continuous innovation to maintain market position and profitability.

Dependence on Semiconductor Market

Heavy reliance on the semiconductor market exposes Qualitau to cyclical downturns and demand fluctuations, impacting revenue stability.

Qualitau Business Overview & Revenue Model

Company Description

Qualitau (QLTU) is a company specializing in the development and manufacture of advanced testing and diagnostic solutions for the semiconductor industry. The company provides cutting-edge products and services that enable semiconductor manufacturers to enhance the reliability and performance of their products. Qualitau's core offerings include reliability testing systems, wafer-level reliability test equipment, and comprehensive software solutions designed to optimize testing processes and data analysis.

How the Company Makes Money

Qualitau makes money primarily through the sale of its testing and diagnostic equipment to semiconductor manufacturers and research institutions. This includes revenue from hardware sales, as well as software licensing fees for its proprietary testing and data analysis software. The company may also generate income from maintenance and support services, which provide ongoing technical assistance and updates for its products. Additionally, Qualitau could have partnerships with major semiconductor companies, contributing to its revenue through collaborative projects and joint ventures. Key factors that contribute to its earnings include the growing demand for high-performance semiconductors and the increasing complexity of semiconductor devices, which drive the need for advanced testing solutions.

Qualitau Financial Statement Overview

Summary

Qualitau is in a robust financial position with strong profitability, low leverage, and excellent cash flow generation. The company maintains a solid net profit margin and a strong balance sheet with a low debt-to-equity ratio. Despite a slowdown in revenue growth, the company's financial health supports future expansion.

Income Statement

Qualitau demonstrates a strong and consistent revenue growth, with a notable increase in total revenue from $29.05 million in 2021 to $46.25 million in 2024. The gross profit margin remains robust at approximately 67.1% in 2024. The company also maintains a solid net profit margin of 30.1% in 2024, reflecting strong cost management and profitability. However, the growth rate in revenue has slowed in the most recent year, signaling a need for continued strategic expansion.

Balance Sheet

The balance sheet is strong with a low debt-to-equity ratio of 0.08 in 2024, highlighting low leverage and financial stability. The return on equity is high at 29%, indicating efficient use of shareholder funds. The equity ratio is 77.8%, suggesting a solid capital structure with a high proportion of assets financed by equity. The company has shown a consistent improvement in asset and equity positions over the years, reinforcing its financial health.

Cash Flow

Qualitau exhibits excellent cash flow management, with a significant increase in free cash flow from $72,000 in 2020 to $15.99 million in 2024. The operating cash flow to net income ratio is strong, reflecting effective conversion of income into cash. The free cash flow to net income ratio is also favorable, ensuring sufficient liquidity to support operations and growth initiatives. The consistent positive cash flow positions the company well for future investments.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	53.79M	46.25M	41.11M	41.17M	29.05M	22.52M
Gross Profit	37.12M	31.05M	27.65M	27.29M	17.89M	13.71M
EBITDA	23.43M	18.17M	14.32M	14.81M	6.19M	3.27M
Net Income	19.89M	13.91M	12.30M	11.64M	6.43M	2.74M
Balance Sheet
Total Assets	65.01M	61.56M	47.35M	40.46M	29.74M	25.99M
Cash, Cash Equivalents and Short-Term Investments	32.66M	35.31M	25.77M	14.94M	11.86M	9.55M
Total Debt	3.43M	3.69M	73.00K	2.15M	3.62M	9.64M
Total Liabilities	8.95M	13.64M	7.37M	8.83M	6.24M	6.40M
Stockholders Equity	56.05M	47.91M	39.98M	31.63M	23.51M	19.59M
Cash Flow
Free Cash Flow	14.90M	15.99M	16.24M	7.51M	5.81M	72.00K
Operating Cash Flow	15.02M	16.46M	16.29M	7.55M	5.86M	484.00K
Investing Cash Flow	-117.00K	-508.00K	-788.00K	-32.00K	-32.00K	-528.00K
Financing Cash Flow	-6.68M	-6.41M	-4.67M	-4.44M	-3.52M	770.00K

Qualitau Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 41500.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IL:QLTU, the sentiment is Positive. The current price of 41500 is above the 20-day moving average (MA) of 38738.53, above the 50-day MA of 39085.14, and above the 200-day MA of 28798.62, indicating a bullish trend. The MACD of 279.82 indicates Negative momentum. The RSI at 60.46 is Neutral, neither overbought nor oversold. The STOCH value of 79.24 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IL:QLTU.

Qualitau Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MLTM	71 Outperform	2.67B	26.77		―	12.51%	45.01%
QLTU	71 Outperform	1.77B	32.83		3.51%	―	―
UNIT	70 Outperform	322.11M	11.02		11.61%	-22.58%	-42.91%
ORBI	67 Neutral	980.12M	21.23		4.48%	13.62%	10.28%
Sector *	61 Neutral	$36.58B	11.16	-10.43%	1.86%	8.71%	-7.09%
CMDR	―	1.60B	16.86		3.52%	―	―
TLSY	67 Neutral	1.81B	16.24		7.58%	-13.85%	-15.46%