Axcelis Technologies (ACLS) AI Stock Analysis

• Market Cap: $3.06B
• Dividend Yield: N/A
• Average Volume (3M): 482.40K
• Price to Earnings (P/E): 19.9
• Beta (1Y): 1.70
• Revenue Growth: -19.38%
• EPS Growth: -33.03%
• Country: US
• Employees: 1,524
• Sector: Technology
• Sector Strength: 88
• Industry: Semiconductors
• EPS (TTM): 1.13
• Shares Outstanding: 31,418,860
• 10 Day Avg. Volume: 590,747
• 30 Day Avg. Volume: 482,399
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 0.57
• Enterprise Value/Revenue: 1.95
• Enterprise Value/Gross Profit: 4.33
• Enterprise Value/Ebitda: 8.52
• 1Y Price Target: $86.80
• Price Target Upside: -10.96% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 8

• Rating: 78 Outperform
• Price Target: $92.00 ▼(-5.62% Downside)

Axcelis Technologies' strong financial performance and technical momentum are the primary drivers of its high score. The company's robust balance sheet and strategic market leadership in high-energy ion implantation further bolster its position. However, valuation concerns and market softness in certain segments slightly temper the overall outlook.

Positive Factors

Strategic Partnership

This partnership enhances Axcelis' position in the high-energy ion implantation market by developing advanced power devices, potentially opening new revenue streams and reinforcing its technological leadership.

Market Leadership

Maintaining leadership in high-energy ion implantation strengthens Axcelis' competitive edge, ensuring continued demand for its products in next-generation semiconductor architectures.

Robust Balance Sheet

A strong cash position and share repurchases indicate financial health and shareholder value focus, providing flexibility for strategic investments and resilience against market fluctuations.

Negative Factors

Decline in Revenue Growth

A decline in revenue growth suggests potential challenges in market demand or competitive pressures, which could impact long-term profitability and market share if not addressed.

Muted Memory Market

Ongoing softness in the memory market could limit growth opportunities for Axcelis, as customers delay capacity expansions, affecting future sales and revenue stability.

General Market Softness

Softness in mature segments indicates potential challenges in maintaining growth across diverse markets, which could pressure Axcelis' revenue and margin sustainability over time.

Axcelis Technologies Business Overview & Revenue Model

Company Description

Axcelis Technologies (ACLS) is a leading provider of innovative ion implantation and other equipment solutions for the semiconductor industry. The company specializes in the design, manufacture, and service of advanced semiconductor processing equipment, primarily focusing on ion implantation systems that are critical for the production of integrated circuits. Axcelis serves a diverse range of customers, including major semiconductor manufacturers, and is known for its commitment to technology leadership and customer support.

How the Company Makes Money

Axcelis Technologies generates revenue primarily through the sale of its semiconductor manufacturing equipment, particularly ion implantation systems. The company offers a range of products, including high-energy and low-energy ion implanters, which are essential for various semiconductor fabrication processes. In addition to equipment sales, Axcelis also earns money from aftermarket services, including maintenance, spare parts, and upgrades, which provide a recurring revenue stream. Strategic partnerships with leading semiconductor manufacturers and technology collaborations further enhance its market position and contribute to its earnings. The company's ability to innovate and adapt to the evolving needs of the semiconductor market is a critical factor in its revenue generation.

Axcelis Technologies Financial Statement Overview

Summary

Axcelis Technologies presents a strong financial position with solid profitability, efficient leverage management, and robust cash flow generation. The recent decline in revenue growth is a concern, but the company continues to maintain healthy margins and a strong balance sheet.

Income Statement

Axcelis Technologies shows strong profitability with a consistent gross profit margin around 44-45% over the years. However, the recent TTM data indicates a decline in revenue growth rate by 6.47%, which is a concern. Despite this, the company maintains a healthy net profit margin of 17.69% in TTM, showcasing efficient cost management. The EBIT and EBITDA margins have slightly decreased in TTM compared to previous years, indicating some pressure on operational efficiency.

Balance Sheet

The company maintains a low debt-to-equity ratio, indicating prudent financial leverage management. The return on equity, although slightly decreased in TTM to 15.70%, remains strong, reflecting effective use of shareholder funds. The equity ratio is stable, suggesting a solid financial structure with a good proportion of assets financed by equity.

Cash Flow

Axcelis Technologies demonstrates robust cash flow management with a high free cash flow to net income ratio of 95.66% in TTM. The free cash flow growth rate has rebounded positively in TTM after a decline in the previous year, indicating improved cash generation capabilities. However, the operating cash flow to net income ratio is slightly below 1, suggesting room for improvement in converting income into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	896.09M	1.02B	1.13B	920.00M	662.43M	474.56M
Gross Profit	402.30M	454.65M	491.30M	401.79M	286.44M	198.58M
EBITDA	204.59M	251.54M	297.01M	222.07M	136.08M	71.04M
Net Income	158.49M	200.99M	246.26M	183.08M	98.65M	49.98M
Balance Sheet
Total Assets	1.32B	1.35B	1.28B	1.01B	753.24M	624.62M
Cash, Cash Equivalents and Short-Term Investments	549.84M	571.34M	506.15M	432.17M	294.92M	203.48M
Total Debt	43.00M	73.47M	75.89M	58.71M	56.47M	52.67M
Total Liabilities	301.10M	335.99M	417.08M	346.38M	214.28M	143.02M
Stockholders Equity	1.02B	1.01B	864.88M	667.26M	538.96M	481.60M
Cash Flow
Free Cash Flow	130.07M	128.64M	136.21M	204.92M	141.47M	62.27M
Operating Cash Flow	138.05M	140.82M	156.87M	215.61M	150.19M	69.70M
Investing Cash Flow	-11.58M	-108.73M	-100.86M	-257.25M	-8.72M	-7.27M
Financing Cash Flow	-97.63M	-71.19M	-68.27M	-65.48M	-52.45M	-2.39M

Axcelis Technologies Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 97.48
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ACLS, the sentiment is Positive. The current price of 97.48 is above the 20-day moving average (MA) of 88.45, above the 50-day MA of 81.72, and above the 200-day MA of 67.29, indicating a bullish trend. The MACD of 5.09 indicates Negative momentum. The RSI at 71.19 is Negative, neither overbought nor oversold. The STOCH value of 66.04 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ACLS.

Axcelis Technologies Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ACLS	78 Outperform	$3.06B	19.93	16.19%	―	-19.38%	-33.03%
DIOD	71 Outperform	2.47B	38.76	3.39%	―	2.86%	-34.32%
SIMO	70 Outperform	3.08B	38.01	―	2.20%	-0.29%	1.47%
FORM	67 Neutral	2.72B	62.70	4.44%	―	8.30%	-63.69%
IPGP	59 Neutral	3.40B	-16.41	-10.24%	―	-14.77%	-261.91%
POWI	55 Neutral	2.24B	67.28	―	2.10%	7.16%	-21.24%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

Axcelis Technologies Corporate Events

Axcelis Technologies Approves Equity Plan Amendment at Annual Meeting

At the 2025 annual meeting held on May 7, Axcelis Technologies‘ stockholders approved an amendment to the 2012 Equity Incentive Plan, increasing the number of shares reserved for future issuance by 3,000,000. Additionally, the board fixed its size at eight members and appointed Jorge Titinger as the Non-Executive Chairperson. The meeting also ratified the appointment of Ernst & Young LLP as independent auditors and approved the executive compensation for 2024.