BE Semiconductor (BESI) AI Stock Analysis

• Market Cap: €10.44B
• Dividend Yield: 1.66%
• Average Volume (3M): 504.84K
• Price to Earnings (P/E): 69.2
• Beta (1Y): 1.82
• Revenue Growth: -5.75%
• EPS Growth: -17.63%
• Country: NL
• Employees: 1,820
• Sector: Technology
• Sector Strength: 88
• Industry: Semiconductors
• EPS (TTM): 0.32
• Shares Outstanding: 81,146,736
• 10 Day Avg. Volume: 587,283
• 30 Day Avg. Volume: 504,841
• PEG Ratio: 43.58
• Price to Book (P/B): 20.82
• Price to Sales (P/S): 17.18
• P/FCF Ratio: 61.53
• 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: €154.56
• Price Target Upside: 17.58% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 9
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 57 Neutral
• Price Target: €134.00 ▲(1.94% Upside)

BE Semiconductor's overall stock score reflects solid financial performance but is weighed down by technical indicators suggesting bearish momentum and a high P/E ratio indicating overvaluation. The lack of earnings call data and corporate events further limits the score.

Positive Factors

Operational Efficiency

Strong profit margins indicate efficient cost management, allowing BESI to sustain profitability even amid revenue challenges.

Cash Generation

Robust cash generation from operations ensures BESI can fund its operations and investments without relying heavily on external financing.

Return on Equity

A strong return on equity reflects BESI's ability to generate profits from shareholders' investments, enhancing investor confidence.

Negative Factors

Revenue Growth Decline

Declining revenue growth suggests challenges in market expansion or demand, potentially impacting future profitability and market position.

Increasing Leverage

High leverage can strain financial flexibility and increase risk, especially if revenue growth does not recover to support debt servicing.

Free Cash Flow Decline

Declining free cash flow growth may limit BESI's ability to invest in growth opportunities or repay debt, affecting long-term financial health.

BE Semiconductor Business Overview & Revenue Model

Company Description

BE Semiconductor Industries N.V. develops, manufactures, markets, sells, and services semiconductor assembly equipment for the semiconductor and electronics industries worldwide. The company's principal products include die attach equipment, such as single chip, multi chip, multi module, flip chip, thermal compression bonding, fan out wafer level packaging, hybrid and embedded bridge die bonding, and die sorting systems; and packaging equipment, including conventional, ultra thin, and wafer level molding, as well as trim and form, and singulation systems. Its principal products also comprise plating equipment comprising tin, copper, and precious metal and solar plating systems, as well as related process chemicals; and tooling, conversion kits, spare parts, and other services. The company's principal brand names include Datacon, Esec, Fico, and Meco. It offers its products primarily to multinational chip manufacturers, assembly subcontractors, and electronics and industrial companies. The company was incorporated in 1995 and is headquartered in Duiven, the Netherlands.

How the Company Makes Money

BESI generates revenue primarily through the sale of its semiconductor packaging equipment and related services. The company's revenue model is heavily reliant on direct sales to semiconductor manufacturers and foundries, where it earns income from both new equipment sales and after-sales services, including maintenance and upgrades. Key revenue streams include the sale of die bonders, wire bonders, and other advanced packaging solutions. BESI also benefits from strategic partnerships with leading semiconductor companies, positioning it to capitalize on industry trends and increased demand for advanced packaging technologies. The company's financial performance is influenced by the cyclical nature of the semiconductor industry, with revenue spikes often occurring during periods of high demand for electronic devices.

BE Semiconductor Financial Statement Overview

Summary

BE Semiconductor exhibits strong profitability and cash flow management, but faces challenges with declining revenue growth and increased leverage. The company maintains robust margins, indicating operational efficiency, yet the high debt levels could impact financial flexibility. While cash flow remains strong, the negative revenue growth trend and increased financial leverage are areas to monitor closely for future stability.

Income Statement

BE Semiconductor's income statement shows a mixed performance. The TTM data indicates a decline in revenue growth rate by 50.8%, reflecting a challenging market environment. However, the company maintains strong profitability with a gross profit margin of 63.3% and a net profit margin of 28.2%. The EBIT and EBITDA margins are also robust at 33.9% and 38.8%, respectively, indicating efficient cost management. Despite the revenue decline, the company remains profitable, but the negative growth trend is a concern.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 1.51 in the TTM period, indicating increased leverage, which could pose financial risks. The return on equity is strong at 36.9%, showcasing effective use of equity to generate profits. However, the equity ratio is not provided, limiting a full assessment of asset financing. The increased leverage and reduced equity base compared to previous years suggest potential financial stability concerns.

Cash Flow

Cash flow analysis shows positive trends with a 6.2% growth in free cash flow in the TTM period. The operating cash flow to net income ratio is healthy at 1.44, indicating strong cash generation relative to net income. The free cash flow to net income ratio of 0.84 suggests efficient conversion of earnings into cash. Overall, the company demonstrates solid cash flow management, although the growth rate has slowed compared to previous years.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	578.39M	607.47M	578.86M	722.87M	749.30M	433.62M
Gross Profit	356.89M	395.94M	375.79M	443.07M	446.82M	258.57M
EBITDA	211.38M	224.19M	245.09M	317.11M	332.37M	159.96M
Net Income	148.13M	181.99M	177.08M	240.65M	282.42M	132.28M
Balance Sheet
Total Assets	1.07B	1.23B	896.55M	1.14B	1.14B	911.36M
Cash, Cash Equivalents and Short-Term Investments	518.56M	342.32M	188.48M	491.69M	451.39M	375.41M
Total Debt	537.86M	544.71M	319.16M	342.88M	312.48M	409.88M
Total Liabilities	707.23M	733.21M	475.14M	506.65M	524.77M	540.13M
Stockholders Equity	361.16M	501.26M	421.41M	628.53M	619.27M	371.23M
Cash Flow
Free Cash Flow	165.61M	169.61M	180.55M	243.48M	249.50M	140.16M
Operating Cash Flow	194.07M	201.08M	208.57M	271.87M	277.85M	162.02M
Investing Cash Flow	113.23M	-136.48M	-72.95M	16.32M	-24.84M	-115.44M
Financing Cash Flow	-267.43M	88.67M	-439.80M	-247.68M	-182.07M	51.85M

BE Semiconductor Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 131.45
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NL:BESI, the sentiment is Neutral. The current price of 131.45 is below the 20-day moving average (MA) of 133.08, below the 50-day MA of 137.34, and above the 200-day MA of 119.60, indicating a neutral trend. The MACD of -0.42 indicates Positive momentum. The RSI at 45.68 is Neutral, neither overbought nor oversold. The STOCH value of 13.67 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for NL:BESI.

BE Semiconductor Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ASML	76 Outperform	€333.85B	36.06	53.85%	0.73%	22.77%	37.62%
NEDAP	76 Outperform	€577.30M	27.59	29.06%	3.55%	4.11%	22.38%
ASM	75 Outperform	€24.73B	31.78	21.56%	0.58%	19.12%	42.78%
TWEKA	71 Outperform	€1.44B	22.76	7.75%	4.11%	-3.59%	-46.68%
THEON	69 Neutral	€2.13B	27.01	―	1.91%	―	―
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
BESI	57 Neutral	€10.44B	69.18	35.84%	1.66%	-5.75%	-17.63%