ENTG

Entegris Inc

Industrial/Transportation


Presented:09/23/2020
Price:$66.91
Cap:$9.02B
Current Price:$102.63
Cap:$15.49B

Presented

Date09/23/2020
Price$66.91
Market Cap$9.02B
Ent Value$8.50B
P/E Ratio40.14x
Book Value$9.14
Div Yield0.48%
Shares O/S134.82M
Ave Daily Vol982,320
Short Int2.35%

Current

Price$102.63
Market Cap$15.49B
Entegris, Inc. engages in the development, manufacture, and supply of specialty materials for microelectronics industry. It operates through the following business segments: Specialty Chemicals and Engineered Materials (SCEM); Advanced Materials Handling (AMH); and Microcontamination Control (MC). The SCEM segment provides purity process chemistries, gases, and materials and delivery systems to support semiconductor and other advance manufacturing processes. The AMH segment develops solutions to monitor, protect, transport, and deliver critical liquid chemistries and substrates for a broad set of applications in the semiconductor industry and other high-technology industries. The MC segment offers solutions to purify critical liquid chemistries and gases used in semiconductor manufacturing processes and other high-technology industries. The company was founded in 1966 and is headquartered in Billerica, MA.

Publicly traded companies mentioned herein: Danaher Corp (DHR), DuPont de Nemours Inc (DD), Element Solutions Inc (ESI), Entegris Inc (ENTG), Merck KGaA (MRK GR), Taiwan Semiconductor Manufacturing Company Co Ltd (TSM)

Highlights

The presenter is long shares of Entegris Inc., (ENTG) the $9B specialty chemical manufacturer and filtration technology producer for semiconductors. He believes ENTG is positioned to capitalize on end-market growth and increased complexity in the manufacturing of semiconductors. If his view is correct, he expects ENTG to easily beat sell-side estimates for the next few quarters and believes there’s additional upside through strong capital allocation, M&A optionality and buybacks. The stock currently trades at ~$68 per share, and the presenter’s base case is for EPS of $3 in 2021 and $3.60 in 2022, with 10% revenue growth that flows to a 20% EPS CAGR with margin expansion.

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Idea Discussion

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