Xperi Inc (XPER) AI Stock Analysis

• Market Cap: $344.94M
• Dividend Yield: N/A
• Average Volume (3M): 238.86K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.08
• Revenue Growth: -4.77%
• EPS Growth: 84.82%
• Country: US
• Employees: 1,620
• Sector: Technology
• Sector Strength: 90
• Industry: Semiconductors
• EPS (TTM): 0.16
• Shares Outstanding: 45,687,073
• 10 Day Avg. Volume: 240,563
• 30 Day Avg. Volume: 238,860
• PEG Ratio: 0.24
• Price to Book (P/B): 0.88
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 1.08
• Enterprise Value/Market Cap: 0.84
• Enterprise Value/Revenue: 0.15
• Enterprise Value/Gross Profit: 0.77
• Enterprise Value/Ebitda: 5.67
• 1Y Price Target: $23.00
• Price Target Upside: 205.04% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 3

• Rating: 59 Neutral
• Price Target: $8.00 ▲(6.10%Upside)

Xperi Inc's overall stock score is primarily influenced by its stable financial position and recent improvements in cash flow and EBITDA. However, valuation challenges and mixed technical signals weigh on the score. The earnings call highlighted strategic growth initiatives but also acknowledged revenue declines, contributing to a cautious outlook.

Positive Factors

Financial Performance

Xperi Inc. reported a significant increase in adjusted EBITDA, up 70% year-over-year, showcasing strong financial performance despite a revenue decline.

Market Valuation

Shares of Xperi Inc. trade at a lower EV/EBITDA multiple compared to the peer group average, supporting the Buy rating.

Platform Strategy

The company's TiVO OS platform strategy is expected to drive a 6.8% revenue growth for 2026 and is not affected by minimum value contract revenue recognition issues.

Negative Factors

Media Platform Revenue

The revenue decline in Xperi's media platform was influenced by the timing of revenue recognition and a shift in customer ad spending, impacting financial results.

Revenue Decline

1Q25 results showed a revenue decline of 4% year-over-year, which was lighter than expected.

Secular Trends

Pay TV revenue declined due to secular trends and the timing of revenue recognition around signed contracts.

Xperi Inc Business Overview & Revenue Model

Company Description

Xperi Inc. operates as a consumer and entertainment product and intellectual property licensing company. The Company invents, develops, and delivers technologies integrated into smart devices, media platforms, and semiconductors.

How the Company Makes Money

Xperi Inc generates revenue primarily through the licensing of its intellectual property and technology to manufacturers of consumer electronics and entertainment devices. The company's key revenue streams include licensing fees from its portfolio of audio and imaging technologies, which are embedded in products such as smartphones, TVs, and automotive systems. Additionally, Xperi earns money from its semiconductor packaging solutions, which are used in the production of microchips and related components. Significant partnerships with leading electronics manufacturers and automotive companies also contribute to its earnings, as these relationships help drive the adoption of Xperi's technologies in various products.

Xperi Inc Financial Statement Overview

Summary

Xperi Inc's financial performance reflects a mix of stability and challenges. The income statement shows volatility but recent improvements in net income. The balance sheet is stable with low leverage, although profitability and equity returns need enhancement. Cash flow has recovered strongly, indicating improved cash generation capabilities.

Income Statement

Xperi Inc has shown volatility in its revenue growth with significant fluctuations over the years. The company reported a positive net income in TTM, indicating an improvement from previous losses. However, margins such as the gross profit and EBITDA are under pressure, reflecting challenges in maintaining profitability. The EBIT margin remains negative, suggesting operational inefficiencies.

Balance Sheet

The balance sheet of Xperi Inc indicates a relatively stable financial position. The debt-to-equity ratio is low, highlighting manageable leverage levels. However, the equity ratio has decreased over time, showing a decline in the proportion of equity financing. The company's return on equity is still low, which points to the limited ability to generate returns on shareholder investments.

Cash Flow

Xperi Inc's cash flow statements reveal a strong recovery in free cash flow in the TTM period. The free cash flow growth rate is impressive, indicating improved cash generation capabilities. The operating cash flow to net income ratio is strong, suggesting effective cash management. However, historical negative free cash flow indicates past challenges in cash sustainability.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	493.69M	388.79M	502.26M	486.48M	376.10M
Gross Profit	379.93M	270.16M	379.31M	360.86M	298.31M
EBITDA	70.60M	-53.53M	-54.44M	-33.93M	-37.69M
Net Income	-14.01M	-136.61M	-761.21M	-181.86M	-141.29M
Balance Sheet
Total Assets	667.76M	673.63M	736.91M	1.23B	2.70B
Cash, Cash Equivalents and Short-Term Investments	130.56M	142.09M	160.13M	120.69M	257.13M
Total Debt	85.28M	95.36M	109.86M	63.74M	857.24M
Total Liabilities	238.68M	286.50M	287.93M	212.75M	1.25B
Stockholders Equity	429.08M	404.23M	463.42M	1.03B	1.46B
Cash Flow
Free Cash Flow	-72.29M	-12.87M	-42.82M	-32.53M	-30.81M
Operating Cash Flow	-55.34M	62.00K	-28.45M	-23.45M	-23.78M
Investing Cash Flow	50.82M	-12.93M	-64.85M	-21.48M	26.52M
Financing Cash Flow	-19.35M	7.05M	135.75M	83.33M	34.24M

Xperi Inc Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 7.54
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For XPER, the sentiment is Negative. The current price of 7.54 is below the 20-day moving average (MA) of 7.80, below the 50-day MA of 7.86, and below the 200-day MA of 8.47, indicating a bearish trend. The MACD of -0.08 indicates Positive momentum. The RSI at 41.49 is Neutral, neither overbought nor oversold. The STOCH value of 35.44 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for XPER.

Xperi Inc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NVEC	67 Neutral	$308.32M	21.21	23.09%	6.31%	-9.22%	-13.57%
AEHR	63 Neutral	$634.73M	19.55	-3.34%	―	-10.95%	-111.40%
NVTS	61 Neutral	$1.72B	―	-26.43%	―	-16.95%	-2.47%
XPER	59 Neutral	$344.94M	―	-4.71%	―	-4.77%	84.82%
Sector *	57 Neutral	HK$14.47B	5.85	-5.77%	4.75%	9.65%	-43.80%
BZAI	56 Neutral	$406.73M	―	-375.37%	―	―	-10774.57%
WOLF	40 Underperform	$277.02M	―	-180.49%	―	-9.62%	-30.36%

Xperi Inc Corporate Events

Xperi Inc. Announces New Executive Bonus Plan

On January 21, 2025, Xperi Inc.’s Board of Directors’ Compensation Committee approved a new Annual Bonus Plan, which awards cash incentives to executive officers based on pre-set performance criteria. The 2025 target bonuses for executives Jon Kirchner, Robert Andersen, and Geir Skaaden are tied to the company’s financial performance, with Skaaden’s bonus also linked to operational objectives. The target bonus amounts remain unchanged, and the awards are subject to the company’s clawback policy and relevant regulatory requirements.