MACOM Technology Solutions Holdings, Inc. (MTSI) - Stock Analysis
Last updated: Sep 20, 2026
Research Idea
Research content for general circulation. Not individualized advice. Methodology & Disclosures
Q2 beat with EPS of $1.09 versus $1.07 consensus and revenue up 22.5% YoY to $289M. Q3 revenue guidance of $331M-$339M, record 1.5:1 book-to-bill, record backlog, improving margins, strong free cash flow, and about 38.6% 21-day momentum support near-term continuation.
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AI Analyst Overview
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Valuation Metrics
Fundamental Analysis
Key Financial Insights: ⢠Earnings Rebound ⢠Debt Reduction ⢠Liquidity Decline MTSI's strong quarterly earnings, margins, cash flow, and lower debt signal recovery, but weakened liquidity, past losses, and extremely high valuation multiples warrant caution.
Price Behavior
Key Price Behavior Insights: ⢠Volatile rebound ⢠Key resistance ⢠Support watch Support Level: $257â$252 (stronger: $240) Resistance Level: $286â$293 MTSI's last-month rebound to $275.86 is constructive, but investors should watch $286â$293 resistance and $257â$252 support amid elevated volatility.
Sentiment & News
Key News Insights: ⢠Institutional Buying ⢠AI Connectivity ⢠Valuation Concern MACOM's AI-driven optical connectivity launches and institutional buying support long-term growth, though elevated valuation and recent weakness warrant caution.
AI Summary
MACOM has shifted into an AI-optical connectivity growth story, with accelerating Data Center demand and margin expansion supporting upside, but its premium valuation leaves little room for delays in 1.6T/3.2T product ramps or a hyperscaler spending slowdownâmaking sustained bookings, utilization, and volume conversion the key buy/hold proof points.
Description
MACOM Technology Solutions designs and manufactures analog semiconductor components for wireless, wireline and optical applications across RF, microwave, millimeter-wave and lightwave frequencies. Its product range includes standard and custom active and passive RF/optical devices, multi-chip modules and subsystems that are incorporated into wireless base stations, high-capacity optical networks, radar, medical equipment and test systems. The company supplies telecommunications, industrial and defense, medical and data center markets through a mix of direct sales, applications engineering, independent representatives and distribution; it was founded in 1950 and is headquartered in Lowell, Massachusetts.
Idea History
| Date | Close | Ticker | Company | Summary | Status | P/L |
|---|---|---|---|---|---|---|
| May 15 | May 22 | MTSI | MACOM Technology Solutions Holdings, Inc. | Q2 beat with EPS of $1.09 versus $1.07 consensus and revenue up 22.5% YoY to $289M. Q3 revenue guidance of $331M-$339M, record 1.5:1 book-to-bill, record backlog, improving margins, strong free cash flow, and about 38.6% 21-day momentum support near-term continuation. | Closed | +2.8% |