Camtek Ltd. Ordinary Shares (CAMT)

FairStock Score: 35/100 — MIXED

Key Financials

AI Analysis

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

I look for businesses that earn high returns on capital, carry little debt, and sell at a sensible price. Camtek is a 709-employee semiconductor equipment maker in inspection and metrology, a specialized niche. In the second quarter of 2026, it reported $133.2 million of revenue and $23.3 million of net income, a 17.49% net margin, so the business is profitable. But the longer-term figures are less comforting: revenue growth is 8.05%, while profit growth is -30.84%. Return on equity is 7.56% and return on capital employed is 7.08%, which are not the high, consistent returns I prefer. The balance sheet has debt-to-equity of 0.71, though the Altman Z-Score of 10.31 suggests low bankruptcy risk on FairStock's calculation. I cannot identify a durable competitive moat from these figures; the modest returns and volatile profit history do not support one. Valuation is the main problem. At the 2026-10-13 close of $142.78, the market cap is $9.4 billion. FairStock calculates a P/E of 190.37, P/B of 10.61, EV/EBITDA of 220.63, and a Graham Number of $16.03. That leaves a margin of safety of -790.70%, meaning the price is far above what Graham-style math would support. The Piotroski F-Score is 3/9 and the FairStock Score is 35/100; both point to weak financial signals. The Lynch category is none because only 0 years of filed results are available and three are needed. The stock's beta of 1.59 and 52-week range of $91.91 to $215.99 suggest it is volatile. I see a real but cyclical niche business with a profitable quarter, not a bargain. Without improving profits and a much lower price, the numbers offer no margin of safety.

In plain English: Camtek makes inspection and measuring machines used in semiconductor manufacturing. In the second quarter of 2026, revenue was $133.2 million and net income was $23.3 million, but overall profits have been shrinking and returns are modest. At the recent price of $142.78, the shares look expensive compared with the company's earnings and book value.

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

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