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Advantest Corp
TSE:6857

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Advantest Corp
TSE:6857
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Price: 27 900 JPY Market Closed
Market Cap: ¥20.4T

EV/OCF

59.7
Current
25%
More Expensive
vs 3-y average of 47.9

Enterprise Value to Operating Cash Flow (EV/OCF) ratio compares a company`s total enterprise value to its operating cash flow. It shows how much investors are paying for each dollar of the company`s operating cash flow, including both equity and debt.

EV/OCF
59.7
=
Enterprise Value
¥20.5T
/
Operating Cash Flow
¥334.2B

Enterprise Value to Operating Cash Flow (EV/OCF) ratio compares a company`s total enterprise value to its operating cash flow. It shows how much investors are paying for each dollar of the company`s operating cash flow, including both equity and debt.

EV/OCF
59.7
=
Enterprise Value
¥20.5T
/
Operating Cash Flow
¥334.2B

Valuation Scenarios

Advantest Corp is trading above its 3-year average

If EV/OCF returns to its 3-Year Average (47.9), the stock would be worth ¥22 403.68 (20% downside from current price).

Statistics
Positive Scenarios
0/4
Maximum Downside
-81%
Maximum Upside
No Upside Scenarios
Average Downside
58%
Scenario EV/OCF Value Implied Price Upside/Downside
Current Multiple 59.7 ¥27 900
0%
3-Year Average 47.9 ¥22 403.68
-20%
5-Year Average 25 ¥11 667.78
-58%
Industry Average 15.4 ¥7 192.87
-74%
Country Average 11.4 ¥5 325.28
-81%

Forward EV/OCF
Today’s price vs future operating cash flow

Not enough data available to calculate forward EV/OCF

Peer Comparison

All Multiples
EV/OCF
P/E
All Countries
Close
Market Cap EV/OCF P/E
JP
Advantest Corp
TSE:6857
20.3T JPY 59.7 70.2
NL
ASML Holding NV
AEX:ASML
471.7B EUR 33.4 46.2
US
Lam Research Corp
NASDAQ:LRCX
323.5B USD 45.1 52.1
US
Applied Materials Inc
NASDAQ:AMAT
320.5B USD 36.5 40.9
US
KLA Corp
NASDAQ:KLAC
238.1B USD 50 52.2
US
Brooks Automation Inc
LSE:0HQ1
234.5B USD 3 751.4 -4 053.1
JP
Tokyo Electron Ltd
TSE:8035
20.8T JPY 40.8 41.4
US
Teradyne Inc
NASDAQ:TER
62.6B USD 92.5 112.9
CN
NAURA Technology Group Co Ltd
SZSE:002371
346.3B CNY 160 62.3
JP
Disco Corp
TSE:6146
7.8T JPY 76.3 59.5
NL
ASM International NV
AEX:ASM
41.6B EUR 38.3 57.5
P/E Multiple
Earnings Growth PEG
JP
Advantest Corp
TSE:6857
Average P/E: 59.5
70.2
50%
1.4
NL
ASML Holding NV
AEX:ASML
46.2
20%
2.3
US
Lam Research Corp
NASDAQ:LRCX
52.1
24%
2.2
US
Applied Materials Inc
NASDAQ:AMAT
40.9
20%
2
US
KLA Corp
NASDAQ:KLAC
52.2
22%
2.4
US
B
Brooks Automation Inc
LSE:0HQ1
Negative Multiple: -4 053.1 N/A N/A
JP
Tokyo Electron Ltd
TSE:8035
41.4
13%
3.2
US
Teradyne Inc
NASDAQ:TER
112.9
44%
2.6
CN
NAURA Technology Group Co Ltd
SZSE:002371
62.3
N/A N/A
JP
Disco Corp
TSE:6146
59.5
16%
3.7
NL
ASM International NV
AEX:ASM
57.5
23%
2.5

Market Distribution

Higher than 95% of companies in Japan
Percentile
95th
Based on 4 586 companies
95th percentile
59.7
Low
0 — 8.2
Typical Range
8.2 — 16.2
High
16.2 —
Distribution Statistics
Japan
Min 0
30th Percentile 8.2
Median 11.4
70th Percentile 16.2
Max 277 515 327.6

Advantest Corp
Glance View

In the bustling world of semiconductor production, Advantest Corp. has carved out a significant niche for itself as a leading provider of semiconductor test equipment. Founded in Japan’s capital, Tokyo, Advantest has risen to prominence by arming chip manufacturers with the essential tools required to ensure their products meet rigorous standards before reaching the market. The company's core business surrounds the design, production, and marketing of automatic test equipment (ATE) for semiconductors, which are indispensable in verifying the performance and reliability of integrated circuits. As the demand for electronics continues to surge globally, fueled by sectors such as mobile technology, automotive electronics, and data centers, Advantest’s role as a gatekeeper in semiconductor quality remains ever crucial. Advantest's financial model thrives on the backbone of innovation and cutting-edge technology. The firm invests heavily in research and development, continuously seeking advancements that will speed up testing times and reduce costs, thereby providing a competitive edge to their clients in the semiconductor industry. Revenue streams primarily flow from the sale of these advanced testing machines, which are crucial for tech giants as they race to shrink chip sizes while increasing computing power. With its global presence, Advantest not only supplies these high-tech tools but also offers associated services and support, further solidifying its relationships within the intricate semiconductor supply chain, ensuring that as technology evolves, so does their foothold in the marketplace.

Intrinsic Value
10 820.19 JPY
Overvaluation 61%
Intrinsic Value
Price ¥27 900
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