Magnachip Semiconductor Corporation

DB:SMG Stock Report

Market Cap: €130.5m

Magnachip Semiconductor Valuation

Is SMG 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-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

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

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

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

Key Valuation Metric

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

Key metric: As SMG is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for SMG. This is calculated by dividing SMG's market cap by their current revenue.
What is SMG's PS Ratio?
PS Ratio0.6x
SalesUS$219.52m
Market CapUS$136.53m

Price to Sales Ratio vs Peers

How does SMG's PS Ratio compare to its peers?

The above table shows the PS ratio for SMG vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average2.1x
SIS First Sensor
4.9xn/a€601.8m
P4O Planoptik
1.2xn/a€14.5m
ELG Elmos Semiconductor
1.8x5.4%€1.1b
CTNK centrotherm international
0.4xn/a€65.4m
SMG Magnachip Semiconductor
0.6x11.1%€136.5m

Price-To-Sales vs Peers: SMG is good value based on its Price-To-Sales Ratio (0.6x) compared to the peer average (2x).

Price to Sales Ratio vs Industry

How does SMG's PS Ratio compare vs other companies in the DE Semiconductor Industry?

2 CompaniesPrice / SalesEstimated GrowthMarket Cap
S92 SMA Solar Technology
0.2x-1.0%US$427.80m
D0Q Sondrel (Holdings)
0.2xn/aUS$2.02m
No more companies available in this PS range
SMG 0.6xIndustry Avg. 1.7xNo. of Companies3PS012345+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: SMG is good value based on its Price-To-Sales Ratio (0.6x) compared to the European Semiconductor industry average (1.7x).

Price to Sales Ratio vs Fair Ratio

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

SMG PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.6x
Fair PS Ratio0.6x

Price-To-Sales vs Fair Ratio: SMG is expensive based on its Price-To-Sales Ratio (0.6x) compared to the estimated Fair Price-To-Sales Ratio (0.6x).

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 SMG forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€3.30
€6.44
+95.0%
14.3%€7.36€5.52n/a2
Nov ’25€3.32
€6.44
+93.8%
14.3%€7.36€5.52n/a2
Oct ’25€4.02
€6.95
+72.9%
6.7%€7.41€6.49n/a2
Sep ’25€4.08
€6.95
+70.3%
6.7%€7.41€6.49n/a2
Aug ’25€5.15
€6.95
+35.0%
6.7%€7.41€6.49n/a2
Feb ’25€6.00
€10.72
+78.7%
13.0%€12.12€9.33n/a2
Jan ’25€6.75
€10.72
+58.9%
13.0%€12.12€9.33n/a2
Dec ’24€6.10
€10.72
+75.8%
13.0%€12.12€9.33n/a2
Nov ’24€6.95
€12.75
+83.5%
7.1%€13.66€11.84€3.322
Oct ’24€7.70
€12.75
+65.6%
7.1%€13.66€11.84€4.022
Sep ’24€7.50
€12.75
+70.0%
7.1%€13.66€11.84€4.082
Aug ’24€8.40
€12.62
+50.2%
7.1%€13.52€11.72€5.152
Jul ’24€10.10
€13.03
+29.0%
7.1%€13.96€12.10€4.382
Jun ’24€9.35
€11.35
+21.4%
4.0%€11.80€10.89€4.542
May ’24€7.90
€13.09
+65.7%
7.1%€14.03€12.16€4.622
Apr ’24€8.40
€13.09
+55.9%
7.1%€14.03€12.16€5.052
Mar ’24€8.70
€13.09
+50.5%
7.1%€14.03€12.16€5.252
Feb ’24€9.85
€12.90
+31.0%
7.1%€13.83€11.98€6.002
Jan ’24€8.45
€14.35
+69.9%
7.1%€15.38€13.33€6.752
Dec ’23€9.15
€14.35
+56.9%
7.1%€15.38€13.33€6.102
Nov ’23€10.20
€20.57
+101.7%
4.8%€21.55€19.59€6.952

Analyst Forecast: Target price is more than 20% higher than the current share price, but there are not enough analysts covering the stock to determine statistical confidence in agreement.

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