# FormFactor Inc. (FORM) — Stock CV

FormFactor Inc. is a $10.9B technology company. Revenue grew 18.0% over the last year, it keeps 13¢ of every dollar of sales as profit, and it holds more cash than debt. It trades at 94.5× earnings — in the most expensive third of its own history.

> FormFactor Inc is a provider of electrical and optical test and measurement technologies along the full semiconductor product lifecycle - from characterization, modeling, reliability, and design de-bug, to qualification and production test..

## Identity

- **Ticker**: FORM
- **Sector**: Technology
- **Industry**: Semiconductors & Related Devices
- **Headquarters**: LIVERMORE, CA
- **Employees**: 2 153
- **Website**: https://www.formfactor.com
- **Market cap**: $10.9B
- **Last price**: $139.67
- **Financial profile**: Mixed

## Vitals (TTM)

- **Revenue**: $902M
- **Net income**: $115M
- **Free cash flow**: $136M
- **Net cash**: $264M
- **P/E**: 94.5
- **Revenue growth (YoY)**: 18.0%

## Skills (profile scores, 0–100)

| Pillar | Score |
|---|---|
| Valuation | 15 |
| Growth | 31 |
| Profitability | 49 |
| Health | 75 |
| Quality | 77 |
| Moat | 43 |

## Qualifications (beginner checklist) — 8 of 10 passed

- [x] Revenue growing — +18.0% YoY
- [x] Profitable — $115M TTM
- [x] Profit growing — +2.3% YoY
- [x] Generates cash — $136M TTM
- [x] Debt under control — more cash than debt
- [x] Established company — $10.9B market cap
- [x] Not printing shares — -0.9% shares over ~5y
- [x] Proven track record — 9/10 profitable years
- [ ] Financially stable — health score 50/100
- [ ] Valuation not extreme — P/E 94.5

## Experience (career milestones)

- **2023** — FRT Metrology business was acquired by Camtek in October 2023
- **2020** — Advantest Corporation's probe card assets were acquired by FormFactor for $35 million and in October,…
- **2019** — FormFactor acquired Germany-based FRT for $19.7 million
- **FY2018** — Best year on record: $104M net income
- **FY2017** — Turned profitable: $40.9M net income after a loss year
- **FY2016** — Positive free cash flow every year since: 10-year streak
- **2016** — FormFactor acquired Cascade Microtech for $352 million
- **2012** — FormFactor signed an agreement with Astria Semiconductors Holdings, Inc
- **2003** — The company completed an initial public offering (IPO) on the Nasdaq as FORM, in June 2003 with 6 million shares…
- **2000** — FormFactor released the first x64 DRAM probe card in 2000, followed by the x128 DRAM probe card in 2002
- **1993** — FormFactor was founded in Elmsford, NY in 1993, and set up its first headquarters in Livermore, California in 1995

## Strengths

- High gross margin (46.0%)
- Revenue growing 18.0% year over year
- Strong cash conversion — FCF is 15.1% of revenue
- Net cash position after subtracting debt from cash
- Interest covered 114.0× by operating earnings

## Watch-outs

- Loss-making in 1 of the recent years

## Track record

| Year | Revenue | Net income | Free cash flow |
|---|---|---|---|
| FY2021 | $770M | $83.9M | $72.9M |
| FY2022 | $748M | $50.7M | $66.5M |
| FY2023 | $663M | $82.4M | $8.57M |
| FY2024 | $764M | $69.6M | $79.1M |
| FY2025 | $785M | $54.4M | $11.7M |

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Source: https://stockcv.com/FORM — derived from company filings; may be delayed or incomplete. Information, not investment advice.