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what it is
It builds the plumbing that moves precise gases and chemicals inside semiconductor manufacturing tools.
how it gets paid
Last year Ichor made $948M in revenue. gas delivery subsystems was the main engine at $474M, or 50% of sales.
why it's growing
Revenue grew 11.6% last year. The 9.2% gross margin mattered most because every rebound story dies fast if production economics stay that thin.
what just happened
Revenue reached $724M, but EPS stayed negative at -$1.08.
At a glance
B balance sheet — gets the job done, barely
20/100 earnings predictability — expect surprises
8.9% return on capital — nothing to write home about
-$1.54 fy2025 eps est
$2B fy2026 rev est
xvary composite: 46/100 — below average
What they do
It builds the plumbing that moves precise gases and chemicals inside semiconductor manufacturing tools.
If your chip tool needs exact gas flow, you do not swap in random parts. A bad fluid subsystem can ruin the wafer. Ichor has 1,891 employees building these process-critical assemblies, and that niche still produced an 8.9% return on capital even with a 0.3% operating margin.
How they make money
$948M
annual revenue · their business grew +11.6% last year
gas delivery subsystems
$474M
chemical delivery subsystems
$237M
precision-machined components
$142M
weldments and welded components
$66M
other proprietary products and services
$29M
The products that matter
chemical and gas management systems
Fluid Delivery Subsystems
$~710M · ~75% of revenue
this is the core business, estimated at about $710M of the roughly $948M sales base shown here. if this segment does not recover with wafer fab equipment demand, the $2B FY2026 revenue story gets awkward fast.
core driver
gas panels and integrated modules
Critical Components
$~238M · ~25% of revenue
these parts make up the remaining roughly 25% of revenue, or about $238M. smaller piece, same problem: demand depends on semiconductor tool orders, not recurring software subscriptions.
cyclical
Key numbers
0.3%
operating margin
Jargon → operating margin → profit left after running the company → so what: Ichor is barely profitable even with $948M in annual sales.
$948M
annual revenue
The company is not small in sales terms. The problem is that almost none of that revenue is turning into profit.
8.9%
return on capital
Jargon → return on capital → profit earned on the money tied up in the business → so what: it is decent, but not high enough to excuse a 0.3% margin.
$117M
long-term debt
Long-term debt was $117M, or 8% of capital. So leverage is not the main problem. Profitability is.
Financial health
B
strength
- balance sheet grade B — adequate — nothing special
- risk rank 3 — safer than 50% of stocks
- price stability 10 / 100
- long-term debt $117M (8% of capital)
B — functional but not a standout on the balance sheet.
Total return vs. market
Return history isn't available for ICHR right now.
source: institutional data · return history unavailable
What just happened
missed estimates
Revenue reached $724M, but EPS stayed negative at -$1.08.
Sales were up 203% vs. prior year, but gross margin was only 9.2%. Jargon → gross margin → money left after production costs → so what: big revenue does not help much if the factory keeps most of it.
$237M
revenue
-$1.08
eps
9.2%
gross margin
the number that mattered
The 9.2% gross margin mattered most because every rebound story dies fast if production economics stay that thin.
source: company earnings report, 2026
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What could go wrong
the #1 risk is semiconductor equipment demand stalling before Ichor fixes its margins.
high
Demand recovery slips
The FY2026 revenue estimate is $2B, while the segment math shown here points to a roughly $948M current sales base. That gap is not small. It is the thesis.
If semiconductor tool demand stays soft, the recovery case weakens directly against that $2B expectation.
high
Gross margin stays thin
At 9.2% gross margin, Ichor has limited room for input cost pressure, manufacturing inefficiency, or pricing concessions.
Even if revenue improves, weak margin conversion can keep earnings disappointing.
med
CEO transition execution
A new CEO took over in November 2025 after the succession plan was announced in August 2025. New leadership is now being judged during a recovery setup, not during a calm period.
Execution misses would land at exactly the moment investors are expecting cleaner growth and better margins.
med
Cybersecurity and IT disruption
The 10-K cites cybersecurity threats and IT system failures as operational risks. For a manufacturer, that is not a paperwork issue. It is a production issue.
A serious disruption could interfere with a business currently running off a roughly $948M sales base.
If demand recovery slips and gross margin stays near 9.2%, the stock is left trading on hope more than earnings power.
source: institutional data · regulatory filings · risk analysis
Pay attention to
earnings
q1 2026 earnings report
Estimated report date is May 5, 2026. You want to see whether the post-beat optimism survives first contact with the next quarter.
margin
gross margin above 9.2%
This is the simplest health check on the story. Revenue recovery matters, but margin improvement is what turns activity into earnings.
recovery
path toward the $2B FY2026 estimate
Consensus expects a sharp rebound. If quarterly updates do not start lining up with that number, multiple expansion gets harder to defend.
execution
new CEO operating discipline
Leadership transitions are easy to praise and hard to measure. Watch for cleaner margin commentary, not just better adjectives.
Analyst rankings
earnings predictability
20 / 100
in human-speak, the street does not trust this earnings line to behave nicely from quarter to quarter.
source: institutional data
Institutional activity
institutional ownership data for ICHR is being compiled.
source: institutional data
Price targets
3-5 year target range
n/a
n/a
$42
current price
n/a
target midpoint · n/a from current
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