ACM Research Grows Revenue While Navigating Headwinds

ACMR develops, manufactures, and sells semiconductor processing equipment. The company’s products help with cleaning, electroplating, stress-free polishing, vertical furnace processes, track, PECVD, and wafer- and panel-level packaging tools. While the company has grown globally, its China and Korea arms were recently added to a U.S. entity list, restricting U.S.-based components. Still, despite the uncertainty, ACM Research is looking to continue its profitable growth worldwide.

In ACMR’s fourth-quarter fiscal 2024 earnings report, quarterly revenue grew 31% while annual revenue jumped 40%. Its 50.4% gross margin for the year reflects strong profitability. And while U.S.-based business prospects are potentially shaky in the near term, ACMR has gained 35% plating market share in China. Full-year net income for the firm was $152.2 million, which is up from $107.4 million two years ago.

It’s no wonder ACMR shares are up 94% this year – and they could rise more. MAPsignals data shows how Big Money investors are betting heavily on the forward picture of the stock.

Big Money Buying ACM Research

Institutional volumes reveal plenty. Recently, ACMR has enjoyed strong investor demand, which we believe to be institutional support.

Each green bar signals unusually large volumes in ACMR shares. They reflect our proprietary inflow signal, pushing the stock higher:

Plenty of technology names are under accumulation right now. But there’s a powerful fundamental story happening with ACM Research.

ACM Research Fundamental Analysis

Institutional support and a healthy fundamental backdrop make this company worth investigating. As you can see, ACMR has had strong sales and earnings growth:

• 3-year sales growth rate (+44.5%)
• 3-year EPS growth rate (+41.6%)

Source: FactSet

Also, EPS is estimated to ramp higher this year by +14.4%.

Now it makes sense why the stock has been powering to new heights. ACMR has a track record of strong financial performance.

Marrying great fundamentals with our proprietary software has found some big winning stocks over the long term.

ACM Research has been a top-rated stock at MAPsignals for years. That means the stock has unusual buy pressure and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.

It’s made the rare Top 20 report multiple times in the past couple years. The blue bars below show when ACMR was a top pick…climbing higher with time:

Tracking unusual volumes reveals the power of money flows.

This is a trait that most outlier stocks exhibit…the best of the best. Big Money demand drives stocks upward.

ACM Research Price Prediction

The ACMR rally isn’t new at all. Big Money buying in the shares is signaling to take notice. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a diversified portfolio.

Disclosure: the author holds no position in ACMR at the time of publication.

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