Entegris, Inc. (NASDAQ:ENTG) Shares Could Be 27% Above Their Intrinsic Value Estimate

LISTEN UP, INVESTORS! We've got a hot stock on our hands, and it's time to talk about Entegris, Inc. (NASDAQ:ENTG). This semiconductor powerhouse is on fire, and its shares could be trading at a whopping 27% premium above their intrinsic value estimate. Let's dive in and see why this stock is a must-own!



First things first, let's talk about the numbers. Entegris reported some jaw-dropping financial results for the fourth quarter of 2024. Net sales hit $850 million, an 11% increase from the prior year when you exclude divestitures. That's not all—GAAP diluted EPS was $0.67, and non-GAAP diluted EPS was $0.84. These numbers are screaming growth, and the market is taking notice!

Now, let's talk about the intrinsic value. As of April 6, 2025, Entegris' intrinsic value based on projected free cash flow (FCF) is $38.73. But here's the kicker—the current stock price is $65.39, which means the stock is trading at a 27% premium to its intrinsic value. That's a big deal, folks!

But why is this stock trading at such a premium? Let's break it down:

1. Revenue Growth: Entegris is crushing it with revenue growth. The company's net sales for 2024 were $3.2 billion, and they're expecting even more growth in the future. This is a company that's on the move, and investors are taking notice.

2. EBITDA Margins: Entegris' adjusted EBITDA margin for the fourth quarter of 2024 was 29.2% of net sales. That's a massive margin, and it shows that this company knows how to make money.

3. Earnings Per Share (EPS): Entegris reported a non-GAAP diluted EPS of $0.84 for the fourth quarter of 2024. That's a strong number, and it shows that this company is profitable and growing.

4. Market Outlook and Growth Prospects: The semiconductor industry is booming, and Entegris is right in the middle of it. The company's focus on innovation and materials science is positioning it well for future growth.

5. Analyst Coverage: Entegris is covered by some of the biggest names in the business, including CITI, BMO, and Goldman Sachs. These analysts are bullish on Entegris, and their coverage is driving demand for the stock.

Now, let's talk about the historical Price-to-Intrinsic-Value-Projected-FCF ratio. Over the past 13 years, the highest ratio for Entegris was 4.12, the lowest was 1.28, and the median was 2.27. The current ratio of 1.7 is within this historical range, indicating that the stock is trading at a reasonable premium relative to its intrinsic value.

But here's the thing—Entegris is not just a stock; it's a growth story. The company's focus on innovation and materials science is positioning it well for future growth, and investors are taking notice. This is a stock that's on the move, and you don't want to miss out!

So, what's the bottom line? Entegris, Inc. (NASDAQ:ENTG) is a must-own stock. The company's strong financial performance, high EBITDA margins, and growth prospects in the semiconductor industry justify the 27% premium on its intrinsic value. This is a stock that's on fire, and you need to own it!

BUY NOW, and don't miss out on this opportunity!