AXT, Inc.
AXT is a worldwide materials science company that develops and produces high-performance compound and single element semiconductor substrates, also known as wafers. Two of our consolidated subsidiaries produce and sell certain raw materials some of which are used in our substrate manufacturing process and some of which are sold to other companies.
$51.56
-$7.72 (-13.02%)
EOD Oct 22, 2026
The business is unprofitable at the operating level (-24.88% margin). The thesis depends entirely on whether and when it reaches sustainable profitability.
Revenue declined 11.1% YoY. Margins deteriorated 10.0pp alongside, both lines moving the wrong way.
At 5156x earnings, the current multiple leaves limited room for execution misses or growth deceleration. Negative free cash flow of -$19M. The business is consuming cash, not generating it.
5156.0x earnings. The market is pricing in years of above-average growth. If that thesis breaks, downside from multiple compression alone could be 30%+. This is a stock where you're paying for the future, not the present.
Price History
Valuation & Multiples
Based on TTM earnings · Diluted shares
Profitability & Returns
Revenue (TTM)
$126M
▼ -11.1% YoY
Net Income (TTM)
$4M
▼ -82.9% YoY
Op. Margin
3.09%
▼ -10.0pp YoY
ROIC
0.65%
▼ -1.3pp YoY
Cash Flow & Balance Sheet
FCF (TTM)
-$20M
▼ -5.0% YoY
Op. Cash Flow (TTM)
-$6M
▼ -5.5% YoY
Net Debt
-$331M
Net Cash Position
Cash & Equiv.
$417M
5Y CAGR: -1.5%
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SourceComputed from the 10-Q filed 3 Aug 2026, covering the period ending 30 Jun 2026, as reported to the SEC. Data last refreshed 14 Aug 2026. How this is calculated.
Price from market data, last close as of 22 Oct 2026. Fiscal year ends Dec. Sector medians are approximate S&P 500 benchmarks and update periodically.
Is AXT (AXTI) overvalued?
At a P/E of 5,156.0, AXT (AXTI)'s valuation is best read against its own history, its peers, and the growth its price implies. A high multiple is not the same as overvalued: fast-growing, high-quality businesses can deserve a premium. See the general approach in how to tell if a stock is overvalued.
On quality, AXT scores 14/100 on Intrinsiqq's quality scorecard (a lower-quality business on these measures), weighing growth, margins, returns on capital, share count, and balance-sheet strength. All figures are computed from SEC filings; read the full methodology, or see how the market compares in our US profitability statistics. This is analysis, not investment advice.
Frequently asked
Is AXT a high-quality business?+
AXT scores 14 out of 100 on Intrinsiqq's quality score, a weighted blend of 7 metrics each scored 0 to 100, which makes it a lower-quality business on these measures. Recent fundamentals include a 3.1% operating margin and a 0.6% return on invested capital. The score weighs revenue and free-cash-flow growth, operating margins, return on invested capital, share-count change, and balance-sheet strength, all computed from SEC filings, not opinion. Because valuation only means something relative to quality, the full metric-by-metric breakdown is on the quality scorecard.
Is AXT a good stock to buy right now?+
That depends on valuation and quality together, not either alone. you should weigh AXTI's valuation and scores 14/100 on quality (lower-quality). A cheap price is only a bargain if the business is durable, and a premium can be justified by genuine quality, so the two questions, "is it cheap?" and "is it good?", only make sense side by side. Read the valuation against the quality scorecard, run the DCF on your own assumptions, and decide for yourself. This is analysis from SEC filings, not investment advice.
Related stocks: Semiconductors & Related Devices
Spot a number that looks wrong? Check it in AXTI's SEC filings or
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Data sourced from SEC EDGAR filings and third-party price providers. Scores, valuations, and metrics are algorithmic estimates. This is not investment advice. See our Terms and Methodology.
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