NasdaqGS:ASYS

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

Amtech Systems, Inc. manufactures and sells capital equipment and related consumables for use in fabricating silicon carbide (SiC), silicon power chips, electronic assemblies, and light-emitting diodes (LEDs) in the United States, China, France, and internationally.


Snowflake Analysis

Flawless balance sheet with high growth potential.


Similar Companies

Share Price & News

How has Amtech Systems's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: ASYS's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-2.8%

ASYS

-0.1%

US Semiconductor

2.0%

US Market


1 Year Return

-5.7%

ASYS

40.7%

US Semiconductor

7.1%

US Market

Return vs Industry: ASYS underperformed the US Semiconductor industry which returned 39.4% over the past year.

Return vs Market: ASYS underperformed the US Market which returned 4.6% over the past year.


Shareholder returns

ASYSIndustryMarket
7 Day-2.8%-0.1%2.0%
30 Day0.2%7.0%6.0%
90 Day3.2%7.3%-0.05%
1 Year-5.7%-5.7%43.4%40.7%9.5%7.1%
3 Year-36.4%-36.4%65.0%56.2%30.7%22.1%
5 Year-54.0%-54.0%140.9%118.1%55.6%38.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Amtech Systems undervalued compared to its fair value and its price relative to the market?

1122.78x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: ASYS ($5.13) is trading above our estimate of fair value ($0.55)

Significantly Below Fair Value: ASYS is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: ASYS is poor value based on its PE Ratio (1122.8x) compared to the Semiconductor industry average (33.6x).

PE vs Market: ASYS is poor value based on its PE Ratio (1122.8x) compared to the US market (15.1x).


Price to Earnings Growth Ratio

PEG Ratio: ASYS is poor value based on its PEG Ratio (9.1x)


Price to Book Ratio

PB vs Industry: ASYS is good value based on its PB Ratio (0.9x) compared to the US Semiconductor industry average (3x).


Next Steps

Future Growth

How is Amtech Systems forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

123.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ASYS's forecast earnings growth (123.4% per year) is above the savings rate (2.2%).

Earnings vs Market: ASYS's earnings (123.4% per year) are forecast to grow faster than the US market (21.6% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: ASYS's revenue (24.8% per year) is forecast to grow faster than the US market (8.9% per year).

High Growth Revenue: ASYS's revenue (24.8% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if ASYS's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Amtech Systems performed over the past 5 years?

56.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ASYS has a large one-off loss of $2.9M impacting its March 31 2020 financial results.

Growing Profit Margin: ASYS's current net profit margins (0.09%) are lower than last year (5.3%).


Past Earnings Growth Analysis

Earnings Trend: ASYS has become profitable over the past 5 years, growing earnings by 56.8% per year.

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

Earnings vs Industry: ASYS had negative earnings growth (-98.7%) over the past year, making it difficult to compare to the Semiconductor industry average (-13.2%).


Return on Equity

High ROE: ASYS's Return on Equity (0.08%) is considered low.


Next Steps

Financial Health

How is Amtech Systems's financial position?


Financial Position Analysis

Short Term Liabilities: ASYS's short term assets ($81.6M) exceed its short term liabilities ($9.7M).

Long Term Liabilities: ASYS's short term assets ($81.6M) exceed its long term liabilities ($7.7M).


Debt to Equity History and Analysis

Debt Level: ASYS's debt to equity ratio (6.5%) is considered satisfactory.

Reducing Debt: ASYS's debt to equity ratio has reduced from 12.8% to 6.5% over the past 5 years.

Debt Coverage: ASYS's debt is well covered by operating cash flow (84.2%).

Interest Coverage: ASYS earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is Amtech Systems's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate ASYS's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate ASYS's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if ASYS's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if ASYS's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

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


Next Steps

Management

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

2.6yrs

Average management tenure


CEO

Michael Whang (47yo)

0.33

Tenure

US$284,661

Compensation

Mr. Michael Whang has been Director at Amtech Systems, Inc. since May 5, 2020. Mr. Whang has been Chief Executive Officer at Amtech Systems, Inc. since January 28, 2020 and was its Vice President and Chief ...


CEO Compensation Analysis

Compensation vs Market: Michael's total compensation ($USD284.66K) is below average for companies of similar size in the US market ($USD594.79K).

Compensation vs Earnings: Insufficient data to compare Michael's compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
Jong Whang
Executive Chairman8.33yrsUS$344.58k0.50% $362.6k
Michael Whang
CEO & Director0.33yrUS$284.66k0.014% $10.3k
Lisa Gibbs
VP, CFOno dataUS$277.88k0.014% $10.3k
Jan-Marc Luchies
Chief Technology Officer4yrsno datano data
William Rehkow
Director of Sales and Marketingno datano datano data
Albert Hasper
Managing Director of Amtech Europe4yrsno datano data

2.6yrs

Average Tenure

51.5yo

Average Age

Experienced Management: ASYS's management team is considered experienced (2.6 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Jong Whang
Executive Chairman8.33yrsUS$344.58k0.50% $362.6k
Michael Whang
CEO & Director0.33yrUS$284.66k0.014% $10.3k
Lisa Gibbs
VP, CFOno dataUS$277.88k0.014% $10.3k
Michael Garnreiter
Lead Independent Directorno dataUS$71.65kno data
Robert King
Independent Director17yrsUS$56.15k0.058% $42.1k
Robert Averick
Independent Director15.33yrsUS$56.65k1.42% $1.0m
Sukesh Mohan
Independent Director5.08yrsUS$56.65kno data

11.8yrs

Average Tenure

53yo

Average Age

Experienced Board: ASYS's board of directors are seasoned and experienced ( 11.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: ASYS insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Amtech Systems, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Amtech Systems, Inc.
  • Ticker: ASYS
  • Exchange: NasdaqGS
  • Founded: 1981
  • Industry: Semiconductor Equipment
  • Sector: Semiconductors
  • Market Cap: US$72.062m
  • Shares outstanding: 14.05m
  • Website: https://www.amtechsystems.com

Number of Employees


Location

  • Amtech Systems, Inc.
  • 131 South Clark Drive
  • Tempe
  • Arizona
  • 85281
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ASYSNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDAug 1983
AS3DB (Deutsche Boerse AG)YesCommon StockDEEURAug 1983

Biography

Amtech Systems, Inc. manufactures and sells capital equipment and related consumables for use in fabricating silicon carbide (SiC), silicon power chips, electronic assemblies, and light-emitting diodes (LEDs) in the United States, China, France, and internationally. The company operates through Semiconductor and SiC/LED segments. The Semiconductor segment designs, manufactures, sells, and services thermal processing equipment, including solder reflow equipment and related controls for use by various semiconductor manufacturers, as well as in electronics, automotive and other industries; and wafer polishing equipment and related services. Its products include horizontal diffusion furnaces used to produce semiconductors, silicon wafers, and microelectromechanical systems; and belt furnaces. The SiC/LED segment manufactures and sells consumables and machinery for lapping and polishing of materials, such as silicon wafers for semiconductor products; sapphire substrates for LED lighting and mobile devices; silicon carbide wafers for LED and power device applications; various glass and silica components for 3D image transmission; quartz and ceramic components for telecommunications devices; and medical device components, and optical and photonics applications. The company sells its products through sales personnel, as well as a network of independent sales representatives and distributors. The company was formerly known as Quartz Engineering & Materials, Inc. and changed its name to Amtech Systems, Inc. in 1987. Amtech Systems, Inc. was founded in 1981 and is headquartered in Tempe, Arizona. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/05/27 06:18
End of Day Share Price2020/05/26 00:00
Earnings2020/03/31
Annual Earnings2019/09/30


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.