Analysis for KEYS
- 📈 Growth — 19/30
- 💰 Profitability — 19/20
- 🏦 Financial Health — 18/20
- 💵 Valuation — 14/20
- ⚠️ Risk — 5/10
Summary:
📈 Growth & Financial Trajectory
From 2024 Q3 to 2026 Q2, Revenues rose from $1.21B to $1.72B (+41%). Net income moved from $389M to $349M, with a loss in 2024Q4 but overall positive trend. Gross margin improved from about 62% to ~69%; operating margin from ~17% to ~24%, reflecting stronger leverage as volumes grew.
💰 Margins & Cash Flow
Margins expanded: Gross Margin ~69%, Operating Margin ~24%. Cash flow remained robust with positive operating cash flow in every quarter; Q2 2026 operating cash flow was about $501M. Investing cash flow was negative in most periods (capex), while financing activity varied, but overall cash generation funded operations.
🛡️ Balance Sheet & Liquidity
Assets around $9–$11B; current assets ~$4–$5B vs current liabilities ~$1.5–$2.7B; suggests solid liquidity. Long-term debt near $2.5B; equity around $5–$6B; debt-to-equity remains moderate and coverage healthy.
⚠️ Key Drivers & Risks
- Drivers: AI/Data Center testing demand; semiconductor equipment cycles.
- Risks: hardware capex cyclicality; sensitivity to growth assumptions.