📊 MTSI Key Takeaways
Is MACOM Technology Solutions Holdings, Inc. (MTSI) a Good Investment?
MACOM demonstrates strong fundamental momentum with 32.6% YoY revenue growth, exceptional profitability metrics (55.9% gross margin, 18.0% net margin), and solid cash generation ($30M FCF). The company maintains a fortress balance sheet with low leverage (0.25x D/E) and excellent liquidity (3.96x current ratio), providing strategic flexibility for growth investments.
MACOM posts strong fundamentals with 32.6% YoY revenue growth, resilient 55.9% gross margin, mid‑teens operating margin, and positive free cash flow backed by low leverage and ample liquidity. While ROE/ROA are muted and EPS fell sharply due to dilution/non‑operating effects, cash generation and interest coverage support a solid financial footing if margins and growth persist.
Why Buy MACOM Technology Solutions Holdings, Inc. Stock? MTSI Key Strengths
- Strong revenue growth of 32.6% YoY indicates market demand and competitive positioning
- Exceptional gross margin of 55.9% reflects pricing power and operational efficiency in semiconductor sector
- Healthy free cash flow generation of $30M with 11.0% FCF margin supports sustainability of operations
- Conservative balance sheet with 0.25x debt-to-equity ratio and 8.4x interest coverage provides financial stability
- Excellent liquidity position with 3.96x current ratio enables operational flexibility
- Robust top-line growth with high gross margin (55.9%)
- Healthy operating profitability and positive FCF (11.0% margin)
- Strong liquidity and modest leverage (3.96x current ratio, 0.25x D/E, 8.4x interest coverage)
MTSI Stock Risks: MACOM Technology Solutions Holdings, Inc. Investment Risks
- Concerning EPS decline of 170.2% YoY despite net income growth suggests potential share dilution or tax impacts requiring clarification
- Low ROE of 3.6% and ROA of 2.3% indicate inefficient capital utilization relative to assets and equity base
- CapEx of $12.9M may be insufficient to support sustained 32.6% growth rates in capital-intensive semiconductor industry
- Operating cash flow of $42.9M barely exceeds net income of $48.8M, raising questions about working capital management
- Semiconductor sector cyclicality poses risk to sustained growth and margin maintenance
- EPS volatility/dilution despite flat net income (+0.0% YoY)
- Semiconductor cycle and potential customer/product concentration exposure
- Net margin above operating margin suggests non-operating/tax benefits that may normalize
Key Metrics to Watch
- Revenue growth sustainability and guidance for next two quarters
- Gross margin maintenance as company scales operations
- Free cash flow conversion and capital expenditure trends relative to revenue growth
- Return on equity improvement and capital efficiency metrics
- EPS bridge explanation and impact of share dilution on future earnings per share
- Gross margin % trend
- Free cash flow margin
MACOM Technology Solutions Holdings, Inc. (MTSI) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 3.96x current ratio provides a solid financial cushion.
MTSI Profit Margin, ROE & Profitability Analysis
MTSI vs Technology Sector: How MACOM Technology Solutions Holdings, Inc. Compares
How MACOM Technology Solutions Holdings, Inc. compares to Technology sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is MACOM Technology Solutions Holdings, Inc. Stock Overvalued? MTSI Valuation Analysis 2026
Based on fundamental analysis, MACOM Technology Solutions Holdings, Inc. has mixed fundamental signals relative to the Technology sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
MACOM Technology Solutions Holdings, Inc. Balance Sheet: MTSI Debt, Cash & Liquidity
MTSI Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: MACOM Technology Solutions Holdings, Inc.'s revenue has grown significantly by 59% over the 5-year period, indicating strong business expansion. The most recent EPS of $1.28 reflects profitable operations.
MTSI Revenue Growth, EPS Growth & YoY Performance
MTSI Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $218.1M | $48.8M | $0.64 |
| Q3 2025 | $190.5M | $19.9M | $0.27 |
| Q2 2025 | $181.2M | $15.0M | $0.20 |
| Q1 2025 | $157.1M | $12.5M | $0.17 |
| Q3 2024 | $148.5M | $11.9M | $0.17 |
| Q2 2024 | $169.4M | $15.0M | $0.20 |
| Q1 2024 | $157.1M | $12.5M | $0.17 |
| Q3 2023 | $148.5M | $11.9M | $0.17 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
MACOM Technology Solutions Holdings, Inc. Dividends, Buybacks & Capital Allocation
MTSI SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for MACOM Technology Solutions Holdings, Inc. (CIK: 0001493594)
📋 Recent SEC Filings
❓ Frequently Asked Questions about MTSI
What is the AI rating for MTSI?
MACOM Technology Solutions Holdings, Inc. (MTSI) has a Combined AI Rating of BUY from Claude (BUY) and ChatGPT (BUY) with 72% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are MTSI's key strengths?
Claude: Strong revenue growth of 32.6% YoY indicates market demand and competitive positioning. Exceptional gross margin of 55.9% reflects pricing power and operational efficiency in semiconductor sector. ChatGPT: Robust top-line growth with high gross margin (55.9%). Healthy operating profitability and positive FCF (11.0% margin).
What are the risks of investing in MTSI?
Claude: Concerning EPS decline of 170.2% YoY despite net income growth suggests potential share dilution or tax impacts requiring clarification. Low ROE of 3.6% and ROA of 2.3% indicate inefficient capital utilization relative to assets and equity base. ChatGPT: EPS volatility/dilution despite flat net income (+0.0% YoY). Semiconductor cycle and potential customer/product concentration exposure.
What is MTSI's revenue and growth?
MACOM Technology Solutions Holdings, Inc. reported revenue of $271.6M.
Does MTSI pay dividends?
MACOM Technology Solutions Holdings, Inc. pays dividends, with $0.6M distributed to shareholders in the trailing twelve months.
Where can I find MTSI SEC filings?
Official SEC filings for MACOM Technology Solutions Holdings, Inc. (CIK: 0001493594) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is MTSI's EPS?
MACOM Technology Solutions Holdings, Inc. has a diluted EPS of $0.64.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is MTSI a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, MACOM Technology Solutions Holdings, Inc. has a BUY rating with 72% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.
Is MTSI stock overvalued or undervalued?
Valuation metrics for MTSI: ROE of 3.6% (sector avg: 22%), net margin of 18.0% (sector avg: 18%). Compare these metrics with sector averages to assess valuation.
Should I buy MTSI stock in 2026?
Our dual AI analysis gives MACOM Technology Solutions Holdings, Inc. a combined BUY rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is MTSI's free cash flow?
MACOM Technology Solutions Holdings, Inc.'s operating cash flow is $42.9M, with capital expenditures of $12.9M. FCF margin is 11.0%.
How does MTSI compare to other Technology stocks?
Vs Technology sector averages: Net margin 18.0% (avg: 18%), ROE 3.6% (avg: 22%), current ratio 3.96 (avg: 2.5).