MACOM Technology Solutions Holdings, Inc. (MTSI): a potential bargain?

Buy — the drop is a broad chip-sector selloff and valuation cool-down, not a company-specific problem; growth and margins remain strong.

🔥 HOT Fundamentals82/100

Fell 21% in 6 trading day(s) — now $257.43

Why MTSI dropped

Multiple news reports attribute the decline to a broad semiconductor sector selloff and pre-earnings caution rather than any MACOM-specific bad news; one analyst (Susquehanna) trimmed its price target but kept a Neutral/hold rating, and other analysts reaffirmed Buy ratings during the slide.

Fwd P/E 30.4Op margin 23.3%Rev growth 35.8%Debt/equity 26.9%Analyst upside 53.6%

How this scored 82/100

✅ Passes all 4 hard checks — profitable, cash-generative, and financially survivable.

✅ Makes money Net profit margin 20.7%

✅ Generates cash Free cash flow $104M

✅ Not drowning in debt Debt/equity 26.9% (limit 200%)

✅ Can pay its bills Current ratio 2.3 (needs 1+)

Bar length shows how much each metric is worth — a 10-point metric is twice as wide as a 5-point one. Hover any row for what it means.

Profitability Does it actually make money? 21/25

Operating margin 23.3% 8/9

Net profit margin 20.7% 8/8

Return on equity 17.2% 5/8

Growth Is it getting bigger, or dying? 25/25

Revenue growth 35.8% 9/9

Earnings growth 166.7% 8/8

Expected profit change 170.0% 8/8

Value Is it cheap right now? 12/25

Forward P/E 30.4 3/10

PEG ratio 2.0 3/8

Analyst target upside 53.6% 6/7

Balance sheet Will it survive? 24/25

Debt / equity 26.9% 10/10

Current ratio 2.3 7/8

Free cash flow $104M 7/7

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Analysis generated by SmartStonks's AI from public fundamentals and news, first flagged 2026-08-25. Research only — not financial advice.