(ICHR) Ichor Holdings - Ratings and Ratios

Ichor Holdings, Ltd. (NASDAQ:ICHR) is a global leader in the design, engineering, and manufacturing of fluid delivery subsystems and components for semiconductor capital equipment. The company specializes in gas and chemical delivery systems critical to semiconductor manufacturing processes such as etching, deposition, chemical-mechanical planarization (CMP), and electroplating. Its product portfolio includes precision machined components, weldments, and advanced surface treatment technologies, catering to the stringent requirements of the semiconductor industry. Headquartered in Fremont, California, Ichor was founded in 1999 and has established a strong market presence, particularly in Japan, where it serves leading equipment OEMs in the semiconductor sector.

From a technical perspective, ICHR is currently trading below its 20-day and 50-day moving averages, with a last price of $16.00. The stocks short-term momentum, as indicated by the SMA20 at 18.93, suggests potential downside pressure. However, the SMA200 at 28.87 reflects a longer-term downtrend, with the stock retracing significantly from its higher levels. The Average True Range (ATR) of 1.79 indicates moderate volatility, while the average 20-day volume of 359,483 shares highlights relatively light trading activity.

Fundamentally, Ichor operates with a market capitalization of $716.03 million, reflecting its position as a mid-sized player in the semiconductor materials and equipment industry. The forward P/E ratio of 26.60 signals investor expectations for future earnings growth, despite the current lack of trailing P/E due to negative earnings. The price-to-book ratio of 1.03 suggests the stock is fairly valued relative to its book value, while the price-to-sales ratio of 0.84 indicates a reasonable valuation compared to its revenue. However, the return on equity (RoE) of -2.99% raises concerns about profitability and shareholder value creation.

Looking ahead, Ichors performance will likely hinge on the broader semiconductor industrys recovery and its ability to regain profitability. The stocks technical weakness, coupled with its high forward P/E, suggests a cautious outlook in the near term. Investors should monitor the companys ability to improve margins and return to positive earnings, as well as broader semiconductor market trends, to assess potential recovery prospects.