HIMXHimax Technologies, Inc.
Is the business good?
The checks split: nothing decisive, though earnings fully cash-backed (3.8×).
Operating profit is fully backed by cash. Conversion is improving vs a year ago.
Margins have held roughly steady, a stable cost structure.
A balanced mix of margins, efficiency, and leverage. ROE 5% = margin × turnover × leverage.
Unless marked, from derived.
Where this answer is blind. The F-score rewards improvement, so an already-elite company can score mid-pack.
How good a business is HIMX?
Himax Technologies, Inc. earns 5.8% 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% · 3.2 points below what the capital costs: growth destroys value
- Operating margin
- 5.3%
Operating margin · Semiconductors median 7.5% · fiscal year to FY2025
- Cash conversion
- 3.85×
Cash conversion · 2.15× a year ago · operating cash flow covers the operating profit after tax
- Share count, year on year
- −0.24%
Share count, year on year · flat: no meaningful dilution
| Year | Operating margin |
|---|---|
| FY2020 | 6.5% |
| FY2021 | 35% |
| FY2022 | 21% |
| FY2023 | 4.6% |
| FY2024 | 7.5% |
| FY2025 | 5.3% |
Details›
- Gross marginfiscal year to FY2025
- 31%
- Operating marginfiscal year to FY2025
- 5.3%
- Net marginfiscal year to FY2025
- 5.3%
- Free cash flow margin
- 14%
- R&D as % of revenue
- 19%
- Revenue, trailing twelve months
- $832M
- Free cash flow, trailing twelve months
- $120M
- Net income, trailing twelve months
- $44M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 5.8%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.