MACOM Technology Solutions Holdings, Inc.

MTSI

TechnologySemiconductorsNASDAQ

$365.88

Market Cap: $27.92B

MACOM Technology Solutions Holdings, Inc. (MTSI) Valuation Summary

Updated Apr 6, 2026 22:27

Model	Range	Fair Value	Upside
▸ Discounted Cash Flow
Growth Exit 5Y	$21.34 – $66.34	$33.20	-85.8%
Growth Exit 10Y	$31.77 – $95.47	$48.64	-79.1%
EBITDA Exit 5Y	$61.03 – $100.93	$79.43	-65.9%
EBITDA Exit 10Y	$63.69 – $119.43	$87.81	-62.3%
▸ Trading Multiples
P/E	—	N/A	—
EV/EBITDA	-$0.29 – $17.15	$6.54	-97.2%
EV/Revenue	$21.99 – $214.05	$155.36	-33.3%
▸ PEG
PEG Fair Value	—	N/A	—
▸ Earnings Power Value
Earnings Power Value	$10.05 – $16.52	$12.73	-94.5%
▸ Dividend Discount
Dividend Discount	—	N/A	—

Valuation History

DCF Analysis

Fair Value

$33.20

Market Price

$365.88

Upside / Downside

-90.9%

Verdict

Overvalued

Using an unlevered Free Cash Flow to Firm (FCFF) model, we project MACOM Technology Solutions Holdings, Inc.'s cash flows over 5 years with line-by-line expense modeling. Revenue is projected revenue growing from 21.1% to 12.4% annually, with expenses (COGS, SG&A, R&D) held at historical ratios. Depreciation is computed from a vintage matrix based on a 5-year useful life. Working capital is modeled using historical turnover days (DSO 53, DPO 41, DIO 163). At a 8.8% WACC with mid-year discounting, the terminal value (77% of enterprise value) is derived from the Gordon Growth Model on Year 6 FCFF at a 2.5% perpetual rate. After subtracting net debt, the equity value implies a fair price of $33.20 per share, suggesting MTSI is overvalued by 90.9% at the current price of $365.88.

FCFF Present Value Calculation

WACC

8.82%

3% – 20%

Terminal Growth

2.50%

0% – 6%

Forecast Period

5 Yrs

+ Terminal Year

Adjust parameters to explore scenarios. Changes are for exploration only and do not affect saved valuations.

Currency: USD Millions

	2026	2027	2028	2029	2030	Terminal
Profit Before Tax	159	187	207	232	261	268
(−) Net Interest	19	22	25	28	31	32
(+) D&A	27	32	36	43	50	52
EBITDA	205	241	268	302	342	351

(−) Tax	0	0	0	0	0	0
(−) CapEx	43	50	55	62	70	71
(−) ΔWC	32	61	44	56	63	65
Free Cash Flow (FCFF)	131	130	169	184	210	215

Terminal Value						3,397
WACC / Discount Rate	8.8%
Long-term Growth Rate	2.5%

Timing of FCF (mid year)	0.5	1.5	2.5	3.5	4.5	5
Present Value of FCF	125	115	137	137	143	2,225

Enterprise Value	2,882
Projection Period	657	22.8%
Terminal Value	2,225	77.2%

(−) Current Net Debt	426

Equity Value	2,457
(/) Outstanding Shares	74

Fair Price	$33.20

Sensitivity Analysis

WACC \ Terminal Growth Rate	1.5%	2.0%	2.5%	3.0%	3.5%
6.8%	$43	$47	$52	$58	$66
7.8%	$35	$38	$41	$45	$49
8.8%	$29	$31	$33	$36	$39
9.8%	$25	$26	$28	$30	$32
10.8%	$21	$22	$24	$25	$26

Current price: $365.88. Green = undervalued, Red = overvalued.

Fair Value

$48.64

Market Price

$365.88

Upside / Downside

-86.7%

Verdict

Overvalued

Using an unlevered Free Cash Flow to Firm (FCFF) model, we project MACOM Technology Solutions Holdings, Inc.'s cash flows over 10 years with analyst estimates for the first 3–5 years, fading toward long-term GDP growth for the remaining years with line-by-line expense modeling. Revenue is projected revenue growing from 21.1% to 4.6% annually, with expenses (COGS, SG&A, R&D) held at historical ratios. Depreciation is computed from a vintage matrix based on a 5-year useful life. Working capital is modeled using historical turnover days (DSO 53, DPO 41, DIO 163). At a 8.8% WACC with mid-year discounting, the terminal value (64% of enterprise value) is derived from the Gordon Growth Model on Year 11 FCFF at a 2.5% perpetual rate. After subtracting net debt, the equity value implies a fair price of $48.64 per share, suggesting MTSI is overvalued by 86.7% at the current price of $365.88.

FCFF Present Value Calculation

WACC

8.82%

3% – 20%

Terminal Growth

2.50%

0% – 6%

Forecast Period

5 Yrs

+ Terminal Year

Adjust parameters to explore scenarios. Changes are for exploration only and do not affect saved valuations.

Currency: USD Millions

	2026	2027	2028	2029	2030	2031	2032	2033	2034	2035	Terminal
Profit Before Tax	159	187	207	232	261	289	316	340	361	377	387
(−) Net Interest	19	22	25	28	31	34	38	40	43	45	46
(+) D&A	27	32	36	43	50	56	63	70	77	84	86
EBITDA	205	241	268	302	342	379	416	450	481	506	519

(−) Tax	0	0	0	0	0	0	0	0	0	0	0
(−) CapEx	43	50	55	62	70	77	84	91	96	101	103
(−) ΔWC	32	61	44	56	63	62	59	53	46	36	37
Free Cash Flow (FCFF)	131	130	169	184	210	240	273	306	338	369	378

Terminal Value											5,979
WACC / Discount Rate	8.8%
Long-term Growth Rate	2.5%

Timing of FCF (mid year)	0.5	1.5	2.5	3.5	4.5	5.5	6.5	7.5	8.5	9.5	5
Present Value of FCF	125	115	137	137	143	151	158	162	165	165	2,567

Enterprise Value	4,025
Projection Period	1,458	36.2%
Terminal Value	2,567	63.8%

(−) Current Net Debt	426

Equity Value	3,599
(/) Outstanding Shares	74

Fair Price	$48.64

Sensitivity Analysis

WACC \ Terminal Growth Rate	1.5%	2.0%	2.5%	3.0%	3.5%
6.8%	$66	$71	$77	$85	$95
7.8%	$53	$56	$60	$65	$71
8.8%	$44	$46	$49	$52	$55
9.8%	$37	$39	$40	$42	$45
10.8%	$32	$33	$34	$36	$37

Current price: $365.88. Green = undervalued, Red = overvalued.

Fair Value

$79.44

Market Price

$365.88

Upside / Downside

-78.3%

Verdict

Overvalued

Using an unlevered Free Cash Flow to Firm (FCFF) model, we project MACOM Technology Solutions Holdings, Inc.'s cash flows over 5 years with line-by-line expense modeling. Revenue is projected revenue growing from 21.1% to 12.4% annually, with expenses (COGS, SG&A, R&D) held at historical ratios. Depreciation is computed from a vintage matrix based on a 5-year useful life. Working capital is modeled using historical turnover days (DSO 53, DPO 41, DIO 163). At a 8.8% WACC with mid-year discounting, the terminal value (90% of enterprise value) is derived by applying the industry peer median EV/EBITDA multiple of 24.6x to Year 6 EBITDA. After subtracting net debt, the equity value implies a fair price of $79.43 per share, suggesting MTSI is overvalued by 78.3% at the current price of $365.88.

FCFF Present Value Calculation

WACC

8.82%

3% – 20%

EV/EBITDA Exit Multiple

24.55x

1x – 40x

Forecast Period

5 Yrs

+ Terminal Year

Adjust parameters to explore scenarios. Changes are for exploration only and do not affect saved valuations.

Currency: USD Millions

	2026	2027	2028	2029	2030	Terminal
Profit Before Tax	159	187	207	232	261	268
(−) Net Interest	19	22	25	28	31	32
(+) D&A	27	32	36	43	50	52
EBITDA	205	241	268	302	342	351

(−) Tax	0	0	0	0	0	—
(−) CapEx	43	50	55	62	70	—
(−) ΔWC	32	61	44	56	63	—
Free Cash Flow (FCF)	131	130	169	184	210	—

Peers' EBITDA Multiple						24.6x
Terminal Value						8,618
WACC / Discount Rate	8.82%

Timing of FCF (mid year)	0.5	1.5	2.5	3.5	4.5	5
Present Value of FCF	125	115	137	137	143	5,646

Enterprise Value	6,303
Projection Period	657	10.4%
Terminal Value	5,646	89.6%

(−) Current Net Debt	426
Equity Value	5,877
(÷) Outstanding Shares	74M
Fair Price	$79	-78.3%

Sensitivity Analysis

WACC \ EV/EBITDA Exit Multiple	20.5x	22.5x	24.5x	26.5x	28.5x
6.8%	$74	$80	$87	$94	$101
7.8%	$70	$77	$83	$90	$96
8.8%	$67	$73	$79	$86	$92
9.8%	$64	$70	$76	$82	$88
10.8%	$61	$67	$72	$78	$84

Current price: $365.88. Green = undervalued, Red = overvalued.

Based on default parameters

Fair Value

$87.82

Market Price

$365.88

Upside / Downside

-76.0%

Verdict

Overvalued

Using an unlevered Free Cash Flow to Firm (FCFF) model, we project MACOM Technology Solutions Holdings, Inc.'s cash flows over 10 years with analyst estimates for the first 3–5 years, fading toward long-term GDP growth for the remaining years with line-by-line expense modeling. Revenue is projected revenue growing from 21.1% to 4.6% annually, with expenses (COGS, SG&A, R&D) held at historical ratios. Depreciation is computed from a vintage matrix based on a 5-year useful life. Working capital is modeled using historical turnover days (DSO 53, DPO 41, DIO 163). At a 8.8% WACC with mid-year discounting, the terminal value (79% of enterprise value) is derived by applying the industry peer median EV/EBITDA multiple of 24.6x to Year 11 EBITDA. After subtracting net debt, the equity value implies a fair price of $87.81 per share, suggesting MTSI is overvalued by 76.0% at the current price of $365.88.

FCFF Present Value Calculation

WACC

8.82%

3% – 20%

EV/EBITDA Exit Multiple

24.55x

1x – 40x

Forecast Period

5 Yrs

+ Terminal Year

Adjust parameters to explore scenarios. Changes are for exploration only and do not affect saved valuations.

Currency: USD Millions

	2026	2027	2028	2029	2030	2031	2032	2033	2034	2035	Terminal
Profit Before Tax	159	187	207	232	261	289	316	340	361	377	387
(−) Net Interest	19	22	25	28	31	34	38	40	43	45	46
(+) D&A	27	32	36	43	50	56	63	70	77	84	86
EBITDA	205	241	268	302	342	379	416	450	481	506	519

(−) Tax	0	0	0	0	0	0	0	0	0	0	—
(−) CapEx	43	50	55	62	70	77	84	91	96	101	—
(−) ΔWC	32	61	44	56	63	62	59	53	46	36	—
Free Cash Flow (FCF)	131	130	169	184	210	240	273	306	338	369	—

Peers' EBITDA Multiple											24.6x
Terminal Value											12,733
WACC / Discount Rate	8.82%

Timing of FCF (mid year)	0.5	1.5	2.5	3.5	4.5	5.5	6.5	7.5	8.5	9.5	5
Present Value of FCF	125	115	137	137	143	151	158	162	165	165	5,466

Enterprise Value	6,924
Projection Period	1,458	21.1%
Terminal Value	5,466	78.9%

(−) Current Net Debt	426
Equity Value	6,498
(÷) Outstanding Shares	74M
Fair Price	$88	-76.0%

Sensitivity Analysis

WACC \ EV/EBITDA Exit Multiple	20.5x	22.5x	24.5x	26.5x	28.5x
6.8%	$90	$98	$105	$112	$119
7.8%	$83	$89	$96	$103	$109
8.8%	$76	$82	$88	$94	$100
9.8%	$69	$75	$80	$86	$91
10.8%	$64	$69	$74	$79	$84

Current price: $365.88. Green = undervalued, Red = overvalued.

Based on default parameters

Trading Multiples

Fair Value

$6.54

Market Price

$365.88

Upside / Downside

-98.2%

Verdict

Overvalued

Using the industry peer median EV/EBITDA multiple (trailing + forward), MACOM Technology Solutions Holdings, Inc. (MTSI) has a fair value of $6.54 based on 6 comparable companies in the Semiconductors industry.

EV/EBITDA Valuation — Semiconductors

USD in millions except Fair Price. Subject company highlighted.

	Mkt Cap ($M)	Trailing EV/EBITDA	Forward EV/EBITDA
MACOM Technology Solutions Holdings, Inc.MTSI	27,070	691.1x	916.5x
Tower Semiconductor Ltd.TSEM	21,255	42.6x	46.5x
Nova Ltd.NVMI	14,161	53.2x	53.3x
Amkor Technology, Inc.AMKR	11,631	10.2x	10.7x
Rambus Inc.RMBS	9,940	31.2x	38.2x
Skyworks Solutions, Inc.SWKS	8,416	8.3x	8.1x
Qorvo, Inc.QRVO	7,364	17.9x	18.0x
Industry Median		24.5x	28.1x
(*) EBITDA		40	30
= Enterprise Value		977	843
(-) Net Debt		426	426
Equity Value		551	417
(/) Outstanding shares		74	74
Fair Price		$7	$6

Selected Fair Value (avg of trailing + forward)

$6.54

-98.2%

Fair Value

$155.36

Market Price

$365.88

Upside / Downside

-57.5%

Verdict

Overvalued

Using the industry peer median EV/Revenue multiple (trailing + forward), MACOM Technology Solutions Holdings, Inc. (MTSI) has a fair value of $155.36 based on 9 comparable companies in the Semiconductors industry.

EV/Revenue Valuation — Semiconductors

USD in millions except Fair Price. Subject company highlighted.

	Mkt Cap ($M)	Trailing EV/Revenue	Forward EV/Revenue
MACOM Technology Solutions Holdings, Inc.MTSI	27,070	28.4x	37.7x
Tower Semiconductor Ltd.TSEM	21,255	13.5x	14.8x
Nova Ltd.NVMI	14,161	16.8x	16.8x
Lattice Semiconductor CorporationLSCC	13,301	25.3x	26.0x
Amkor Technology, Inc.AMKR	11,631	1.8x	1.9x
Rambus Inc.RMBS	9,940	13.9x	17.0x
Procore Technologies, Inc.PCOR	8,899	6.5x	5.7x
Skyworks Solutions, Inc.SWKS	8,416	2.1x	2.0x
Qorvo, Inc.QRVO	7,364	2.1x	2.1x
D-Wave Quantum Inc.QBTS	5,186	185.4x	103.9x
Industry Median		13.5x	14.8x
(*) Revenue		967	729
= Enterprise Value		13,082	10,758
(-) Net Debt		426	426
Equity Value		12,656	10,332
(/) Outstanding shares		74	74
Fair Price		$171	$140

Selected Fair Value (avg of trailing + forward)

$155.36

-57.5%

Earnings Power Value

Fair Value

$12.73

Market Price

$365.88

Upside / Downside

-96.5%

Verdict

Overvalued

Using the Earnings Power Value framework with a WACC of 8.8% and normalized earnings of $120.7M, the company has a fair value of $12.73 per share. The EPV range is $10.05 – $16.52 based on WACC sensitivity (7.3% – 10.3%).

Currency: USD Millions

	Low	Selected	High
Normalized Earnings	121	121	121
(/) WACC	10.3%	8.8%	7.3%
Enterprise Value	1,169	1,368	1,648
(-) Net debt	426	426	426
Equity Value	743	942	1,222
(/) Outstanding shares	74	74	74
Fair Price	$10.05	$12.73	$16.52

Disclaimer: Sweet Value Lab provides estimated intrinsic values for informational purposes only. This is not financial advice. All models rely on assumptions that may not reflect future performance. Always do your own research before making investment decisions.

MACOM Technology Solutions Holdings, Inc. (MTSI) Valuation Summary

Updated Apr 6, 2026 22:27

Model	Range	Fair Value	Upside
▸ Discounted Cash Flow
Growth Exit 5Y	$21.34 – $66.34	$33.20	-85.8%
Growth Exit 10Y	$31.77 – $95.47	$48.64	-79.1%
EBITDA Exit 5Y	$61.03 – $100.93	$79.43	-65.9%
EBITDA Exit 10Y	$63.69 – $119.43	$87.81	-62.3%
▸ Trading Multiples
P/E	—	N/A	—
EV/EBITDA	-$0.29 – $17.15	$6.54	-97.2%
EV/Revenue	$21.99 – $214.05	$155.36	-33.3%
▸ PEG
PEG Fair Value	—	N/A	—
▸ Earnings Power Value
Earnings Power Value	$10.05 – $16.52	$12.73	-94.5%
▸ Dividend Discount
Dividend Discount	—	N/A	—

Valuation History

DCF Analysis

Fair Value

$33.20

Market Price

$365.88

Upside / Downside

-90.9%

Verdict

Overvalued

FCFF Present Value Calculation

WACC

8.82%

3% – 20%

Terminal Growth

2.50%

0% – 6%

Forecast Period

5 Yrs

+ Terminal Year

Adjust parameters to explore scenarios. Changes are for exploration only and do not affect saved valuations.

Currency: USD Millions

	2026	2027	2028	2029	2030	Terminal
Profit Before Tax	159	187	207	232	261	268
(−) Net Interest	19	22	25	28	31	32
(+) D&A	27	32	36	43	50	52
EBITDA	205	241	268	302	342	351

(−) Tax	0	0	0	0	0	0
(−) CapEx	43	50	55	62	70	71
(−) ΔWC	32	61	44	56	63	65
Free Cash Flow (FCFF)	131	130	169	184	210	215

Terminal Value						3,397
WACC / Discount Rate	8.8%
Long-term Growth Rate	2.5%

Timing of FCF (mid year)	0.5	1.5	2.5	3.5	4.5	5
Present Value of FCF	125	115	137	137	143	2,225

Enterprise Value	2,882
Projection Period	657	22.8%
Terminal Value	2,225	77.2%

(−) Current Net Debt	426

Equity Value	2,457
(/) Outstanding Shares	74

Fair Price	$33.20

Sensitivity Analysis

WACC \ Terminal Growth Rate	1.5%	2.0%	2.5%	3.0%	3.5%
6.8%	$43	$47	$52	$58	$66
7.8%	$35	$38	$41	$45	$49
8.8%	$29	$31	$33	$36	$39
9.8%	$25	$26	$28	$30	$32
10.8%	$21	$22	$24	$25	$26

Current price: $365.88. Green = undervalued, Red = overvalued.

Fair Value

$48.64

Market Price

$365.88

Upside / Downside

-86.7%

Verdict

Overvalued

FCFF Present Value Calculation

WACC

8.82%

3% – 20%

Terminal Growth

2.50%

0% – 6%

Forecast Period

5 Yrs

+ Terminal Year

Adjust parameters to explore scenarios. Changes are for exploration only and do not affect saved valuations.

Currency: USD Millions

	2026	2027	2028	2029	2030	2031	2032	2033	2034	2035	Terminal
Profit Before Tax	159	187	207	232	261	289	316	340	361	377	387
(−) Net Interest	19	22	25	28	31	34	38	40	43	45	46
(+) D&A	27	32	36	43	50	56	63	70	77	84	86
EBITDA	205	241	268	302	342	379	416	450	481	506	519

(−) Tax	0	0	0	0	0	0	0	0	0	0	0
(−) CapEx	43	50	55	62	70	77	84	91	96	101	103
(−) ΔWC	32	61	44	56	63	62	59	53	46	36	37
Free Cash Flow (FCFF)	131	130	169	184	210	240	273	306	338	369	378

Terminal Value											5,979
WACC / Discount Rate	8.8%
Long-term Growth Rate	2.5%

Timing of FCF (mid year)	0.5	1.5	2.5	3.5	4.5	5.5	6.5	7.5	8.5	9.5	5
Present Value of FCF	125	115	137	137	143	151	158	162	165	165	2,567

Enterprise Value	4,025
Projection Period	1,458	36.2%
Terminal Value	2,567	63.8%

(−) Current Net Debt	426

Equity Value	3,599
(/) Outstanding Shares	74

Fair Price	$48.64

Sensitivity Analysis

WACC \ Terminal Growth Rate	1.5%	2.0%	2.5%	3.0%	3.5%
6.8%	$66	$71	$77	$85	$95
7.8%	$53	$56	$60	$65	$71
8.8%	$44	$46	$49	$52	$55
9.8%	$37	$39	$40	$42	$45
10.8%	$32	$33	$34	$36	$37

Current price: $365.88. Green = undervalued, Red = overvalued.

Fair Value

$79.44

Market Price

$365.88

Upside / Downside

-78.3%

Verdict

Overvalued

Using an unlevered Free Cash Flow to Firm (FCFF) model, we project MACOM Technology Solutions Holdings, Inc.'s cash flows over 5 years with line-by-line expense modeling. Revenue is projected revenue growing from 21.1% to 12.4% annually, with expenses (COGS, SG&A, R&D) held at historical ratios. Depreciation is computed from a vintage matrix based on a 5-year useful life. Working capital is modeled using historical turnover days (DSO 53, DPO 41, DIO 163). At a 8.8% WACC with mid-year discounting, the terminal value (90% of enterprise value) is derived by applying the industry peer median EV/EBITDA multiple of 24.6x to Year 6 EBITDA. After subtracting net debt, the equity value implies a fair price of $79.43 per share, suggesting MTSI is overvalued by 78.3% at the current price of $365.88.

FCFF Present Value Calculation

WACC

8.82%

3% – 20%

EV/EBITDA Exit Multiple

24.55x

1x – 40x

Forecast Period

5 Yrs

+ Terminal Year

Adjust parameters to explore scenarios. Changes are for exploration only and do not affect saved valuations.

Currency: USD Millions

	2026	2027	2028	2029	2030	Terminal
Profit Before Tax	159	187	207	232	261	268
(−) Net Interest	19	22	25	28	31	32
(+) D&A	27	32	36	43	50	52
EBITDA	205	241	268	302	342	351

(−) Tax	0	0	0	0	0	—
(−) CapEx	43	50	55	62	70	—
(−) ΔWC	32	61	44	56	63	—
Free Cash Flow (FCF)	131	130	169	184	210	—

Peers' EBITDA Multiple						24.6x
Terminal Value						8,618
WACC / Discount Rate	8.82%

Timing of FCF (mid year)	0.5	1.5	2.5	3.5	4.5	5
Present Value of FCF	125	115	137	137	143	5,646

Enterprise Value	6,303
Projection Period	657	10.4%
Terminal Value	5,646	89.6%

(−) Current Net Debt	426
Equity Value	5,877
(÷) Outstanding Shares	74M
Fair Price	$79	-78.3%

Sensitivity Analysis

WACC \ EV/EBITDA Exit Multiple	20.5x	22.5x	24.5x	26.5x	28.5x
6.8%	$74	$80	$87	$94	$101
7.8%	$70	$77	$83	$90	$96
8.8%	$67	$73	$79	$86	$92
9.8%	$64	$70	$76	$82	$88
10.8%	$61	$67	$72	$78	$84

Current price: $365.88. Green = undervalued, Red = overvalued.

Based on default parameters

Fair Value

$87.82

Market Price

$365.88

Upside / Downside

-76.0%

Verdict

Overvalued

Using an unlevered Free Cash Flow to Firm (FCFF) model, we project MACOM Technology Solutions Holdings, Inc.'s cash flows over 10 years with analyst estimates for the first 3–5 years, fading toward long-term GDP growth for the remaining years with line-by-line expense modeling. Revenue is projected revenue growing from 21.1% to 4.6% annually, with expenses (COGS, SG&A, R&D) held at historical ratios. Depreciation is computed from a vintage matrix based on a 5-year useful life. Working capital is modeled using historical turnover days (DSO 53, DPO 41, DIO 163). At a 8.8% WACC with mid-year discounting, the terminal value (79% of enterprise value) is derived by applying the industry peer median EV/EBITDA multiple of 24.6x to Year 11 EBITDA. After subtracting net debt, the equity value implies a fair price of $87.81 per share, suggesting MTSI is overvalued by 76.0% at the current price of $365.88.

FCFF Present Value Calculation

WACC

8.82%

3% – 20%

EV/EBITDA Exit Multiple

24.55x

1x – 40x

Forecast Period

5 Yrs

+ Terminal Year

Adjust parameters to explore scenarios. Changes are for exploration only and do not affect saved valuations.

Currency: USD Millions

	2026	2027	2028	2029	2030	2031	2032	2033	2034	2035	Terminal
Profit Before Tax	159	187	207	232	261	289	316	340	361	377	387
(−) Net Interest	19	22	25	28	31	34	38	40	43	45	46
(+) D&A	27	32	36	43	50	56	63	70	77	84	86
EBITDA	205	241	268	302	342	379	416	450	481	506	519

(−) Tax	0	0	0	0	0	0	0	0	0	0	—
(−) CapEx	43	50	55	62	70	77	84	91	96	101	—
(−) ΔWC	32	61	44	56	63	62	59	53	46	36	—
Free Cash Flow (FCF)	131	130	169	184	210	240	273	306	338	369	—

Peers' EBITDA Multiple											24.6x
Terminal Value											12,733
WACC / Discount Rate	8.82%

Timing of FCF (mid year)	0.5	1.5	2.5	3.5	4.5	5.5	6.5	7.5	8.5	9.5	5
Present Value of FCF	125	115	137	137	143	151	158	162	165	165	5,466

Enterprise Value	6,924
Projection Period	1,458	21.1%
Terminal Value	5,466	78.9%

(−) Current Net Debt	426
Equity Value	6,498
(÷) Outstanding Shares	74M
Fair Price	$88	-76.0%

Sensitivity Analysis

WACC \ EV/EBITDA Exit Multiple	20.5x	22.5x	24.5x	26.5x	28.5x
6.8%	$90	$98	$105	$112	$119
7.8%	$83	$89	$96	$103	$109
8.8%	$76	$82	$88	$94	$100
9.8%	$69	$75	$80	$86	$91
10.8%	$64	$69	$74	$79	$84

Current price: $365.88. Green = undervalued, Red = overvalued.

Based on default parameters

Trading Multiples

Fair Value

$6.54

Market Price

$365.88

Upside / Downside

-98.2%

Verdict

Overvalued

EV/EBITDA Valuation — Semiconductors

USD in millions except Fair Price. Subject company highlighted.

	Mkt Cap ($M)	Trailing EV/EBITDA	Forward EV/EBITDA
MACOM Technology Solutions Holdings, Inc.MTSI	27,070	691.1x	916.5x
Tower Semiconductor Ltd.TSEM	21,255	42.6x	46.5x
Nova Ltd.NVMI	14,161	53.2x	53.3x
Amkor Technology, Inc.AMKR	11,631	10.2x	10.7x
Rambus Inc.RMBS	9,940	31.2x	38.2x
Skyworks Solutions, Inc.SWKS	8,416	8.3x	8.1x
Qorvo, Inc.QRVO	7,364	17.9x	18.0x
Industry Median		24.5x	28.1x
(*) EBITDA		40	30
= Enterprise Value		977	843
(-) Net Debt		426	426
Equity Value		551	417
(/) Outstanding shares		74	74
Fair Price		$7	$6

Selected Fair Value (avg of trailing + forward)

$6.54

-98.2%

Fair Value

$155.36

Market Price

$365.88

Upside / Downside

-57.5%

Verdict

Overvalued

EV/Revenue Valuation — Semiconductors

USD in millions except Fair Price. Subject company highlighted.

	Mkt Cap ($M)	Trailing EV/Revenue	Forward EV/Revenue
MACOM Technology Solutions Holdings, Inc.MTSI	27,070	28.4x	37.7x
Tower Semiconductor Ltd.TSEM	21,255	13.5x	14.8x
Nova Ltd.NVMI	14,161	16.8x	16.8x
Lattice Semiconductor CorporationLSCC	13,301	25.3x	26.0x
Amkor Technology, Inc.AMKR	11,631	1.8x	1.9x
Rambus Inc.RMBS	9,940	13.9x	17.0x
Procore Technologies, Inc.PCOR	8,899	6.5x	5.7x
Skyworks Solutions, Inc.SWKS	8,416	2.1x	2.0x
Qorvo, Inc.QRVO	7,364	2.1x	2.1x
D-Wave Quantum Inc.QBTS	5,186	185.4x	103.9x
Industry Median		13.5x	14.8x
(*) Revenue		967	729
= Enterprise Value		13,082	10,758
(-) Net Debt		426	426
Equity Value		12,656	10,332
(/) Outstanding shares		74	74
Fair Price		$171	$140

Selected Fair Value (avg of trailing + forward)

$155.36

-57.5%

Earnings Power Value

Fair Value

$12.73

Market Price

$365.88

Upside / Downside

-96.5%

Verdict

Overvalued

Currency: USD Millions

	Low	Selected	High
Normalized Earnings	121	121	121
(/) WACC	10.3%	8.8%	7.3%
Enterprise Value	1,169	1,368	1,648
(-) Net debt	426	426	426
Equity Value	743	942	1,222
(/) Outstanding shares	74	74	74
Fair Price	$10.05	$12.73	$16.52