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Infineon (IFNNY)
OTHER OTC:IFNNY
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Infineon
(OTC:IFNNY)
73Outperform
Infineon (IFNNY) vs. S&P 500 (SPY)
Market Cap
$50.36B
Dividend Yield0.65%
Average Volume (3M)32.83K
Price to Earnings (P/E)61.3
Beta (1Y)1.45
Revenue Growth-6.90%
EPS Growth-70.06%
CountryUS
Employees57,397
SectorTechnology
Sector Strength80
IndustrySemiconductors
Share Statistics
EPS (TTM)0.38
Shares Outstanding1,305,921,100
10 Day Avg. Volume0
30 Day Avg. Volume32,834
Financial Highlights & Ratios
PEG Ratio-1.69
Price to Book (P/B)2.22
Price to Sales (P/S)0.00
P/FCF Ratio58.49
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
$56.51Price Target Upside51.70% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering0
Infineon Business Overview & Revenue Model
Company DescriptionInfineon Technologies AG (IFNNY) is a leading global semiconductor manufacturer based in Germany. The company operates in various sectors, including automotive, industrial power control, power management and multimarket, and digital security solutions. Infineon is renowned for its cutting-edge semiconductor solutions that enable efficient energy management, reliable data processing, and enhanced security systems. Their core products include microcontrollers, power semiconductors, sensors, and security ICs, which are integral to applications in electric vehicles, renewable energy, consumer electronics, and industrial automation.
How the Company Makes MoneyInfineon makes money primarily through the design, manufacturing, and sale of semiconductors and related products. The company generates revenue from several key business segments: Automotive, Industrial Power Control, Power & Sensor Systems, and Connected Secure Systems. The Automotive segment is a significant revenue driver, capitalizing on the growing demand for semiconductors in the electric and connected vehicle markets. Industrial Power Control focuses on power semiconductors used in energy-efficient industrial applications, including renewable energy systems. The Power & Sensor Systems segment provides products for power management and sensing solutions in consumer and industrial applications. Connected Secure Systems delivers security and connectivity solutions for smart card applications and embedded security. Infineon also benefits from strategic partnerships and collaborations with major tech firms and automotive companies, enhancing its market reach and technological capabilities.
Infineon Financial Statement Overview
Summary
Infineon's financial performance reflects strong profitability with robust margins and a stable balance sheet, characterized by low leverage. However, the company faces challenges in cash flow management, notably a significant decline in free cash flow. This suggests a need for improved operational efficiency and cost control to sustain long-term growth.Income Statement
Infineon's TTM (Trailing-Twelve-Months) revenue shows a slight decline compared to the previous annual period, indicating a marginal drop in top-line growth. The gross profit margin is strong at approximately 39.6%, and the net profit margin is healthy at 6.5%. However, both EBIT and EBITDA margins have decreased, suggesting rising operational costs. Overall, the income statement reflects a solid profitability position, but with potential cost challenges.75
Positive
Balance Sheet
The company's balance sheet is robust, with a debt-to-equity ratio of 0.29, indicating a conservative leverage position. The equity ratio stands at 61.3%, showcasing strong shareholder equity backing. Return on Equity (ROE) is modest at 5.3%, which suggests room for efficiency improvements. Overall, Infineon maintains a stable financial position with low leverage risk.80
Positive
Cash Flow
Infineon's cash flow statement indicates a drop in free cash flow, with a growth rate of -30.8% compared to the previous year. The operating cash flow to net income ratio is strong, showing good cash conversion efficiency. However, the free cash flow to net income ratio is relatively low, indicating potential pressure on liquidity. Despite solid operational cash generation, the decrease in free cash flow warrants attention.68
Positive
| Breakdown | |||||
| TTM | Sep 2024 | Sep 2023 | Sep 2022 | Sep 2021 | Sep 2020 |
|---|---|---|---|---|---|
| Income Statement | Total Revenue | ||||
| 14.68B | 14.96B | 16.31B | 14.22B | 11.06B | 8.57B | Gross Profit |
| 5.81B | 6.07B | 7.41B | 6.13B | 4.26B | 2.78B | EBIT |
| 1.85B | 2.19B | 3.95B | 2.85B | 1.47B | 581.00M | EBITDA |
| 3.83B | 4.18B | 5.83B | 4.53B | 2.99B | 1.81B | Net Income Common Stockholders |
| 960.00M | 1.30B | 3.14B | 2.18B | 1.17B | 368.00M |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | ||||
| 2.11B | 2.20B | 3.59B | 3.72B | 3.92B | 3.23B | Total Assets |
| 6.19B | 28.64B | 28.44B | 26.91B | 23.33B | 22.00B | Total Debt |
| 190.00M | 5.17B | 5.11B | 6.05B | 6.92B | 7.33B | Net Debt |
| -1.20B | 3.36B | 3.29B | 4.61B | 5.17B | 5.48B | Total Liabilities |
| 1.80B | 11.42B | 11.39B | 11.97B | 11.93B | 11.78B | Stockholders Equity |
| 4.39B | 17.22B | 17.04B | 14.94B | 11.40B | 10.22B |
| Cash Flow | Free Cash Flow | ||||
| 669.00M | 61.00M | 966.00M | 1.67B | 1.57B | 712.00M | Operating Cash Flow |
| 3.47B | 2.78B | 3.96B | 3.98B | 3.06B | 1.81B | Investing Cash Flow |
| -2.44B | -2.17B | -2.26B | -2.44B | -2.28B | -7.17B | Financing Cash Flow |
| -1.38B | -615.00M | -1.30B | -1.87B | -885.00M | 6.27B |
Infineon Technical Analysis
Positive
37.25
Price Trends
34.10
Positive
34.88
Positive
33.99
Positive
Market Momentum
1.37
Negative
62.25
Neutral
85.29
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IFNNY, the sentiment is Positive. The current price of 37.25 is above the 20-day moving average (MA) of 34.50, above the 50-day MA of 34.10, and above the 200-day MA of 33.99, indicating a bullish trend. The MACD of 1.37 indicates Negative momentum. The RSI at 62.25 is Neutral, neither overbought nor oversold. The STOCH value of 85.29 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IFNNY.
Infineon Peers Comparison
Overall Rating
UnderperformOutperform
Sector (60)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
73 Outperform | $53.39B | 22.79 | 26.02% | 1.92% | -7.21% | -15.29% | |
73 Outperform | $50.36B | 61.27 | 7.74% | 0.65% | -6.90% | -70.06% | |
70 Outperform | $23.09B | 22.11 | 6.33% | 1.18% | -25.35% | -70.00% | |
66 Neutral | $32.92B | 84.25 | >-0.01% | 2.99% | -44.31% | -86.74% | |
65 Neutral | $18.77B | 31.16 | 7.85% | ― | -18.28% | -70.98% | |
62 Neutral | $55.08B | ― | -6.26% | 0.37% | 4.71% | 5.57% | |
60 Neutral | $11.62B | 10.48 | -7.27% | 2.93% | 7.46% | -10.64% |
* Technology Sector Average
Performance Comparison
IFNNY
Infineon
37.25
-3.24
-8.00%
MRVL
Marvell
63.76
-10.46
-14.09%
MCHP
Microchip
61.21
-32.91
-34.97%
NXPI
NXP Semiconductors
212.56
-56.28
-20.93%
ON
ON Semiconductor
44.92
-29.36
-39.53%
STM
STMicroelectronics
25.82
-15.77
-37.92%
Infineon Earnings Call Summary
Earnings Call Date:May 08, 2025
(Q2-2025)
| % Change Since: 8.32%|
Next Earnings Date:Aug 05, 2025
Earnings Call Sentiment Neutral
The earnings call reflects a mixed sentiment with strong performance in the automotive semiconductor and AI data center markets, strategic acquisitions, and sustainability achievements. However, significant challenges include geopolitical and tariff uncertainties, struggles in the Green Industrial Power segment, currency headwinds, and potential tariff-related revenue impacts.Q2-2025 Updates
Positive Updates
Strong Automotive Semiconductor Performance
Infineon maintained its position as the #1 global automotive semiconductor provider with a market share of 13.5%, and increased market share in automotive MCUs to 32%, becoming the global #1 across all applications.
AI Data Center Growth
Infineon confirmed its revenue prediction of EUR 600 million for AI-related products for the current year, and expects to reach EUR 1 billion next year, reflecting strong growth momentum and share gains in the AI server power solutions market.
Strategic Acquisition
Infineon announced the acquisition of Marvell's automotive Ethernet business for USD 2.5 billion, strengthening its microcontroller franchise and positioning for future software-defined vehicles.
Sustainability Achievements
Infineon's science-based target, including Scope 3 emissions, was approved by the Science Based Targets initiative, strengthening its position as a sustainability leader.
Negative Updates
Geopolitical and Tariff Uncertainty
Anticipated headwinds from newly implemented U.S. import tariffs and potential retaliatory measures are expected to impact demand, especially in the automotive sector.
Green Industrial Power Segment Challenges
The GIP segment recorded a 17% sequential revenue increase but remained 15% below last year's levels, with continued pricing pressures and underutilization charges affecting margins.
Currency Headwinds
Infineon adjusted its U.S. dollar-euro exchange rate assumption from $1.05 to $1.125, resulting in a projected EUR 400 million revenue headwind for the second half of the fiscal year.
Potential Revenue Impact from Tariffs
The company estimates a 10% revenue haircut for Q4 due to anticipated indirect demand effects from tariffs, impacting overall fiscal year guidance.
Company Guidance
During the conference call for Infineon's fiscal second quarter of 2025, the company reported revenues of EUR 3.591 billion, marking a 5% increase compared to the previous quarter. The segment result was EUR 601 million, with a segment result margin of 16.7%, consistent with the prior quarter. The automotive division achieved revenues of EUR 1.858 billion, reflecting a 6% sequential growth. The company's order backlog stood at around EUR 20 billion at the end of March. Despite challenges from geopolitical uncertainties and potential tariff impacts, Infineon revised its revenue guidance for fiscal 2025, anticipating a slight decline on an annual basis. The adjusted gross margin is expected to be around 40%, with a mid-teens segment result margin. Additionally, capital expenditures were reduced to approximately EUR 2.3 billion from an earlier estimate of EUR 2.5 billion, while free cash flow is projected at around EUR 900 million. The company continues to focus on innovation, with notable achievements in the automotive sector and AI data center power solutions.Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.