| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 12 | 177.1x | 17.6x | Bottom tier | |
Growth | 91 | 23.0% | 7.1% | Top tier | |
Quality | 44 | 3.4% | 4.5% | Around median | |
Safety | 62 | — | 2.6x | Around median | |
Capital Return | 50 | — | 2.15% | Around median | |
Momentum | 72 | 164.7% | 2.3% | Top tier | |
Sentiment | 34 | 3 | 3 | Bottom tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
PDF Solutions provides a commercial platform for data analytics and mission-critical operating software for the semiconductor industry. Its revenue sources include Exensio solutions for test and characterization analytics, Cimetrix software for factory and equipment control, the secureWISE ecosystem for secure remote access to and monitoring of manufacturing equipment, and eProbe systems for defect inspection and linking inspection results with design and process data. The company also generates revenue tied to customer usage volumes and shipments, including gainshare revenue, although this portion is more volatile and is not included in backlog.
In Q1 fiscal 2026, non-GAAP revenue was $60.1 million, up 26% year over year. Platform revenue was $50.9 million, or approximately 85% of the total, and grew 36%, supported by advanced solutions, Exensio, and the inclusion of a full quarter of secureWISE revenue; meanwhile, volume-related revenue declined 12% to $9.2 million due to lower gainshare. Backlog was $246 million, up 9% year over year.
Non-GAAP gross margin was 76% in Q1 fiscal 2026, compared with 77% in the previous quarter, while operating margin increased to 25% from 24% in the previous quarter and 18% in the comparable period. The company generated approximately $15 million in operating profit, up 75% year over year, and net income was $12.6 million, or $0.31 per share, compared with $8.1 million, or $0.21 per share, in Q1 fiscal 2025.
Automated analysis for informational purposes only — not investment advice.
The analyst consensus is “Buy,” with an average target of $63 and a range of $50 to $74; the average is below the top of the 52-week range of $71.69, while the highest target exceeds that peak. The $24 target spread reflects differing assessments of PDF Solutions' ability to sustain growth of approximately 20% and reach a 77% gross margin and a 27% operating margin, particularly given the volatility of volume-related revenue and increased spending on eProbe.
Figures in the text are as of 2026-09-01; the live price is shown at the top of the page.
Non-GAAP revenue increased 26% year over year to $60.1 million. Platform revenue led the growth, increasing 36% to $50.9 million, driven by Exensio solutions, advanced solutions, and the inclusion of a full quarter of secureWISE. Bookings included an Exensio Test Operations contract worth more than ten million dollars, a renewal with a major fabless customer, and control software for a large factory in Asia.
One eProbe system was shipped in Q1 fiscal 2026, and management expected it to begin contributing to revenue in Q2 fiscal 2026. The company is targeting shipments of six systems during fiscal 2026, including five revenue-generating systems and one demonstration system, with two allocated to new customers and four to existing customers. Management expects to end fiscal 2026 with approximately ten systems operating under subscription out of twelve systems, compared with five subscription systems out of six at the end of fiscal 2025.
The company is developing AI-powered Exensio analytics systems, which were announced in December 2025 and remained on track during Q1 fiscal 2026. Management is targeting a beta release in Q3 fiscal 2026 to interpret test vehicle data, extract signals, and link them to chip design. It is also building AI capabilities into eProbe to understand the relationship between detected defects and design and interconnected layers, while secureWISE enables equipment data to be transmitted securely for analysis and for enhanced models and services to be returned to factories.
Non-GAAP operating margin was 25%, compared with 24% in the previous quarter and 18% in Q1 fiscal 2025. Operating profit reached approximately $15 million, up 75% year over year, and net income increased 56% to $12.6 million. Meanwhile, gross margin was 76% compared with 77% in the previous quarter, while the company's long-term targets are a 77% gross margin and a 27% operating margin.
53% of fiscal 2025 revenue came from the three largest customers, creating exposure to the timing of renewals and spending among a limited number of customers. Volume-related revenue also declined 12% to $9.2 million in Q1 fiscal 2026 due to lower gainshare. Management explained that this revenue depends on customer shipment volumes and data and chip usage and is not included in the $246 million backlog.
secureWISE provides secure remote access to manufacturing equipment with an auditable record showing who accessed the data and machine and when. Management said on the May 8, 2026 call that Intel discussed standardizing its usage on secureWISE, and that this supported interest from additional equipment suppliers. The product's business also expanded to factory owners, OSAT companies, and fabless companies, with trials connecting front-end manufacturing to back-end packaging and testing.
