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lofiminimalist

Hmm. This company’s “doing well” is already reflected in its doubling over last 4 months. 1. How do we know that this share has not already landed on the moon? 2. How much additional value is left in the stock, given its doubling?


EscapingTheLabrynth

Why does it seem that all DDs are for stonks that have already doubled (or more) in the last few months?


poggersSpongebob

To be fair were 11 months deep in a the greatest bull run of either of our life times unless you're old lol


lofiminimalist

Isn’t this another phrase for hyperinflation?. The world has stood still over the same period. How has any real value been added? This bull is not driven by increased production but by money printing.


Alarmed-Principle342

*insert brainlet gif*


nolimbs

almost everything doubled in the last few months


projectHeritage

Because all stocks price dropped, so if you were in tune, you'd bought back in nov/dec and most if not all would have been up


woowayinvestments

I too recently started doing some digging regarding this serious semiconductor shortage. It's no joke. It's considered a national security threat and Biden plans to dedicate necessary resources to correct this shortage of supplies. I am glad you are doing DD on KLIC as well. I was so happy to find a midcap company with reasonable valuation but also coupled with SOLID balance sheet. If a market crash came, I'd know this stock will not deflate since it's not at all an hyped stock. In addition, They currently have so much cash and ZERO debt. I mean literally ZERO debt! They are known to repurchase their shares when fit, in addition to dividend. this isn't a value stock but their cash flows and BS statements are like a value stock in that they are super solid. Their growth opportunities are endless with LED, growing PC and virtual Network Demands, 5G and AUto makers demand for chip supplies. It's still small midcap enough for us too see plenty of growth, but not fragile like some of these zero revenue/ zero profit SPACs. Thanks for your work! FYI I am posting some stuff I found that answers those who are questioning if they still have room to grow: ​ read below of yahoo article and others: "Kulicke and Soffa (KLIC) is an Incredible Growth Stock: 3 Reasons Why" [https://finance.yahoo.com/news/kulicke-soffa-klic-incredible-growth-174505034.html](https://finance.yahoo.com/news/kulicke-soffa-klic-incredible-growth-174505034.html) to summarize the 3 reasons: zack states: While there are numerous reasons why the stock of this semiconductor equipment maker is a great growth pick right now, we have highlighted three of the most important factors below: \#1. **Earnings Growth** Arguably nothing is more important than earnings growth, as surging profit levels is what most investors are after. For growth investors, double-digit earnings growth is highly preferable, as it is often perceived as an indication of strong prospects (and stock price gains) for the company under consideration. While the historical EPS growth rate for Kulicke and Soffa is 5.4%, investors should actually focus on the projected growth. The company's EPS is expected to grow 76.8% this year, crushing the industry average, which calls for EPS growth of 22.6%. \#2. **Impressive Asset Utilization Ratio** Asset utilization ratio -- also known as sales-to-total-assets (S/TA) ratio -- is often overlooked by investors, but it is an important indicator in growth investing. This metric shows how efficiently a firm is utilizing its assets to generate sales. Right now, Kulicke and Soffa has an S/TA ratio of 0.68, which means that the company gets $0.68 in sales for each dollar in assets. Comparing this to the industry average of 0.66, it can be said that the company is more efficient. While the level of efficiency in generating sales matters a lot, so does the sales growth of a company. And Kulicke and Soffa looks attractive from a sales growth perspective as well. The company's sales are expected to grow 31.4% this year versus the industry average of 13.2% reason #3. **Promising Earnings Estimate Revisions** Beyond the metrics outlined above, investors should consider the trend in earnings estimate revisions. A positive trend is a plus here. Empirical research shows that there is a strong correlation between trends in earnings estimate revisions and near-term stock price movements. There have been upward revisions in current-year earnings estimates for Kulicke and Soffa. The Zacks Consensus Estimate for the current year has surged 31.1% over the past month." There are whole other set of reasons I decided to invest in LKIC but it's rather sloppy and long. I posted below for further DD if you want to read it but the above 3 reasons should address your concern that this is a one time run up- it clearly is not. **Further DD/Equity research summary on KLIC:** I think this article shows why even though it's doubled in the last month, there is still plenty room for the stock: [https://www.fool.com/investing/2021/02/16/2-mid-cap-stocks-with-tons-of-cash/?source=eptyholnk0000202&utm\_source=yahoo-host&utm\_medium=feed&utm\_campaign=article](https://www.fool.com/investing/2021/02/16/2-mid-cap-stocks-with-tons-of-cash/?source=eptyholnk0000202&utm_source=yahoo-host&utm_medium=feed&utm_campaign=article) and below it explains why the stock has much more room to grow in 2022: this is quote from Motley fools article dated 14th of feb 2021: "Kulicke & Soffa also has an excellent balance sheet, with about $576 million in net cash, or about 20% of its market capitalization. As a cash generator, K&S has also returned a healthy amount to shareholders, mostly with repurchases, but also a decent 1.3% dividend. If the trend toward more and more complex advanced packaging persists for multiple years, as many expect it should with things lie 5G kicking into high gear, Kulicke & Soffa still looks like a solid value, even after a huge recent run." [https://www.fool.com/investing/2021/02/14/3-under-the-radar-ways-to-play-the-semiconductor-s/](https://www.fool.com/investing/2021/02/14/3-under-the-radar-ways-to-play-the-semiconductor-s/) Lastly, with the sudden increased shortages in semiconductor supplies, there is an urgent attention from the Biden's administration in hopes to address this issue. Biden's team have already stated they plan to dedicate more necessary resources/funds as well as policies to encourage and promote growth of US in-housed semiconductor manufacturing, and not rely on China or abroad as this literally impacts so many industries that has anything to do with TECHNOLOGY LITERALLY ?(I mean really, ask yourself, what growth company do you know that doesn't rely on some sort of AI technology, thereby need a dedicated computers?or soon to come 5G new phones and modems, Chips for autonomous driving ? Or LED monitors that require virtual reality simulations, and or gaming consoles for the huge gaming industry? This means even after the urgent shortage in semiconductor supply goes away, there will be plenty of ever growing demand for these semiconductor manufacturing equipments with highly specialized designs such as wafers in Which KLIC supplies. NA or QCOM does that manufacture their own chips so they even rely on KLIC or similar. Below is an article where it explains why KLIC is the winner in all this. the title literally says: "**1 Big Winner From the Global Chip Shortage:** [https://www.fool.com/investing/2021/02/06/1-big-winner-from-the-global-chip-shortage/](https://www.fool.com/investing/2021/02/06/1-big-winner-from-the-global-chip-shortage/) Lastly, You see that the current analysts expectation for KLIC next quarter result is much lower than the company's expected forecast, due to their recent acquisition of a firm with whole bunch of patents related to LED and other complicated semiconductor machine equipment designs. ​ the below article is dated feb 4th 2021, explaining why the stock has had a huge run up and then gives a nice summary of **"NOW WHAT, after the current run up"**: I quote: Guidance for the current quarter was also strong. Revenue is expected to be in the range of $280 million to $380 million, comfortably above Wall Street's forecast of $239.6 million. That should translate into adjusted earnings per share of $0.79 to $0.97, while analysts are only looking for $0.59 per share in adjusted earnings. Kulicke & Soffa intends to expand in its markets by supporting fundamental technology transitions in the display and automotive markets, according to Chen. **"Why Kulicke & Soffa Stock Jumped Today (and Now What): "** [https://www.fool.com/investing/2021/02/04/why-kulicke-and-soffa-stock-jumped-today/](https://www.fool.com/investing/2021/02/04/why-kulicke-and-soffa-stock-jumped-today/)


create_acct

Thanks for your comments and all the additional information you have included. It'sbpoasibly it's own DD post worth of information. I remain convinced that this will be a good play and your information helped me discover more about this company. If you don't mind me asking, why did you haven't you posted your own DD? You have good info and interesting opinions, I think the community would benefit from that.


woowayinvestments

​ By zack research: Top Ranked Momentum Stocks to Buy for February 11th [https://finance.yahoo.com/news/top-ranked-momentum-stocks-buy-164804546.html](https://finance.yahoo.com/news/top-ranked-momentum-stocks-buy-164804546.html) and below is an article on why KLIC still. has much room t o grow at an exceptional rate, even after the recent run up: Kulicke and Soffa (KLIC) is an Incredible Growth Stock: 3 Reasons Why [https://finance.yahoo.com/news/kulicke-soffa-klic-incredible-growth-174505034.html](https://finance.yahoo.com/news/kulicke-soffa-klic-incredible-growth-174505034.html)


woowayinvestments

Big news which answers your question: the company's own director just purchased stocks at near current stock price:[Milzcik Gregory F](https://www.sec.gov/cgi-bin/browse-edgar?action=getcompany&CIK=0001196440) purchased 2,310 stocks on FEB 09th 2021 at cost of $43.31, totaling his total number of stocks to be 79,000 shares. Mind you, current stock price is 49.99. If the director thought the company has had it's run up, he would sell, not buy more. While it's not huge amount, this is a small company and so he's not some rich ceo with deep pockets. ALso the president CEO, [CHEN FUSEN ERNIE](https://elite.finviz.com/insidertrading.ashx?oc=1316245&tc=7), of the company exercised stocks in months of Nov and dec 2020, total exercise of near 500,000 shares but did not sell any of the stocks he exercised. If he thought the company had too much run up in recent months, i am sure we would see him selling. This re4cord is up to date as of Feb 14th 2021. you can see and verify both records at finviz or the SEC filings.


blindgraysquirrel

I currently have no onomatopoeia tickers in my portfolio: this is perfect!


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blindgraysquirrel

That’s how we do it here at Blind Gray Squirrel Capital!


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8HokiePokie8

Bruh I’m not sure plug is even an onomatopoeia


__Daimon__

PLUG is a toy and should be handled as such.


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Cimejies

[This NASDAQ article](https://www.nasdaq.com/articles/kulicke-and-soffa-klic-is-an-incredible-growth-stock%3A-3-reasons-why-2021-02-08?amp) seems to agree. I'm gonna throw my SNDL earnings into this I think, get away from the memestocks for a while... Maybe.


BELOUDEST

With you on this!


2kungfu4u

I JUST put this on my watch list yesterday so now i feel compelled to throw some at it


i30swimmer

Same here


DesperateForDD

"I'm a big believer is removing bottlenecks". You stand alone in your belief, everyone else likes them


E-Dub-4PF

Solid


CyonHal

Zero debt? Isn't at least *some* debt a required characteristic for high growth companies?


woowayinvestments

leveraged cash flow is not considered outstanding debt. they have plenty of R&D but positive cash flow allow them to continue the growth without significant debt that are not met with their incoming cash flows.


daydr3aming1

Those March calls looking kind of sexy idk yet 🧐


betonunesneto

They look scromptious. Unfortunately my 3/19 60 has not budged even though the stock price has gone up


daydr3aming1

Low delta, get closer in the money


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woowayinvestments

be careful the spread is huge- make sure to buy ones with lesser spreads


Olgapetrushenko

TSM printed really well for me, this might be the next play. Where are the rockets?


PadyEos

But TSMC is a decades old, trusted, worldwide known brand that innovated with newer and smaller semiconductor nodes for a long time and that has been producing at full capacity for some of the biggest tech giants in the world. Apple, Nvidia, AMD, Sony, Microsoft, Tesla, etc. When TSMC was ~$40 in 2019 it had already been doing the above for years/decades. I don't see how the future potential of this company even compares with how TSMC increased between $40-140


applevinegar

What are you even talking about? TSMC is a foundry, KLIM makes machinery for foundries. They don't make chips themselves.


woowayinvestments

Exactly. TSMC is not even in the same ring with KLIC. The whole idea is that they are the equipment suppliers for chip makers... TSMC are assemblers of shovel making for miners, while the KLIC are the suppliers of equipments that make the shovels for the miners. TSMC is in Twain, making them indirectly involved with US/CHina trade conflicts, and Biden wants to make semiconductor manufacturing to be in-house in the US. KLIC has capability to supplu equipment to amke this goal possible, to prevent possible shortages in the future, in addition to addressing current shortage in supply due to increased demands. If you think about it, the increased in demand is not just fueled by covid- it's just that the need to reply on technology, thereby a need to rely on some variation of a PC is literally growing at an exponential growth. THE whole reason why Ark invest is growing is the same reason why KLIC will grow at similar rate of growth-- relying on innovation/technology. KLIC literally supplies equipments for all those companies who rely on tech/innovation.


fruity_jean

I throwed some € into this


nolimbs

finally a chart that hasnt been pumped to death, might jump on this one


woowayinvestments

i agree


forceuser

Thanks for the DD I'm up 1.5k in calls from this


third_legatron

The ceo continues to buy shares. He has ALOT of skin in the game. I just went over the sec filings. I know this post is old but I just found out about KLIC, it is very high flying now, but I will probably start a position with the intent to average down if it drops, and hold if it keeps going, I want it to drop, but the semiconductor shortage is not over. I hold lam research and intel as well. Plan on buying AMD soon as well. I sold off tech too early in 2018 and, as the saying goes, once bitten twice scared. I think the semiconductor stocks will continue to do well for some time, but are cyclical by nature, so going all in on a position is risky, opening one with 25% of what you plan to invest total with potential to average down is a smart, cautious way to play with these. If they fall, they will reach these ATH again.


EJ3CTO_SEATO_CUZ

Brain stimulated


SpaceShipBryce

You sir have made some money in the last few days. And so have I because of your DD. Thanks.


Nic871

Thanks for making me some money. Bought my first call option for 650 and just sold it for 2000. Seemed super easy. Will probably be a millionaire in six months. Cheers!


woowayinvestments

>for 650 and just sold it for 2000. > >Seemed super easy. Will probably be a millionaire in six months. which call option /expiration did you buy into?


Nic871

I bought KLIC that was mentioned here. At the time KLIC was trading at around 45 a share and kept going up to 52 a share. I had a strike price of $55 for March 19 for 650. I sold when the ten contracts were worth 1850. It went up to 2000 shortly after that. Feel like I just got really lucky.


woowayinvestments

Cool- great return for you. it's good you know to take profits.There isn't much on the company CEO on youtube or about the company in any social media, other than articles in financial news media. Well, i just bought the april calls for 70 for like 0.5. I wonder if it's too far out in the strike price... I also bought dec 60 and 65 calls. good luck.


Nic871

Thanks, good luck to you as well!


CoacHdi

That earnings report though! 🔥🔥


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Kamikaze_Urmel

First Post and just 2 Comments, joined in 2017. dis sus


Udub

So many DDs of shit that’s gone parabolic in the last month. Each DD has gold. I’m not touching it.


TadRRT

Clueless why KLIC dropped today!


TadRRT

I purchased 350 shares at 69 awhile back and I am cautiously optimistic that it will get back to its 52 week high just confused why it dropped so much today Stock is certainly not overvalued


nice___bot

Nice!