Elmos Semiconductor ELG.DE
What does Elmos Semiconductor do?
Elmos Semiconductor develops, manufactures and sells application-specific semiconductors and system components that are used predominantly in vehicles. The product portfolio includes motor control ICs for stepper, brushless and DC motors, sensor ICs such as ultrasonic distance sensors, pressure sensors and optical infrared sensors, LED driver ICs, DC/DC converters, voltage regulators, and interface ICs for bus systems such as LIN, CAN and PSI5.
The company generates revenue mainly from automotive suppliers and vehicle manufacturers, which build the chips into comfort, safety and driver-assistance systems. Elmos occupies niches in which mixed-signal expertise and the high quality requirements of the automotive industry are decisive. Product development runs through long design cycles, so customer relationships often last many years. Elmos competes with larger international semiconductor groups but differentiates itself through specialization in customer-specific and application-oriented solutions.
Score profile
Rank vs. Semiconductors (40 companies). 10 = top of the group, 5 = middle. Calculated from the metrics below, without AI.
Metrics compared with the industry
On profitability and quality, Elmos Semiconductor ranks in the middle in the group Semiconductors (5.5/10). On growth, the company ranks in the bottom fifth in the group Semiconductors (1.9/10). On valuation (higher = cheaper), the stock ranks in the middle in the group Semiconductors (5.9/10). On financial strength, Elmos Semiconductor ranks above average in the group Semiconductors (6.5/10).
| Metric | Stock | Group median | Ranking |
|---|---|---|---|
| Forward P/E | 13.1x | 18.7x | better than 83 % |
| Trailing P/E | 19.0x | 42.4x | better than 88 % |
| PEG ratio | 9.8x | 0.8x | better than 2 % |
| EV/EBITDA | 12.4x | 21.3x | better than 77 % |
| Price/sales | 3.1x | 5.8x | better than 74 % |
| Price/book | 3.6x | 5.1x | better than 65 % |
| Revenue growth | 11.2% | 25.5% | better than 29 % |
| Earnings growth | -23.6% | 7.4% | better than 9 % |
| Gross margin | 43.8% | 53.3% | better than 31 % |
| Operating margin | 16.2% | 15.5% | better than 58 % |
| Net margin | 16.4% | 10.3% | better than 64 % |
| Return on equity | 18.0% | 8.6% | better than 66 % |
| Debt/equity | 18.6% | 36.5% | better than 66 % |
| Current ratio | 2.2x | 3.3x | better than 30 % |
| Free cash flow yield | 7.9% | 1.3% | better than 99 % |
| Dividend yield | 1.3% | 1.2% | – |
| Payout ratio | 25.3% | 38.0% | – |
| Beta | 1.83 | 1.92 | – |
Valuation: what is Elmos Semiconductor worth?
Two valuation approaches – a discounted cash flow model and a valuation at the industry’s median multiples – give Elmos Semiconductor a model range of 103.94 EUR to 199.11 EUR per share.
5 analysts, average rating “Buy”, average price target 193.00 EUR (+70.8%).
The full DCF matrix, the reverse DCF (what growth the price implies) and scenarios are part of the Pro analysis.
What the business depends on
- Demand depends heavily on global automotive production and the electronic content per vehicle.
- Growing driver assistance, electrification and comfort features increase the need for sensor, motor control and driver ICs.
- Long-term design wins with customers secure recurring revenue and predictable capacity utilization over long product life cycles.
Risks
- The strong dependence on the auto industry makes the company vulnerable to economic and industry cycles.
- There is a concentration risk from a few large customers in the automotive supplier sector.
- High investment and development costs, as well as reliance on manufacturing partners and supply chains, can weigh on margins.
What to look for with Elmos Semiconductor
The gross margin, together with factory utilization, is particularly informative because it reflects pricing power and the cost structure of this capital-intensive semiconductor business.