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$35.5B
Market Cap
24.7
P/E
2.09
PEG
6.3%
ROCE
8.0%
ROE
0.55
D/E
20.4%
OPM
+25.3%
% from 52W High
66
α RS
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🌏 Global Investor Returns
Currency-adjusted total returns for Q including FX impact
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📈 Price History
Ratio Health
Excellent
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By Category
📊 Sector Averages
About

Qnity Electronics, Inc. provides materials and solutions to the semiconductor and electronics industries in the United States, rest of Americas, Europe, the Middle East, Africa, Asia Pacific, China, South Korea, Taiwan, and internationally.

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📈 Growth Pattern
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⭐ Superinvestors Holding Q
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Manager Shares Value % of Fund Period
Steve Cohen Point72 Asset Management 541.2K $62.4M 0.08% Mar 2026
Jim Simons Renaissance Technologies LLC 189.6K $21.9M 0.03% Mar 2026
Stan Druckenmiller Duquesne Family Office 125.7K $14.5M 0.43% Mar 2026

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

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3-Statement Financial Model
Bear / Base / Bull projections · DCF fair value · Reverse-DCF
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🎙 Management Tone Mixed → Stable 3 quarters Full tone analysis in Intelligence →
Good quarter Investor Presentation One-Pager? Q1 2026
Revenue
$1.315B
+18% YoY
Operating Income (Adjusted EBITDA)
$411M
+22% YoY
Operating Margin (Adjusted EBITDA margin)
31.3%
+1.25pp YoY
Net Income
$162M
-19% YoY
What Went Right
  • Interconnect Solutions organic sales grew 22% YoY, led by 50%+ growth in advanced packaging, interconnects and thermal management.
  • Eighth consecutive quarter of strong profitable organic growth with 17% organic sales increase.
  • Raised full-year guidance across all metrics; net sales midpoint raised by 5% to $5.3B.
What to Watch
  • Geopolitical inflation headwinds for raw materials and logistics of ~$20M for remainder of 2026.
  • Conflict in the Middle East causing uncertainty; management taking prudent planning approach.
  • Labor unrest at a Korean memory/foundry customer could pose disruption risk.
Management Guidance
  • Full-year net sales expected $5.225B-$5.375B (midpoint $5.3B).
  • Full-year adjusted operating EBITDA expected $1.535B-$1.625B.
  • Q2 sequential net sales growth mid-single digits; Semi flattish, ICS high single digits.
Investor Lens
The thesis strengthens after this call. Qnity's position in AI-driven stacking and advanced packaging is delivering above-market growth. The raise in guidance despite inflationary headwinds shows confidence in demand. However, geopolitical risks and memory customer labor unrest warrant monitoring.
From investor presentation · AI-generated analysis · Not investment advice
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📈 STRONG Strong start to 2026 with 18% revenue growth and margin expansion.
Revenue
Net sales reached $1.315B, up 18% YoY (organic 17%). Semiconductor Technologies grew 12% YoY, Interconnect Solutions 22% YoY.
Profitability
GAAP net income was $162M, down 19% YoY due to spin-off-related costs. Adjusted earnings rose 33% to $226M, and adjusted EPS grew 33% to $1.08.
Margins
Adjusted operating EBITDA margin expanded 125 bps to 31.3%, driven by operating leverage and favorable mix. ICS margins improved to 28.5% (up 280 bps sequentially), Semi margins at 36.4%.
Balance Sheet
Cash and short-term investments $850M, total debt $4B, net leverage 2.2x. Generated $28M adjusted free cash flow in Q1, with full-year FCF guidance raised to $500-$600M.
Key Risks
Geopolitical inflation headwinds of ~$20M in raw materials and logistics for the rest of the year. Conflict in Middle East adds uncertainty. Labor unrest at Korean memory customer mentioned in Q&A.
Outlook
Q2 sequential net sales expected mid-single digit growth. Full-year guidance raised: net sales $5.225B-$5.375B, adjusted EBITDA $1.535B-$1.625B, adjusted EPS $3.80-$4.14.
Generated by AI · Q1 2026 results · Not investment advice
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📊 Analysis Methodology

This comprehensive investment analysis was conducted using The Finmagine™ Stock Analysis & Ranking Methodology, a proprietary framework that systematically evaluates stocks across five critical dimensions: Financial Health, Growth Prospects, Competitive Positioning, Management Quality, and Valuation.

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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.

⚠️ Important Disclaimers — Please read without fail.

Investment Risk:
Investing in securities, including US equities and ETFs, involves inherent risks including the potential loss of principal. All investments are subject to market fluctuations, economic conditions, regulatory changes, and other factors that may affect their value. Past performance is not indicative of future results. This analysis is provided for informational and educational purposes only and should not be construed as investment advice under any circumstances.

No Investment Recommendation:
This analysis does not constitute, nor should it be interpreted as, an offer, solicitation, or recommendation to buy, sell, or hold any securities or financial products. Investors are strongly advised to conduct their own independent research and due diligence and to consult with a licensed financial advisor or an SEC-registered investment adviser before making any investment decisions, taking into account their individual financial situation, risk tolerance, and investment objectives.

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Conflict of Interest Disclosure:
The author and/or analyst may currently hold or have previously held positions in the securities discussed. Any such positions are not intended to influence the objectivity or independence of the analysis. This research is produced independently and is not sponsored, endorsed, or commissioned by any company or institution.

Information Sources:
The analysis is based on publicly available information including SEC filings (10-K, 10-Q), annual reports, management commentary, and publicly available financial data. Information is believed to be accurate as of the date of publication but may be subject to change without notice. Readers are encouraged to independently verify all information before acting upon it.

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