Ichor Holdings (DB:4IH) - Share price, News & Analysis

4IH fundamental analysis
Snowflake Score
Valuation	4/6
Future Growth	4/6
Past Performance	3/6
Financial Health	3/6
Dividends	0/6

4IH Stock Overview

Ichor Holdings, Ltd. engages in the design, engineering, and manufacture of fluid delivery subsystems and components for semiconductor capital equipment.

Rewards

Price-To-Earnings ratio (12.5x) is below the German market (17.4x)

Earnings are forecast to grow 27.16% per year

Earnings have grown 5.8% per year over the past 5 years

Risk Analysis

Debt is not well covered by operating cash flow

High level of non-cash earnings

Volatile share price over the past 3 months

Ichor Holdings Competitors

Ultra Clean Holdings

NasdaqGS:UCTT

US$1.4b

Price History & Performance

Summary of all time highs, changes and price drops for Ichor Holdings
Historical stock prices
Current Share Price	US$25.00
52 Week High	US$46.00
52 Week Low	US$23.00
Beta	2.11
1 Month Change	-2.34%
3 Month Change	-16.67%
1 Year Change	-42.40%
3 Year Change	31.39%
5 Year Change	n/a
Change since IPO	-10.71%

Shareholder Returns

	4IH	DE Semiconductor	DE Market
7D	-7.4%	-2.0%	-0.4%
1Y	-42.4%	-11.8%	-12.4%

Return vs Industry: 4IH underperformed the German Semiconductor industry which returned -11.8% over the past year.

Return vs Market: 4IH underperformed the German Market which returned -12.4% over the past year.

Price Volatility

Is 4IH's price volatile compared to industry and market?
4IH volatility
4IH Average Weekly Movement	8.8%
Semiconductor Industry Average Movement	7.3%
Market Average Movement	6.3%
10% most volatile stocks in DE Market	10.6%
10% least volatile stocks in DE Market	3.4%

Stable Share Price: 4IH is more volatile than 75% of German stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: 4IH's weekly volatility (9%) has been stable over the past year, but is still higher than 75% of German stocks.

About the Company

Founded	Employees	CEO	Website
1999	1,850	Jeff Andreson	https://www.ichorsystems.com

Ichor Holdings, Ltd. engages in the design, engineering, and manufacture of fluid delivery subsystems and components for semiconductor capital equipment. It primarily offers gas and chemical delivery systems and subsystems that are used in the manufacturing of semiconductor devices. The company’s gas delivery subsystems deliver, monitor, and control gases used in semiconductor manufacturing processes, such as etch and deposition; and chemical delivery subsystems blend and dispense the reactive liquid chemistries used in semiconductor manufacturing processes comprising chemical-mechanical planarization, electroplating, and cleaning.

Ichor Holdings Fundamentals Summary

How do Ichor Holdings's earnings and revenue compare to its market cap?
4IH fundamental statistics
Market Cap	US$806.23m
Earnings (TTM)	US$64.30m
Revenue (TTM)	US$1.13b

12.5x

P/E Ratio

0.7x

P/S Ratio

Is 4IH overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
4IH income statement (TTM)
Revenue	US$1.13b
Cost of Revenue	US$942.17m
Gross Profit	US$183.33m
Other Expenses	US$119.03m
Earnings	US$64.30m

Last Reported Earnings

Apr 01, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	2.25
Gross Margin	16.29%
Net Profit Margin	5.71%
Debt/Equity Ratio	56.9%

How did 4IH perform over the long term?

See historical performance and comparison

Valuation

Is Ichor Holdings undervalued compared to its fair value and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry

12.54x

Price to Earnings (PE) ratio

Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 4IH's fair value for valuation analysis.

Significantly Below Fair Value: Insufficient data to calculate 4IH's fair value for valuation analysis.

Price To Earnings Ratio

PE vs Industry: 4IH is good value based on its Price-To-Earnings Ratio (12.5x) compared to the German Semiconductor industry average (18x).

PE vs Market: 4IH is good value based on its Price-To-Earnings Ratio (12.5x) compared to the German market (17.4x).

Price to Earnings Growth Ratio

PEG Ratio: 4IH is good value based on its PEG Ratio (0.5x)

Price to Book Ratio

PB vs Industry: 4IH is good value based on its Price-To-Book Ratio (1.6x) compared to the DE Semiconductor industry average (2.9x).

Future Growth

How is Ichor Holdings forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

Future Growth Score

4/6

Future Growth Score 4/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

27.2%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: 4IH's forecast earnings growth (27.2% per year) is above the savings rate (-0.05%).

Earnings vs Market: 4IH's earnings (27.2% per year) are forecast to grow faster than the German market (7.5% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: 4IH's revenue (10.8% per year) is forecast to grow faster than the German market (4.6% per year).

High Growth Revenue: 4IH's revenue (10.8% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: Insufficient data to determine if 4IH's Return on Equity is forecast to be high in 3 years time

Past Performance

How has Ichor Holdings performed over the past 5 years?

Past Performance Score

3/6

Past Performance Score 3/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

5.8%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 4IH has a high level of non-cash earnings.

Growing Profit Margin: 4IH's current net profit margins (5.7%) are higher than last year (4.7%).

Past Earnings Growth Analysis

Earnings Trend: 4IH's earnings have grown by 5.8% per year over the past 5 years.

Accelerating Growth: 4IH's earnings growth over the past year (41.1%) exceeds its 5-year average (5.8% per year).

Earnings vs Industry: 4IH earnings growth over the past year (41.1%) underperformed the Semiconductor industry 79.5%.

Return on Equity

High ROE: 4IH's Return on Equity (12.6%) is considered low.

Financial Health

How is Ichor Holdings's financial position?

Financial Health Score

3/6

Financial Health Score 3/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: 4IH's short term assets ($459.6M) exceed its short term liabilities ($194.1M).

Long Term Liabilities: 4IH's short term assets ($459.6M) exceed its long term liabilities ($314.5M).

Debt to Equity History and Analysis

Debt Level: 4IH's net debt to equity ratio (50.1%) is considered high.

Reducing Debt: 4IH's debt to equity ratio has increased from 23.4% to 56.9% over the past 5 years.

Debt Coverage: 4IH's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: 4IH's interest payments on its debt are well covered by EBIT (14x coverage).

Balance Sheet

Dividend

What is Ichor Holdings's current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

Dividend Yield vs Market

Notable Dividend: Unable to evaluate 4IH's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 4IH's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.

Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 4IH's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 4IH's dividend payments have been increasing.

Earnings Payout to Shareholders

Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as 4IH has not reported any payouts.

Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

2.3yrs

Average management tenure

CEO

Jeff Andreson (59 yo)

2.33yrs

Tenure

US$3,646,356

Compensation

Mr. Jeffrey S. Andreson, also known as Jeff, has been the Chief Executive Officer of Ichor Holdings, Ltd. since January 6, 2020 and has been its Executive Director since February 11, 2020. Mr. Andreson ser...

CEO Compensation Analysis

Compensation vs Market: Jeff's total compensation ($USD3.65M) is above average for companies of similar size in the German market ($USD1.32M).

Compensation vs Earnings: Jeff's compensation has increased by more than 20% in the past year.

Leadership Team

Experienced Management: 4IH's management team is considered experienced (2.3 years average tenure).

Board Members

Experienced Board: 4IH's board of directors are considered experienced (3.3 years average tenure).

Ownership

Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.

Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.

Data	Last Updated (UTC time)
Company Analysis	2022/05/24 00:00
End of Day Share Price	2022/05/23 00:00
Earnings	2022/04/01
Annual Earnings	2021/12/31