Latest news with #INFICONHoldingAG
Business Insider
26-04-2025
- Business
- Business Insider
INFICON Holding AG (IFCN) Receives a Buy from Kepler Capital
Kepler Capital analyst Doron Lande maintained a Buy rating on INFICON Holding AG (IFCN – Research Report) on April 24 and set a price target of CHF127.50. The company's shares closed last Thursday at CHF81.10. Stay Ahead of the Market: Discover outperforming stocks and invest smarter with Top Smart Score Stocks. Filter, analyze, and streamline your search for investment opportunities using Tipranks' Stock Screener. Lande covers the Industrials sector, focusing on stocks such as Landis+Gyr Group AG, Accelleron Industries AG, and Feintool International Holding AG. According to TipRanks, Lande has an average return of -6.3% and a 32.14% success rate on recommended stocks. In addition to Kepler Capital , INFICON Holding AG also received a Buy from Jefferies's Martin Comtesse in a report issued on April 24. However, on April 8, Deutsche Bank maintained a Hold rating on INFICON Holding AG (Six Swiss: IFCN). Based on INFICON Holding AG's latest earnings release for the quarter ending June 30, the company reported a quarterly revenue of CHF321.18 million and a net profit of CHF52.13 million. In comparison, last year the company earned a revenue of CHF329.21 million and had a net profit of CHF46.91 million
Yahoo
19-04-2025
- Business
- Yahoo
A Look At The Fair Value Of INFICON Holding AG (VTX:IFCN)
The projected fair value for INFICON Holding is CHF90.18 based on 2 Stage Free Cash Flow to Equity Current share price of CHF81.10 suggests INFICON Holding is potentially trading close to its fair value Our fair value estimate is 19% lower than INFICON Holding's analyst price target of US$111 In this article we are going to estimate the intrinsic value of INFICON Holding AG (VTX:IFCN) by taking the forecast future cash flows of the company and discounting them back to today's value. This will be done using the Discounted Cash Flow (DCF) model. There's really not all that much to it, even though it might appear quite complex. Remember though, that there are many ways to estimate a company's value, and a DCF is just one method. If you want to learn more about discounted cash flow, the rationale behind this calculation can be read in detail in the Simply Wall St analysis model. We check all companies for important risks. See what we found for INFICON Holding in our free report. We use what is known as a 2-stage model, which simply means we have two different periods of growth rates for the company's cash flows. Generally the first stage is higher growth, and the second stage is a lower growth phase. To begin with, we have to get estimates of the next ten years of cash flows. Where possible we use analyst estimates, but when these aren't available we extrapolate the previous free cash flow (FCF) from the last estimate or reported value. We assume companies with shrinking free cash flow will slow their rate of shrinkage, and that companies with growing free cash flow will see their growth rate slow, over this period. We do this to reflect that growth tends to slow more in the early years than it does in later years. A DCF is all about the idea that a dollar in the future is less valuable than a dollar today, so we need to discount the sum of these future cash flows to arrive at a present value estimate: 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 Levered FCF ($, Millions) US$110.1m US$109.6m US$117.7m US$121.0m US$123.3m US$125.1m US$126.5m US$127.6m US$128.5m US$129.3m Growth Rate Estimate Source Analyst x2 Analyst x4 Analyst x3 Analyst x1 Est @ 1.90% Est @ 1.44% Est @ 1.12% Est @ 0.89% Est @ 0.73% Est @ 0.62% Present Value ($, Millions) Discounted @ 4.9% US$105 US$99.5 US$102 US$99.9 US$97.0 US$93.8 US$90.4 US$86.9 US$83.4 US$80.0 ("Est" = FCF growth rate estimated by Simply Wall St)Present Value of 10-year Cash Flow (PVCF) = US$938m The second stage is also known as Terminal Value, this is the business's cash flow after the first stage. For a number of reasons a very conservative growth rate is used that cannot exceed that of a country's GDP growth. In this case we have used the 5-year average of the 10-year government bond yield (0.4%) to estimate future growth. In the same way as with the 10-year 'growth' period, we discount future cash flows to today's value, using a cost of equity of 4.9%. Terminal Value (TV)= FCF2034 × (1 + g) ÷ (r – g) = US$129m× (1 + 0.4%) ÷ (4.9%– 0.4%) = US$2.8b Present Value of Terminal Value (PVTV)= TV / (1 + r)10= US$2.8b÷ ( 1 + 4.9%)10= US$1.8b The total value is the sum of cash flows for the next ten years plus the discounted terminal value, which results in the Total Equity Value, which in this case is US$2.7b. The last step is to then divide the equity value by the number of shares outstanding. Compared to the current share price of CHF81.1, the company appears about fair value at a 10% discount to where the stock price trades currently. The assumptions in any calculation have a big impact on the valuation, so it is better to view this as a rough estimate, not precise down to the last cent. Now the most important inputs to a discounted cash flow are the discount rate, and of course, the actual cash flows. You don't have to agree with these inputs, I recommend redoing the calculations yourself and playing with them. The DCF also does not consider the possible cyclicality of an industry, or a company's future capital requirements, so it does not give a full picture of a company's potential performance. Given that we are looking at INFICON Holding as potential shareholders, the cost of equity is used as the discount rate, rather than the cost of capital (or weighted average cost of capital, WACC) which accounts for debt. In this calculation we've used 4.9%, which is based on a levered beta of 1.053. Beta is a measure of a stock's volatility, compared to the market as a whole. We get our beta from the industry average beta of globally comparable companies, with an imposed limit between 0.8 and 2.0, which is a reasonable range for a stable business. Check out our latest analysis for INFICON Holding Strength Debt is not viewed as a risk. Dividends are covered by earnings and cash flows. Weakness Earnings growth over the past year underperformed the Electronic industry. Dividend is low compared to the top 25% of dividend payers in the Electronic market. Opportunity Annual revenue is forecast to grow faster than the Swiss market. Current share price is below our estimate of fair value. Threat Annual earnings are forecast to grow slower than the Swiss market. Although the valuation of a company is important, it is only one of many factors that you need to assess for a company. DCF models are not the be-all and end-all of investment valuation. Rather it should be seen as a guide to "what assumptions need to be true for this stock to be under/overvalued?" For instance, if the terminal value growth rate is adjusted slightly, it can dramatically alter the overall result. For INFICON Holding, we've compiled three fundamental factors you should explore: Financial Health: Does IFCN have a healthy balance sheet? Take a look at our free balance sheet analysis with six simple checks on key factors like leverage and risk. Future Earnings: How does IFCN's growth rate compare to its peers and the wider market? Dig deeper into the analyst consensus number for the upcoming years by interacting with our free analyst growth expectation chart. Other High Quality Alternatives: Do you like a good all-rounder? Explore our interactive list of high quality stocks to get an idea of what else is out there you may be missing! PS. Simply Wall St updates its DCF calculation for every Swiss stock every day, so if you want to find the intrinsic value of any other stock just search here. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Yahoo
05-04-2025
- Business
- Yahoo
INFICON Holding (VTX:IFCN) sheds 14% this week, as yearly returns fall more in line with earnings growth
INFICON Holding AG (VTX:IFCN) shareholders might be concerned after seeing the share price drop 28% in the last month. On the bright side the share price is up over the last half decade. In that time, it is up 37%, which isn't bad, but is below the market return of 37%. Although INFICON Holding has shed CHF325m from its market cap this week, let's take a look at its longer term fundamental trends and see if they've driven returns. This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality. In his essay The Superinvestors of Graham-and-Doddsville Warren Buffett described how share prices do not always rationally reflect the value of a business. By comparing earnings per share (EPS) and share price changes over time, we can get a feel for how investor attitudes to a company have morphed over time. Over half a decade, INFICON Holding managed to grow its earnings per share at 16% a year. The EPS growth is more impressive than the yearly share price gain of 7% over the same period. So one could conclude that the broader market has become more cautious towards the stock. The image below shows how EPS has tracked over time (if you click on the image you can see greater detail). Before buying or selling a stock, we always recommend a close examination of historic growth trends, available here . As well as measuring the share price return, investors should also consider the total shareholder return (TSR). The TSR incorporates the value of any spin-offs or discounted capital raisings, along with any dividends, based on the assumption that the dividends are reinvested. It's fair to say that the TSR gives a more complete picture for stocks that pay a dividend. In the case of INFICON Holding, it has a TSR of 47% for the last 5 years. That exceeds its share price return that we previously mentioned. And there's no prize for guessing that the dividend payments largely explain the divergence! While the broader market gained around 2.0% in the last year, INFICON Holding shareholders lost 34% (even including dividends). Even the share prices of good stocks drop sometimes, but we want to see improvements in the fundamental metrics of a business, before getting too interested. Longer term investors wouldn't be so upset, since they would have made 8%, each year, over five years. If the fundamental data continues to indicate long term sustainable growth, the current sell-off could be an opportunity worth considering. Is INFICON Holding cheap compared to other companies? These 3 valuation measures might help you decide. But note: INFICON Holding may not be the best stock to buy. So take a peek at this free list of interesting companies with past earnings growth (and further growth forecast). Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on Swiss exchanges. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
