5N Plus (VNP) AI Stock Analysis

• Market Cap: C$2.55B
• Dividend Yield: N/A
• Average Volume (3M): 243.93K
• Price to Earnings (P/E): 22.3
• Beta (1Y): 0.94
• Revenue Growth: 30.36%
• EPS Growth: 181.15%
• Country: CA
• Employees: 793
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): 0.11
• Shares Outstanding: 89,074,050
• 10 Day Avg. Volume: 360,117
• 30 Day Avg. Volume: 243,931
• PEG Ratio: 0.09
• Price to Book (P/B): 5.79
• Price to Sales (P/S): 2.89
• P/FCF Ratio: 23.91
• 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: C$32.75
• Price Target Upside: 14.23% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): 0.64
• Revenue Forecast (FY): C$451.27M

• Rating: 76 Outperform
• Price Target: C$34.00 ▲(18.59% Upside)
• Action: Reiterated Date: 02/26/26
• Date: Action: Reiterated 02/26/26

The score is driven primarily by a strong financial turnaround (improved margins, better leverage) and bullish technicals (price above all key moving averages with positive MACD). This is tempered by a rich valuation (P/E ~37.8) and the need to prove more consistent cash conversion, while earnings-call guidance and backlog provide supportive forward visibility despite acknowledged margin and timing risks.

Positive Factors

Strong revenue and EBITDA growth

5N Plus delivered robust top-line and profitability expansion with a sizable quarter of volume and price/mix gains, and management raised full-year EBITDA guidance. Sustained demand in specialty segments supports medium-term cash generation and scale economics across plants.

High margins and profitable product mix

The company’s engineered, high‑purity materials command premium margins, especially in Performance Materials. Persistent high gross and EBIT margins reflect durable product differentiation, pricing power in technical metals, and ability to sustain profitability through cycles.

Improving cash generation and strong ROE

Significant FCF growth and a high ROE indicate efficient capital deployment and improving cash conversion trends. Combined with a moderate leverage profile, this enhances financial flexibility to fund maintenance, targeted investments, and customer service in specialty markets over the coming quarters.

Negative Factors

Weak cash conversion ratios

Despite rising free cash in absolute terms, low conversion ratios show earnings are not translating into cash efficiently. This suggests working capital, timing, or margin volatility risks that could constrain sustainable investment capacity and leave the company sensitive to demand swings.

Input-cost and geopolitical exposure

Reliance on niche raw materials exposes margins to supply disruptions and price spikes tied to geopolitics. Persistent input volatility can erode profitability, complicate long-term contracts, and require inventory or hedging strategies that increase working capital needs and operational complexity.

Seasonality and near-term maintenance risks

Planned maintenance and historical seasonality create predictable but material quarter-to-quarter EBITDA variability. For capital-intensive specialty processing, such disruptions reduce near-term cash flow and can delay margin recovery, pressuring working capital and the timing of strategic initiatives.

5N Plus Business Overview & Revenue Model

Company Description

5N Plus Inc. produces and sells semiconductors in North America, Europe, and Asia. It operates through Specialty Semiconductors and Performance Material segments. The company offers low melting point alloys, semiconductor compounds and wafers, as well as various chemicals, and metals. It is also involved in manufacture of metallic powders for micro-electronic and manufacturing applications. In addition, the company is involved in animal feed additives and pharmaceutical ingredients as well as offers recycling services. The company serves renewable energy, security, space, pharmaceutical, medical imaging, manufacturing, electronic, consumer, and industrial applications.5N Plus Inc. is headquartered in Montreal, Canada.

How the Company Makes Money

5N Plus generates revenue through the sale of its high-purity metals and specialty chemicals to various industries, including renewable energy, electronics, and healthcare. Key revenue streams include the production of specialty materials for solar panels, where the company supplies critical components that enhance efficiency and performance. Additionally, 5N Plus benefits from strategic partnerships with leading technology companies and research institutions, which not only help to drive innovation but also secure long-term contracts that provide steady revenue. The company's commitment to sustainability and its ability to recycle precious metals further contribute to its earnings, allowing it to capitalize on growing environmental concerns and regulatory requirements within its target markets.

5N Plus Financial Statement Overview

Summary

Profitability and growth have improved materially in TTM (net margin ~12.2% vs ~5.1% in 2024) with healthier leverage (debt-to-equity ~0.76) and a strong ROE (~26.8%). Offsetting this, cash flow consistency is still a watch item (FCF ~61% of net income; 2024 had negative OCF/FCF) and results have been volatile historically (including a 2022 loss year).

Income Statement

TTM (Trailing-Twelve-Months) results show a strong profitability step-up with healthy margins (gross margin ~30.7%, EBIT margin ~18.5%, net margin ~12.2%) alongside solid revenue growth (~9.1%). This is a clear improvement versus 2024 (net margin ~5.1%) and especially 2022 (loss year). The main weakness is historical volatility—revenue growth and profits were uneven across the cycle, including a sharp profitability dip in 2022.

Balance Sheet

Leverage has improved meaningfully: debt-to-equity is ~0.76 in TTM (Trailing-Twelve-Months) versus ~1.09 in 2024 and ~1.34 in 2022, alongside rising equity. Returns are strong in TTM (ROE ~26.8%), reflecting the earnings rebound. The key risk is that debt remains material in absolute terms and leverage was elevated in prior years, which suggests the balance sheet is better but still not “low-risk” through a downturn.

Cash Flow

Cash generation has rebounded sharply in TTM (Trailing-Twelve-Months), with positive operating cash flow (~$67.5M) and free cash flow (~$47.0M) and strong free cash flow growth (~78%). However, cash conversion is not fully clean: free cash flow is only about ~61% of net income in TTM, and 2024 showed negative operating and free cash flow. Overall, the trajectory is positive, but consistency remains a watch item.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	397.91M	289.28M	242.37M	264.22M	209.99M
Gross Profit	118.11M	77.87M	57.54M	48.51M	38.78M
EBITDA	93.15M	49.82M	43.88M	5.17M	25.24M
Net Income	51.45M	14.67M	15.40M	-23.00M	3.11M
Balance Sheet
Total Assets	474.27M	376.91M	350.20M	347.99M	373.59M
Cash, Cash Equivalents and Short-Term Investments	61.66M	22.14M	34.71M	42.69M	35.94M
Total Debt	167.67M	151.60M	138.64M	151.40M	148.64M
Total Liabilities	275.66M	237.89M	221.61M	235.21M	237.34M
Stockholders Equity	198.60M	139.02M	128.59M	112.78M	136.25M
Cash Flow
Free Cash Flow	48.07M	-28.07M	-992.00K	6.69M	4.34M
Operating Cash Flow	68.57M	-6.89M	17.25M	23.74M	10.27M
Investing Cash Flow	-14.14M	-17.98M	-12.36M	-18.99M	-49.93M
Financing Cash Flow	-16.74M	12.39M	-13.00M	2.41M	36.22M

5N Plus Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 28.67
• 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 TSE:VNP, the sentiment is Positive. The current price of 28.67 is below the 20-day moving average (MA) of 29.04, above the 50-day MA of 24.81, and above the 200-day MA of 17.53, indicating a neutral trend. The MACD of 1.07 indicates Positive momentum. The RSI at 54.80 is Neutral, neither overbought nor oversold. The STOCH value of 49.34 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:VNP.

5N Plus Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VNP	76 Outperform	C$2.55B	22.34	26.65%	―	30.36%	181.15%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
HG	52 Neutral	C$2.87B	-49.83	-86.76%	―	331.08%	15.77%
NEO	50 Neutral	C$1.06B	108.72	-1.58%	2.55%	8.04%	-195.66%
GMG	44 Neutral	C$268.52M	-3.44	-92.59%	―	6.29%	-3.71%
CNO	42 Neutral	C$13.88M	-2.61	-86.94%	―	-15.84%	-375.96%
NANO	42 Neutral	C$106.41M	-4.53	-64.59%	―	―	56.03%

5N Plus Corporate Events

5N Plus Delivers Record 2025 Results and Sharp Earnings Growth on Specialty Semiconductor Demand

5N Plus reported record fiscal 2025 results, with revenue climbing 35% to $391.1 million and adjusted EBITDA surging 73% to $92.4 million, driven by higher specialty semiconductor volumes and improved pricing for bismuth-based products. Net earnings more than tripled to $50.6 million, backlog expanded to $394.9 million, and net debt was halved, strengthening the balance sheet as the company targets further EBITDA growth in 2026.

Management highlighted robust demand from terrestrial renewable energy and space solar power, underpinned by growing solar adoption and expanding satellite and security applications. With a leading position outside China in ultra-high-purity semiconductor compounds and medium- to long-term growth prospects in imaging, sensing, security and medical detection, 5N Plus is positioning itself as a key supplier to critical advanced materials value chains.

The most recent analyst rating on (TSE:VNP) stock is a Buy with a C$31.00 price target. To see the full list of analyst forecasts on 5N Plus stock, see the TSE:VNP Stock Forecast page.

5N Plus Boosts Space Solar Cell Capacity Again to Meet Surging Satellite Demand

5N Plus, through its subsidiary AZUR SPACE Solar Power, is ramping up space solar cell production with a further 25% capacity increase planned for 2026, on top of expansions of 35% in 2024 and 30% in 2025, to meet surging demand driven by AI-related data processing, satellite connectivity, Earth observation and security applications. By optimizing processes, automating both front‑end and back‑end operations, and using existing facilities to add capacity with limited new investment, the company aims to capitalize on a full order backlog and strong project pipeline, reinforcing its leadership in space-grade solar technology and supporting continued growth initiatives for satellite and space-mission customers.

The most recent analyst rating on (TSE:VNP) stock is a Buy with a C$27.00 price target. To see the full list of analyst forecasts on 5N Plus stock, see the TSE:VNP Stock Forecast page.

5N Plus to Boost Space Solar Cell Capacity Again as Satellite Demand Surges

5N Plus, through its wholly owned subsidiary AZUR SPACE Solar Power, is expanding space solar cell production with an additional 25% capacity increase planned for 2026, on top of 30% in 2025 and 35% in 2024, as demand surges for satellite and space-mission power systems driven by AI, connectivity, observation and security applications. The company is capitalizing on strong backlog and a robust project pipeline by scaling operations largely within existing facilities through process optimization and automation across epitaxy, cell production, assembly and testing, a move that reinforces its leadership in high‑performance space solar technology and supports its growth strategy in an increasingly mission‑critical segment of the semiconductor market.

The most recent analyst rating on (TSE:VNP) stock is a Buy with a C$27.00 price target. To see the full list of analyst forecasts on 5N Plus stock, see the TSE:VNP Stock Forecast page.

5N Plus Wins US$18.1 Million U.S. Grant to Boost Germanium Output in Utah

5N Plus has secured a US$18.1 million grant from the U.S. government to expand germanium recycling and refining capacity at its St. George, Utah facility, aiming to significantly increase supply for optics and solar germanium crystal applications. Over the next four years, the investment is expected to enable the company to recover and valorize up to 20 metric tons of high‑purity germanium annually from industrial residues and mining by‑products, bolstering U.S. supply chains for advanced defense and space technologies and reinforcing 5N Plus’s role as a strategic, domestically aligned supplier of critical semiconductor materials.

The most recent analyst rating on (TSE:VNP) stock is a Hold with a C$22.00 price target. To see the full list of analyst forecasts on 5N Plus stock, see the TSE:VNP Stock Forecast page.