Axcelis Technologies Inc. Common Stock (ACLS)

FairStock Score: 34/100 — RISKY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look for a business with durable advantages, honest accounting, and a price that leaves room for error. Axcelis sells ion implantation equipment and aftermarket lifecycle services into the cyclical semiconductor capital equipment market. The Lynch category given is CYCLICAL, because earnings follow the economic cycle. Financial health is a genuine positive: debt-to-equity is only 0.07, FairStock's Altman Z-Score is 8.63, and the Piotroski F-Score is 7/9. Free cash flow is positive at $65.6M trailing twelve months. But the earnings record is deteriorating. In fiscal FY2025, the year ended 2025-12-31, revenue was $839.0M, net income $120.2M, and diluted EPS $3.80. In fiscal FY2024, the year ended 2024-12-31, revenue was $1.0B, net income $201.0M, and diluted EPS $6.15. In fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $215.2M, net income $23.3M, and diluted EPS $0.75, versus fiscal Q2 2025 revenue $194.5M, net income $31.4M, and diluted EPS $0.98. So sales improved sequentially and year over year, but profit did not. The valuation offers little comfort. At the 2026-10-13 close of $124.88, FairStock's P/E is 41.91, P/B is 3.62, EV/EBITDA is 29.02, and FCF yield is 1.7%. FairStock's Graham Number is $48.10, implying a margin of safety of -159.63%. That is not a Graham bargain. I would want evidence that margins and returns on capital are recovering before calling this a compelling value.

In plain English: Axcelis makes ion implantation machines and services used in making computer chips. Its profits fell from 2024 to 2025, and in the latest quarter revenue rose but net income fell, so the business looks mixed rather than clearly strong. At the recent price, the shares look expensive relative to the company's earnings and cash flow.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer