Magnachip Semiconductor Corporation

TechnologySemiconductorsNYSE

$4.07

Market Cap: $148.31M

Magnachip Semiconductor Corporation (MX) Valuation Summary

Updated Apr 21, 2026 22:14

Model	Range	Fair Value	Upside
▸ Discounted Cash Flow
Revenue DCF 5Y	$1.10 – $13.47	$4.80	+35.6%
Revenue DCF 10Y	$0.48 – $7.71	$2.76	-22.0%
▸ Trading Multiples
EV/Revenue	$13.43 – $79.19	$15.12	+327.1%

Valuation History

DCF Analysis

Magnachip Semiconductor Corporation (MX) Revenue DCF (5Y)

REVENUE DCF FAIR VALUE

$2.76

Market Price

$4.07

Upside / Downside

-32.2%

Verdict

Overvalued

Using a Revenue DCF model with operating margin convergence from -17.3% to a target of 10.0% over 5 years, discounted at a WACC of 8.0%, Magnachip Semiconductor Corporation (MX) has an intrinsic value of $2.76 per share (range: $0.48 – $7.71).

Key Assumptions

Current Operating Margin

-17.3%

Target Operating Margin

10.0%

WACC

8.0%

Terminal Growth Rate

3.0%

Historical CapEx/Rev

7.8%

Target CapEx/Rev

8.7%

D&A/Revenue

5.8%

Tax Rate

23.3%

Operating margin fades linearly from the current level to the industry target over the 5-year projection. CapEx intensity fades from the historical average to a maintenance level (D&A × 1.5). Tax is only applied when operating income is positive (NOL shield).

Margin Convergence Projection

USD in millions. Mid-year discounting convention.

Year	Revenue	Growth	Op Margin	Op Income	NOPAT	D&A	CapEx	ΔNWC	FCFF	PV(FCFF)
2026	189	5.4%	-11.9%	-22	-22	11	(15)	-6	-21	-20
2027	201	6.4%	-6.4%	-13	-13	12	(16)	2	-20	-17
2028	180	-10.0%	-0.9%	-2	-2	10	(15)	-4	-2	-2
2029	162	-10.0%	4.5%	7	6	9	(13)	-4	5	4
2030	146	-10.0%	10.0%	15	11	8	(12)	-3	11	8
2031	132	-10.0%	10.0%	13	10	8	(11)	-3	10	6
2032	118	-10.0%	10.0%	12	9	7	(10)	-3	9	5
2033	107	-9.3%	10.0%	11	8	6	(9)	-2	7	4
2034	102	-5.2%	10.0%	10	8	6	(9)	-1	6	3
2035	101	-1.1%	10.0%	10	8	6	(9)	-0	5	2

Enterprise Value Bridge

Sum of PV(FCFF)-6

Terminal Value (Gordon Growth at 3.0%)102

PV of Terminal Value49

Enterprise Value43

(–) Net Debt-57

Equity Value100

(÷) Shares Outstanding36

Fair Value per Share$2.76

Sensitivity Analysis — WACC × Target Operating Margin

WACC \ Target Op. Margin	4.0%	7.0%	10.0%	13.0%	16.0%
6.0%	$1	$2	$4	$6	$8
7.0%	$1	$2	$3	$5	$6
8.0%	$1	$2	$3	$4	$5
9.0%	$0	$1	$2	$3	$4
10.0%	$0	$1	$2	$3	$4

Current price: $4.07. Green = undervalued, Red = overvalued.

Working Capital Assumption

Net Working Capital is modeled at 19.4% of revenue (historical average of receivables + inventory − payables). Changes in NWC (ΔNWC) are computed year-over-year and subtracted from free cash flow.

Magnachip Semiconductor Corporation (MX) Revenue DCF (5Y)

REVENUE DCF FAIR VALUE

$4.80

Market Price

$4.07

Upside / Downside

+17.9%

Verdict

Undervalued

Key Assumptions

Current Operating Margin

-17.3%

Target Operating Margin

10.0%

WACC

8.0%

Terminal Growth Rate

3.0%

Historical CapEx/Rev

7.8%

Target CapEx/Rev

8.7%

D&A/Revenue

5.8%

Tax Rate

23.3%

Margin Convergence Projection

USD in millions. Mid-year discounting convention.

Year	Revenue	Growth	Op Margin	Op Income	NOPAT	D&A	CapEx	ΔNWC	FCFF	PV(FCFF)
2026	189	5.4%	-11.9%	-22	-22	11	(15)	-6	-21	-20
2027	201	6.4%	-6.4%	-13	-13	12	(16)	2	-20	-18
2028	180	-10.0%	-0.9%	-2	-2	10	(15)	-4	-2	-2
2029	162	-10.0%	4.5%	7	6	9	(14)	-4	5	4
2030	146	-10.0%	10.0%	15	11	8	(13)	-3	10	7

Enterprise Value Bridge

Sum of PV(FCFF)-29

Terminal Value (Gordon Growth at 3.0%)207

PV of Terminal Value146

Enterprise Value117

(–) Net Debt-57

Equity Value174

(÷) Shares Outstanding36

Fair Value per Share$4.80

Sensitivity Analysis — WACC × Target Operating Margin

WACC \ Target Op. Margin	4.0%	7.0%	10.0%	13.0%	16.0%
6.0%	$3	$5	$8	$11	$13
7.0%	$2	$4	$6	$8	$10
8.0%	$2	$3	$5	$6	$8
9.0%	$1	$3	$4	$5	$7
10.0%	$1	$2	$3	$5	$6

Current price: $4.07. Green = undervalued, Red = overvalued.

Working Capital Assumption

Net Working Capital is modeled at 19.4% of revenue (historical average of receivables + inventory − payables). Changes in NWC (ΔNWC) are computed year-over-year and subtracted from free cash flow.

Trading Multiples

Fair Value

$15.12

Market Price

$4.07

Upside / Downside

+271.5%

Verdict

Undervalued

Using the industry peer median EV/Revenue multiple (trailing + forward), Magnachip Semiconductor Corporation (MX) has a fair value of $15.12 based on 7 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
Magnachip Semiconductor CorporationMX	147	0.5x	0.4x
Amtech Systems, Inc.ASYS	242	3.1x	2.2x
QuickLogic CorporationQUIK	217	15.7x	8.9x
inTEST CorporationINTT	204	1.8x	1.8x
Roadzen, Inc.RDZN	90	2.5x	2.1x
Genasys Inc.GNSS	85	2.4x	2.8x
GCT Semiconductor Holding, Inc.GCTS	68	23.9x	7.3x
Mobix Labs, Inc.MOBX	21	2.4x	—
Industry Median		2.5x	2.5x
(*) Revenue		179	214
= Enterprise Value		440	541
(-) Net Debt		-57	-57
Equity Value		497	598
(/) Outstanding shares		36	36
Fair Price		$14	$17

Selected Fair Value (avg of trailing + forward)

$15.12

+271.5%

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.

Model

Range

Fair Value

Upside

▸ Discounted Cash Flow

Revenue DCF 5Y

$1.10 – $13.47

$4.80

+35.6%

Revenue DCF 10Y

$0.48 – $7.71

$2.76

-22.0%

▸ Trading Multiples

EV/Revenue

$13.43 – $79.19

$15.12

+327.1%

DCF Analysis

Magnachip Semiconductor Corporation (MX) Revenue DCF (5Y)

REVENUE DCF FAIR VALUE

$2.76

Market Price

$4.07

Upside / Downside

-32.2%

Verdict

Overvalued

Key Assumptions

Current Operating Margin

-17.3%

Target Operating Margin

10.0%

WACC

8.0%

Terminal Growth Rate

3.0%

Historical CapEx/Rev

7.8%

Target CapEx/Rev

8.7%

D&A/Revenue

5.8%

Tax Rate

23.3%

Margin Convergence Projection

USD in millions. Mid-year discounting convention.

Year	Revenue	Growth	Op Margin	Op Income	NOPAT	D&A	CapEx	ΔNWC	FCFF	PV(FCFF)
2026	189	5.4%	-11.9%	-22	-22	11	(15)	-6	-21	-20
2027	201	6.4%	-6.4%	-13	-13	12	(16)	2	-20	-17
2028	180	-10.0%	-0.9%	-2	-2	10	(15)	-4	-2	-2
2029	162	-10.0%	4.5%	7	6	9	(13)	-4	5	4
2030	146	-10.0%	10.0%	15	11	8	(12)	-3	11	8
2031	132	-10.0%	10.0%	13	10	8	(11)	-3	10	6
2032	118	-10.0%	10.0%	12	9	7	(10)	-3	9	5
2033	107	-9.3%	10.0%	11	8	6	(9)	-2	7	4
2034	102	-5.2%	10.0%	10	8	6	(9)	-1	6	3
2035	101	-1.1%	10.0%	10	8	6	(9)	-0	5	2

Enterprise Value Bridge

Sum of PV(FCFF)-6

Terminal Value (Gordon Growth at 3.0%)102

PV of Terminal Value49

Enterprise Value43

(–) Net Debt-57

Equity Value100

(÷) Shares Outstanding36

Fair Value per Share$2.76

Sensitivity Analysis — WACC × Target Operating Margin

WACC \ Target Op. Margin	4.0%	7.0%	10.0%	13.0%	16.0%
6.0%	$1	$2	$4	$6	$8
7.0%	$1	$2	$3	$5	$6
8.0%	$1	$2	$3	$4	$5
9.0%	$0	$1	$2	$3	$4
10.0%	$0	$1	$2	$3	$4

Current price: $4.07. Green = undervalued, Red = overvalued.

Working Capital Assumption

Net Working Capital is modeled at 19.4% of revenue (historical average of receivables + inventory − payables). Changes in NWC (ΔNWC) are computed year-over-year and subtracted from free cash flow.

Trading Multiples

Fair Value

$15.12

Market Price

$4.07

Upside / Downside

+271.5%

Verdict

Undervalued

EV/Revenue Valuation — Semiconductors

USD in millions except Fair Price. Subject company highlighted.

	Mkt Cap ($M)	Trailing EV/Revenue	Forward EV/Revenue
Magnachip Semiconductor CorporationMX	147	0.5x	0.4x
Amtech Systems, Inc.ASYS	242	3.1x	2.2x
QuickLogic CorporationQUIK	217	15.7x	8.9x
inTEST CorporationINTT	204	1.8x	1.8x
Roadzen, Inc.RDZN	90	2.5x	2.1x
Genasys Inc.GNSS	85	2.4x	2.8x
GCT Semiconductor Holding, Inc.GCTS	68	23.9x	7.3x
Mobix Labs, Inc.MOBX	21	2.4x	—
Industry Median		2.5x	2.5x
(*) Revenue		179	214
= Enterprise Value		440	541
(-) Net Debt		-57	-57
Equity Value		497	598
(/) Outstanding shares		36	36
Fair Price		$14	$17

Selected Fair Value (avg of trailing + forward)

$15.12

+271.5%