Investment Thesis
Amkor demonstrates solid financial fundamentals with strong liquidity (2.27x current ratio), excellent interest coverage (28.4x), and conservative leverage (0.29x debt-to-equity). However, profitability growth is stalled with flat net income despite 6.2% revenue growth, and free cash flow conversion remains weak at 2.8%, suggesting operational challenges in converting top-line growth into shareholder value.
AMKR Strengths
- Exceptional liquidity position with 2.27x current ratio and $1.4B cash reserves
- Conservative capital structure with 0.29x debt-to-equity ratio and 28.4x interest coverage
- Revenue growth of 6.2% YoY in cyclical semiconductor packaging industry
- Strong balance sheet with $4.5B stockholders' equity and manageable $1.3B long-term debt
AMKR Risks
- Net income flat YoY despite revenue growth, indicating margin compression and operational leverage issues
- Weak free cash flow conversion at only 2.8% FCF margin; CapEx of $904.6M consumes 82% of operating cash flow
- Low profitability margins across the board (gross 14%, operating 7%, net 5.6%) typical of cyclical capital-intensive semiconductor services
- ROE of 8.4% and ROA of 4.6% suggest inefficient capital deployment relative to equity base
- High insider activity with 46 Form 4 filings in last 90 days warrants monitoring for potential concerns
Key Metrics to Watch
- Free cash flow trend and FCF conversion rate to assess if capital intensity is normalizing
- Net income growth acceleration relative to revenue growth to confirm margin expansion
- Operating cash flow sustainability amid ongoing CapEx requirements
- Debt-to-equity ratio trend to monitor if leverage increases during cyclical downturn
- Gross margin trajectory in semiconductor services segment
AMKR Financial Metrics
AMKR Profitability Ratios
AMKR Balance Sheet & Liquidity
AMKR 5-Year Financial Trend
5-Year Trend Summary: AMKOR TECHNOLOGY, INC.'s revenue has shown modest growth of 9% over the 5-year period. The most recent EPS of $1.46 reflects profitable operations.
AMKR Growth Metrics (YoY)
AMKR Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $1.9B | $122.6M | $0.49 |
| Q2 2025 | $1.5B | $54.4M | $0.22 |
| Q1 2025 | $1.3B | $21.1M | $0.09 |
| Q3 2024 | $1.8B | $122.6M | $0.49 |
| Q2 2024 | $1.5B | $64.3M | $0.26 |
| Q1 2024 | $1.4B | $45.4M | $0.18 |
| Q3 2023 | $1.8B | $132.6M | $0.54 |
| Q2 2023 | $1.5B | $64.3M | $0.26 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
AMKR Capital Allocation
AMKR SEC Filings
Access official SEC EDGAR filings for AMKOR TECHNOLOGY, INC. (CIK: 0001047127)