MeritValue

ACM Research, Inc.

ACMRdata completeness 100%10 fiscal years on file

Data notes: no data for concept 'investmentsAtFairValue'; no data for concept 'netInvestmentIncome'; no data for concept 'gainsOnRealEstateSales'; no data for concept 'realEstateImpairment'; no data for concept 'dividendsPaid'

The thesis, from the filings

ACM Research, Inc. earns about 15% on invested capital, but has diluted owners by 3% over 5 years — worth asking whether the growth reaches owners. The applicable estimate puts fair value near $11.8 a share.Whether it’s worth owning at today’s price is the last question — and yours to answer, below.

i. The business — what you’d actually own
FigureFY 2021FY 2022FY 2023FY 2024FY 2025
Revenue$259.8M1$388.8M2$557.7M3$782.1M3$901.3M3
Net income$37.8M4$39.3M5$77.3M6$103.6M6$94.1M6
Operating cash flow−$40.1M7−$62.2M8−$75.3M9$152.5M9−$10.3M9
Capital expenditure$9.15M10$91.1M11$61.9M12$82.5M12$56.3M12
Free cash flow (derived)−$49.2M7−$153.3M8−$137.2M9$70M9−$66.6M9
Total debt$60.3M13$98M14$152.8M15$332.8M16$502.1M16
Cash & equivalents$562.5M17$248M18$182.1M19$407.4M19$757.4M19
Diluted shares65.4M65.3M64.9M66.2M67.3M

Superscripts are receipts. Each links to the SEC filing the number came from (full list at the bottom).

ii. Your slice — ownership made literal
If you owned
shares
Net assets behind them
$217.55
your share of equity
Profit it earned you last year
$13.98
Free cash flow it threw off
−$9.9
Debt you’d be carrying
$74.59

10 shares is a claim on $217.55 of net worth that earned you $13.98 and generated −$9.9 of cash last year, against $74.59 of debt.

iii. Is this a good business?
Moat signal · return on invested capital
15% avg · 5y
FY21 25%FY22 10%FY23 13%FY24 16%FY25 10%

It earned an average 15% on invested capital over 5 years. Compare that to what it costs to fund the business.

seeing a moat in the numbers →
Management signal · capital allocation
+3% shares · 5y

Share count is up 3% over 5 years — owners have been diluted. Worth asking what they got for it. Total debt has risen 732% over the same window.

reading capital allocation →

Signals, not verdicts — read from the filings above. Numbers don’t prove a moat; they show its footprint. You decide.

iv. What it’s worth — engine v0.5.0
DCF · Growth Exit 10Y
not applicable
3y-median FCF non-positive — growth-exit DCF not applicable (see EPV)
DCF · Growth Exit 5Y
not applicable
3y-median FCF non-positive — growth-exit DCF not applicable (see EPV)
Earnings Power Value
$11.8
assumptions (8)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$77.3M
  • growthAssumed0.0%
Graham Number
$25.9
assumptions (1)
  • grahamMultiplier2250.0%

Different models answer different questions — which to trust when →

Sources — the receipts
  1. 10-K · period ending 2021-12-31 · accession 0001680062-24-000008 (RevenueFromContractWithCustomerExcludingAssessedTax)
  2. 10-K · period ending 2022-12-31 · accession 0001680062-25-000003 (RevenueFromContractWithCustomerExcludingAssessedTax)
  3. 10-K · period ending 2023-12-31 · accession 0001628280-26-013231 (RevenueFromContractWithCustomerExcludingAssessedTax)
  4. 10-K · period ending 2021-12-31 · accession 0001680062-24-000008 (NetIncomeLoss)
  5. 10-K · period ending 2022-12-31 · accession 0001680062-25-000003 (NetIncomeLoss)
  6. 10-K · period ending 2023-12-31 · accession 0001628280-26-013231 (NetIncomeLoss)
  7. 10-K · period ending 2021-12-31 · accession 0001680062-24-000008 (NetCashProvidedByUsedInOperatingActivities)
  8. 10-K · period ending 2022-12-31 · accession 0001680062-25-000003 (NetCashProvidedByUsedInOperatingActivities)
  9. 10-K · period ending 2023-12-31 · accession 0001628280-26-013231 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2021-12-31 · accession 0001680062-24-000008 (PaymentsToAcquirePropertyPlantAndEquipment)
  11. 10-K · period ending 2022-12-31 · accession 0001680062-25-000003 (PaymentsToAcquirePropertyPlantAndEquipment)
  12. 10-K · period ending 2023-12-31 · accession 0001628280-26-013231 (PaymentsToAcquirePropertyPlantAndEquipment)
  13. 10-K · period ending 2021-12-31 · accession 0001140361-23-009508 (LongTermDebtNoncurrent)
  14. 10-K · period ending 2022-12-31 · accession 0001680062-24-000008 (LongTermDebtNoncurrent)
  15. 10-K · period ending 2023-12-31 · accession 0001680062-25-000003 (LongTermDebtNoncurrent)
  16. 10-K · period ending 2024-12-31 · accession 0001628280-26-013231 (LongTermDebtNoncurrent)
  17. 10-K · period ending 2021-12-31 · accession 0001680062-24-000008 (CashAndCashEquivalentsAtCarryingValue)
  18. 10-K · period ending 2022-12-31 · accession 0001680062-25-000003 (CashAndCashEquivalentsAtCarryingValue)
  19. 10-K · period ending 2023-12-31 · accession 0001628280-26-013231 (CashAndCashEquivalentsAtCarryingValue)