3658 TT

Hermes Microvision Inc

TMT


Presented:04/08/2014
Price:NT$1,460.00
Cap:$3.28B
Current Price:no data
Cap:no data

Presented

Date04/08/2014
PriceNT$1,460.00
Market Cap$3.28B
Ent Value$3.02B
P/E Ratio40.13x
Book ValueNT$5.25
Div Yield1.2%
Shares O/S71.00M
Ave Daily Vol440,000
Short IntN/A

Current

Priceno data
Market Capno data
Hermes Microvision, Inc. is engaged in the research, development, design, manufacture, and sale of semiconductor machinery and equipment. It offers E-beam inspection (EBI) tools and solutions for the semiconductor manufacturing fabs worldwide. The company’s product portfolio comprises eScan series, an EBI system for wafer manufacturers; eP series, an e-beam hotspot process monitoring inspection system; and eXplore series, an EBI system designed for mask manufacturers to inspect physical defect of EUV mask and nano-imprint template. Hermes Microvision, Inc. was founded in 1998 and is headquartered in Hsinchu City, Taiwan.

Highlights

The presenter is long shares of electron beam inspection (EBI) equipment maker Hermes Microvision (HM) and believes the company is extremely well positioned to gain market share in the wafer testing market over the next few years. The genesis of HM’s e-beam can be traced back to R&D at KLA during the late 1990s, but the presenter said the leadership at KLA was not interested in pursuing the technology at that time. However, Archie Huang, chairman of Hermes Epitek Group, was most interested in advancing this research and funded the team, ultimately bringing them in house. Since then, the overall market for this specialized process control equipment has grown to ~$2.5 billion and HM has roughly 10% share today. While shares are admittedly expensive at just over 10x sales (vs. most peers at 2-3x sales), the presenter believes the premium is deserved as HM’s stock has the potential to double over the foreseeable future if his thesis is correct.

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