Is the business good?
How good a business is AXTI?
AXT, Inc. earns 0.55% on the capital it employs against a 9.0% cost of capital, so growth costs more than it returns.
0.55%
Return on invested capital · cost of capital 9.0% · 8.5 points below what the capital costs: growth destroys value
- Operating margin
- 3.1%
Operating margin · Semiconductor Equipment & Materials median 8.4% · 12 months to Q2 2026
- Share count, year on year
- +45%
Share count, year on year · shareholders own a smaller slice than a year ago
- R&D as % of revenue
- 8.0%
R&D as % of revenue
| Year | Operating margin |
|---|---|
| FY2020 | 4.1% |
| FY2021 | 9.4% |
| FY2022 | 8.9% |
| FY2023 | −28% |
| FY2024 | −15% |
| FY2025 | −25% |
Details›
- Gross margin12 months to Q2 2026
- 32%
- Operating margin12 months to Q2 2026
- 3.1%
- Net margin12 months to Q2 2026
- 3.2%
- Free cash flow margin
- −16%
- R&D as % of revenue
- 8.0%
- Revenue, trailing twelve months
- $126M
- Free cash flow, trailing twelve months
- −$20M
- Net income, trailing twelve months
- $4.1M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 0.55%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Semiconductor Equipment & Materials
Ranks #7 of 22 by Smart Score