QM · rank #11 · 2026-10-26
ELG
XETRA · EUR · $2.47B (USD)
The exact numbers the algorithm saw.
| Momentum 12-1 Return from 12 months ago to 1 month ago. | +81.50% |
|---|---|
| ROE TTM Return on equity, trailing 12 months. | +18.0% |
| Profit margin Net profit margin, trailing 12 months. | +16.4% |
| Market cap (USD) Size filter: > $300M required (USD-equivalent). | $2.47B |
| Anchor (recent) Close on 2026-09-25 | $146.00 |
| Anchor (far) Close on 2025-09-26 | $80.44 |
The AI research card
Independent qualitative review of each pick before the order is placed. On the rare day the research service is unavailable, the paper book trades on the quant ranking alone and no card appears here.
Summary
Elmos Semiconductor SE is a fabless automotive mixed-signal IC specialist generating ~92% of revenue from automotive applications including ADAS, motor control, lighting, and ultrasonic sensing.
Rationale
The momentum_12_1 of 0.82 aligns with a fundamental inflection — H1 2026 revenue +15.4% YoY and EBIT margin expanding to 24.1% as automotive inventory destocking ends — while ROE of 18% and profit margin of 16.4% confirm the quality screen is grounded in real earnings power, not sector rotation alone.
Material risks
- 1No demonstrated sole-supplier position means Tier 1s and OEMs can qualify competing analog/mixed-signal vendors (ams-OSRAM, Texas Instruments, Infineon) for equivalent functions, capping pricing power and making the moat narrower than the world-market-leader label implies.
- 292% automotive revenue concentration leaves ELG acutely exposed to a renewed OEM/Tier 1 inventory correction or a China demand reversal, either of which could rapidly unwind the H1 2026 earnings inflection that is driving both the momentum and quality signals.
AI verdict council
Each pick is reviewed independently by 3 models before any order. 3 of 3 voted to proceed.