Mycronic (OM:MYCR) Could Be 13% Undervalued As New SLX Order Supports Growth
Why this new SLX order matters for Mycronic stock
Mycronic (OM:MYCR) caught investor attention after securing a new SLX laser mask writer order in Asia, valued between US$4 million and US$6 million, with delivery planned for the first quarter of 2027.
The deal highlights demand for modern and energy efficient photomask tools used in semiconductor production. It also adds another reference customer for Mycronic’s Pattern Generators division in a region that is central to global chip manufacturing.
See our latest analysis for Mycronic.
At a share price of SEK318.0, Mycronic has seen short term pressure with a 30 day share price return down 9.25%, while its year to date share price return of 46.81% and 3 year total shareholder return of 209.63% point to strong underlying momentum.
If this SLX order has you looking at where semiconductor equipment demand might flow next, it could be worth scanning other robotics and automation opportunities using the Simply Wall St screener for 37 robotics and automation stocks.
Mycronic now trades slightly above analyst targets, yet around 13% below one estimate of fair value. After the recent pullback, is the market sensibly cautious, or too slow to reprice this new SLX momentum?
Most Popular Narrative: 2.1% Overvalued
Compared with the narrative fair value of SEK311.5, Mycronic at SEK318.0 is only slightly higher, which makes the underlying growth story worth understanding.
Mycronic's recent acquisitions, such as Hprobe and RoBAT, are expected to expand its offerings in the Global Technologies division with unique technologies for testing MRAM and PCBs, potentially leading to increased revenue and strengthened market position.
Investors may want to understand how that acquisition push connects to future margins and revenue targets. The narrative describes the relationship between growth rates, profitability and a lower future earnings multiple.
Result: Fair Value of SEK311.5 (OVERVALUED)
Have a read of the narrative in full and understand what's behind the forecasts.
However, the Mycronic narrative also hinges on more fragile areas, including tariff related delivery delays in High Flex and weaker European demand, which has already weighed on orders.
Find out about the key risks to this Mycronic narrative.
Another view on Mycronic’s valuation
While the narrative fair value of SEK311.5 suggests Mycronic is slightly overvalued at SEK318.0, the SWS DCF model points in the opposite direction. On this view, the stock trades about 12.8% below an estimated fair value of SEK364.6, which raises the question of which assumptions you find more convincing.
Investors who want to understand how the cash flow based approach is built can review the full set of inputs and scenario choices in the Look into how the SWS DCF model arrives at its fair value.
Simply Wall St performs a discounted cash flow (DCF) on every stock in the world every day (check out Mycronic for example). We show the entire calculation in full. You can track the result in your watchlist or portfolio and be alerted when this changes, or use our stock screener to discover 269 high quality undervalued stocks. If you save a screener we even alert you when new companies match - so you never miss a potential opportunity.
Next Steps
With mixed signals around Mycronic, this is a moment to review the full picture and make a timely decision based on your own judgment using the 2 key rewards and 1 important warning sign.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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