-0.27%
0.78%
-10.89%
2.73%
-24.90%
-50.24%
-44.79%

Company Description

IPG Photonics Corporation develops, manufactures, and sells various high-performance fiber lasers, fiber amplifiers, and diode lasers used in various applications primarily in materials processing worldwide.The company's laser products include hybrid fiber-solid state lasers with green and ultraviolet wavelengths; fiber pigtailed packaged diodes and fiber coupled direct diode laser systems; high-energy pulsed lasers, multi-wavelength and tunable lasers, and single-polarization and single-frequency lasers; and high-power optical fiber delivery cables, fiber couplers, beam switches, chillers, scanners, and other accessories.It also provides erbium-doped fiber and Raman amplifiers, and integrated communications systems, which are deployed in broadband networks; and ytterbium and thulium specialty fiber amplifiers and broadband light sources.


In addition, the company offers integrated laser systems; 2D compact flat sheet cutter systems and multi-axis systems; welding seam stepper and picker, a fiber laser welding tool; high precision laser systems; specialized fiber laser systems; and optical transceiver and transponder modules for interconnecting electronic equipment, including Ethernet switches, IP routers and DWDM/SONET/SDH optical transport modules within telecommunications, cable multi-system operators, and data center networking applications.It's lasers and amplifiers are also used in materials processing, communications, and medical and advanced applications.The company markets its products to original equipment manufacturers, system integrators, and end users through direct sales force, as well as through agreements with independent sales representatives and distributors.


IPG Photonics Corporation was founded in 1990 and is headquartered in Oxford, Massachusetts.

Market Data

Last Price 73.33
Change Percentage -0.27%
Open 73.88
Previous Close 73.53
Market Cap ( Millions) 3171
Volume 168421
Year High 104.19
Year Low 61.86
M A 50 75.18
M A 200 78.26

Financial Ratios

FCF Yield 5.66%
Dividend Yield 0.00%
ROE -6.48%
Debt / Equity 0.78%
Net Debt / EBIDTA -927.88%
Price To Book 1.52
Price Earnings Ratio -21.73
Price To FCF 17.66
Price To sales 3.04
EV / EBITDA 24.65

News

Business Breakdown

Expected Mid-Term Growth

Segment nΒ°1 -> High Power Continuous Wave (CW) Lasers

Expected Growth : 8 %

What the company do ?

High Power Continuous Wave (CW) Lasers from IPG Photonics Corporation are high-powered, single-frequency lasers for material processing, spectroscopy, and other applications.

Why we expect these perspectives ?

The 8% growth of High Power Continuous Wave (CW) Lasers from IPG Photonics Corporation is driven by increasing demand for material processing, particularly in the automotive and aerospace industries. Additionally, the adoption of CW lasers in medical applications, such as skin treatments and eye surgery, is also contributing to growth. Furthermore, the rising need for high-precision manufacturing and the growing trend of Industry 4.0 are fueling the demand for these lasers.

Segment nΒ°2 -> Other Revenue including Amplifiers, Service, Parts, Accessories and Change in Deferred Revenue

Expected Growth : 5 %

What the company do ?

Other Revenue includes sales of amplifiers, service, parts, and accessories, as well as changes in deferred revenue from IPG Photonics Corporation.

Why we expect these perspectives ?

The 5% growth in Other Revenue is driven by increasing demand for amplifiers and services, as well as sales of parts and accessories. Additionally, the change in deferred revenue from IPG Photonics Corporation contributes to this growth, indicating a strong market for high-performance laser systems and related components.

Segment nΒ°3 -> Pulsed Lasers

Expected Growth : 9 %

What the company do ?

IPG Photonics' pulsed lasers offer high-powered, high-repetition-rate pulses for material processing, micromachining, and spectroscopy applications.

Why we expect these perspectives ?

IPG Photonics' Pulsed Lasers growth is driven by increasing adoption in industrial manufacturing, particularly in electric vehicle battery welding and 3D printing. Rising demand for high-precision materials processing and growing investments in Industry 4.0 technologies also contribute to the segment's 9% growth.

Segment nΒ°4 -> Laser and Non-Laser Systems

Expected Growth : 6 %

What the company do ?

IPG Photonics Corporation offers Laser Systems, which use high-powered lasers for material processing, and Non-Laser Systems, which utilize non-laser technologies for material processing and surface treatment.

Why we expect these perspectives ?

IPG Photonics' Laser and Non-Laser Systems growth is driven by increasing adoption in industrial materials processing, rising demand for high-power lasers in metal cutting and welding, and growing use in medical and aerospace applications. Additionally, advancements in fiber laser technology, expanding market share in Asia, and strategic acquisitions contribute to the 6% growth.

Segment nΒ°5 -> Medium Power CW Lasers

Expected Growth : 7 %

What the company do ?

Medium Power CW Lasers from IPG Photonics Corporation are high-performance, continuous-wave lasers offering 100-500W output power for material processing and micro-materials processing applications.

Why we expect these perspectives ?

The 7% growth of Medium Power CW Lasers from IPG Photonics Corporation is driven by increasing demand for precision material processing, rising adoption in automotive and aerospace industries, and growing need for high-precision welding and cutting applications. Additionally, advancements in laser technology and decreasing costs are making these lasers more accessible to a wider range of industries and applications.

Segment nΒ°6 -> Quasi-Continuous Wave (QCW) Lasers

Expected Growth : 8 %

What the company do ?

IPG Photonics' Quasi-Continuous Wave (QCW) Lasers offer high-power, high-repetition-rate pulses for material processing, welding, and surface treatment applications.

Why we expect these perspectives ?

IPG Photonics' Quasi-Continuous Wave (QCW) Lasers' 8% growth is driven by increasing adoption in industrial material processing, rising demand for high-precision welding and cutting, and growing use in medical and aesthetic applications. Additionally, advancements in laser technology, expanding market share, and strategic partnerships contribute to the segment's growth.

Ipg Photonics Corporation Products

Product Range What is it ?
High-Power Laser Systems IPG Photonics' high-power laser systems are designed for material processing applications, offering high beam quality, high power, and high reliability.
Pulsed Laser Systems IPG Photonics' pulsed laser systems provide high peak power and short pulse duration, ideal for applications requiring high precision and minimal heat input.
Quasi-CW Laser Systems IPG Photonics' quasi-CW laser systems offer high average power and high beam quality, suitable for applications requiring high precision and high throughput.
Single-Mode Fiber Lasers IPG Photonics' single-mode fiber lasers provide high beam quality, high power, and high reliability, ideal for applications requiring high precision and minimal heat input.
Multi-Mode Fiber Lasers IPG Photonics' multi-mode fiber lasers offer high power, high reliability, and high efficiency, suitable for applications requiring high throughput and minimal maintenance.
Ultrafast Laser Systems IPG Photonics' ultrafast laser systems provide high peak power, short pulse duration, and high repetition rate, ideal for applications requiring high precision and minimal heat input.
Laser Systems for Medical Applications IPG Photonics' laser systems for medical applications provide high precision, high reliability, and high safety, suitable for applications such as ophthalmology, dermatology, and surgery.

IPG Photonics Corporation's Porter Forces

IPG Photonics Corporation has a low threat of substitutes due to its unique and patented fiber laser technology, which is difficult to replicate.

IPG Photonics Corporation's customers have some bargaining power due to the presence of a few large customers, but the company's diversified customer base and high-quality products mitigate this power.

IPG Photonics Corporation has a low bargaining power of suppliers due to its vertical integration and control over its supply chain, reducing dependence on external suppliers.

IPG Photonics Corporation has a low threat of new entrants due to the high barriers to entry in the fiber laser industry, including significant capital requirements and technological expertise.

IPG Photonics Corporation operates in a competitive industry, but its strong market position, patented technology, and diversified product portfolio help to mitigate the intensity of rivalry.

Capital Structure

Value
Debt Weight 0.75%
Debt Cost 9.81%
Equity Weight 99.25%
Equity Cost 9.81%
WACC 9.81%
Leverage 0.76%

Historical Valuation

Price/Earnings Ratio

Margin Valuation

Peers Valuation

Competitors

Company Rational
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ALGM Allegro MicroSystems, Inc. designs, develops, manufactures, and markets sensor integrated circuits (ICs) and application-specific analog power ICs for motion control and energy-efficient systems. Its products include magnetic sensor ICs, such …

Peers Metrics

DCF BETA

Parameters

Short Term Growth
Short term Time
Long-Term Growth
WACC
Target Price
73.33$
Current Price
73.33$
Potential
-0.00%

Expected Cash-Flows

Scoring Insights

Peers Group Analysis

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