Axcelis Technology could be an incredibly inexpensive bet on the future of power chips.The electric vehicle (EV) industry has lost some steam in 2024, especially in the U.S. High sticker prices and high interest rates have throttled growth to just 10% so far this year, especially as Tesla has had some missteps. Europe and China (the latter being far and away the largest market for EVs), however, have continued to chug higher by 21% and 32%, respectively, through the first few months of 2024. Taking a bigger ...

Investors often turn to recommendations made by Wall Street analysts before making a Buy, Sell, or Hold decision about a stock. While media reports about rating changes by these brokerage-firm employed (or sell-side) analysts often affect a stock's price, do they really matter?Let's take a look at what these Wall Street heavyweights have to say about Axcelis Technologies (ACLS) before we discuss the reliability of brokerage recommendations and how to use them to your advantage.Axcelis currently has an avera ...

Core Viewpoint - Axcelis Technologies is identified as a low-cost stock in the semiconductor sector with significant long-term growth potential, particularly in the expanding AI industry [1]. Group 1: Company Overview - Axcelis Technologies specializes in manufacturing ion implantation equipment essential for semiconductor fabrication, positioning itself as a critical player in the AI chipmaking supply chain [2]. - The company has experienced a remarkable stock price increase of 537% over the past five years, despite a recent 42% decline from its all-time high [1][4]. Group 2: Market Position and Demand - CEO Russell Lowe emphasizes that the AI industry's growth will necessitate increased manufacturing capacity across the semiconductor sector, leading to higher equipment sales for Axcelis [3]. - Axcelis has a current order backlog valued at $1.1 billion, indicating strong demand for its products, especially as it prepares for the broader adoption of AI technology across various devices [4][7]. Group 3: Financial Performance - In 2023, Axcelis reported a revenue increase of 23% to a record $1.13 billion, following a 39% growth in 2022, despite challenges in the traditional consumer segments of the chip industry [5]. - The company's revenue for Q1 2024 decreased by 6.5% year-over-year to approximately $252 million, with management forecasting flat revenue for the year but expecting a return to growth in 2025, projecting revenue of $1.3 billion [5][6]. Group 4: Valuation and Investment Potential - Axcelis stock is currently trading at a price-to-earnings (P/E) ratio of 14.7, which is a 52% discount compared to the iShares Semiconductor ETF's P/E of 30.9, suggesting significant upside potential [7]. - The company’s strong order backlog and anticipated return to revenue growth in 2025 present a compelling investment opportunity for long-term investors [7][8].

BEVERLY, Mass., May 7, 2024 /PRNewswire/ -- Axcelis Technologies, Inc. (NASDAQ: ACLS), a leading supplier of enabling ion implantation solutions for the semiconductor industry, announced the company's plans to participate in the following upcoming investor conferences:The 24th Annual B. Riley Institutional Investor Conference on Wednesday, May 22nd at the Beverly Hilton, Beverly Hills, CA.  Management will host a fireside chat at 9:45 am Pacific Time.  Management will also be available for one-on-one meetin ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2024 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 000-30941 AXCELIS TECHNOLOGIES, INC. (Exact name of registrant as specified in its charter) Delaware 34-1818596 (S ...

Financial Data and Key Metrics Changes - Revenue for Q1 2024 was $252.4 million, exceeding forecasts, with earnings per diluted share at $1.57, a 10% increase from $1.43 in the same period last year [6][18] - Gross margin improved by over 500 basis points, primarily due to product mix, despite higher selling costs, R&D, and taxes [6][19] - Systems bookings totaled $107 million, with a systems backlog of $1.1 billion at the end of the quarter [18] Business Line Data and Key Metrics Changes - Systems revenue was $195.4 million, while CS&I revenue was $56.9 million, reflecting flat system volume and a modest decline in CS&I compared to the prior year [18] - Mature nodes accounted for 99% of shipped systems revenue, with power devices leading at 55% of total systems revenue [9][10] - In the power segment, silicon carbide and silicon IGBTs represented 76% and 24% of the revenue recognized, respectively [10] Market Data and Key Metrics Changes - Geographically, China represented 59% of sales, followed by the U.S. at 17%, Japan at 7%, Europe at 4%, Korea at 4%, and the rest of the world at 9% [9] - The company expects China to represent 40% to 60% of quarterly systems revenue moving forward [11] Company Strategy and Development Direction - The company aims to extend its lead in the power market and establish a position in advanced logic through focused R&D and marketing efforts [7][14] - Investments are being made in joint development engagements and evaluation systems to grow market share [7][21] - The company is focused on improving operational efficiency and gross margins, with a retirement incentive program expected to yield cost savings in the second half of the year [20] Management's Comments on Operating Environment and Future Outlook - Management anticipates a stronger second half of 2024, driven by recovery in mature markets and continued strength in the power segment [17][68] - The timing of the recovery in memory markets is expected to be later than previously anticipated, with NAND recovery not expected until 2025 [11][68] - Management remains optimistic about long-term growth driven by trends in electric vehicles, AI, and IoT [14][16] Other Important Information - The company ended Q1 with $530.2 million in available cash and generated $42.2 million from operations [23] - A share repurchase program has returned over $200 million to shareholders since 2019 [23] Q&A Session Summary Question: Insights on near-term order dynamics and second half sales potential - Management noted a $1 billion run rate in the first half and expects a stronger second half, supported by a $1.1 billion backlog and improved quoting activity [28][29] Question: Impact of gross margin optimization initiatives - The early retirement incentive program is expected to cost approximately $1.5 million, with benefits accruing in the second half of 2024 [31] Question: DRAM recovery timeline and market drivers - Management acknowledged a slower DRAM recovery but noted strong demand for high-bandwidth memory and plans for future capacity expansions [36][39] Question: Trends in silicon carbide and other markets - Management confirmed continued strength in silicon carbide, with expectations for a recovery in general mature markets driven by consumer spending [47][52] Question: Long-term growth drivers and market conditions - Management highlighted the importance of power devices and the expected recovery in memory markets as key drivers for achieving long-term growth targets [72][74]

Axcelis Technologies (ACLS) reported first-quarter 2024 non-GAAP earnings per share (EPS) of $1.57, which surpassed the Zacks Consensus Estimate of $1.26. The bottom line increased 9.8% year over year.Revenues in the quarter totaled $252.4 million, beating the Zacks Consensus Estimate by 4%. Healthy shipments to China, coupled with impetus in the implant-intensive power device segment, notably silicon carbide, are driving top-line growth. The company is also making strides in capturing new global customers ...

Investor Presentation May 1, 2024 11 Safe Harbor Statement This presentation and discussion contain forward-looking statements, including our expectations for the future market ...

Exhibit 99.1 News Release Axcelis Announces Financial Results for First Quarter 2024 Revenue, Gross Margin and EPS Beat Guidance BEVERLY, Mass. — May 1, 2024—Axcelis Technologies, Inc. (Nasdaq: ACLS) today announced financial results for the first quarter ended March 31, 2024. The Company reported first quarter revenue of $252.4 million, compared to $310.3 million for the fourth quarter of 2023. Gross margin for the quarter was 46%, compared to 44.4% in the fourth quarter. Operating profit for the quarter w ...

Core Insights - Axcelis Technologies, Inc. reported strong financial results for Q1 2024, with revenue of $252.4 million, gross margin of 46%, and net income of $51.6 million, exceeding guidance [1][2][3] Financial Performance - Q1 2024 revenue was $252.4 million, down from $310.3 million in Q4 2023 - Gross margin improved to 46% from 44.4% in Q4 2023 - Operating profit for Q1 2024 was $56.5 million, compared to $79.1 million in Q4 2023 - Net income was $51.6 million, or $1.57 per diluted share, down from $71.1 million, or $2.15 per diluted share in Q4 2023 [1][2][8] Business Outlook - For Q2 2024, Axcelis expects revenues of approximately $245 million and gross margin of about 43.5% - Operating profit for Q2 is forecasted to be around $47 million, with earnings per diluted share expected to be approximately $1.30 - The company anticipates revenue levels in the second half of 2024 to increase compared to the first half [3][2] Market Dynamics - The company highlighted strength in the implant-intensive power device segment, particularly in silicon carbide, as a key driver of business growth - Axcelis is expanding its customer base globally and enhancing its product offerings with the Purion™ Power Series [2][3]