Magnachip Semiconductor Corporation
🔔 Watch stock
Assessment
Our Rating
A journalistic assessment by our editorial team at the time of the deep dive — it rates the company, not the entry point. Not investment advice and not a solicitation to buy or sell.
The business works in principle, but one material question is open. As long as it stays open, our findings do not carry a quality verdict.
Why this colour
Buying here means buying a turnaround bet with a tailwind from the balance sheet and headwinds from four directions at once: a core business losing money at the operating line, dilution of up to almost 25 percent from the running selling program, concentration risk in customer, country and fab, and a currency that cost more equity in the first quarter of 2026 than the loss itself. The AI angle currently drawing attention to the stock exists so far only in a selling document. If you wait, check three things in the coming filings: is the gross margin climbing back toward twenty percent? How many of the up to 9,090,909 new shares have actually been placed? And does "AI" finally appear in a mandatory filing, with a product and revenue behind it? The unresolved earnings picture is the reason for caution. The decision is yours.
What the thesis turns on
Assessment: Opportunities & Risks
Magnachip Semiconductor cut itself back to its core business in 2025 and is still losing money there: a $35.9 million operating loss in 2025 and another $7.2 million in the first quarter of 2026, on a gross margin of 15.6 percent. The balance sheet carries that for now — roughly $52 million of net cash and $232.8 million of equity as of March 31, 2026. What is remarkable is the story around it: three consecutive mandatory filings contain not a single AI term; only the selling prospectus of June 17, 2026, which allows up to $50 million of new stock to be placed, mentions "technologies that support AI data centers and robotics" — with no product, customer or revenue behind it. The same company previously took 21.8 million of its own shares into treasury for $229.9 million. Not investment advice.
Balance sheet and funding pressure
As of March 31, 2026 the company held $94.6 million of cash against $42.3 million of borrowings — roughly $52 million of net cash, with $232.8 million of equity and an equity ratio near 69 percent. The only sizeable loan ($26.4 million at 4.06 percent) runs to March 26, 2027. There is no acute funding pressure, but the cushion is shrinking: $24.2 million flowed out of operations in 2025 alongside $30.0 million of capital expenditure.
Earning power of the core business
The continuing power business lost $35.9 million at the operating line in 2025 after $26.0 million the year before — the restructuring did not end the losses, it concentrated them. Gross profit fell 18.9 percent to $31.4 million (margin 17.6 percent versus 19.7 percent), while sales, administration and research together cost $62.4 million. In the first quarter of 2026 the margin was 15.6 percent against 20.9 percent a year earlier.
Dilution and capital policy
Over the years the company took 21,808,596 of its own shares into treasury for $229.9 million (roughly $10.54 each) and then, on June 17, 2026, set up a program to sell up to $50 million of new stock. At the documented $5.50 price that is 9,090,909 shares, almost 25 percent more than the 36,499,302 shares outstanding; the prospectus puts the resulting count at up to 45,490,211 shares. Options, restricted stock units and 3,000,000 plan shares registered in July 2026 come on top.
AI story versus evidence
The annual report on Form 10-K for 2025 (March 16, 2026) and the quarterly reports on Form 10-Q as of September 30, 2025 and March 31, 2026 contain a combined zero occurrences of "AI", "artificial intelligence", "data center", "robotics" and "machine learning". The only substantive reference is the use-of-proceeds intention in the 424B5 prospectus of June 17, 2026 — with no product, customer, revenue or agreement, as the document itself confirms.
Concentration and currency
One customer accounted for 31.0 percent of revenue in the first quarter of 2026 and one for 40.6 percent of receivables; China and Hong Kong made up 83.8 percent of Asia-Pacific revenue outside Korea, and 99.8 percent of fixed assets sit in Korea. The won moving from 1,434.9 to 1,513.4 to the dollar cost $11.44 million of equity and $4.5 million of cash in the first quarter of 2026. The Gumi substation upgrade is expected to weigh on margins in Q3 and Q4 2026.
Shareholder pressure and new leadership
Byreforge LLC has held 8.5 percent since its Schedule 13D of November 20, 2025 at a cost of roughly $2.74 per share; managing partner Cristiano Amoruso has sat on the board and all three committees since January 14, 2026 and drew the best vote on June 11, 2026. Chae Lee has run the company since July 1, 2026, with initial options carrying a minimum exercise price of $5.50. Both create pressure for change — results are not in yet.
Worth Noting
The stock reached our research list through our in-house Reddit hype scanner: 2 mentions in 24 hours, first recorded on July 25, 2026 at 7:00 a.m. That is a footnote rather than a hype cycle, but the occasion is plausible, because on June 17, 2026 the company disclosed a share selling program whose use of proceeds carries an AI reference.
On market value: the figure supplied by the fundamental data feed (as of July 25, 2026) deviates by more than a fifth from the cross-check "36,499,302 shares × $5.50" (the last price documented in the 424B5 prospectus, June 16, 2026) and was therefore neither used nor relied upon for derived metrics. Every valuation figure in this analysis rests on the documented prospectus price.
On comparability of the time series: all annual and quarterly figures here show continuing operations (Power). The annual report for 2025 restated the prior-year figures accordingly after the Display business was wound down at the end of the second quarter of 2025. The exception is the cash flow data: per the company, the statements of cash flows are not adjusted to separate continuing from discontinued operations.
Do not confuse the spellings: the company writes itself "Magnachip" (lowercase c) in its current filings. The older "MagnaChip" spelling still appears in legacy documents and some databases. The SEC registry entry was refreshed on July 10, 2026 with the name unchanged — there was no renaming.
Stock Watch
This analysis is as of August 26, 2026. Stock Watch will tell you what's changed at MX since then.
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Price history
Chart
Interactive price chart (TradingView).
52-week range: 2.30 $ to 8.90 $ · Last price: 2.80 $ (As of: September 17, 2026)
Key figures
Key figures at a glance
Every figure we hold for this stock, grouped by topic. The question mark next to a label explains what the number means.
Basics
Performance
Technical Indicators
Calculated from the price history · as of 09/18/2026
Valuation
Profitability
Balance Sheet & Safety
Growth
Dividend
This stock currently pays no dividend.
Quality & Screener
Comparison
Industry comparison
The stock alongside the largest companies in the same group. The median row is the middle value of the companies shown above — not of the whole industry.
Industry: Semiconductors
| Company | Market cap ($B) | P/E | EV/EBITDA | Gross Margin % | EBIT Margin % | Sales Growth (Year) % | Perf. 1Y % |
|---|---|---|---|---|---|---|---|
| Magnachip Semiconductor Corporation MX | 0.1 | – | 20.2 | 15.9 | -15.5 | -22.4 | -13.3 |
| NVIDIA Corporation NVDA | 5,540.3 | 30.4 | 22.4 | 74.7 | 65.6 | 65.5 | 29.1 |
| Broadcom Inc AVGO | 1,652.3 | 55.2 | 33.7 | 75.5 | 49.0 | 23.9 | 1.1 |
| Micron Technology Inc MU | 1,269.8 | 20.7 | 15.8 | 72.6 | 80.4 | 48.9 | 512.0 |
| Advanced Micro Devices Inc AMD | 943.2 | 177.7 | 77.8 | 55.7 | 14.4 | 34.3 | 242.5 |
| Intel Corporation INTC | 546.8 | – | 145.4 | 38.9 | 6.9 | -0.5 | 337.0 |
| Arm Holdings plc ARM | 282.9 | 267.6 | 221.2 | 97.5 | 7.6 | 22.8 | 58.6 |
| Texas Instruments Incorporated TXN | 234.9 | 39.7 | 26.1 | 58.3 | 37.8 | 13.1 | 46.9 |
| Marvell Technology Group Ltd MRVL | 232.5 | 79.7 | 45.0 | 52.2 | 14.5 | 42.1 | 239.9 |
| Median of companies shown | 546.8 | 55.2 | 33.7 | 58.3 | 14.5 | 23.9 | 58.6 |
Based on the most recently reported figures. Only stocks from the same trading venue are lined up, so the market caps are counted in one currency. Compare in a chart →
Fiscal years
Annual Figures
Fiscal years from the audited annual reports, oldest first. EBIT is the operating profit before interest and taxes; total assets are everything the company owns.
Revenue, operating income and net income per fiscal year $M
Revenue Operating income Net income
| Fiscal Year | Revenue ($M) | EBIT ($M) | Net Income ($M) | EPS ($) | Operating Cash Flow ($M) | Equity ($M) | Total Assets ($M) |
|---|---|---|---|---|---|---|---|
| 2016 | 688 | 3 | -30 | -0.85 | 8 | -72 | 442 |
| 2017 | 680 | 39 | 85 | 1.90 | -18 | -40 | 559 |
| 2018 | 751 | 47 | -4 | -0.11 | 39 | -17 | 583 |
| 2019 | 521 | 24 | -22 | -0.64 | 51 | -15 | 595 |
| 2020 | 507 | 27 | 345 | 7.42 | 7 | 346 | 572 |
| 2021 | 474 | 83 | 57 | 1.19 | 88 | 453 | 584 |
| 2022 | 338 | -5 | -8 | -0.18 | 5 | 428 | 517 |
| 2023 | 230 | -58 | -37 | -0.89 | -3 | 345 | 420 |
| 2024 | 232 | -53 | -54 | -1.44 | -6 | 277 | 379 |
| 2025 | 180 | -30 | -30 | -0.82 | -24 | 248 | 352 |
Quarters
Quarterly Figures
Each bar is one quarter, the last one is the most recent. Use the switch to step through the individual figures.
Revenue & Profit
Cash Flow
Balance Sheet
Margins
Per Share
Click the chart or tab into it, then use ← and → to step through the periods.
None of the selected stocks reports this metric. Pick another metric or switch between annual and quarterly.
· Total · per year
These companies report in different currencies — switch on “Indexed” or pick a margin for a fair comparison.
The figures could not be loaded right now.
Source: fundamental data
| Quarter | EPS (Earnings Per Share) | EPS YoY (%) | Sales ($M) | Sales YoY (%) | Net Margin (%) | OCF ($M) | FCF ($M) |
|---|---|---|---|---|---|---|---|
| 2024: Q2 | -0.21 | -250.00 | 46 | -23.90 | -28.00 | -1 | -2 |
| 2024: Q3 | -0.26 | -100.00 | 55 | -9.50 | -17.40 | -13 | -16 |
| 2024: Q4 | -0.44 | -175.00 | 51 | 0.80 | -25.80 | 12 | 4 |
| 2025: Q1 | -0.24 | 40.00 | 44 | 1.70 | -20.10 | -5 | -5 |
| 2025: Q2 | -0.08 | 61.90 | 48 | 2.60 | 0.70 | -25 | -37 |
| 2025: Q3 | -0.01 | 96.20 | 46 | -17.10 | -28.50 | 0 | -8 |
| 2025: Q4 | -0.22 | 50.00 | 41 | -19.90 | -19.70 | 5 | -5 |
| 2026: Q1 | -0.11 | 54.20 | 46 | 4.60 | -10.10 | 2 | -2 |
| 2026: Q2 | -0.13 | -62.50 | 45 | -6.10 | -10.70 | 0 | 0 |
What Do These Terms Mean?
- EPS (Earnings Per Share):
- Quarterly profit divided by the total share count — how much of the profit works out to a single share.
- YoY (Year over Year):
- Change versus the same quarter a year ago — this is how you compare without seasonal distortion (e.g. the holiday shopping season).
- Sales:
- All revenue for the quarter, before any costs are deducted — the top line of the income statement.
- Net Margin:
- What percentage of sales is left over as profit in the end. Negative means the company is posting a loss.
- OCF (Operating Cash Flow):
- The cash that actually flows into the till from the core business during the quarter — harder to dress up than book profit.
- FCF (Free Cash Flow):
- Operating cash flow minus capital expenditures — the money that's genuinely free to use, say for paying down debt, buybacks, or dividends.
Screening
Appears in These Scanners
This stock currently matches 4 of our scanner strategies — each hit links to the scanner.
Growth
Research
Risk & Weakness
Only genuine hits from verified scanners count; pure ranking metrics (P/E, P/S, and similar, which just sort the whole universe) don't count as a hit. Scanners marked in red are red-flag signals (risk/short scanners) — appearing there is not a seal of approval. View all scanners
Outlook
Analysts & Price Target
Combined picture of the price targets and recommendations of every analyst covering the stock. Price targets are expectations for the next 12 months, not promises — and they often follow the price rather than predict it.
Distribution of Recommendations
Estimates by Fiscal Year
| Fiscal Year | EPS Estimate ($) | EPS Range ($) | Revenue Estimate ($M) | Expected Growth | Analysts |
|---|---|---|---|---|---|
| 12/31/2026 | -0.83 | -0.83 – -0.83 | 0 | -277.3% | 1 |
| 12/31/2027 | -0.82 | -0.82 – -0.82 | 201 | 1.2% | 1 |
Average of the analyst estimates for the coming fiscal years. The range shows how far the most optimistic and the most cautious estimate sit apart — the wider it is, the less certain the expectation.
Valuation
What is priced in?
Free cash flow over the past twelve months is negative, which rules out a serious reverse calculation. Any growth rate only makes a negative cash flow more negative; no present value comes out of it. What the price reflects here is therefore not a stream of cash flows, but the expectation that there will be one at all.
A simplified model calculation — not a forecast and not a recommendation.
AI classification
AI Rating
Magnachip fertigt analoge Leistungshalbleiter ohne KI-Bezug: Im Geschäftsbericht 10-K für 2025 und in den Quartalsberichten 10-Q zum 30.09.2025 und 31.03.2026 kommen „artificial intelligence“, „AI“, „data center“, „robotics“ und „machine learning“ je null Mal vor — die einzige KI-Nennung ist eine Mittelverwendungs-Absicht im Verkaufsprospekt 424B5 vom 17.06.2026, ohne Produkt, Kunden, Umsatz oder Vereinbarung.
View the full file — quotes, sources, reviewed filings
„We currently intend to use the net proceeds from this offering, if any, after deducting commissions and offering expenses payable by us, for general corporate purposes, which may include investments in strategic growth initiatives and technologies that support AI data centers and robotics."
Wir beabsichtigen derzeit, die Nettoerlöse aus diesem Angebot, falls es welche gibt, nach Abzug von Provisionen und Angebotskosten für allgemeine Unternehmenszwecke zu verwenden, wozu Investitionen in strategische Wachstumsinitiativen und in Technologien gehören können, die KI-Rechenzentren und Robotik unterstützen.
424B5 · 2026-06-17 · View SEC filing
„We have not entered into any agreements or commitments with respect to any material acquisitions or investments at this time."
Wir haben derzeit keinerlei Vereinbarungen oder Verpflichtungen im Hinblick auf wesentliche Übernahmen oder Investitionen getroffen.
424B5 · 2026-06-17 · View SEC filing
Filings Reviewed: 10-K 2026-03-16 · 10-Q 2026-05-08 · 10-Q 2025-11-10 · 8-K 2026-04-28 · 424B5 2026-06-17 · 8-K 2026-06-17
Rated on July 25, 2026 · How the Rating Is Built
Growth
Growth Score
Ten checks against the annual reports — each one passed counts a point.
- Revenue grows by more than 15% a year over three years -18.9%
- More than 10% revenue growth is expected for the coming year -100.0%
- Share count grows by less than 3% a year -6.9%
- Revenue growth plus cash-flow margin add up to at least 40 ("Rule of 40") -52.5%
- Gross margin at 40% or higher and without meaningful erosion 18.0%
- Goodwill from acquisitions does not grow faster than revenue 0.0%
- Net debt below twice EBITDA 57 m net cash
- Operating cash flow covers the profits of the last three years 87 m
- Return on capital at 15% or higher, or up versus two years ago -9.7%
- Insiders hold at least 10% or are net buyers 13.7%
A criterion without figures counts neither as passed nor as failed; a score is only produced from 7 judgeable criteria upwards. Source: fundamental data. All ten criteria in detail
Quality check
AAQS
3/10The AAQS (AlleAktien Quality Score) checks 10 quality criteria on growth, profitability, and balance-sheet strength — per the methodology developed and published by AlleAktien, calculated by us from our own fundamental data. A stock counts as a quality stock from 9 out of 10 points. Where a company has a shorter listing history, we calculate over the fiscal years available (at least five).
- Sales growth 10Y > 5% -13.8%
- Exp. sales growth 3Y > 5% 5.6%
- EBIT growth 10Y > 5% –
- Exp. EBIT growth 3Y > 5% 5.6%
- Net debt < 4x EBIT –
- EBIT positive, 10Y straight 6
- Max. EBIT decline < 50% 100.0%
- Return on equity > 15% -12.0%
- ROCE > 15% -9.7%
- Expected return > 10% -52.2%
View stocks with the full AAQS score · Read the methodology at AlleAktien
Source: fundamental data
Insiders
Insider Transactions
Reportable transactions by officers and major shareholders from SEC Form 4 filings. "Other" includes things like stock grants and option exercises without a buy/sell character.
| Date | Person | Role | Type | Shares | Price | Value |
|---|---|---|---|---|---|---|
| Aug 15, 2026 | Martino Camillo | Director | Other | 6,764 | 0.00 | – |
| Aug 1, 2026 | Martino Camillo | Director | Other | 39,286 | 0.00 | – |
| Aug 1, 2026 | Chung Kyo-Hwa Liz | Director | Other | 48,810 | 0.00 | – |
| Aug 1, 2026 | Nathan Gilbert E | Director | Other | 51,191 | 0.00 | – |
| Aug 1, 2026 | Amoruso Cristiano | Director | Other | 46,429 | 0.00 | – |
The company
About the Company
Magnachip Semiconductor Corporation, together with its subsidiaries, designs, manufactures, and supplies analog and mixed-signal semiconductor platform solutions for communications, the Internet of Things, consumer, computing, industrial, and automotive applications. It provides display solutions, including source and gate drivers, and timing controllers that cover a range of flat panel displays used in mobile communications, automotive, entertainment devices, monitors, notebook PCs, tablet PC and TVs, liquid crystal display, organic light emitting diodes (OLED), and micro light emitting diode (Micro LED) panel. The company also offers metal oxide semiconductor field-effect transistors, insulated-gate bipolar transistors, AC-DC converters, DC-DC converters, LED drivers, regulators, and power management integrated circuits for a range of devices comprising televisions, smartphones, mobile phones, wearable devices, desktop PCs, notebooks, tablet PCs, level shifter, and other consumer electronics, as well as for power suppliers, e-bikes, photovoltaic inverters, LED lighting, and motor drives; and OLED display driver integrated circuit products. It serves consumer, computing, communication, automotive and industrial electronics OEMs, original design manufacturers, and electronics manufacturing services companies, as well as subsystem designers in Korea, the Asia Pacific, the United States, and Europe. The company sells its products through a direct sales force and a network of agents and distributors. Magnachip Semiconductor Corporation was incorporated in 2003 and is based in Cheongju-si, South Korea.
- Employees
- 711
- Headquarters
- Cheongju-Si, South Korea
- Address
- 76, Jikji-daero, 28581 Cheongju-Si, South Korea
- Phone
- 82 2 6903 3000
- Website
- magnachip.com
- IPO Date
- 03/11/2011
- ISIN
- US55933J2033
Management
| Name | Title | Birth Year |
|---|---|---|
| Shin Young Park | CFO, Secretary & Chief Accounting Officer | 1981 |
| Seung-Hoon Lee | Act. Co-GM of Power Analog Sol., Chief of Manufacturing & Operations, Safety Officer | 1959 |
| Chae Lee | CEO & Director | 1965 |
| Jk Minh | Chief of Strategic Planning | – |
| Hyuk Woo | CTO of PAS Group | – |
Executives per the latest required filings; titles kept in their original language. Source: fundamental data.
Filings
Company Filings (8-K)
An 8-K is the filing a US company must use to disclose material events immediately — takeovers, changes at the top, major contracts or payment troubles, for instance. The links open the original document at the US Securities and Exchange Commission (SEC).
- 07/29/2026 MAGNACHIP SEMICONDUCTOR Corp (MX): Results of Operations and Financial Condition; Financial Statements and Exhibits SEC ↗
Data as of: September 17, 2026 · Source: fundamental data & SEC filings (annual and quarterly reports, 10-K/10-Q)
Note: pure fact-based analysis, not investment advice and not a solicitation to buy or sell. All figures without guarantee.