ACM Research Inc. Class A Common Stock (ACMR)

FairStock Score: 32/100 — RISKY

Key Financials

AI Analysis

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

I look for understandable businesses with durable advantages, conservative balance sheets, and a margin of safety. ACM Research sells semiconductor capital equipment—wet cleaning, plating, furnace, PECVD, and track tools—largely tied to Mainland China and the semiconductor cycle. The latest reported quarter, fiscal Q2 2026, the quarter ended 2026-06-30, was excellent: revenue $292.9M, net income $89.0M, and diluted EPS $1.23, versus fiscal Q2 2025, the quarter ended 2025-06-30, with revenue $215.4M, net income $29.8M, and diluted EPS $0.44. But one quarter does not prove durability. Fiscal FY2025, the year ended 2025-12-31, had revenue $901.3M while net income was $94.1M, below fiscal FY2024, the year ended 2024-12-31, net income of $103.6M on revenue of $782.1M—profitability is uneven despite top-line growth. The balance sheet looks sound: FairStock D/E 0.15 and Altman Z-Score 3.87. Yet returns are not exceptional—ROE 11.63%, ROCE 3.17%—and trailing free cash flow is -$119.8M, a -2.6% FCF yield. At the close on 2026-10-13, price was $64.83, with FairStock P/E 30.58, P/B 2.43, and FairStock Graham Number $35.69, giving a -81.65% margin of safety. PEG 0.15 and EV/EBITDA 15.24 suggest the market is pricing continued rapid growth. This is a cyclical, high-beta (1.95) equipment maker with a FairStock Score of 32/100. I would need evidence that Q2 2026 profitability and cash generation are sustainable before calling it a bargain.

In plain English: ACM Research makes cleaning and processing equipment for semiconductor makers, mostly in Mainland China and abroad. The business is growing quickly and the latest quarter showed a big profit jump, but it is a cyclical industry and the company is not generating free cash right now. At $64.83 on 2026-10-13, the price looks expensive versus current earnings and accounting value, though fast profit growth makes the picture mixed.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

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