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Onto Innovation Inc.

ONTO

Measuring & Controlling Devices, NEC

Mkt Cap

$6.652B

PE

42.35

Debt

-

Cash

$206.6M

EV

-

FCF

$131.2M

Market Cap

$6.652B

P/E Ratio

42.35

Debt

-

Cash

$206.6M

EV

-

FCF

$131.2M

Onto Innovation Inc. engages in the design, development, manufacture, and support of process control tools that performs macro defect inspection and 2D/3D optical metrology, lithography systems, and process control analytical software worldwide. It offers process and yield management solutions, and device packaging and test facilities through standalone systems for optical metrology, macro-defect inspection, packaging lithography, and transparent and opaque thin film measurements; and process control software portfolio that includes solutions for standalone tools, groups of tools, and enterprise-or factory-wide suites. The company also provides spare parts and software licensing services. Its products are used by semiconductor and advanced packaging device manufacturers; silicon wafer; light emitting diode; vertical-cavity surface-emitting laser; micro-electromechanical system; CMOS image sensor; power device; analog device; RF filter; data storage; and various industrial and scientific applications. The company was formerly known as Rudolph Technologies, Inc. Onto Innovation Inc. was founded in 1940 and is headquartered in Wilmington, Massachusetts.

Sector

  • FARO Logo

    FARO

Growth

%

%

Discount

%

%

Multiple

g\r+10%+11%+12%+13%+14%
0%109887
+1%1110988
+2%13111098
+3%141311109
+4%1714121110
Years012345678910TV
FCF$131.2M$170.5M$216.9M$269.9M$328.4M$390.5M$453.4M$513.8M$568M$612.2M$642.8M$6.428B
DCF$148.3M$164M$177.5M$187.8M$194.1M$196M$193.2M$185.7M$174M$158.9M$1.589B
Value$3.368B

In the chart Earnings are multiplied by this value.

Earnings Growth 51%
Earnings Stability 32%


Competitiveness and MOAT

High margins render the company resilient under dire circumstances, hence able to drive competitors out or acquire them. ROE and ROA measure the average flow generated by each invested dollar. Their marginal value is a forecast of future growth, and it is considered by Buffett and Munger the most important single indicator.

Years12-201412-201512-201612-201712-201812-201912-202012-202112-2022TTM
Net Margin-19%1.6%20%12%16%0.62%5.6%18%22%18%
ROA-5%2.4%10%14%13%-0.041%1.8%9.5%13%8.8%
ROE-17%1.6%18%12%12%0.15%2.5%10%14%9.3%

What is the average Net Margin?

The average Net Margin over the past 5 years is +12.44%.

What is the trend of Net Margin?

The trend of Net Margin over the past 5 years is +1.78%.

What is the average Return on Assets (ROA)?

The average ROA over the past 5 years is +8.58%.

What is the trend of Return on Assets (ROA)?

The trend of ROA over the past 5 years is -0.3%.

What is the average Return on Equity (ROE)?

The average ROE over the past 5 years is +8.42%.

What is the trend of Return on Equity (ROE)?

The trend of ROE over the past 5 years is +0.21%.


Safety & Stabiliy

Being debt the number one cause of investment losses and company death, the ratio Debt/FCF is of utmost importance to guarantee safety. On the other hand the Graham’s stability measures the drawdown of earnings, hence indicating the reliability of the flow generated by the company.

Years12-201412-201512-201612-201712-201812-201912-202012-202112-2022TTM
Debt FCF----------
Debt Equity----------
MIN
Graham Stability---100%100%4.8%100%100%100%4.8%

What is the Debt/FCF?

The Debt/FCF trailing twelve month is -.

What is the trend of Debt/FCF?

The trend of Debt/FCF over the past 5 years is -.

What is the Graham’s Stability?

Graham’s Stability measure stands at 0.05.


Growth

Growth can be dangerous when forecasting, simply projecting the current growth is in general wrong. A company passes through multiple phases, from being young and unprofitable, to the first periods of profitability and high growth, until it arrives at a period of regime with limited growth. Identifying in which phase the company is in may help forecasting.

Years12-201512-201712-201912-2021Trend
Revenue27%31%49%27%4.3%
Net Income86%49%390%57%-65%
Stockholders Equity36%43%8.1%12%5.1%
FCF-50%120%-28%28%

What is the 5 year Revenue CAGR?

The Revenue CAGR over the past 5 years is +31.19%.

What is the trend of Revenue growth?

The trend of Revenue growth rate over the past 5 years is +4.31%.

What is the 5 year Earnings CAGR?

The Earnings CAGR over the past 5 years is +49.21%.

What is the trend of Earnings growth?

The trend of Earnings growth rate over the past 5 years is -65.05%.

What is the 5 year Equity CAGR?

The Equity CAGR over the past 5 years is +43.5%.

What is the trend of Equity growth?

The trend of Equity growth rate over the past 5 years is +5.14%.

What is the 5 year FCF CAGR?

The FCF CAGR over the past 5 years is +50.35%.

What is the trend of FCF growth?

The trend of FCF growth rate over the past 5 years is +27.99%.