Semiconductor Manufacturing International Corporation

DB:MKN2 Stock Report

Market Cap: €43.8b

Semiconductor Manufacturing International Valuation

Is MKN2 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of MKN2 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: MKN2 (€3.4) is trading below our estimate of fair value (€16.66)

Significantly Below Fair Value: MKN2 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for MKN2?

Key metric: As MKN2 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for MKN2. This is calculated by dividing MKN2's market cap by their current earnings.
What is MKN2's PE Ratio?
PE Ratio48.3x
EarningsUS$559.84m
Market CapUS$46.38b

Price to Earnings Ratio vs Peers

How does MKN2's PE Ratio compare to its peers?

The above table shows the PE ratio for MKN2 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average25.1x
IFX Infineon Technologies
22.8x17.3%€40.0b
ELG Elmos Semiconductor
11.4x4.0%€1.2b
NXPI NXP Semiconductors
21x9.7%US$56.7b
MCHP Microchip Technology
45.1x31.0%US$35.8b
MKN2 Semiconductor Manufacturing International
48.3x25.0%€361.1b

Price-To-Earnings vs Peers: MKN2 is expensive based on its Price-To-Earnings Ratio (48.3x) compared to the peer average (25.1x).

Price to Earnings Ratio vs Industry

How does MKN2's PE Ratio compare vs other companies in the European Semiconductor Industry?

3 CompaniesPrice / EarningsEstimated GrowthMarket Cap
MKN2 48.3xIndustry Avg. 14.4xNo. of Companies7PE01632486480+
3 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: MKN2 is expensive based on its Price-To-Earnings Ratio (48.3x) compared to the European Semiconductor industry average (14.4x).

Price to Earnings Ratio vs Fair Ratio

What is MKN2's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

MKN2 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio48.3x
Fair PE Ratio39.4x

Price-To-Earnings vs Fair Ratio: MKN2 is expensive based on its Price-To-Earnings Ratio (48.3x) compared to the estimated Fair Price-To-Earnings Ratio (39.4x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst MKN2 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Currentn/a
€3.10
0%
27.1%€4.53€1.59n/a23
Nov ’25€3.40
€2.27
-33.2%
20.8%€3.16€1.26n/a23
Oct ’25€2.26
€2.21
-2.1%
20.0%€3.10€1.24n/a23
Sep ’25€1.85
€2.21
+19.2%
20.9%€3.12€1.24n/a24
Aug ’25€1.89
€2.09
+10.7%
20.3%€2.75€1.27n/a21
Jul ’25€1.89
€2.20
+16.4%
22.3%€3.09€1.29n/a23
Jun ’25€2.12
€2.20
+3.6%
22.1%€3.05€1.27n/a24
May ’25€1.72
€2.13
+23.9%
23.6%€3.06€1.28n/a24
Apr ’25€1.66
€2.13
+28.3%
23.6%€3.06€1.28n/a24
Mar ’25€2.00
€2.19
+9.6%
25.9%€3.54€1.28n/a25
Feb ’25€1.54
€2.55
+65.4%
20.6%€3.50€1.63n/a25
Jan ’25€2.16
€2.55
+17.9%
21.8%€3.47€1.61n/a24
Dec ’24€2.34
€2.58
+10.3%
22.3%€3.52€1.64n/a23
Nov ’24€2.76
€2.48
-10.3%
22.7%€3.63€1.68€3.4021
Oct ’24€2.30
€2.44
+6.2%
22.5%€3.60€1.67€2.2622
Sep ’24€2.20
€2.38
+8.0%
22.6%€3.52€1.63€1.8523
Aug ’24€2.12
€2.37
+11.7%
22.2%€3.46€1.61€1.8922
Jul ’24€2.26
€2.35
+4.0%
20.8%€3.51€1.63€1.8921
Jun ’24€2.24
€2.38
+6.5%
20.8%€3.56€1.66€2.1221
May ’24€2.48
€2.14
-13.7%
18.4%€2.98€1.61€1.7221
Apr ’24€2.11
€2.10
-0.05%
15.9%€2.92€1.63€1.6621
Mar ’24€1.88
€2.12
+12.9%
15.7%€3.00€1.62€2.0022
Feb ’24€2.00
€2.21
+10.7%
19.5%€3.39€1.59€1.5422
Jan ’24€1.93
€2.24
+16.0%
19.7%€3.45€1.61€2.1622
Dec ’23€2.01
€2.30
+14.4%
19.6%€3.54€1.65€2.3422
Nov ’23€2.14
€2.65
+23.8%
22.0%€4.33€1.83€2.7622

Analyst Forecast: Target price is lower than the current share price.

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