Vicor Corporation Fundamental Analysis (NASDAQ: VICR)
Vicor Corporation Fundamental Analysis (NASDAQ: VICR)
Vicor Corporation (NASDAQ: VICR) shows strong financial fundamentals with a PE ratio of 45.63, profit margin of 32.15%, and ROE of 22.49%. The company generates $0.6B in annual revenue with strong year-over-year growth of 13.55%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 80.1/100 based on profitability, valuation, growth, and balance sheet metrics. The B+ grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze VICR's fundamental strength across five key dimensions:
Efficiency Score
ExcellentVICR demonstrates superior asset utilization.
Valuation Score
ModerateVICR shows balanced valuation metrics.
Growth Score
ExcellentVICR delivers strong and consistent growth momentum.
Financial Health Score
ExcellentVICR maintains a strong and stable balance sheet.
Profitability Score
ExcellentVICR achieves industry-leading margins.
Key Financial Metrics
Is VICR Expensive or Cheap?
P/E Ratio
VICR trades at 45.63 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, VICR's PEG of 0.40 indicates potential undervaluation.
Price to Book
The market values Vicor Corporation at 9.13 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 50.65 times EBITDA. This signals the market has high growth expectations.
How Well Does VICR Make Money?
Net Profit Margin
For every $100 in sales, Vicor Corporation keeps $32.15 as profit after all expenses.
Operating Margin
Core operations generate 24.90 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $22.49 in profit for every $100 of shareholder equity.
ROA
Vicor Corporation generates $18.37 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Vicor Corporation produces operating cash flow of $84.35M, showing steady but balanced cash generation.
Free Cash Flow
Vicor Corporation produces free cash flow of $51.24M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $1.11 in free cash annually.
FCF Yield
VICR converts 0.62% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
45.63
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.40
vs 25 benchmark
P/B Ratio
Price to book value ratio
9.13
vs 25 benchmark
P/S Ratio
Price to sales ratio
14.75
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.008
vs 25 benchmark
Current Ratio
Current assets to current liabilities
11.43
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.22
vs 25 benchmark
ROA
Return on assets percentage
0.18
vs 25 benchmark
ROCE
Return on capital employed
0.15
vs 25 benchmark
How VICR Stacks Against Its Sector Peers
| Metric | VICR Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 45.63 | 33.33 | Worse (Expensive) |
| ROE | 22.49% | 862.00% | Weak |
| Net Margin | 32.15% | -2063.00% (disorted) | Strong |
| Debt/Equity | 0.01 | 0.60 | Strong (Low Leverage) |
| Current Ratio | 11.43 | 12.86 | Strong Liquidity |
| ROA | 18.37% | 14.00% | Excellent |
VICR outperforms its industry in 4 out of 6 key metrics, particularly excelling in Net Margin, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Vicor Corporation's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
34.24%
Industry Style: Growth, Innovation, High Beta
High GrowthEPS CAGR
546.40%
Industry Style: Growth, Innovation, High Beta
High GrowthFCF CAGR
292.23%
Industry Style: Growth, Innovation, High Beta
High Growth