BE Semiconductor Industries (ENXTAM:BESI) - Share price, News & Analysis

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

BESI (€47.61) is trading below our estimate of [[fair value]] (€80.04)

BESI fundamental analysis
Snowflake Score
Valuation	5/6
Future Growth	4/6
Past Performance	5/6
Financial Health	5/6
Dividends	4/6

BESI Stock Overview

BE Semiconductor Industries N.V. develops, manufactures, markets, sells, and services semiconductor assembly equipment for the semiconductor and electronics industries worldwide.

Rewards

Trading at 40.5% below our estimate of its fair value

Earnings are forecast to grow 11.5% per year

Earnings have grown 16.1% per year over the past 5 years

Trading at good value vs. peer average Price-To-Earnings ratio

Trading below our calculated fair Price-To-Earnings ratio

Risk Analysis

Dividend of 6.99% is not well covered

Volatile share price over the past 3 months

Shareholders have been diluted in the past year

BE Semiconductor Industries Competitors

ASM International

ENXTAM:ASM

€12.6b

ASML Holding

ENXTAM:ASML

€186.1b

Yangling Metron New Material

SZSE:300861

CN¥27.2b

Hangzhou Lion ElectronicsLtd

SHSE:605358

CN¥30.8b

Price History & Performance

Summary of all time highs, changes and price drops for BE Semiconductor Industries
Historical stock prices
Current Share Price	€47.61
52 Week High	€89.20
52 Week Low	€39.82
Beta	1.5
1 Month Change	1.86%
3 Month Change	3.37%
1 Year Change	-26.30%
3 Year Change	65.77%
5 Year Change	56.43%
Change since IPO	809.38%

Recent News & Updates

Oct 02

Is BE Semiconductor Industries N.V. (AMS:BESI) Potentially Undervalued?

BE Semiconductor Industries N.V. ( AMS:BESI ), might not be a large cap stock, but it received a lot of attention from...

Sep 21

Is BE Semiconductor Industries (AMS:BESI) Using Too Much Debt?

Warren Buffett famously said, 'Volatility is far from synonymous with risk.' So it seems the smart money knows that...

Aug 30

BE Semiconductor Industries N.V.'s (AMS:BESI) Intrinsic Value Is Potentially 65% Above Its Share Price

Today we will run through one way of estimating the intrinsic value of BE Semiconductor Industries N.V. ( AMS:BESI ) by...

Aug 19

Investors Should Be Encouraged By BE Semiconductor Industries' (AMS:BESI) Returns On Capital

What trends should we look for it we want to identify stocks that can multiply in value over the long term? In a...

Shareholder Returns

	BESI	NL Semiconductor	NL Market
7D	3.1%	3.9%	4.1%
1Y	-26.3%	-25.1%	-21.2%

Return vs Industry: BESI underperformed the Dutch Semiconductor industry which returned -25.1% over the past year.

Return vs Market: BESI underperformed the Dutch Market which returned -21.2% over the past year.

Price Volatility

Is BESI's price volatile compared to industry and market?
BESI volatility
BESI Average Weekly Movement	7.1%
Semiconductor Industry Average Movement	7.1%
Market Average Movement	4.7%
10% most volatile stocks in NL Market	7.9%
10% least volatile stocks in NL Market	2.7%

Stable Share Price: BESI is more volatile than 75% of Dutch stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: BESI's weekly volatility (7%) has been stable over the past year, but is still higher than 75% of Dutch stocks.

About the Company

Founded	Employees	CEO	Website
1995	1,686	Richard Blickman	https://www.besi.com

BE Semiconductor Industries N.V. develops, manufactures, markets, sells, and services semiconductor assembly equipment for the semiconductor and electronics industries worldwide. The company’s principal products include die attach equipment, such as single chip, multi chip, multi module, flip chip, thermal compression bonding, fan out wafer level packaging, hybrid and embedded bridge die bonding, and die sorting systems; and packaging equipment, including conventional, ultra thin, and wafer level molding, as well as trim and form, and singulation systems. Its principal products also comprise plating equipment comprising tin, copper, and precious metal and solar plating systems, as well as related process chemicals; and tooling, conversion kits, spare parts, and other services.

BE Semiconductor Industries Fundamentals Summary

How do BE Semiconductor Industries's earnings and revenue compare to its market cap?
BESI fundamental statistics
Market Cap	€3.84b
Earnings (TTM)	€294.53m
Revenue (TTM)	€796.40m

13.0x

P/E Ratio

4.8x

P/S Ratio

Is BESI overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
BESI income statement (TTM)
Revenue	€796.40m
Cost of Revenue	€321.11m
Gross Profit	€475.30m
Other Expenses	€180.76m
Earnings	€294.53m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

Oct 20, 2022

Earnings per share (EPS)	3.65
Gross Margin	59.68%
Net Profit Margin	36.98%
Debt/Equity Ratio	50.1%

How did BESI perform over the long term?

See historical performance and comparison

Dividends

7.0%

Current Dividend Yield

89%

Payout Ratio

We’ve recently updated our valuation analysis.

Valuation

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

Valuation Score

5/6

Valuation Score 5/6

Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
Analyst Forecast

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for BESI. This is calculated by dividing BESI's market cap by their current preferred multiple.
What is BESI's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	€3.84b

BESI key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	4.5x
Enterprise Value/EBITDA	10.4x
PEG Ratio	1.1x

Price to Earnings Ratio vs Peers

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

BESI PE Ratio vs Peers

The above table shows the PE ratio for BESI vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PE	Estimated Growth	Market Cap
Peer Average	28.8x
ASM ASM International	22.2x	13.8%	€12.6b
ASML ASML Holding	33.1x	21.3%	€186.1b
300861 Yangling Metron New Material	25.6x	21.5%	CN¥27.2b
605358 Hangzhou Lion ElectronicsLtd	34.4x	22.4%	CN¥30.8b
BESI BE Semiconductor Industries	13x	11.5%	€3.8b

Price-To-Earnings vs Peers: BESI is good value based on its Price-To-Earnings Ratio (13x) compared to the peer average (28.8x).

Price to Earnings Ratio vs Industry

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

Price-To-Earnings vs Industry: BESI is good value based on its Price-To-Earnings Ratio (13x) compared to the European Semiconductor industry average (22.1x)

Price to Earnings Ratio vs Fair Ratio

What is BESI'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.

BESI PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	13x
Fair PE Ratio	24.5x

Price-To-Earnings vs Fair Ratio: BESI is good value based on its Price-To-Earnings Ratio (13x) compared to the estimated Fair Price-To-Earnings Ratio (24.5x).

Share Price vs Fair Value

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

Below Fair Value: BESI (€47.61) is trading below our estimate of fair value (€80.04)

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

Analyst Price Targets

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

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.

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Future Growth

How is BE Semiconductor Industries forecast to perform in the next 1 to 3 years based on estimates from 9 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

11.5%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: BESI's forecast earnings growth (11.5% per year) is above the savings rate (0.1%).

Earnings vs Market: BESI's earnings (11.5% per year) are forecast to grow faster than the Dutch market (4.3% per year).

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

Revenue vs Market: BESI's revenue (9.8% per year) is forecast to grow faster than the Dutch market (9.1% per year).

High Growth Revenue: BESI's revenue (9.8% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: BESI's Return on Equity is forecast to be very high in 3 years time (51.2%).

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Past Performance

How has BE Semiconductor Industries performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

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

16.1%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: BESI has high quality earnings.

Growing Profit Margin: BESI's current net profit margins (37%) are higher than last year (35.7%).

Past Earnings Growth Analysis

Earnings Trend: BESI's earnings have grown by 16.1% per year over the past 5 years.

Accelerating Growth: BESI's earnings growth over the past year (40.5%) exceeds its 5-year average (16.1% per year).

Earnings vs Industry: BESI earnings growth over the past year (40.5%) underperformed the Semiconductor industry 65.6%.

Return on Equity

High ROE: BESI's Return on Equity (46.5%) is considered outstanding.

Discover strong past performing companies

Financial Health

How is BE Semiconductor Industries's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

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

Financial Position Analysis

Short Term Liabilities: BESI's short term assets (€946.2M) exceed its short term liabilities (€169.4M).

Long Term Liabilities: BESI's short term assets (€946.2M) exceed its long term liabilities (€362.8M).

Debt to Equity History and Analysis

Debt Level: BESI has more cash than its total debt.

Reducing Debt: BESI's debt to equity ratio has increased from 38.2% to 50.1% over the past 5 years.

Debt Coverage: BESI's debt is well covered by operating cash flow (85.9%).

Interest Coverage: BESI's interest payments on its debt are well covered by EBIT (26x coverage).

Balance Sheet

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Dividend

What is BE Semiconductor Industries's current dividend yield, its reliability and sustainability?

Dividend Score

4/6

Dividend Score 4/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Cash Flow Coverage

6.99%

Current Dividend Yield

Dividend Yield vs Market

BE Semiconductor Industries Dividend Yield vs Market

How does BE Semiconductor Industries dividend yield compare to the market?
Segment	Dividend Yield
Company (BE Semiconductor Industries)	7.0%
Market Bottom 25% (NL)	2.3%
Market Top 25% (NL)	6.5%
Industry Average (Semiconductor)	1.2%
Analyst forecast in 3 Years (BE Semiconductor Industries)	7.3%

Notable Dividend: BESI's dividend (6.99%) is higher than the bottom 25% of dividend payers in the Dutch market (2.34%).

High Dividend: BESI's dividend (6.99%) is in the top 25% of dividend payers in the Dutch market (6.53%)

Stability and Growth of Payments

Stable Dividend: BESI's dividend payments have been volatile in the past 10 years.

Growing Dividend: BESI's dividend payments have increased over the past 10 years.

Earnings Payout to Shareholders

Earnings Coverage: At its current payout ratio (88.8%), BESI's payments are covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: With its high cash payout ratio (109.4%), BESI's dividend payments are not well covered by cash flows.

Discover strong dividend paying companies

Management

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

4.5yrs

Average management tenure

CEO

Richard Blickman (68 yo)

26.92yrs

Tenure

€8,805,417

Compensation

Mr. Richard W. Blickman has been the Chairman of Management Board and Chief Executive Officer at BE Semiconductor Industries N.V., since November 1995 and serves as its President. Mr. Blickman served as th...

CEO Compensation Analysis

Richard Blickman's Compensation vs BE Semiconductor Industries Earnings

How has Richard Blickman's remuneration changed compared to BE Semiconductor Industries's earnings?
Date	Total Comp.	Salary	Company Earnings
Jun 30 2022	n/a	n/a	€295m
Mar 31 2022	n/a	n/a	€312m
Dec 31 2021	€9m	€600k	€282m
Sep 30 2021	n/a	n/a	€260m
Jun 30 2021	n/a	n/a	€210m
Mar 31 2021	n/a	n/a	€156m
Dec 31 2020	€7m	€600k	€132m
Sep 30 2020	n/a	n/a	€121m
Jun 30 2020	n/a	n/a	€107m
Mar 31 2020	n/a	n/a	€86m
Dec 31 2019	€5m	€600k	€81m
Sep 30 2019	n/a	n/a	€70m
Jun 30 2019	n/a	n/a	€80m
Mar 31 2019	n/a	n/a	€109m
Dec 31 2018	€7m	€600k	€136m
Sep 30 2018	n/a	n/a	€157m
Jun 30 2018	n/a	n/a	€181m
Mar 31 2018	n/a	n/a	€186m
Dec 31 2017	€4m	€1m	€173m
Sep 30 2017	n/a	n/a	€146m
Jun 30 2017	n/a	n/a	€110m
Mar 31 2017	n/a	n/a	€81m
Dec 31 2016	€3m	€1m	€65m
Sep 30 2016	n/a	n/a	€58m
Jun 30 2016	n/a	n/a	€48m
Mar 31 2016	n/a	n/a	€39m
Dec 31 2015	€3m	€1m	€49m

Compensation vs Market: Richard's total compensation ($USD8.68M) is above average for companies of similar size in the Dutch market ($USD2.70M).

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

Leadership Team

Experienced Management: BESI's management team is considered experienced (4.5 years average tenure).

Board Members

Experienced Board: BESI's board of directors are considered experienced (3.8 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

ENXTAM:BESI Recent Insider Transactions by Companies or Individuals
Date	Value	Name	Entity	Role	Shares	Max Price
27 Oct 21	Sell€7,416,000	Richard Blickman	Individual		100,000	€74.16

Ownership Breakdown

What is the ownership structure of BESI?
Owner Type	Number of Shares	Ownership Percentage
Individual Insiders	1,516,837	1.9%
General Public	30,397,412	37.7%
Institutions	48,678,303	60.4%

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 3.8%.

Top Shareholders

Top 25 shareholders own 54.53% of the company

Ownership	Name	Shares	Current Value	Change %	Portfolio %
9.52%	BlackRock, Inc.	7,674,835	€365.4m	-7%	0.01%
5.13%	Invesco Ltd.	4,136,596	€196.9m	48.96%	0.06%
3.26%	The Vanguard Group, Inc.	2,628,607	€125.1m	3.1%	no data
3%	Acadian Asset Management LLC	2,416,644	€115.1m	2.02%	0.42%
2.96%	Janus Henderson Group plc	2,387,464	€113.7m	0%	0.06%
2.96%	Sylebra Capital Limited	2,387,405	€113.7m	0%	5.26%
2.91%	Norges Bank Investment Management	2,349,037	€111.8m	0%	0.01%
2.87%	Kempen Capital Management N.V.	2,314,965	€110.2m	0%	2.09%
2.7%	FMR LLC	2,178,446	€103.7m	0%	0.01%
2.07%	Oddo Bhf Asset Management SAS	1,665,237	€79.3m	1.05%	1.37%
1.88%	Richard Blickman	1,516,837	€72.2m	7.9%	no data
1.6%	Goldman Sachs Asset Management, L.P.	1,287,814	€61.3m	0%	0.03%
1.46%	Credit Suisse Asset Management (Switzerland)	1,173,871	€55.9m	0.08%	0.05%
1.39%	BMO Asset Management Corp.	1,117,856	€53.2m	0%	0.03%
1.29%	Degroof Petercam Asset Management	1,040,290	€49.5m	-0.01%	0.3%
1.27%	Dimensional Fund Advisors LP	1,023,832	€48.7m	0.96%	0.01%
1.16%	Groupama Asset Management	938,661	€44.7m	0%	0.91%
1.06%	JPMorgan Chase & Co, Brokerage and Securities Investments	854,629	€40.7m	589.26%	0.04%
1.04%	Union Asset Management Holding AG	836,146	€39.8m	0%	0.04%
0.97%	abrdn plc	780,857	€37.2m	-1.55%	0.04%
0.97%	Premier Fund Managers Limited	780,581	€37.2m	27%	0.41%
0.87%	Swedbank Robur Fonder AB	700,000	€33.3m	100%	0.05%
0.86%	UBS Asset Management	695,792	€33.1m	0%	0.01%
0.81%	Goldman Sachs Group, Investment Banking and Securities Investments	653,949	€31.1m	0%	0.02%
0.5%	WCM Investment Management, LLC	405,506	€19.3m	-24.8%	0.04%

Ticker	Exchange	Primary Security	Security Type	Country	Currency	Listed on
BESI.Y	OTCPK (Pink Sheets LLC)		ORD EUR0.91 (NY REG SHARES)	US	USD	Dec 1995
BSIA	DB (Deutsche Boerse AG)		ORD EUR0.91 (NY REG SHARES)	DE	EUR	Dec 1995
BESI	ENXTAM (Euronext Amsterdam)	Yes	Ordinary Shares	NL	EUR	Dec 1995
0XVE	LSE (London Stock Exchange)	Yes	Ordinary Shares	GB	EUR	Dec 1995
BSI	DB (Deutsche Boerse AG)	Yes	Ordinary Shares	DE	EUR	Dec 1995
BESIA	BATS-CHIXE (BATS 'Chi-X Europe')	Yes	Ordinary Shares	GB	EUR	Dec 1995
BESV.F	OTCPK (Pink Sheets LLC)	Yes	Ordinary Shares	US	USD	Dec 1995
BESI N	BMV (Bolsa Mexicana de Valores)	Yes	Ordinary Shares	MX	MXN	Dec 1995

Data	Last Updated (UTC time)
Company Analysis	2022/10/05 00:00
End of Day Share Price	2022/10/05 00:00
Earnings	2022/06/30
Annual Earnings	2021/12/31