MACOM Technology Valuation
| MTSI Stock | USD 101.16 1.20 1.17% |
At this time, the entity appears to be overvalued. MACOM Technology Sol owns a latest Real Value of $90.03 per share. The recent price of the entity is $101.16. Our model forecasts the value of MACOM Technology Sol from inspecting the entity fundamentals such as Profit Margin of 0.10 %, return on asset of 0.0276, and Operating Margin of 0.09 % as well as reviewing its technical indicators and probability of bankruptcy. Key fundamental drivers impacting MACOM Technology's valuation include:
Price Book 6.9246 | Enterprise Value 7.4 B | Enterprise Value Ebitda 45.717 | Price Sales 11.3381 | Forward PE 38.4615 |
Overvalued
Today
Please note that MACOM Technology's price fluctuation is very steady at this time. Calculation of the real value of MACOM Technology Sol is based on 3 months time horizon. Increasing MACOM Technology's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for MACOM Technology Solutions is useful when determining the fair value of the MACOM stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of MACOM Technology. Since MACOM Technology is currently traded on the exchange, buyers and sellers on that exchange determine the market value of MACOM Stock. However, MACOM Technology's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 101.16 | Real 90.03 | Target 86.08 | Hype 101.16 | Naive 100.48 |
The real value of MACOM Stock, also known as its intrinsic value, is the underlying worth of MACOM Technology Sol Company, which is reflected in its stock price. It is based on MACOM Technology's financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of MACOM Technology's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence MACOM Technology's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of MACOM Technology Solutions helps investors to forecast how MACOM stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of MACOM Technology more accurately as focusing exclusively on MACOM Technology's fundamentals will not take into account other important factors: Traditionally analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use MACOM Technology's intrinsic value based on its ongoing forecasts of MACOM Technology's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against MACOM Technology's closest peers. When choosing an evaluation method for MACOM Technology Sol, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using both methods to arrive at a better estimate.
MACOM Technology Investments |
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MACOM Valuation Trend
Knowing MACOM Technology's actual value is paramount for traders to make sound investment determinations. MACOM Technology's real value is not only important for the investor to make better decisions but also for a more accurate overall view of MACOM Technology's financial worth over time since having this information enables investors and analysts to forecast the earnings more efficiently. Using both MACOM Technology's enterprise value as well as its market capitalization is the best way to gauging the value of the company and is usually enough for investors to make market timing descisions.
MACOM Market Cap
MACOM Technology Solutions is rated below average in market capitalization category among related companies. Market capitalization of Information Technology industry is now estimated at about 3.47 Trillion. MACOM Technology adds roughly 7.38 Billion in market capitalization claiming only tiny portion of equities under Information Technology industry.MACOM Technology Valuation Ratios as Compared to Competition
Comparative valuation techniques use various fundamental indicators to help in determining MACOM Technology's current stock value. Our valuation model uses many indicators to compare MACOM Technology value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across MACOM Technology competition to find correlations between indicators driving MACOM Technology's intrinsic value. More Info.MACOM Technology Solutions is rated below average in price to earning category among related companies. It is regarded third in price to book category among related companies fabricating about 0.62 of Price To Book per Price To Earning. The ratio of Price To Earning to Price To Book for MACOM Technology Solutions is roughly 1.61 . The current Price To Book Ratio is estimated to decrease to 3.01. Comparative valuation analysis is a catch-all model that can be used if you cannot value MACOM Technology by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for MACOM Technology's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the MACOM Technology's earnings, one of the primary drivers of an investment's value.MACOM Technology's Earnings Breakdown by Geography
Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates MACOM Technology's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in MACOM Technology and how it compares across the competition.
About MACOM Technology Valuation
The stock valuation mechanism determines the current worth of MACOM Technology Solutions on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of MACOM Technology Solutions. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of MACOM Technology Sol based exclusively on its fundamental and basic technical indicators. By analyzing MACOM Technology's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of MACOM Technology's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of MACOM Technology. We calculate exposure to MACOM Technology's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to MACOM Technology's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 443.7 M | 247.7 M | |
| Pretax Profit Margin | 0.36 | 0.38 | |
| Operating Profit Margin | 0.37 | 0.38 | |
| Net Profit Margin | 0.65 | 0.68 | |
| Gross Profit Margin | 0.60 | 0.37 |
8 Steps to conduct MACOM Technology's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates MACOM Technology's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct MACOM Technology's valuation analysis, follow these 8 steps:- Gather financial information: Obtain MACOM Technology's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine MACOM Technology's revenue streams: Identify MACOM Technology's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research MACOM Technology's industry and market trends, including the size of the market, growth rate, and competition.
- Establish MACOM Technology's growth potential: Evaluate MACOM Technology's management, business model, and growth potential.
- Determine MACOM Technology's financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate MACOM Technology's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
MACOM Technology Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as MACOM Technology does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 71.5 M | |
| Quarterly Earnings Growth Y O Y | -0.444 | |
| Forward Price Earnings | 38.4615 |
MACOM Technology Current Valuation Indicators
Valuation refers to the process of determining the present value of MACOM Technology Solutions and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value MACOM we look at many different elements of the entity such as MACOM's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. MACOM Technology's valuation analysis is also a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final MACOM Technology's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as MACOM Technology, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use MACOM Technology's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes MACOM Technology's worth.When determining whether MACOM Technology Sol offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of MACOM Technology's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Macom Technology Solutions Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Macom Technology Solutions Stock: Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in MACOM Technology Solutions. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in state. You can also try the Piotroski F Score module to get Piotroski F Score based on the binary analysis strategy of nine different fundamentals.
Complementary Tools for MACOM Stock analysis
When running MACOM Technology's price analysis, check to measure MACOM Technology's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy MACOM Technology is operating at the current time. Most of MACOM Technology's value examination focuses on studying past and present price action to predict the probability of MACOM Technology's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move MACOM Technology's price. Additionally, you may evaluate how the addition of MACOM Technology to your portfolios can decrease your overall portfolio volatility.
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Is MACOM Technology's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of MACOM Technology. If investors know MACOM will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about MACOM Technology listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.44) | Earnings Share 0.89 | Revenue Per Share 8.931 | Quarterly Revenue Growth 0.07 | Return On Assets 0.0276 |
The market value of MACOM Technology Sol is measured differently than its book value, which is the value of MACOM that is recorded on the company's balance sheet. Investors also form their own opinion of MACOM Technology's value that differs from its market value or its book value, called intrinsic value, which is MACOM Technology's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because MACOM Technology's market value can be influenced by many factors that don't directly affect MACOM Technology's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between MACOM Technology's value and its price as these two are different measures arrived at by different means. Investors typically determine if MACOM Technology is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, MACOM Technology's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.