AEHRAehr Test Systems, Inc.
Is the business good?
More warning than reassurance: 2 of 9 health tests passed and margins compressing.
Weak, deteriorating fundamentals. Nine pass/fail tests of year-over-year health from the filings.
Operating margin has narrowed over the past few years, profitability per dollar of sales is eroding.
Where this answer is blind. The F-score rewards improvement, so an already-elite company can score mid-pack.
How good a business is AEHR?
Aehr Test Systems, Inc. earns −11% on the capital it employs against a 9.0% cost of capital, so growth costs more than it returns.
Return on invested capital · cost of capital 9.0% · 20 points below what the capital costs: growth destroys value
- Operating margin
- −28%
Operating margin · Semiconductor Equipment & Materials median 11% · 12 months to Q4 2026
- R&D as % of revenue
- 25%
R&D as % of revenue
- Gross margin
- 35%
Gross margin
| Year | Operating margin |
|---|---|
| FY2021 | −25% |
| FY2022 | 15% |
| FY2023 | 21% |
| FY2024 | 15% |
| FY2025 | −9.6% |
| FY2026 | −28% |
Details›
- Gross margin12 months to Q4 2026
- 35%
- Operating margin12 months to Q4 2026
- −28%
- Net margin12 months to Q4 2026
- −14%
- Free cash flow margin
- −11%
- R&D as % of revenue
- 25%
- Revenue, trailing twelve months
- $50M
- Free cash flow, trailing twelve months
- −$5.4M
- Net income, trailing twelve months
- −$7.1M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- −11%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.
Semiconductor Equipment & Materials
Ranks #18 of 18 by RyuScore