MagnaChip Semiconductor Corporation Depositary Shares, each representing one share of common stock (MX) Company Bio
MagnaChip Semiconductor Corporation designs and manufactures analog and mixed-signal semiconductor products for consumer, computing, communication, industrial, automotive, and Internet of things applications worldwide. The company was founded in 2004 and is based in Seoul, South Korea.
MX Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for MAGNACHIP SEMICONDUCTOR Corp with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that MAGNACHIP SEMICONDUCTOR Corp ranked in the 78th percentile in terms of potential gain offered. Moreover, under all the scenarios we modelled, the output consistently forecasted positive returns. In terms of the factors that were most noteworthy in this DCF analysis for MX, they are:
The stock's equity weight, or the proportion of capital from equity relative to debt, is 73. Notably, its equity weight is greater than merely 15.22% of US equities in the Technology sector yielding a positive free cash flow.
MAGNACHIP SEMICONDUCTOR Corp's weighted average cost of capital (WACC) is 8%; for context, that number is higher than just 8.71% of tickers in our DCF set.
MX's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 3%; for context, that number is higher than just 8.71% of tickers in our DCF set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Technology that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as MX, try GVP, GILT, APPS, AMKR, and TTMI.
Magnachip Semiconductor Corporation ("MagnaChip") (NYSE: MX) announced today it will report its results for the fourth quarter and year ended December 31, 2020 on Wednesday, February 17, 2021 after the close of market. The Company will host a corresponding conference call at 2:00 p.m. PT / 5:00 p.m. ET to discuss its financial results.
Moody's Investors Service has upgraded MagnaChip Semiconductor Corporation's corporate family rating to B1 from B2. "The upgrade reflects our expectation that MagnaChip's display and power businesses will continue to drive the company's robust revenue growth and higher profitability in the next 2-3 years, and that the company will, after its recent sale of the Foundry Services Group business and Fab 4, maintain a solid financial profile with continued positive free cash flow generation," says Gloria Tsuen, a Moody's Vice President and Senior Credit Officer. The B1 rating is supported by the good growth prospects for MagnaChip's core display and power businesses, improving profitability and healthy balance sheet with large liquidity buffer.
Magnachip Semiconductor Corporation (NYSE: MX) ("Magnachip" or the "Company") today announced that members of executive management team will host one-on-one meetings at the 23rd Annual Needham Growth Conference on Tuesday, January 12 and Wednesday, January 13, 2021. Management is also scheduled to participate in a fireside chat on Tuesday, January 12 at 8:30 am ET.
Magnachip Semiconductor Corporation (NYSE: MX) ("Magnachip" or the "Company") today unveiled its new brand identity, designed to highlight the company's fresh start as a pure-play standard products company participating in the fast-growing, attractive Display and Power markets. Magnachip enters this new chapter of growth with a sharpened focus, renewed energy and clear mission of empowering the makers of tomorrow by accelerating the advancement of technology.