Risk factor
Poor trading liquidity
Profitability factor
Greatly overvalued vs peers
About
Acme Electronics Corporation, founded in 1991 and headquartered in Taipei, Taiwan, specializes in the manufacturing and distribution of soft ferrite products. The company provides various ferrite materials, including manganese-zinc (Mn-Zn), nickel-zinc (Ni-Zn), and magnesium-zinc (Mg-Zn) compositions, which are essential for telecommunication, power conversion, and interference suppression applications. Its range of manganese-zinc and nickel-zinc soft ferrite cores are vital components across a diverse array of electronic devices and systems. These cores are utilized in filters, choke coils, and various transformers, as well as in power management solutions like electronic ballasts, power supplies, and chargers. Furthermore, they are integrated into computing hardware such as cloud servers, desktop and notebook computers, LCD monitors, and LED televisions, alongside mobile phones, automotive electronics, and sophisticated communication network equipment. In addition to its ferrite offerings, Acme Electronics also supplies silicon carbide (SiC) powder.
Company Valuation
Based on key historical and expected multiples, the stock is greatly overvalued relative to its peers. Specifically, the stock is overvalued on EV/EBITDA.