ACM Research, Inc. (ACMR)
Valuation Overview•Is ACM Research, Inc. Overvalued or Undervalued?
Trading at a discount compared to peers, but the underlying intrinsic cash flows struggle to support the current price.
Moderate quality score of 61/100, reflecting stable operating margins and manageable leverage.
Analysts remain cautious, with consensus price targets indicating limited room for upside expansion.
Verdict: Solid fundamental quality, though profitability presents a headwind.
Wall Street is cautious, forecasting potential downside alongside robust expected earnings growth. However, capital return yields remain modest, anchored by a strong, well-covered dividend yield.
ACMR struggles with subpar profitability and pressured margins. This is backed by a fortress balance sheet, holding significant net cash ($463M) and minimal debt risk.
The company is driving exceptional top-line expansion (32.3% 3Y CAGR) paired with highly explosive earnings growth (32.4% EPS 3Y CAGR). Operating efficiency remains adequate with margins around 12.5%.
| Financial Metric | Trend (12Q) | Latest Qtr | 1Y Growth | 3Y CAGR | 5Y CAGR | 10Y CAGR |
|---|---|---|---|---|---|---|
| Revenue | $231.3M | +15.2% | +32.3% | +41.9% | +40.0% | |
| EBITDA | $41.6M | — | +25.0% | — | — | |
| Net Income | $17.3M | -9.2% | +33.8% | — | +33.1% | |
| EPS (Diluted) | $0.24 | -10.5% | +32.4% | +35.5% | +7.3% | |
| Free Cash Flow | -$51.7M | -195.2% | +24.5% | +0.7% | — |
| Metric | TTM | 3Y Avg | 5Y Avg | 10Y Avg |
|---|---|---|---|---|
| Gross Margin | 44.2% | 48.0% | 47.1% | 46.9% |
| Operating Margin | 12.5% | 16.2% | 15.7% | 13.2% |
| Net Margin | 9.5% | 12.5% | 12.4% | 10.3% |
| FCF Margin | -11.3% | -7.8% | -16.5% | -15.3% |
| Quarter | EPS Est. | EPS Act. | Surprise | EPS | Rev |
|---|---|---|---|---|---|
| Q2'26Latest | $0.26 | $0.34 | +33.3% | ||
| Q1'26 | $0.39 | $0.25 | -35.9% | ||
| Q4'25 | $0.47 | $0.36 | -23.4% | ||
| Q3'25 | $0.42 | $0.54 | +28.6% | ||
| Q2'25 | $0.37 | $0.46 | +24.3% | ||
| Q1'25 | $0.31 | $0.56 | +80.6% | ||
| Q4'24 | $0.37 | $0.63 | +70.3% | ||
| Q3'24 | $0.30 | $0.55 | +83.3% |
Total return is +336.2% (1Y), outperforming the benchmark by +311.2%
| Period | Total Return | vs S&P 500 (Alpha) | Dividend Contribution |
|---|---|---|---|
| YTD | +144.8% | +135.5% | — |
| 1Y | +336.2% | +311.2% | — |
| 3YCAGR | +110.7% | +82.0% | — |
| 5YCAGR | +26.5% | +9.5% | — |
| 10YCAGR | +50.3% | +34.7% | — |
The S&P 500 is at 31.3x trailing P/E — Expensive relative to historical averages.
Quick answers to common questions about ACM Research, Inc. (ACMR) valuation, health, and returns.
ACM Research, Inc. is estimated to be overvalued under our discounted cash flow framework. relative multiples indicate the stock is Cheap versus peers compared to industry peers. overvalued (implying -38.1% downside from DCF intrinsic value of $68.04)
ACM Research, Inc. has multiple valuation anchors: DCF Intrinsic Value: $68.04 | Peer Relative Fair Value: $142.05 | Wall Street Analyst Target: $100.00 (implying -9.0% upside). A convergence of these signals offers higher conviction.
ACM Research, Inc. displays good financial health with a composite quality score of 61/100, supported by a Altman Z-Score of 5.9 (safe zone), Piotroski F-Score of 2/9, Return on Invested Capital (ROIC) of 7.0%.
ACM Research, Inc. does not return material capital to shareholders via dividends or share repurchases, electing to retain earnings to fund internal growth.
ACM Research, Inc.'s current growth trajectory is Decelerating. The company achieved +15.2% 1Y revenue growth and -10.5% 1Y EPS growth, compared to its 3Y revenue CAGR of +32.3%.
Wall Street consensus is Buy based on 10 analysts, beating EPS expectations in 83% of recent quarters with a 1-quarter streak. The consensus price target represents a -9.0% change from current levels.
Investment risks for ACM Research, Inc. include: -46.3% 1-year max drawdown, high beta (3.37x market volatility). Volatility risk is characterized by a beta of 3.37x.
No. These computations are purely quantitative model outputs for informational purposes. They do not account for qualitative management shifts or macro events. Always consult a licensed RIA before buying or selling shares.
Disclaimer: This page is for informational purposes only and does not constitute financial advice. All valuation models, scores, and target estimates are automated computations under stated assumptions and should not be relied upon as the sole basis for any investment decision.