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$18.7B
Market Cap
36.6
P/E
1.53
PEG
8.0%
ROCE
11.7%
ROE
1.64
D/E
13.4%
OPM
-38.8%
% from 52W High
90
α RS
🔍 MKSI is showing a high-conviction setup because it matches 3 of 37 tracked screener presets, RS Rating is 90 (top decile vs market), and an ECS of 57 last quarter. Net: Broad signal stack, not a recommendation. ? Conviction RS Rating ECS
Sources
Conviction 3/37 · RS Rating 90 · ECS 57
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📈 Price History
Ratio Health
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By Category
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About

MKS Inc. provides foundational technology solutions to semiconductor manufacturing, electronics and packaging, and specialty industrial applications in the United States, China, South Korea, Japan, Taiwan, Singapore, and internationally.

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📈 Growth Pattern
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⭐ Superinvestors Holding MKSI
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Manager Shares Value % of Fund Period
Steve Cohen Point72 Asset Management 1.61M $370.1M 0.47% Mar 2026
Jim Simons Renaissance Technologies LLC 103.6K $23.8M 0.04% Mar 2026
Steve Cohen Point72 Asset Management 10.00M $16.6M 0.02% Mar 2026

SEC Form 13F data. 45-day lag from quarter end.

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Good quarter Investor Presentation One-Pager? Q2 2026
Revenue
$1.25B
+28% YoY
Operating Income
$320M
+480bps YoY margin expansion
Operating Margin
25.6%
+4.8pp YoY
Net Income
$232M
+86% YoY EPS
What Went Right
  • Revenue of $1.248B and non-GAAP EPS of $3.30 came in above the high end of guidance, with 28% YoY growth.
  • Semiconductor revenue accelerated to +28% YoY in Q2 from +13% in Q1, and Q3 guidance implies >50% YoY growth.
  • Electronics & Packaging revenue rose 44% YoY, with chemistry equipment demand described as the strongest ever and visibility through 2027.
  • Free cash flow was $188M (~15% of revenue) and leverage fell one full turn YoY to 3.0x.
What to Watch
  • Gross margin of 47.6% included ~100bps of discrete benefits; excluding those, mix and growth investments are a temporary margin headwind.
  • Management guided Q3 gross margin down to 47.0% ±100bps due to unfavorable mix and startup costs from capacity expansion.
  • Flex equipment is expected to be sequentially down in Q3 due to seasonality after a very strong first half.
  • NAND upgrade activity is lumpy and greenfield NAND capacity is not expected until late 2027/early 2028.
Management Guidance
  • Q3 revenue guidance of $1.35B ± $40M.
  • Q3 operating income guidance of $355M, implying operating margin of 26.3%.
  • Q3 adjusted EBITDA guidance of $395M ± $28M and non-GAAP EPS of $3.58 ± $0.31.
  • Full-year CapEx expected at 4-5% of revenue; Q3 tax rate ~20%.
Investor Lens
The thesis is stronger after this call. MKS is showing accelerating revenue growth across all three end markets, with semiconductor growth expected to exceed 50% YoY in Q3 and chemistry equipment demand giving multi-year visibility. The main offsets are near-term gross margin pressure from mix and capacity investments, but management is deliberately trading margin for future chemistry attach and market share. The balance sheet is deleveraging quickly, providing flexibility to fund the growth ramp.
From investor presentation · AI-generated analysis · Not investment advice
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📈 STRONG Strong beat: Q2 revenue $1.25B, +28% YoY, above guidance; Q3 guide strong
Revenue
Q2 revenue was $1.25B, up 16% sequentially and 28% YoY, with acceleration across all end markets. Semiconductor revenue was $554M (+28% YoY), Electronics & Packaging was $381M (+44% YoY), and Specialty Industrial was $313M (+14% YoY).
Profitability
Non-GAAP net earnings were $232M, or $3.30 per diluted share, up 86% YoY on a per-share basis and above the high end of guidance. GAAP net income was $175M, or $2.41 per diluted share.
Margins
Gross margin was 47.6%, including ~100bps of discrete benefits; operating margin was 25.6%, up 480bps YoY. Q3 guidance implies operating margin of 26.3% with gross margin of 47.0% ±100bps, reflecting mix headwinds and growth investments.
Balance Sheet
Liquidity was over $1.6B, including $611M cash and a $1.0B undrawn revolver. Free cash flow was $188M, leverage was 3.0x, and MKS made a $100M voluntary term loan prepayment in August.
Key Risks
Management flagged temporary gross margin pressure from mix (VSD/chemistry equipment) and startup costs at Malaysia and Guangzhou. Flex equipment seasonality is a Q3 offset, and NAND greenfield revenue is still a 2027-2028 event.
Outlook
Q3 revenue is guided to $1.35B ± $40M with non-GAAP EPS of $3.58 ± $0.31. Semiconductor revenue is expected to be $630M ± $15M, E&P $385M ± $15M, and Specialty Industrial $335M ± $10M.
Generated by AI · Q2 2026 results · Not investment advice
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✓ 📞 Earnings Call Transcripts (5 quarters) submit a missing quarter
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📞 Earnings Call Transcripts (5)
Q2 2026 Q2 2026 2026-08-06
Q2 2026 saw revenue and profitability exceed guidance, with strong growth in all segments, especially semiconductor and E&P, fueled by AI-driven demand. Q3 guidance points to continued acceleration, supported by robust order activity and strategic capacity investments.
Q1 2026 Q1 2026 2026-05-07
Q1 2026 results exceeded guidance with 15% year-over-year revenue growth and strong margins. AI-driven demand is fueling growth across all segments, with robust Q2 guidance and capacity expansion underway. Net leverage improved to 3.5x and dividend was raised.
Q4 2025 Q4 2025 2026-02-18
Delivered double-digit revenue and EPS growth in 2025, with strong Q4 results across all segments and robust free cash flow. Outlook for 2026 is positive, driven by AI and semiconductor demand, with continued deleveraging and margin focus.
Q3 2025 Q3 2025 2025-11-06
Q3 2025 saw 10% year-over-year revenue growth to $988M, with strong performance in semiconductor and electronics & packaging, robust free cash flow, and continued deleveraging. AI-driven demand and high equipment sales support a positive outlook, with Q4 revenue expected near $990M.
Q2 2025 Q2 2025 2025-08-07
Q2 2025 saw revenue and profitability exceed guidance, led by strong semiconductor and electronics & packaging demand, with AI applications driving growth. Tariff impacts were mitigated, free cash flow was robust, and guidance for Q3 remains strong despite ongoing trade uncertainties.
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Financial Model
Projections are built from each company's audited annual financials (Income Statement, Balance Sheet, Cash Flow) over the last 5 fiscal years. Forward assumptions — revenue growth %, EBITDA margin, D&A (USD millions), interest expense, tax rate, and capex — are AI-generated using historical context and refreshed twice a year: after the December results season and after the September/Q4 results season.

DCF Valuation
Fair Value = Σ(FCFt / (1+WACC)t) + Terminal Value. Terminal Value uses the Gordon Growth Model: FCF5 × (1+g) / (WACC−g). Default WACC: 10% (US risk-free ~4.5%, equity risk premium ~5.5%). Default terminal growth: 3% (long-run US nominal GDP proxy).

CAGR Tracker
Expected 5-year CAGR = (DCF Fair Value / Current Price)1/5 − 1. Assumes fair value is reached in exactly 5 years — a mechanical estimate only.

Data Sources & Limitations
Financial statements sourced from public filings. Prices updated daily. Forward assumptions are AI-generated. All monetary values in USD millions. Non-US ADR companies may have currency conversion inaccuracies. Models are point-in-time and do not update intra-quarter or account for M&A, macro shocks, or extraordinary items.

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