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ACM Research

Nasdaq:ACMR
Snowflake Description

Solid track record with excellent balance sheet.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
ACMR
Nasdaq
$251M
Market Cap
  1. Home
  2. US
  3. Semiconductors
Company description

ACM Research, Inc., together with its subsidiaries, develops, manufactures, and sells single-wafer wet cleaning equipment for enhancing the manufacturing process and yield for integrated chips worldwide. The last earnings update was 6 days ago. More info.


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  • ACM Research has significant price volatility in the past 3 months.
ACMR Share Price and Events
7 Day Returns
-18.6%
NasdaqGM:ACMR
1.1%
US Semiconductor
-1%
US Market
1 Year Returns
9.6%
NasdaqGM:ACMR
5.2%
US Semiconductor
-0.4%
US Market
ACMR Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
ACM Research (ACMR) -18.6% -23.4% -21.2% 9.6% - -
US Semiconductor 1.1% -2.1% 5.4% 5.2% 61.3% 86.2%
US Market -1% -3.3% 0.4% -0.4% 30.4% 37.1%
1 Year Return vs Industry and Market
  • ACMR outperformed the Semiconductor industry which returned 5.2% over the past year.
  • ACMR outperformed the Market in United States of America which returned -0.4% over the past year.
Price Volatility
Industry
5yr Volatility vs Market
Related Companies

Value

 Is ACM Research undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of ACM Research to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for ACM Research.

NasdaqGM:ACMR Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 3 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 10.1%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NasdaqGM:ACMR
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Semiconductor Unlevered Beta Simply Wall St/ S&P Global 1.27
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.268 (1 + (1- 21%) (7.84%))
1.232
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.23
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.232 * 5.96%)
10.08%

Discounted Cash Flow Calculation for NasdaqGM:ACMR using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for ACM Research is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

NasdaqGM:ACMR DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 10.08%)
2020 6.21 Est @ 42.06% 5.64
2021 8.09 Est @ 30.26% 6.68
2022 9.87 Est @ 22% 7.40
2023 11.47 Est @ 16.22% 7.82
2024 12.87 Est @ 12.17% 7.96
2025 14.07 Est @ 9.34% 7.91
2026 15.11 Est @ 7.36% 7.72
2027 16.01 Est @ 5.97% 7.43
2028 16.81 Est @ 5% 7.09
2029 17.54 Est @ 4.32% 6.71
Present value of next 10 years cash flows $72.36
NasdaqGM:ACMR DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= $17.54 × (1 + 2.73%) ÷ (10.08% – 2.73%)
$245.26
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $245.26 ÷ (1 + 10.08%)10
$93.91
NasdaqGM:ACMR Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $72.36 + $93.91
$166.27
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $166.27 / 17.93
$9.27
NasdaqGM:ACMR Discount to Share Price
Calculation Result
Value per share (USD) From above. $9.27
Current discount Discount to share price of $13.98
= -1 x ($13.98 - $9.27) / $9.27
-50.7%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of ACM Research is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for ACM Research's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are ACM Research's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NasdaqGM:ACMR PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-06-30) in USD $0.77
NasdaqGM:ACMR Share Price ** NasdaqGM (2019-08-16) in USD $13.98
United States of America Semiconductor Industry PE Ratio Median Figure of 67 Publicly-Listed Semiconductor Companies 26.72x
United States of America Market PE Ratio Median Figure of 3,095 Publicly-Listed Companies 17.23x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of ACM Research.

NasdaqGM:ACMR PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqGM:ACMR Share Price ÷ EPS (both in USD)

= 13.98 ÷ 0.77

18.19x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • ACM Research is good value based on earnings compared to the US Semiconductor industry average.
  • ACM Research is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does ACM Research's expected growth come at a high price?
Raw Data
NasdaqGM:ACMR PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 18.19x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 3 Analysts
16.9%per year
United States of America Semiconductor Industry PEG Ratio Median Figure of 61 Publicly-Listed Semiconductor Companies 1.15x
United States of America Market PEG Ratio Median Figure of 2,124 Publicly-Listed Companies 1.4x

*Line of best fit is calculated by linear regression .

NasdaqGM:ACMR PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 18.19x ÷ 16.9%

1.08x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • ACM Research is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on ACM Research's assets?
Raw Data
NasdaqGM:ACMR PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-06-30) in USD $3.71
NasdaqGM:ACMR Share Price * NasdaqGM (2019-08-16) in USD $13.98
United States of America Semiconductor Industry PB Ratio Median Figure of 106 Publicly-Listed Semiconductor Companies 2.61x
United States of America Market PB Ratio Median Figure of 5,265 Publicly-Listed Companies 1.7x
NasdaqGM:ACMR PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqGM:ACMR Share Price ÷ Book Value per Share (both in USD)

= 13.98 ÷ 3.71

3.77x

* Primary Listing of ACM Research.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • ACM Research is overvalued based on assets compared to the US Semiconductor industry average.
X
Value checks
We assess ACM Research's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Semiconductor industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Semiconductor industry average (and greater than 0)? (1 check)
  5. ACM Research has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is ACM Research expected to perform in the next 1 to 3 years based on estimates from 3 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
16.9%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is ACM Research expected to grow at an attractive rate?
  • ACM Research's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • ACM Research's earnings growth is expected to exceed the United States of America market average.
  • ACM Research's revenue growth is expected to exceed the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NasdaqGM:ACMR Future Growth Rates Data Sources
Data Point Source Value (per year)
NasdaqGM:ACMR Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 3 Analysts 16.9%
NasdaqGM:ACMR Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 3 Analysts 20.2%
United States of America Semiconductor Industry Earnings Growth Rate Market Cap Weighted Average 19.4%
United States of America Semiconductor Industry Revenue Growth Rate Market Cap Weighted Average 8%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.5%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NasdaqGM:ACMR Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 3 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NasdaqGM:ACMR Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2020-12-31 127 16 3
2019-12-31 105 12 3
NasdaqGM:ACMR Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-06-30 94 6 12
2019-03-31 85 11 11
2018-12-31 75 7 7
2018-09-30 71 -6 8
2018-06-30 53 -15 3
2018-03-31 41 -16 -1
2017-12-31 37 -8 0
2017-09-30 34 -11 -3
2017-06-30 34 -5 -2
2017-03-31 29 -6 -1
2016-12-31 27 -4 1
2016-09-30 30 4 3

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • ACM Research's earnings are expected to grow by 16.9% yearly, however this is not considered high growth (20% yearly).
  • ACM Research's revenue is expected to grow significantly at over 20% yearly.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NasdaqGM:ACMR Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 3 Analyst Estimates (S&P Global) See Below

All data from ACM Research Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGM:ACMR Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2020-12-31 0.84 0.84 0.84 1.00
2019-12-31 0.68 0.68 0.68 1.00
NasdaqGM:ACMR Past Financials Data
Date (Data in USD Millions) EPS *
2019-06-30 0.77
2019-03-31 0.70
2018-12-31 0.42
2018-09-30 0.52
2018-06-30 0.23
2018-03-31 -0.11
2017-12-31 -0.05
2017-09-30 -0.64
2017-06-30 -0.43
2017-03-31 -0.41
2016-12-31 0.30
2016-09-30 1.60

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if ACM Research will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess ACM Research's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
ACM Research has a total score of 4/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has ACM Research performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare ACM Research's growth in the last year to its industry (Semiconductor).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • ACM Research has delivered over 20% year on year earnings growth in the past 5 years.
  • ACM Research's 1-year earnings growth exceeds its 5-year average (329.7% vs 60.2%)
  • ACM Research's earnings growth has exceeded the US Semiconductor industry average in the past year (329.7% vs -2.7%).
Earnings and Revenue History
ACM Research's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from ACM Research Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGM:ACMR Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-06-30 93.52 12.31 17.08 12.53
2019-03-31 85.38 11.21 15.92 11.60
2018-12-31 74.64 6.57 17.60 10.38
2018-09-30 70.99 7.67 17.42 8.29
2018-06-30 52.70 2.86 15.11 7.23
2018-03-31 40.59 -1.01 13.85 5.75
2017-12-31 36.51 -0.32 11.39 5.14
2017-09-30 33.66 -2.87 10.40 4.04
2017-06-30 33.67 -1.55 9.41 3.64
2017-03-31 28.97 -1.17 8.15 3.44
2016-12-31 27.37 0.65 6.58 3.26
2016-09-30 30.28 3.30 6.60 3.17
2015-12-31 31.21 5.38 6.32 2.94

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • ACM Research has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).
  • ACM Research used its assets more efficiently than the US Semiconductor industry average last year based on Return on Assets.
  • ACM Research's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess ACM Research's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Semiconductor industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
ACM Research has a total score of 5/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is ACM Research's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up ACM Research's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • ACM Research is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • ACM Research's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of ACM Research's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 7.2x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from ACM Research Company Filings, last reported 1 month ago.

NasdaqGM:ACMR Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-06-30 59.72 15.11 27.58
2019-03-31 55.64 12.83 27.37
2018-12-31 52.32 9.45 27.12
2018-09-30 49.33 10.16 18.24
2018-06-30 45.60 9.93 17.44
2018-03-31 43.00 10.38 15.19
2017-12-31 39.86 5.10 17.68
2017-09-30 33.81 5.41 17.07
2017-06-30 19.55 4.60 13.21
2017-03-31 20.52 5.28 10.12
2016-12-31 20.52 5.28 10.12
2016-09-30 3.98 5.98 7.84
2015-12-31 4.40 9.69 4.40
  • ACM Research's level of debt (25.3%) compared to net worth is satisfactory (less than 40%).
  • Unable to establish if ACM Research's debt level has increased without past 5-year debt data.
  • Debt is well covered by operating cash flow (42.5%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 24.3x coverage).
X
Financial health checks
We assess ACM Research's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. ACM Research has a total score of 5/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is ACM Research's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from ACM Research dividends.
If you bought $2,000 of ACM Research shares you are expected to receive $0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate ACM Research's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate ACM Research's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NasdaqGM:ACMR Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 3 Analyst Estimates (S&P Global) See Below
United States of America Semiconductor Industry Average Dividend Yield Market Cap Weighted Average of 31 Stocks 2.3%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2009 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.5%
United States of America Top 25% Dividend Yield 75th Percentile 3.8%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NasdaqGM:ACMR Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2020-12-31
2019-12-31

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as ACM Research has not reported any payouts.
  • Unable to verify if ACM Research's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of ACM Research's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as ACM Research has not reported any payouts.
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess ACM Research's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can ACM Research afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. ACM Research has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

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

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
David Wang
COMPENSATION $342,182
AGE 57
TENURE AS CEO 21.6 years
CEO Bio

Dr. David H. Wang serves as the President, Chief Executive Officer and Chief Financial Officer of ACM Research (Shanghai), Inc. Dr. Wang has been Chief Executive Officer, President and Director at ACM Research, Inc. since January 1998 and serves as its Chairman. Dr. Wang is Inventor of stress-free Cu polishing technology. Dr. Wang has extensive experience with semiconductor equipment and manufacturing processes, which include his studies and work at Osaka University, Cincinnati University and CNS Technology. He founded ACM Research in 1998. He received a Ph.D. and a Master of Engineering from Osaka University in precision engineering and a Bachelor of Science in precision instruments from Tsinghua University.

CEO Compensation
  • David's compensation has been consistent with company performance over the past year, both up more than 20%.
  • David's remuneration is lower than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the ACM Research management team in years:

8.6
Average Tenure
58
Average Age
  • The average tenure for the ACM Research management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

David Wang

TITLE
Founder
COMPENSATION
$342K
AGE
57
TENURE
21.6 yrs

Jian Wang

TITLE
Vice President of Research & Development - ACM Research (Shanghai)
COMPENSATION
$430K
AGE
54
TENURE
8.6 yrs

Sotheara Cheav

TITLE
Vice President of Manufacturing - ACM Research (Shanghai)
COMPENSATION
$427K
AGE
67
TENURE
8.6 yrs

Lisa Feng

TITLE
Interim CFO
TENURE
1.6 yrs

Chiang Yang

TITLE
Chief Marketing Officer & Member of Advisory Board
AGE
59

Robert Arthur

TITLE
Secretary
Board of Directors Tenure

Average tenure and age of the ACM Research board of directors in years:

2.6
Average Tenure
59
Average Age
  • The average tenure for the ACM Research board of directors is less than 3 years, this suggests a new board.
Board of Directors

Chiang Yang

TITLE
Chief Marketing Officer & Member of Advisory Board
AGE
59
TENURE
2 yrs

Haiping Dun

TITLE
Lead Director
COMPENSATION
$27K
AGE
69

David Wang

TITLE
Founder
COMPENSATION
$342K
AGE
57

Calvin Hu

TITLE
Non-Employee Director & Member of Advisory Board
COMPENSATION
$24K
AGE
71
TENURE
2.6 yrs

Tracy Liu

TITLE
Non-Employee Director
COMPENSATION
$7K
AGE
54
TENURE
2.9 yrs

Stephen Chiao

TITLE
Member of Advisory Board
AGE
72
TENURE
2.7 yrs

Lip-Bu Tan

TITLE
Member of Advisory Board
AGE
59
TENURE
2.6 yrs

Srini Raghavan

TITLE
Member of Advisory Board
TENURE
3.3 yrs

Yinan Xiang

TITLE
Dircector
COMPENSATION
$4K
AGE
44
TENURE
1.8 yrs

Zhengfan Yang

TITLE
Director
COMPENSATION
$3K
AGE
38
TENURE
1.6 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month open market individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
X
Management checks
We assess ACM Research's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. ACM Research has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

ACM Research (NASDAQ:ACMR) Shareholders Booked A 16% Gain In The Last Year

(NASDAQ:ACMR) share price is up 16% in the last year, clearly besting than the market return of around 0.7% (not including dividends). … Note that businesses generally develop over the long term, so the returns over the last year might not reflect a long term trend. … During the last year ACM Research grew its earnings per share (EPS) by 228%.

Simply Wall St -

Could The ACM Research, Inc. (NASDAQ:ACMR) Ownership Structure Tell Us Something Useful?

Insider Ownership Of ACM Research While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders. … Private Company Ownership We can see that Private Companies own 4.9%, of the shares on issue. … Private companies may also have a strategic interest in the company.

Simply Wall St -

Is ACM Research, Inc. (NASDAQ:ACMR) A High Quality Stock To Own?

The formula for return on equity is: Return on Equity = Net Profit ÷ Shareholders' Equity Or for ACM Research: 20% = US$11m ÷ US$56m (Based on the trailing twelve months to March 2019.) It's easy to understand the 'net profit' part of that equation, but 'shareholders' equity' requires further explanation. … Does ACM Research Have A Good Return On Equity? … In my book the highest quality companies have high return on equity, despite low debt.

Simply Wall St -

An Intrinsic Calculation For ACM Research, Inc. (NASDAQ:ACMR) Suggests It's 33% Undervalued

A DCF is all about the idea that a dollar in the future is less valuable than a dollar today, so we discount the value of these future cash flows to their estimated value in today's dollars: 10-year free cash flow (FCF) forecast 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 Levered FCF ($, Millions) $13.72 $18.75 $23.71 $28.30 $32.36 $35.88 $38.91 $41.52 $43.81 $45.87 Growth Rate Estimate Source Est @ 51.19% Est @ 36.65% Est @ 26.47% Est @ 19.35% Est @ 14.36% Est @ 10.87% Est @ 8.43% Est @ 6.72% Est @ 5.52% Est @ 4.69% Present Value ($, Millions) Discounted @ 9.86% $12.49 $15.53 $17.88 $19.43 $20.22 $20.41 $20.14 $19.57 $18.79 $17.91 Present Value of 10-year Cash Flow (PVCF)= $182.37m "Est" = FCF growth rate estimated by Simply Wall St We now need to calculate the Terminal Value, which accounts for all the future cash flows after this ten year period. … Terminal Value (TV) = FCF2029 × (1 + g) ÷ (r – g) = US$46m × (1 + 2.7%) ÷ (9.9% – 2.7%) = US$661m Present Value of Terminal Value (PVTV) = TV / (1 + r)10 = $US$661m ÷ ( 1 + 9.9%)10 = $258.01m The total value, or equity value, is then the sum of the present value of the future cash flows, which in this case is $440.37m. … NasdaqGM:ACMR Intrinsic value, June 13th 2019 Important assumptions Now the most important inputs to a discounted cash flow are the discount rate, and of course, the actual cash flows.

Simply Wall St -

Is ACM Research, Inc.’s (NASDAQ:ACMR) 11% Return On Capital Employed Good News?

Specifically, we'll consider its Return On Capital Employed (ROCE), since that will give us an insight into how efficiently the business can generate profits from the capital it requires. … Understanding Return On Capital Employed (ROCE). … ROCE measures the amount of pre-tax profits a company can generate from the capital employed in its business.

Simply Wall St -

Could ACM Research, Inc.'s (NASDAQ:ACMR) Investor Composition Influence The Stock Price?

(NASDAQ:ACMR) have power over the company. … ACM Research is a smaller company with a market capitalization of US$248m, so it may still be flying under the radar of many institutional investors. … Our analysis of the ownership of the company, below, shows that.

Simply Wall St -

Should ACM Research (NASDAQ:ACMR) Be Disappointed With Their 27% Profit?

To paraphrase Benjamin Graham: Over the short term the market is a voting machine, but over the long term it's a weighing machine. … One imperfect but simple way to consider how the market perception of a company has shifted is to compare the change in the earnings per share (EPS) with the share price movement. … When a company has just transitioned to profitability, earnings per share growth is not always the best way to look at the share price action.

Simply Wall St -

Is ACM Research, Inc. (NASDAQ:ACMR) A Financially Sound Company?

Want to participate in a short research study? … While small-cap stocks, such as ACM Research, Inc. … (NASDAQ:ACMR) with its market cap of US$160m, are popular for their explosive growth, investors should also be aware of their balance sheet to judge whether the company can survive a downturn.

Simply Wall St -

Is ACM Research, Inc.'s (NASDAQ:ACMR) Capital Allocation Ability Worth Your Time?

Specifically, we'll consider its Return On Capital Employed (ROCE), since that will give us an insight into how efficiently the business can generate profits from the capital it requires. … What is Return On Capital Employed (ROCE)? … ROCE is a metric for evaluating how much pre-tax income (in percentage terms) a company earns on the capital invested in its business.

Simply Wall St -

Does ACM Research Inc (NASDAQ:ACMR) Create Value For Shareholders?

ACM Research has a ROE of 16%, based on the last twelve months. … That means that for every $1 worth of shareholders' equity, it generated $0.16 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Company Info

Description

ACM Research, Inc., together with its subsidiaries, develops, manufactures, and sells single-wafer wet cleaning equipment for enhancing the manufacturing process and yield for integrated chips worldwide. It offers space alternated phase of megasonic waves to deliver megasonic energy to flat and patterned wafer surfaces in a uniform manner on a microscopic level; timely energized bubble oscillation cleaning equipment for two-dimensional and three-dimensional patterned wafers at advanced process nodes; and custom-made wafer assembly and packaging equipment. The company markets and sells its products under the Ultra C brand name through direct sales force and third-party representatives. ACM Research, Inc. was founded in 1998 and is headquartered in Fremont, California.

Details
Name: ACM Research, Inc.
ACMR
Exchange: NasdaqGM
Founded: 1998
$250,642,065
17,928,617
Website: http://www.acmrcsh.com
Address: ACM Research, Inc.
42307 Osgood Road,
Suite I,
Fremont,
California, 94539,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqGM ACMR Class A Common Stock Nasdaq Global Market US USD 03. Nov 2017
DB 813 Class A Common Stock Deutsche Boerse AG DE EUR 03. Nov 2017
Number of employees
Current staff
Staff numbers
273
ACM Research employees.
Industry
Semiconductor Equipment
Semiconductors
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/08/18 01:01
End of day share price update: 2019/08/16 00:00
Last estimates confirmation: 2019/08/09
Last earnings filing: 2019/08/12
Last earnings reported: 2019/06/30
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.