BUSE:INFINEON

Stock Analysis Report

Executive Summary

Infineon Technologies AG designs, develops, manufactures, and markets semiconductors and system solutions worldwide.

Snowflake

Fundamentals

Excellent balance sheet and fair value.


Similar Companies

Share Price & News

How has Infineon Technologies's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-3.4%

INFINEON

-2.9%

HU Semiconductor

0.7%

HU Market


1 Year Return

-5.8%

INFINEON

31.4%

HU Semiconductor

10.4%

HU Market

Return vs Industry: INFINEON underperformed the Hungarian Semiconductor industry which returned 31.4% over the past year.

Return vs Market: INFINEON underperformed the Hungarian Market which returned 10.4% over the past year.


Shareholder returns

INFINEONIndustryMarket
7 Day-3.4%-2.9%0.7%
30 Day-12.2%-1.4%-0.04%
90 Day-0.4%11.5%-1.5%
1 Year-4.5%-5.8%33.1%31.4%13.5%10.4%
3 Year12.5%8.3%91.4%84.1%50.9%38.5%
5 Year154.3%136.3%156.7%139.2%159.6%127.1%

Price Volatility Vs. Market

How volatile is Infineon Technologies's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Infineon Technologies undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: INFINEON (HUF5400) is trading below our estimate of fair value (HUF11577.96)

Significantly Undervalued: INFINEON is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: INFINEON is good value based on its PE Ratio (18x) compared to the Semiconductor industry average (24.5x).

PE vs Market: INFINEON is poor value based on its PE Ratio (18x) compared to the Hungarian market (14.6x).


Price to Earnings Growth Ratio

Low PEG Ratio: INFINEON is poor value based on its PEG Ratio (1.1x)


Price to Book Ratio

PB vs Industry: INFINEON is overvalued based on its PB Ratio (2.5x) compared to the XE Semiconductor industry average (2.4x).


Next Steps

Future Growth

How is Infineon Technologies forecast to perform in the next 1 to 3 years based on estimates from 23 analysts?

15.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: INFINEON's forecast earnings growth (15.8% per year) is above the savings rate (3%).

Earnings vs Market: INFINEON's earnings (15.8% per year) are forecast to grow faster than the Hungarian market (6.5% per year).

High Growth Earnings: INFINEON's earnings are forecast to grow, but not significantly.

Revenue vs Market: INFINEON's revenue (9% per year) is forecast to grow faster than the Hungarian market (4.8% per year).

High Growth Revenue: INFINEON's revenue (9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: INFINEON's Return on Equity is forecast to be low in 3 years time (15%).


Next Steps

Past Performance

How has Infineon Technologies performed over the past 5 years?

18.7%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: INFINEON's earnings have grown by 18.7% per year over the past 5 years.

Accelerating Growth: INFINEON's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: INFINEON had negative earnings growth (-6.2%) over the past year, making it difficult to compare to the Semiconductor industry average (-4.8%).


Return on Equity

High ROE: INFINEON's Return on Equity (12.4%) is considered low.


Return on Assets

ROA vs Industry: INFINEON has a higher Return on Assets than the Semiconductor industry average last year.


Return on Capital Employed

ROCE Improving: INFINEON's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Infineon Technologies's financial position?


Financial Position Analysis

Short Term Liabilities: INFINEON's short term assets (€7.0B) exceeds its short term liabilities (€2.1B)

Long Term Liabilities: INFINEON's short term assets (7.0B) exceeds its long term liabilities (2.6B)


Debt to Equity History and Analysis

Debt Level: INFINEON's debt to equity ratio (18.6%) is considered satisfactory

Reducing Debt: INFINEON's debt to equity ratio has increased from 4.7% to 18.6% over the past 5 years.

Debt Coverage: INFINEON's debt is well covered by operating cash flow (101.6%).

Interest Coverage: INFINEON's interest payments on its debt are well covered by EBIT (17.3x coverage).


Balance Sheet

Inventory Level: INFINEON has a high level of physical assets or inventory.

Debt Coverage by Assets: INFINEON's debt is covered by short term assets (assets are 4.555040x debt).


Next Steps

Dividend

What is Infineon Technologies's current dividend yield, its reliability and sustainability?

1.66%

Current Dividend Yield


Dividend Yield vs Market

company1.7%marketbottom25%2.2%markettop25%5.6%industryaverage1.3%forecastin3Years1.9%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: INFINEON's dividend (1.66%) isn’t notable compared to the bottom 25% of dividend payers in the Hungarian market (2.15%).

High Dividend: INFINEON's dividend (1.66%) is low compared to the top 25% of dividend payers in the Hungarian market (5.62%).

Stable Dividend: INFINEON is not paying a notable dividend for the Hungarian market, therefore no need to check if payments are stable.

Growing Dividend: INFINEON is not paying a notable dividend for the Hungarian market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: INFINEON is not paying a notable dividend for the Hungarian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of INFINEON's dividend in 3 years as they are not forecast to pay a notable one for the Hungarian market.


Next Steps

Management

What is the CEO of Infineon Technologies's salary, the management and board of directors tenure and is there insider trading?

4.7yrs

Average management tenure


CEO

Reinhard Ploss (64yo)

7yrs

Tenure

€2,993,071

Compensation

Dr. Reinhard Ploss has been Chief Executive Officer of Infineon Technologies AG since October 1, 2012 and has been its Labor Director since August 2010. Dr. Ploss serves as Chairman of Management Board at  ...


CEO Compensation Analysis

Compensation vs. Market: Reinhard's total compensation ($USD3.33M) is about average for companies of similar size in the Hungarian market ($USD3.62M).

Compensation vs Earnings: Reinhard's compensation has been consistent with company performance over the past year.


Management Age and Tenure

4.7yrs

Average Tenure

55yo

Average Age

Experienced Management: INFINEON's management team is considered experienced (4.7 years average tenure).


Board Age and Tenure

10.0yrs

Average Tenure

59yo

Average Age

Experienced Board: INFINEON's board of directors are seasoned and experienced ( 10 years average tenure).


Insider Trading

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


Ownership Breakdown


Management Team

  • Thomas Marquardt (62yo)

    Global Head of Human Resources

    • Tenure: 16.3yrs
  • Michael von Eickstedt

    Corporate VP & General Counsel

    • Tenure: 0yrs
  • Ulrich Pelzer (46yo)

    Head of Finance - Power Management & Multimarket Segment

    • Tenure: 4.7yrs
  • Reinhard Ploss (64yo)

    Chairman of Management Board

    • Tenure: 7yrs
    • Compensation: €2.99m
  • Peter Gruber (59yo)

    CFO of Operations & Employee Representative Member of Supervisory Board

    • Tenure: 10.7yrs
    • Compensation: €123.00k
  • Sven Schneider (53yo)

    CFO & Member of Management Board

    • Tenure: 0.4yrs
  • Klaus Walther (64yo)

    Corporate Vice President of Communications

    • Tenure: 6.3yrs
  • Helmut Gassel (55yo)

    Chief Marketing Officer & Member of Management Board

    • Tenure: 3.3yrs
    • Compensation: €1.79m
  • Jochen Hanebeck (51yo)

    COO & Member of Management Board

    • Tenure: 3.3yrs
    • Compensation: €1.78m
  • Alexander Foltin (50yo)

    Head of Investor Relations

    • Tenure: 0yrs

Board Members

  • Peter Bauer (59yo)

    Member of Supervisory Board

    • Tenure: 4.7yrs
    • Compensation: €133.00k
  • Johann Dechant (54yo)

    Deputy Chairman of Supervisory Board

    • Tenure: 4.7yrs
    • Compensation: €148.00k
  • Wolfgang Eder (67yo)

    Chairman of the Supervisory Board

    • Tenure: 0.8yrs
    • Compensation: €82.00k
  • Renate Köcher (67yo)

    Member of Supervisory Board

    • Tenure: 14.8yrs
    • Compensation: €100.00k
  • Manfred Puffer (56yo)

    Member of Supervisory Board

    • Tenure: 10.3yrs
    • Compensation: €90.00k
  • Eckart Sünner (75yo)

    Member of Supervisory Board

    • Tenure: 12.2yrs
    • Compensation: €182.33k
  • Kerstin Schulzendorf (57yo)

    Employee Representative Member of Supervisory Board

    • Tenure: 4.7yrs
    • Compensation: €104.00k
  • Gerhard Hobbach (57yo)

    Employee Representative Member of Supervisory Board

    • Tenure: 12.7yrs
    • Compensation: €125.00k
  • Peter Gruber (59yo)

    CFO of Operations & Employee Representative Member of Supervisory Board

    • Tenure: 10.7yrs
    • Compensation: €123.00k
  • Hans-Ulrich Holdenried (68yo)

    Member of Supervisory Board

    • Tenure: 9.8yrs
    • Compensation: €127.00k

Company Information

Infineon Technologies AG's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Infineon Technologies AG
  • Ticker: INFINEON
  • Exchange: BUSE
  • Founded:
  • Industry: Semiconductors
  • Sector: Semiconductors
  • Market Cap: €20.278b
  • Listing Market Cap: €6.709t
  • Shares outstanding: 1.24b
  • Website: https://www.infineon.com

Number of Employees


Location

  • Infineon Technologies AG
  • Am Campeon 1-12
  • Neubiberg
  • Munich
  • Bavaria
  • 85579
  • Germany

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
INFINEONBUSE (Budapest Stock Exchange)YesBearer SharesHUHUFMar 2000
IFNN.YOTCPK (Pink Sheets LLC)SPONSORED ADRUSUSDMar 2000
IFXDB (Deutsche Boerse AG)YesBearer SharesDEEURMar 2000
0KEDLSE (London Stock Exchange)YesBearer SharesGBEURMar 2000
IFXXTRA (XETRA Trading Platform)YesBearer SharesDEEURMar 2000
IFXADB (Deutsche Boerse AG)SPONSORED ADRDEEURMar 2000
IFNN.FOTCPK (Pink Sheets LLC)YesBearer SharesUSUSDMar 2000
IFXDBATS-CHIXE (BATS 'Chi-X Europe')YesBearer SharesGBEURMar 2000
IFXBIT (Borsa Italiana)YesBearer SharesITEURMar 2000
IFXSWX (SIX Swiss Exchange)YesBearer SharesCHCHFMar 2000
IFX NBMV (Bolsa Mexicana de Valores)YesBearer SharesMXMXNMar 2000
IFXWBAG (Wiener Boerse AG)YesBearer SharesATEURMar 2000

Biography

Infineon Technologies AG designs, develops, manufactures, and markets semiconductors and system solutions worldwide. Its Automotive segment offers automotive microcontrollers for powertrain, safety, and dr ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/19 21:08
End of Day Share Price2019/10/18 00:00
Earnings2019/06/30
Annual Earnings2018/09/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.