MACOM Technology Solutions Holdings, Inc.

NasdaqGS:MTSI Stock Report

Market Cap: US$10.1b

MACOM Technology Solutions Holdings Valuation

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

Valuation Score

1/6

Valuation Score 1/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

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

Discounted Cash Flow
Simply Wall St
US$103.31
Fair Value
25.4% overvalued intrinsic discount
13
Number of Analysts

Below Fair Value: MTSI ($129.5) is trading above our estimate of fair value ($103.31)

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

Key Valuation Metric

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

Key metric: As MTSI is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for MTSI. This is calculated by dividing MTSI's market cap by their current revenue.
What is MTSI's PS Ratio?
PS Ratio12.2x
SalesUS$790.55m
Market CapUS$10.09b

Price to Sales Ratio vs Peers

How does MTSI's PS Ratio compare to its peers?

The above table shows the PS ratio for MTSI vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average20x
LSCC Lattice Semiconductor
13.3x7.0%US$7.6b
OLED Universal Display
10.6x13.2%US$6.9b
QRVO Qorvo
1.9x2.3%US$7.7b
ALAB Astera Labs
54.2x32.7%US$16.9b
MTSI MACOM Technology Solutions Holdings
12.2x13.2%US$10.1b

Price-To-Sales vs Peers: MTSI is good value based on its Price-To-Sales Ratio (12.2x) compared to the peer average (20x).

Price to Sales Ratio vs Industry

How does MTSI's PS Ratio compare vs other companies in the US Semiconductor Industry?

20 CompaniesPrice / SalesEstimated GrowthMarket Cap
AMKR Amkor Technology
0.9x5.6%US$6.14b
UCTT Ultra Clean Holdings
0.9x10.2%US$1.75b
DQ Daqo New Energy
1x22.1%US$1.21b
PENG Penguin Solutions
0.9x11.8%US$1.11b
MTSI 12.2xIndustry Avg. 4.3xNo. of Companies20PS048121620+
20 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: MTSI is expensive based on its Price-To-Sales Ratio (12.2x) compared to the US Semiconductor industry average (4.3x).

Price to Sales Ratio vs Fair Ratio

What is MTSI's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

MTSI PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio12.2x
Fair PS Ratio6x

Price-To-Sales vs Fair Ratio: MTSI is expensive based on its Price-To-Sales Ratio (12.2x) compared to the estimated Fair Price-To-Sales Ratio (6x).

Analyst Price Targets

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

The above table shows the analyst MTSI forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$129.50
US$147.46
+13.9%
10.6%US$160.00US$105.00n/a13
Jan ’26US$129.91
US$147.46
+13.5%
10.6%US$160.00US$105.00n/a13
Dec ’25US$132.82
US$147.46
+11.0%
10.6%US$160.00US$105.00n/a13
Nov ’25US$112.65
US$117.92
+4.7%
11.2%US$135.00US$85.00n/a13
Oct ’25US$107.00
US$116.77
+9.1%
12.0%US$135.00US$85.00n/a13
Sep ’25US$109.23
US$117.71
+7.8%
11.7%US$135.00US$85.00n/a14
Aug ’25US$99.65
US$117.00
+17.4%
12.0%US$135.00US$85.00n/a14
Jul ’25US$110.36
US$111.92
+1.4%
10.6%US$135.00US$85.00n/a13
Jun ’25US$101.14
US$111.92
+10.7%
10.6%US$135.00US$85.00n/a13
May ’25US$99.12
US$98.39
-0.7%
13.8%US$120.00US$75.00n/a13
Apr ’25US$97.62
US$94.55
-3.1%
9.4%US$105.00US$75.00n/a13
Mar ’25US$92.68
US$94.55
+2.0%
9.4%US$105.00US$75.00n/a13
Feb ’25US$84.04
US$91.93
+9.4%
11.5%US$105.00US$70.00US$132.2513
Jan ’25US$92.95
US$87.00
-6.4%
10.8%US$105.00US$70.00US$129.9113
Dec ’24US$85.41
US$85.85
+0.5%
9.2%US$100.00US$70.00US$132.8213
Nov ’24US$70.61
US$86.08
+21.9%
11.9%US$110.00US$65.00US$112.6513
Oct ’24US$81.58
US$84.92
+4.1%
12.3%US$110.00US$65.00US$107.0013
Sep ’24US$83.12
US$83.00
-0.1%
9.0%US$95.00US$65.00US$109.2313
Aug ’24US$69.48
US$65.42
-5.8%
11.0%US$75.00US$50.00US$99.6512
Jul ’24US$65.53
US$64.75
-1.2%
10.6%US$75.00US$50.00US$110.3612
Jun ’24US$61.19
US$64.75
+5.8%
10.6%US$75.00US$50.00US$101.1412
May ’24US$58.43
US$74.17
+26.9%
7.0%US$82.00US$65.00US$99.1212
Apr ’24US$70.84
US$74.17
+4.7%
7.0%US$82.00US$65.00US$97.6212
Mar ’24US$68.83
US$73.17
+6.3%
7.1%US$80.00US$65.00US$92.6812
Feb ’24US$68.53
US$72.00
+5.1%
6.7%US$82.00US$65.00US$84.0411
Analyst Price Target
Consensus Narrative from 13 Analysts
US$147.46
Fair Value
12.2% undervalued intrinsic discount
13
Number of Analysts

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/02/06 22:50
End of Day Share Price 2025/02/06 00:00
Earnings2025/01/03
Annual Earnings2024/09/27

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

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.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

MACOM Technology Solutions Holdings, Inc. is covered by 24 analysts. 13 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Ishan MajumdarBaptista Research
Blayne CurtisBarclays
Thomas O'MalleyBarclays