
MKS Instruments (MKSI) Stock Forecast & Price Target
MKS Instruments (MKSI) Analyst Ratings
Bulls say
MKS Instruments Inc. reported a robust financial performance in Q2, with Electronics & Packaging revenues increasing by 5% quarter-over-quarter and 16% year-over-year, reaching $266 million, thereby aligning with the upper end of guidance. The Semiconductor segment also demonstrated strength, achieving $432 million in revenue, up 5% sequentially and 17% year-over-year, driven by normalizing customer inventories and strong demand for upgrades, as well as favorable foreign exchange trends. Additionally, the company showcased solid cash management with free cash flow rising to $136 million and cash and cash equivalents increasing to $674 million, reflecting improved liquidity and operational efficiency.
Bears say
MKS Inc. exhibits a concerning financial landscape, with a net debt to pro forma TTM EBITDA ratio of 4.0x at the end of Q2, indicating ongoing leverage challenges despite a slight improvement from 4.2x at the end of March. The Specialty Industrial segment, which comprises 28% of the company's revenues, reported a year-over-year decline of 6% after adjusting for foreign exchange and palladium price effects, raising alarms about its growth potential. Additionally, various risks, including a general slowdown in global economic activity, diminished demand in key markets, and increased competitive pressures, could further hinder the company's financial performance and outlook.
This aggregate rating is based on analysts' research of MKS Instruments and is not a guaranteed prediction by Public.com or investment advice.
MKS Instruments (MKSI) Analyst Forecast & Price Prediction
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