NasdaqGS:FORM

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Executive Summary

FormFactor, Inc. designs, manufactures, and sells probe cards, analytical probes, probe stations, metrology systems, and thermal sub-systems. More Details


Snowflake Analysis

Excellent balance sheet and good value.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: FORM has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-0.9%

FORM

-1.8%

US Semiconductor

-2.4%

US Market


1 Year Return

43.4%

FORM

47.9%

US Semiconductor

18.2%

US Market

Return vs Industry: FORM underperformed the US Semiconductor industry which returned 48% over the past year.

Return vs Market: FORM exceeded the US Market which returned 19.5% over the past year.


Shareholder returns

FORMIndustryMarket
7 Day-0.9%-1.8%-2.4%
30 Day19.6%11.3%4.2%
90 Day-6.5%13.4%6.3%
1 Year43.4%43.4%50.7%47.9%20.9%18.2%
3 Year67.9%67.9%85.6%75.9%41.2%31.8%
5 Year278.6%278.6%237.7%203.9%84.8%63.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

40.0%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: FORM ($29.38) is trading below our estimate of fair value ($48.77)

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


Price To Earnings Ratio

PE vs Industry: FORM is good value based on its PE Ratio (35.2x) compared to the US Semiconductor industry average (39.9x).

PE vs Market: FORM is poor value based on its PE Ratio (35.2x) compared to the US market (19x).


Price to Earnings Growth Ratio

PEG Ratio: FORM is poor value based on its PEG Ratio (1.8x)


Price to Book Ratio

PB vs Industry: FORM is good value based on its PB Ratio (3.3x) compared to the US Semiconductor industry average (3.4x).


Next Steps

Future Growth

How is FormFactor forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

19.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: FORM's forecast earnings growth (19.3% per year) is above the savings rate (2.2%).

Earnings vs Market: FORM's earnings (19.3% per year) are forecast to grow slower than the US market (22.1% per year).

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

Revenue vs Market: FORM's revenue (6.6% per year) is forecast to grow slower than the US market (10% per year).

High Growth Revenue: FORM's revenue (6.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

How has FormFactor performed over the past 5 years?

52.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: FORM has high quality earnings.

Growing Profit Margin: FORM's current net profit margins (9.9%) are lower than last year (19.3%).


Past Earnings Growth Analysis

Earnings Trend: FORM has become profitable over the past 5 years, growing earnings by 52.5% per year.

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

Earnings vs Industry: FORM had negative earnings growth (-39.9%) over the past year, making it difficult to compare to the Semiconductor industry average (7.5%).


Return on Equity

High ROE: FORM's Return on Equity (9.2%) is considered low.


Next Steps

Financial Health

How is FormFactor's financial position?


Financial Position Analysis

Short Term Liabilities: FORM's short term assets ($455.4M) exceed its short term liabilities ($123.2M).

Long Term Liabilities: FORM's short term assets ($455.4M) exceed its long term liabilities ($70.3M).


Debt to Equity History and Analysis

Debt Level: FORM's debt to equity ratio (7.2%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if FORM's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: FORM's debt is well covered by operating cash flow (295.9%).

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


Balance Sheet


Next Steps

Dividend

What is FormFactor current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

High Dividend: Unable to evaluate FORM'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 FORM's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if FORM'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 FORM'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?

3.9yrs

Average management tenure


CEO

Mike Slessor (50 yo)

5.83yrs

Tenure

US$4,049,718

Compensation

Dr. Michael D. Slessor, also known as Mike, has been the Chief Executive Officer at FormFactor Inc. since December 28, 2014 and served as its President from October 2013 till December 2014. Dr. Slessor ser ...


CEO Compensation Analysis

Compensation vs Market: Mike's total compensation ($USD4.05M) is about average for companies of similar size in the US market ($USD4.44M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Michael Slessor
CEO & Director5.83yrsUS$4.05m0.49%
$ 11.0m
Shai Shahar
Chief Financial Officer2.58yrsUS$1.56m0.0044%
$ 98.9k
Jarek Kister
CTO and Senior VP of Technology R&D6.75yrsno datano data
Stan Finkelstein
Head of Investor Relationsno datano datano data
Jason Cohen
VP, General Counsel & Secretary5.17yrsno datano data
Amy Leong
Chief Marketing Officer and Senior VP of Mergers & Acquisitions3.5yrsno datano data
Robert Selley
Senior Vice President of Worldwide Sales & Service3.5yrsno datano data
Tim Mueller
Vice President of Global Human Resources4.25yrsno datano data
Matt Losey
Senior VP & GM of Probes Business Unit3.58yrsno datano data

3.9yrs

Average Tenure

50yo

Average Age

Experienced Management: FORM's management team is considered experienced (3.9 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Michael Slessor
CEO & Director5.83yrsUS$4.05m0.49%
$ 11.0m
Lothar Maier
Independent Director13.92yrsUS$199.86k0.12%
$ 2.8m
Edward Rogas
Independent Director10yrsUS$201.48k0.062%
$ 1.4m
Thomas Dennis
Independent Chairman7yrsUS$211.48k0.051%
$ 1.1m
Michael Zellner
Director Emeritusno dataUS$213.48kno data
Raymond Link
Independent Director4.33yrsUS$207.48k0.073%
$ 1.7m
Richard DeLateur
Director Emeritusno dataUS$198.27kno data
Kelley Steven-Waiss
Independent Director5.17yrsUS$198.98k0.023%
$ 524.5k
Sheri Rhodes
Independent Director0.83yrUS$93.38k0.0026%
$ 58.9k
Rebeca Obregon-Jimenez
Independent Director1.08yrsUS$115.41k0%
$ 0

6.1yrs

Average Tenure

63yo

Average Age

Experienced Board: FORM's board of directors are considered experienced (6.1 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

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 2.5%.


Top Shareholders

Company Information

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


Key Information

  • Name: FormFactor, Inc.
  • Ticker: FORM
  • Exchange: NasdaqGS
  • Founded: 1993
  • Industry: Semiconductor Equipment
  • Sector: Semiconductors
  • Market Cap: US$2.258b
  • Shares outstanding: 77.06m
  • Website: https://www.formfactor.com

Number of Employees


Location

  • FormFactor, Inc.
  • 7005 Southfront Road
  • Livermore
  • California
  • 94551
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
FORMNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDJun 2003
FMFDB (Deutsche Boerse AG)YesCommon StockDEEURJun 2003

Biography

FormFactor, Inc. designs, manufactures, and sells probe cards, analytical probes, probe stations, metrology systems, and thermal sub-systems. It operates in two segments, Probe Cards and Systems. The compa ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/21 00:49
End of Day Share Price2020/10/20 00:00
Earnings2020/06/27
Annual Earnings2019/12/28


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.