Ultra Clean Holdings, Inc.

NasdaqGS:UCTT Stock Report

Market Cap: US$1.6b

Ultra Clean Holdings Valuation

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

Valuation Score

3/6

Valuation Score 3/6

  • 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 UCTT when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: UCTT ($35.91) is trading above our estimate of fair value ($17.26)

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


Key Valuation Metric

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

Key metric: As UCTT is barely profitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for UCTT. This is calculated by dividing UCTT's market cap by their current revenue.
What is UCTT's PS Ratio?
PS Ratio0.8x
SalesUS$1.98b
Market CapUS$1.60b

Price to Sales Ratio vs Peers

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

The above table shows the PS ratio for UCTT vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average1.5x
DQ Daqo New Energy
1x24.0%US$1.2b
VECO Veeco Instruments
2.1x2.5%US$1.5b
PLAB Photronics
1.8x6.8%US$1.5b
ICHR Ichor Holdings
1.3x10.2%US$1.0b
UCTT Ultra Clean Holdings
0.8x10.5%US$1.6b

Price-To-Sales vs Peers: UCTT is good value based on its Price-To-Sales Ratio (0.8x) compared to the peer average (1.5x).


Price to Sales Ratio vs Industry

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

17 CompaniesPrice / SalesEstimated GrowthMarket Cap
JKS JinkoSolar Holding
0.08x13.1%US$1.11b
PENG Penguin Solutions
0.8x11.9%US$911.79m
CSIQ Canadian Solar
0.1x13.8%US$731.77m
SEDG SolarEdge Technologies
0.6x21.8%US$606.45m
UCTT 0.8xIndustry Avg. 3.7xNo. of Companies17PS03.26.49.612.816+
17 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: UCTT is good value based on its Price-To-Sales Ratio (0.8x) compared to the US Semiconductor industry average (3.7x).


Price to Sales Ratio vs Fair Ratio

What is UCTT'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.

UCTT PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.8x
Fair PS Ratio1.2x

Price-To-Sales vs Fair Ratio: UCTT is good value based on its Price-To-Sales Ratio (0.8x) compared to the estimated Fair Price-To-Sales Ratio (1.2x).


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 UCTT forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$35.91
US$57.75
+60.8%
16.1%US$70.00US$44.00n/a4
Nov ’25US$34.33
US$57.75
+68.2%
16.1%US$70.00US$44.00n/a4
Oct ’25US$37.85
US$61.50
+62.5%
8.4%US$70.00US$56.00n/a4
Sep ’25US$37.70
US$58.67
+55.6%
3.2%US$60.00US$56.00n/a3
Aug ’25US$39.89
US$58.67
+47.1%
3.2%US$60.00US$56.00n/a3
Jul ’25US$50.19
US$54.33
+8.3%
3.1%US$56.00US$52.00n/a3
Jun ’25US$46.38
US$54.33
+17.1%
3.1%US$56.00US$52.00n/a3
May ’25US$40.28
US$49.67
+23.3%
4.1%US$52.00US$47.00n/a3
Apr ’25US$45.63
US$49.67
+8.8%
4.1%US$52.00US$47.00n/a3
Mar ’25US$44.83
US$49.67
+10.8%
4.1%US$52.00US$47.00n/a3
Feb ’25US$38.77
US$39.33
+1.5%
14.6%US$46.00US$32.00n/a3
Jan ’25US$34.14
US$39.00
+14.2%
13.7%US$45.00US$32.00n/a3
Dec ’24US$27.90
US$39.00
+39.8%
13.7%US$45.00US$32.00n/a3
Nov ’24US$24.28
US$39.00
+60.6%
13.7%US$45.00US$32.00US$34.333
Oct ’24US$29.67
US$48.33
+62.9%
17.6%US$60.00US$40.00US$37.853
Sep ’24US$35.49
US$48.33
+36.2%
17.6%US$60.00US$40.00US$37.703
Aug ’24US$37.00
US$50.67
+36.9%
16.2%US$60.00US$40.00US$39.893
Jul ’24US$38.46
US$39.33
+2.3%
22.9%US$52.00US$32.00US$50.193
Jun ’24US$33.79
US$33.67
-0.4%
3.7%US$35.00US$32.00US$46.383
May ’24US$28.55
US$33.67
+17.9%
3.7%US$35.00US$32.00US$40.283
Apr ’24US$33.16
US$35.67
+7.6%
8.0%US$39.00US$32.00US$45.633
Mar ’24US$32.50
US$35.67
+9.7%
8.0%US$39.00US$32.00US$44.833
Feb ’24US$36.72
US$36.25
-1.3%
7.4%US$39.00US$32.00US$38.774
Jan ’24US$33.15
US$38.00
+14.6%
9.8%US$44.00US$34.00US$34.144
Dec ’23US$35.46
US$38.00
+7.2%
9.8%US$44.00US$34.00US$27.904
Nov ’23US$32.23
US$38.00
+17.9%
9.8%US$44.00US$34.00US$24.284

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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