Sell-off Shrouds Elmos Semiconductor Stock: What's the Story?
The Downward Spiral of Elmos Semiconductor Stock
Maintaining the necessary backing at this point in time.
After a prolonged downturn, Elmos Semiconductor is grappling with a significant sell-off. Let's delve into the factors behind this slide and why some analysts still maintain a bullish outlook.
The Grim Quarterly Figures and Beyond
- Q1 2025 Earnings: Elmos Semiconductor SE posted a minor slide in Q1 2025 sales, with revenues of 126.9 million Euros compared to 136.8 million Euros in the same quarter last year. The EBIT margin dropped from 24.7% to 20.2%, resulting from lower order volumes and high fixed costs. However, the company significantly boosted its adjusted free cash flow to 21.5 million Euros[1].
- Long-term Sales Outlook: Despite the current challenges, Elmos Semiconductor retains its 2025 revenue forecast, anticipating sales ranging between 550 million and 610 million Euros. This optimistic outlook stems from the expectation of inventory adjustments concluding[1].
The Current Scene
Elmos
- Stock Price and Analyst Ratings: As of present, Elmos Semiconductor stock closed at 59.70 Euros, marking a minor decrease. berenberg, a well-regarded analyst, has maintained a 'Buy' rating for the stock with a target price of €87[2].
- Market Capitalization: Currently, Elmos Semiconductor boasts a market cap of around $1.20 billion USD, positioning it in the global top 5,000 companies[3].
- Sector Challenges: The semiconductor industry faces ongoing issues, such as normalizing supply and demand dynamics, and ongoing inventory adjustments by clients. Nevertheless, Elmos expects to reap benefits in the second half of 2025[4].
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Key Data Points:
| Aspect | Value | Notes ||-----------------|----------------|------------------------------------------------------|| Q1 2025 Sales | 126.9 million Euro| A minor dip compared to Q1 2024 || Q1 2025 EBIT Margin| 20.2% | A drop from 24.7% in Q1 2024 || Adjusted Free Cash Flow | 21.5 million Euro| A significant improvement || 2025 Sales Guidance | 580 million Euro ± 30 million Euro| Reflects potential recovery || Analyst Rating | 'Buy' from Berenberg | Target price €87 |
Chart
Line chart with 53 data points.Chart für Elmos SemiconductorThe chart has 1 X axis displaying Time. Data ranges from 2024-05-06 00:00:00 to 2025-05-06 14:00:00.The chart has 1 Y axis displaying values. Data ranges from 51.1 to 86.8.Lade...End of interactive chart.
- Despite the significant sell-off in Elmos Semiconductor stock, analyst Berenberg remains bullish and maintains a 'Buy' rating with a target price of €87.
- Elmos Semiconductor's Q1 2025 earnings showed a minor drop in sales and a decrease in EBIT margin, but also a significant improvement in adjusted free cash flow.
- The company has retained its 2025 revenue forecast, predicting sales between 550 million and 610 million Euros, based on the expectation of inventory adjustments concluding.
- The sell-off in Elmos Semiconductor stock is a quarterly subject, and monitoring its performance in upcoming quarters will provide valuable insights for investors in the stock-market.
