MACOM Technology Solutions Holdings, Inc.

MACOM Technology Solutions Holdings, Inc.

MTSIยทNASDAQ

$390.34

+2.1%
TechnologySemiconductors

MACOM Technology Solutions Holdings, Inc., together with its subsidiaries, designs and manufactures analog semiconductor solutions for use in wireless and wireline applications across the radio frequency (RF), microwave, millimeter wave, and lightwave spectrum in the United States, China, the Asia Pacific, and internationally. The company offers a portfolio of standard and custom devices, including integrated circuits, multi-chip modules, diodes, amplifiers, switches and switch limiters, passive and active components, and subsystems. Its semiconductor products are electronic components that are incorporated in electronic systems, such as wireless basestations, high-capacity optical networks, radar, and medical systems and test and measurement. The company serves various markets comprising telecommunication that includes carrier infrastructure, which comprise long-haul/metro, 5G, and fiber-to-the-X/passive optical network; industrial and defense, including military and commercial radar, RF jammers, electronic countermeasures, and communication data links, as well as multi-market applications, such as industrial, medical, test and measurement, and scientific applications; and data centers. It sells its products through direct sales force, applications engineering staff, independent sales representatives, resellers, and distributors. The company was founded in 1950 and is headquartered in Lowell, Massachusetts.

At a Glance

Live Snapshot
Market Cap$29.78B
EPS-0.7300
P/E Ratio-534.71
Earnings Date08/06/2026

Intrinsic Alpha Methodology

Thesis Lenses

Signal ยท Driver ยท Risk

Signal

Medium confidence

Valuation multiple is compressed (P/E -534.7).

Valuation inputs: P/E -534.7, earnings yield N/A, momentum +2.1%.

If multiples stay elevated while momentum fades, downside repricing risk rises.

Driver

High confidence

Return profile is soft (ROE -4.1%, ROIC +6.7%).

Profitability stack: net margin -5.6%, ROE -4.1%, ROIC +6.7%.

Quality deterioration often appears in margins before it shows up in headline EPS.

Risk

High confidence

Risk profile is balanced but has notable pressure points to monitor.

Risk factors: liabilities/assets +36.9%, momentum +2.1%, net margin -5.6%.

Higher leverage with weak momentum and thin margins can amplify drawdown severity.

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MACOM Technology Solutions Holdings, Inc. Market vs Earnings Trajectory

MTSI ยท NASDAQ

Loading price and EPS data...

MACOM Technology Solutions Holdings, Inc.

MACOM Technology Solutions Holdings, Inc. Fair Value Envelope

MTSI ยท NASDAQ

Our analysis suggests that MTSI has a fair value of HIDDEN per share in the Base Case projection. With shares currently trading at $390.34, this represents a potential HIDDEN relative to our calculated worth for MACOM Technology Solutions Holdings, Inc..

Intrinsic Value
Current Price: $390.34
3Y-157.0%
5Y-112.0%
10Y-88.0%
3Y+49.0%
5Y+43.0%
10Y+94.0%
3Y-159.0%
5Y-112.0%
10Y-86.0%
3Y+41.0%
5Y+33.0%
10Y+1037.0%
3Y+36.0%
5Y+28.0%
10Y-1217.0%
3Y+35.0%
5Y+34.0%
10Y+91.0%
MACOM Technology Solutions Holdings, Inc.

MACOM Technology Solutions Holdings, Inc. Profit Bridge

MTSI ยท NASDAQ
Revenue967.26M
Cost of Goods Sold (435.82M)
Gross Profit531.44M
Operating Expenses (401.79M)
Operating Income129.65M
Interest Expense (5.52M)
Other Income/Expense-158.68M
Pretax Income-29.02M
Income Tax (25.18M)
Net Income-54.21M
Net Income
-54.21M

Profitability Analysis

Gross Margin

54.9%

Exceptional pricing power and cost management. The company retains over half of revenue after direct costs.

Operating Margin

13.4%

Acceptable margins but limited operational leverage. Operating expense control is important.

Net Profit Margin

-5.6%

Net losses indicate the company is burning cash. Sustainability depends on path to profitability.

Profitability Insight

High margin compression: Large gap between gross and net margins suggests operational inefficiencies or heavy debt burden. Focus on expense management and deleveraging.

54.94%
Gross Profit Margin
8%
3Y-2.0%
5Y-3.0%
10Y+56.0%
13.40%
Operating Profit Margin
17%
3Y-25.0%
5Y-32.0%
10Y-170.0%
-5.60%
Net Profit Margin
-153%
3Y-140.0%
5Y-109.0%
10Y-93.0%
-4.08%
Return on Equity
-160%
3Y-142.0%
5Y-108.0%
10Y-97.0%
-2.58%
Return on Assets
-159%
3Y-144.0%
5Y-109.0%
10Y-93.0%
6.66%
Return on Invested Capital
57%
3Y+6.0%
5Y-26.0%
10Y-179.0%
MTSI

MACOM Technology Solutions Holdings, Inc. Cash Conversion Engine

MTSI ยท NASDAQ
Net Income-54.21M
Depreciation & Amortization63.30M
Stock-Based Compensation86.14M
Change in Working Capital-37.79M
Others175.30M
Capital Expenditures-42.55M
Free Cash Flow192.82M

Cash Flow Quality Analysis

FCF Conversion Rate

-355.7%

Negative free cash flow despite positive earnings raises concerns about cash generation ability or heavy capital requirements.

CapEx Intensity

18.1%

Asset-light business model. Low capital requirements leave more cash available for shareholders and growth investments.

FCF Growth Trend

+37.5%

Strong FCF growth demonstrates improving cash generation and business momentum. Positive signal for sustainability.

Working Capital Impact

-$37.79M

Minimal working capital impact on FCF. Changes in operating assets and liabilities well-managed.

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MACOM Technology Solutions Holdings, Inc. Funding & Solvency Profile

MTSI ยท NASDAQ
Cash & Cash Equivalents98.52M
Net Receivables159.60M
Inventory252.19M
Other Current Assets49.40M
Total Current Assets1 B
Property, Plant & Equipment234.96M
Goodwill & Intangible Assets402.99M
Long-Term Investments0.00
Other Non-Current Assets48.62M
Total Non-Current Assets284 M
Total Assets
2.01B

Financial Health Analysis

Current Ratio

7.52x

Excellent liquidity position. The company can easily cover its short-term obligations with substantial cushion.

Debt-to-Equity Ratio

0.42x

Conservative capital structure. The company relies primarily on equity financing, indicating low financial risk.

Working Capital

976 M

Strong working capital position provides significant operational flexibility and financial cushion.

Asset Composition

56% Current

Balanced asset mix between current and non-current assets, typical of many stable businesses.

Financial Health Insight

Strong financial foundation: Excellent liquidity combined with conservative leverage suggests the company is well-positioned to weather economic uncertainties and fund growth opportunities.

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MACOM Technology Solutions Holdings, Inc. Street Expectations Map

MTSI ยท NASDAQ

Wall Street analysts project that MTSI stock may see slight declines over the coming 12 months. The consensus 1-year price target stands at 352.56, with estimates ranging from a low of 260.00 to a high of 450.00.

Lowest Target
260.00
-33.39%
Consensus Target
352.56
-9.68%
Highest Target
450.00
15.28%

The consensus 1-year price target stands at 352.56, with estimates ranging from a low of 260.00 to a high of 450.00.

Analyst Consensus Analysis

Upside Potential

-9.7%

Downside risk. Current price above analyst targets indicates potential overvaluation. Exercise caution and review catalysts.

Analyst Agreement

53.9% spread

Mixed analyst views. Wide target range suggests differing opinions on key value drivers, growth prospects, or risk factors.

Risk-Reward Profile

0.46x

Unfavorable risk-reward. Downside risk exceeds upside potential. Consider defensive positioning or alternative opportunities.

Analyst Conviction

Low

Bearish or uncertain outlook. Limited upside or poor consensus suggests challenges ahead or fundamental concerns.

Market Sentiment Insight

Monitor and evaluate: Current analyst consensus suggests limited conviction or near-term catalysts. Stay informed on company developments and reassess positioning as new information emerges.

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MACOM Technology Solutions Holdings, Inc. Insider Positioning

MTSI ยท NASDAQ

During the last 12 months, insiders have sold $370.48M worth of MTSI shares, with no buying activity reported.

3 Months

Bought

0

0.00

Sold

47.8K

18.00M

Net Activity

-18.0M

-$18.00M

3-6 Months

Bought

0

0.00

Sold

559.2K

128.18M

Net Activity

-128.2M

-$128.18M

6-9 Months

Bought

0

0.00

Sold

1.5M

220.94M

Net Activity

-220.9M

-$220.94M

9-12 Months

Bought

0

0.00

Sold

25.3K

3.36M

Net Activity

-3.4M

-$3.36M

Top Buyers

No buying activity

Top Sellers

1
OS

Ocampo Susan

10 Percent Owner

2.1M sharesโ€ข34 transactions

$345.83M

2
CPY

Chung Peter Y

Director

43.3K sharesโ€ข1 transactions

$16.36M

3
DR

Dennehy Robert

Officer: Senior Vp And Coo

11.0K sharesโ€ข4 transactions

$1.63M

4
KJ

Kober John

Officer: Senior Vp And Cfo

8.1K sharesโ€ข5 transactions

$1.42M

5
BCR

Bland Charles R

Director

6.8K sharesโ€ข4 transactions

$1.36M

Insider Activity Analysis

Net Insider Sentiment

Bearish

Strong bearish signal with $370.48M net selling. Heavy insider selling may indicate concerns about valuation or near-term prospects.

Buy/Sell Ratio

0.00:1

Very poor ratio. Heavy selling with minimal buying suggests insiders may be concerned about valuation or outlook.

Recent Trend (3 Months)

$18.00M

Heavy recent selling activity. Recent insider sales notably exceed purchasesโ€”may warrant investigation into company developments.

Insider Participation

High Selling

5 insider sellers vs. 0 buyers. Widespread selling across multiple insiders may signal concerns.

Insider Activity Insight

Multiple red flags: Heavy selling, numerous sellers, and continued recent selling create a concerning pattern. Investigate fundamental drivers and consider whether company guidance or industry conditions have deteriorated.

0.00%
Dividend Yield
3Y-
5Y-
10Y-
ย 

mtsi Dividend History

MTSI
10Y CAGR +0%
Latest $0
Annual $0
Stable dividend payments
Last Period: +0%