ACM Research Soars 13.24% on Q2 Earnings, AI Demand

ACM Research's stock surged 13.24% in pre-market trading on August 22, 2025, reflecting strong investor confidence in the company's innovative technologies and robust financial performance.

ACM Research is at the forefront of the AI semiconductor revolution, leveraging its Single Wafer Processing (SPM) and Plasma-Enhanced Chemical Vapor Deposition (PECVD) technologies to enable sub-3nm manufacturing and 3D packaging. These advancements are crucial for meeting the growing demand for AI-powered computing solutions.

The company's financial performance in Q2 2024 was impressive, with revenue surging 40% year-over-year to $202.5 million and a gross margin of 47.8%. This financial strength is supported by a solid balance sheet, with $366.8 million in cash and equivalents, providing ample liquidity for R&D and expansion.

ACM's technological leadership is evident in its innovative tools, such as the Ultra C Tahoe cleaning tool and the Ultra Pmax PECVD tool, which are critical for advanced node manufacturing and 3D packaging. These tools are already being adopted by leading logic and memory manufacturers, positioning ACM as a key player in the AI semiconductor ecosystem.

Despite its strong performance, ACM's valuation metrics appear undervalued relative to its peers and historical averages. With a P/E ratio of 14.13 and a P/S ratio of 2.06, the market seems to be underappreciating ACM's cash-generative business model and R&D-driven growth.

ACM is strategically expanding its global footprint with new facilities in the U.S. and China, aiming to capture the surging demand for AI packaging solutions. This expansion, coupled with its technological innovations and financial discipline, makes ACM a must-own play in the AI semiconductor space.