Intevac, Inc.: Strong price momentum but will it sustain?

Intevac, Inc. relative valuation is OVERVALUED and it has a fundamental analysis score of 56.

Our analysis is based on comparing Intevac, Inc. with the following peers – Applied Materials, Inc., Western Digital Corporation, Amtech Systems, Inc., CVD Equipment Corporation, Veeco Instruments Inc., Canickel Mining Limited, Rockwell Collins, Inc., Canon Inc. Sponsored ADR, Raytheon Company and Titanium Corporation Inc. (AMAT-US, WDC-US, ASYS-US, CVV-US, VECO-US, CML-CA, COL-US, CAJ-US, RTN-US and TIC-CA).

Intevac, Inc. has shown good performance overall, both over the last one year as well as over the last month. In fact, performance over the last year at 57.89% has been better than that over the last month at 5.88%.

Company Snapshot

  • Taking peer performance into consideration, relative performance over the last month and last year is around the peer median.
  • It’s current Price/Book of 2.51 is about median in its peer group.
  • The market expects IVAC-US to grow faster than its peers and for the company to improve its current ROE.
  • IVAC-US has relatively low net profit margins while its asset efficiency is relatively high.
  • The company’s year-on-year change in revenues and earnings are better than the median among its peer group.
  • IVAC-US’s return on assets has improved from below median to about median among its peers over the last five years.
  • The company’s median gross margin and relatively low pre-tax margin suggest high operating costs versus peers.
  • While IVAC-US’s revenues growth has been around the peer median in recent years, the market seems to see faster growth ahead and gives its shares a higher than peer median P/E ratio.
  • The company’s relatively low level of capital investment and below peer median returns on capital suggest that the company is in maintenance mode.
  • IVAC-US currently does not have any debt.
  • Our analysis rates Intevac, Inc. as OVERVALUED relative to its peers.

Share Price Performance

Taking peer performance into consideration, relative performance over the last month and last year is around the peer median.

IVAC-US’s change in share price of 57.89% for the last 12 months as well as its more recent 30-day share price performance of 5.88% are both in line with their respective peer medians. Thus, the company’s share performance over the last month and the last year has been firmly in the middle of the pack.

Share Price Performance

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Leading, Fading, Lagging, Rising

Relative Valuation

Relative Valuation
Fundamental Score

Intevac, Inc.’s price of USD 9 is greater than CapitalCube’s implied price of USD 6.98. At this level, CapitalCube believes that Intevac, Inc. is overvalued. Over the last 52 week period, the stock has fluctuated between USD 5.60 and USD 14.15.

Valuation & Peer Metrics

A complete list of valuation metrics is available on the company page.

Company Profile

Intevac, Inc. designs, manufactures and markets lean systems and lean thinking platforms, which supplies magnetic media processing systems to the hard drive, solar and photonics industries. It also develops digital-optical products for the capture and display of low-light images and the optical analysis of materials. The company operates its business through following segments: Thin-film Equipment and Photonics. The Thin-film Equipment segment designs and develops high-productivity, thin-film processing systems such as the hard drive media, display cover panel and solar photovoltaic. The Photonics segment develops, manufactures and sells compact, high-sensitivity digital sensors, cameras and systems that primarily serve the defense industry. Intevac was founded by Norman H. Pond in October 1990 and is headquartered in Santa Clara, CA.

Disclaimer

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