Aehr Test Systems (AEHR) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Vertiv Holdings Co.

Advanced Energy Industries, Inc.

Littelfuse, Inc.

Plexus Corp.

Flex Ltd.

Sonos, Inc.

Universal Display Corp.

Plug Power, Inc.

Veeco Instruments, Inc.

Aehr Test Systems

Vishay Intertechnology, Inc.

Why is Aehr Test Systems ?

With a fall in Net Sales of -15.13%, the company declared Very Negative results in May 25

OPERATING CASH FLOW(Y) Lowest at USD -7.39 MM
ROCE(HY) Lowest at -3.34%
DEBT-EQUITY RATIO (HY) Highest at -11.72 %

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of 69.69%, its profits have risen by 48.4% ; the PEG ratio of the company is 0.3

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Electronics & Appliances)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Aehr Test Systems for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Aehr Test Systems

108.67%

0.60

103.35%

S&P 500

13.22%

0.61

20.17%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

21.48%

EBIT Growth (5y)

-35.26%

EBIT to Interest (avg)

4.45

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.19

Sales to Capital Employed (avg)

0.69

Tax Ratio

8.88%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

20.50%

ROE (avg)

12.86%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

2.72

EV to EBIT

308.67

EV to EBITDA

109.93

EV to Capital Employed

3.24

EV to Sales

5.02

PEG Ratio

0.34

Dividend Yield

ROCE (Latest)

0.07%

ROE (Latest)

18.40%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

3What is working for the Company

NET SALES(HY)

At USD 32.4 MM has Grown at 34.07%

-29What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD -7.39 MM

ROCE(HY)

Lowest at -3.34%

DEBT-EQUITY RATIO (HY)

Highest at -11.72 %

RAW MATERIAL COST(Y)

Grown by 41.23% (YoY

DEBTORS TURNOVER RATIO(HY)

Lowest at 4.24 times

NET SALES(Q)

Fallen at -15.13%

OPERATING PROFIT(Q)

Lowest at USD -1.32 MM

OPERATING PROFIT MARGIN(Q)

Lowest at -9.37 %

PRE-TAX PROFIT(Q)

Lowest at USD -2.12 MM

NET PROFIT(Q)

Lowest at USD -2.04 MM

EPS(Q)

Lowest at USD -0.1

Here's what is working for Aehr Test Systems

Depreciation

Highest at USD 1.02 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)

Here's what is not working for Aehr Test Systems

Pre-Tax Profit

At USD -2.12 MM has Fallen at -167.95%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (USD MM)

Net Profit

At USD -2.04 MM has Fallen at -108.53%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Operating Cash Flow

Lowest at USD -7.39 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Debt-Equity Ratio

Highest at -11.72 % and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Net Sales

Fallen at -15.13%

Year on Year (YoY)

MOJO Watch

Near term sales trend is negative

Net Sales (USD MM)

Operating Profit

Lowest at USD -1.32 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (USD MM)

Operating Profit Margin

Lowest at -9.37 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at USD -2.12 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (USD MM)

Net Profit

Lowest at USD -2.04 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (USD MM)

EPS

Lowest at USD -0.1

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (USD)

Debtors Turnover Ratio

Lowest at 4.24 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Raw Material Cost

Grown by 41.23% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales