ChipMOS Technologies (IMOS) AI Stock Analysis

• Market Cap: $680.37M
• Dividend Yield: 4.39%
• Average Volume (3M): 20.29K
• Price to Earnings (P/E): 18.9
• Beta (1Y): 0.89
• Revenue Growth: -0.41%
• EPS Growth: -46.38%
• Country: US
• Employees: 5,688
• Sector: Technology
• Sector Strength: 87
• Industry: Semiconductors
• EPS (TTM): 0.22
• Shares Outstanding: 35,862,007
• 10 Day Avg. Volume: 33,717
• 30 Day Avg. Volume: 20,290
• PEG Ratio: 0.06
• Price to Book (P/B): 1.25
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -4.70
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 71 Outperform
• Price Target: $20.00 ▲(5.54%Upside)

ChipMOS Technologies has a stable financial position with growth in revenue and cash flows. However, challenges in profit margins and asset efficiency dampen the outlook. Technical indicators show positive trends but with caution due to potential overbought conditions. Despite the company's strategic initiatives to enhance shareholder value, immediate financial performance concerns from the latest earnings call and valuation levels suggest a moderate overall outlook.

ChipMOS Technologies Business Overview & Revenue Model

Company Description

ChipMOS TECHNOLOGIES INC. engages in the research, development, manufacture, and sale of high-integration and high-precision integrated circuits, and related assembly and testing services in Taiwan, People's Republic of China, Japan, Singapore, and internationally. It operates through Testing; Assembly; Testing and Assembly for LCD, OLED and other Display Panel Driver Semiconductors; Bumping; and Other segments. The company provides a range of back-end assembly and testing services, including engineering test, wafer probing, and final test of memory and logic/mixed-signal semiconductors, as well as leadframe-based and organic substrate-based package assembly services for memory and logic/mixed-signal semiconductors; and gold bumping, reel to reel assembly, and test services for LCD and other panel display driver semiconductors. Its semiconductors are used in personal computers; graphics applications, such as game consoles; communications equipment; mobile products comprising cellular handsets, tablets, and consumer electronic products; and automotive/industry and display applications, such as display panels. The company was incorporated in 1997 and is headquartered in Hsinchu, Taiwan.

How the Company Makes Money

ChipMOS Technologies generates revenue primarily through the provision of semiconductor assembly and testing services. The company's revenue model is based on long-term service agreements with major semiconductor companies that require their advanced back-end solutions. Key revenue streams include assembly services, where the company packages semiconductor chips, and testing services, which involve ensuring the quality and functionality of these chips before they are shipped to customers. Additionally, ChipMOS benefits from strategic partnerships and collaborations with major industry players, enabling it to maintain a steady stream of business and leverage technological advancements. The company's earnings are significantly influenced by the demand for semiconductor devices, which is driven by the broader global electronics market, including sectors such as consumer electronics, automotive, and telecommunications.

ChipMOS Technologies Financial Statement Overview

Summary

ChipMOS Technologies shows solid revenue growth but faces challenges in maintaining profit margins. The balance sheet is healthy with moderate leverage, and cash flows are strong, although they have declined. Enhancing operational efficiencies and cost management will be crucial for better profitability.

Income Statement

ChipMOS Technologies demonstrates a solid revenue growth trajectory with a recent increase to 22,695.9 million. However, gross profit margins have declined from historical values, currently at 12.97%, indicating pressure on cost management. The net profit margin is at a moderate 6.26%, impacted by decreased net income. EBIT and EBITDA margins are also under pressure, reflecting operational challenges.

Balance Sheet

The company's balance sheet shows a healthy equity position with a debt-to-equity ratio of 0.60, indicating moderate leverage. Return on Equity (ROE) is at 5.66%, highlighting average profitability relative to shareholder equity. The equity ratio is at a stable 55.24%, suggesting a strong asset base relative to liabilities, though improvements in asset utilization could enhance returns.

Cash Flow

ChipMOS Technologies maintains a strong operating cash flow with a significant free cash flow, although it has seen a decline compared to the previous year. The operating cash flow to net income ratio suggests efficient cash generation from operations. However, careful management of capital expenditure is essential to ensure sustainable free cash flow levels.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	22.70B	21.36B	23.52B	27.40B	23.01B
Gross Profit	2.94B	3.55B	4.91B	7.25B	5.03B
EBITDA	6.78B	7.09B	8.92B	10.79B	7.31B
Net Income	1.44B	1.97B	3.44B	4.94B	2.38B
Balance Sheet
Total Assets	45.38B	46.16B	44.94B	42.52B	35.08B
Cash, Cash Equivalents and Short-Term Investments	15.33B	12.44B	10.12B	6.30B	4.37B
Total Debt	15.16B	15.98B	14.89B	11.00B	8.61B
Total Liabilities	20.38B	21.31B	20.30B	18.14B	14.36B
Stockholders Equity	25.00B	24.85B	24.64B	24.39B	20.72B
Cash Flow
Free Cash Flow	859.43M	3.53B	3.92B	1.44B	1.98B
Operating Cash Flow	5.94B	6.61B	8.62B	7.32B	5.94B
Investing Cash Flow	-615.11M	-3.09B	-5.06B	-6.02B	-3.80B
Financing Cash Flow	-2.48B	-1.06B	416.89M	494.44M	-2.72B

ChipMOS Technologies Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 18.95
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IMOS, the sentiment is Positive. The current price of 18.95 is above the 20-day moving average (MA) of 18.71, above the 50-day MA of 17.90, and above the 200-day MA of 18.78, indicating a bullish trend. The MACD of 0.15 indicates Positive momentum. The RSI at 56.82 is Neutral, neither overbought nor oversold. The STOCH value of 35.53 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IMOS.

ChipMOS Technologies Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AMKR	74 Outperform	$5.51B	17.48	7.76%	1.48%	-1.93%	-15.55%
IMOS	71 Outperform	$680.37M	18.95	4.72%	4.39%	-0.41%	-46.38%
Sector *	63 Neutral	$34.04B	6.14	-11.52%	1.82%	5.53%	-18.79%
COHU	63 Neutral	$954.24M	―	-9.87%	―	-30.75%	-3668.44%
ICHR	57 Neutral	$775.20M	―	-2.35%	―	13.41%	72.56%
AAOI	54 Neutral	$1.50B	―	-68.45%	―	50.30%	-111.11%
LASR	54 Neutral	$970.74M	―	-24.12%	―	2.66%	-11.35%