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VECO

Veeco Instruments NasdaqGS:VECO Stock Report

Last Price

US$19.24

Market Cap

US$985.9m

7D

-0.05%

1Y

-20.0%

Updated

29 Jun, 2022

Data

Company Financials +
VECO fundamental analysis
Snowflake Score
Valuation3/6
Future Growth4/6
Past Performance3/6
Financial Health4/6
Dividends0/6

VECO Stock Overview

Veeco Instruments Inc., together with its subsidiaries, develops, manufactures, sells, and supports semiconductor and thin film process equipment primarily to make electronic devices worldwide.

Veeco Instruments Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Veeco Instruments
Historical stock prices
Current Share PriceUS$19.24
52 Week HighUS$32.40
52 Week LowUS$18.64
Beta1.36
1 Month Change-11.62%
3 Month Change-29.24%
1 Year Change-19.97%
3 Year Change56.55%
5 Year Change-32.37%
Change since IPO75.90%

Recent News & Updates

Jun 16
Is It Too Late To Consider Buying Veeco Instruments Inc. (NASDAQ:VECO)?

Is It Too Late To Consider Buying Veeco Instruments Inc. (NASDAQ:VECO)?

While Veeco Instruments Inc. ( NASDAQ:VECO ) might not be the most widely known stock at the moment, it saw significant...

Shareholder Returns

VECOUS SemiconductorUS Market
7D-0.05%-1.8%1.6%
1Y-20.0%-21.0%-20.8%

Return vs Industry: VECO matched the US Semiconductor industry which returned -19.1% over the past year.

Return vs Market: VECO matched the US Market which returned -20.4% over the past year.

Price Volatility

Is VECO's price volatile compared to industry and market?
VECO volatility
VECO Average Weekly Movement7.0%
Semiconductor Industry Average Movement8.4%
Market Average Movement8.1%
10% most volatile stocks in US Market16.8%
10% least volatile stocks in US Market3.2%

Stable Share Price: VECO is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: VECO's weekly volatility (7%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19451,091Bill Millerhttps://www.veeco.com

Veeco Instruments Inc., together with its subsidiaries, develops, manufactures, sells, and supports semiconductor and thin film process equipment primarily to make electronic devices worldwide. The company offers laser annealing, ion beam deposition and etch, metal organic chemical vapor deposition, single wafer wet processing and surface preparation, molecular beam epitaxy, and atomic layer deposition and other deposition systems, as well as packaging lithography equipment. Its process equipment systems are used in the production of a range of microelectronic components, including logic, dynamic random-access memory, photonics devices, power electronics, radio frequency filters and amplifiers, magnetic heads for hard disk drives, and other semiconductor devices.

Veeco Instruments Fundamentals Summary

How do Veeco Instruments's earnings and revenue compare to its market cap?
VECO fundamental statistics
Market CapUS$985.92m
Earnings (TTM)US$36.87m
Revenue (TTM)US$605.99m

26.7x

P/E Ratio

1.6x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
VECO income statement (TTM)
RevenueUS$605.99m
Cost of RevenueUS$352.62m
Gross ProfitUS$253.37m
Other ExpensesUS$216.50m
EarningsUS$36.87m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)0.72
Gross Margin41.81%
Net Profit Margin6.08%
Debt/Equity Ratio67.9%

How did VECO perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

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

Valuation Score

3/6

Valuation Score 3/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

VECO key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue1.8x
Enterprise Value/EBITDA11.7x
PEG Ratio0.8x

Price to Earnings Ratio vs Peers

How does VECO's PE Ratio compare to its peers?

VECO PE Ratio vs Peers
The above table shows the PE ratio for VECO vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average12.5x
PLAB Photronics
13.5x23.7%US$1.2b
COHU Cohu
8.1x-11.2%US$1.3b
ICHR Ichor Holdings
11.6x27.2%US$745.5m
CAMT Camtek
16.8x12.1%US$1.1b
VECO Veeco Instruments
26.7x32.6%US$985.9m

Price-To-Earnings vs Peers: VECO is expensive based on its Price-To-Earnings Ratio (26.7x) compared to the peer average (12.5x).


Price to Earnings Ratio vs Industry

How does VECO's PE Ratio compare vs other companies in the US Semiconductor Industry?

Price-To-Earnings vs Industry: VECO is expensive based on its Price-To-Earnings Ratio (26.7x) compared to the US Semiconductor industry average (18.3x)


Price to Earnings Ratio vs Fair Ratio

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

VECO PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio26.7x
Fair PE Ratio25x

Price-To-Earnings vs Fair Ratio: VECO is expensive based on its Price-To-Earnings Ratio (26.7x) compared to the estimated Fair Price-To-Earnings Ratio (25x).


Share Price vs Fair Value

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

Below Fair Value: VECO ($19.24) is trading below our estimate of fair value ($41.42)

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


Price to Earnings Growth Ratio

PEG Ratio: VECO is good value based on its PEG Ratio (0.8x)


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Future Growth

How is Veeco Instruments forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

Future Growth Score

4/6

Future Growth Score 4/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


32.6%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: VECO's forecast earnings growth (32.6% per year) is above the savings rate (1.9%).

Earnings vs Market: VECO's earnings (32.6% per year) are forecast to grow faster than the US market (13.7% per year).

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

Revenue vs Market: VECO's revenue (10.1% per year) is forecast to grow faster than the US market (8.3% per year).

High Growth Revenue: VECO's revenue (10.1% 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 VECO's Return on Equity is forecast to be high in 3 years time


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Past Performance

How has Veeco Instruments performed over the past 5 years?

Past Performance Score

3/6

Past Performance Score 3/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


35.5%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: VECO has high quality earnings.

Growing Profit Margin: VECO became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: VECO has become profitable over the past 5 years, growing earnings by 35.5% per year.

Accelerating Growth: VECO has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: VECO has become profitable in the last year, making it difficult to compare its past year earnings growth to the Semiconductor industry (70.4%).


Return on Equity

High ROE: VECO's Return on Equity (9.1%) is considered low.


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Financial Health

How is Veeco Instruments's financial position?

Financial Health Score

4/6

Financial Health Score 4/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: VECO's short term assets ($570.0M) exceed its short term liabilities ($220.7M).

Long Term Liabilities: VECO's short term assets ($570.0M) exceed its long term liabilities ($296.1M).


Debt to Equity History and Analysis

Debt Level: VECO's net debt to equity ratio (10.7%) is considered satisfactory.

Reducing Debt: VECO's debt to equity ratio has increased from 40.2% to 67.9% over the past 5 years.

Debt Coverage: VECO's debt is well covered by operating cash flow (30%).

Interest Coverage: VECO's interest payments on its debt are not well covered by EBIT (2.9x coverage).


Balance Sheet


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Dividend

What is Veeco Instruments's current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage

Dividend Yield vs Market

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

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

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


Earnings Payout to Shareholders

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


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as VECO has not reported any payouts.


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Management

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

3.1yrs

Average management tenure


CEO

Bill Miller (53 yo)

3.67yrs

Tenure

US$4,526,501

Compensation

Dr. William John Miller, also known as Bill, Ph D, has been Chief Executive Officer and Director of Veeco Instruments Inc. since October 1, 2018 and served as its President from January 4, 2016 to October...


CEO Compensation Analysis

Compensation vs Market: Bill's total compensation ($USD4.53M) is about average for companies of similar size in the US market ($USD4.00M).

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


Leadership Team

Experienced Management: VECO's management team is considered experienced (3.1 years average tenure).


Board Members

Experienced Board: VECO'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: VECO 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 2.1%.


Top Shareholders

Company Information

Veeco Instruments Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Veeco Instruments Inc.
  • Ticker: VECO
  • Exchange: NasdaqGS
  • Founded: 1945
  • Industry: Semiconductor Equipment
  • Sector: Semiconductors
  • Implied Market Cap: US$985.916m
  • Shares outstanding: 51.24m
  • Website: https://www.veeco.com

Number of Employees


Location

  • Veeco Instruments Inc.
  • 1 Terminal Drive
  • Plainview
  • New York
  • 11803
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/29 00:00
End of Day Share Price2022/06/29 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


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.