Qnity Electronics (Q)
PROVISIONAL label — no P/E evidence exists, so this rests on sales multiples: P/S 4.77x is 0.44x the peer median P/S of 10.85x, computed from the peers' own valuation files (TER 10.12x, KLAC 14.77x, LRCX 11.51x, AMAT 10.19x), a discount of more than half. Latest-quarter revenue grew +22.1% year over year (PRIMARY/EDGAR), so the discount is not explained by collapsing sales. Delivered demand check: the cluster median grew +24.8% year over year — demand rising, and Qnity is growing close to that pace. The discount may partly reflect lower materials margins versus equipment peers, which is why the label stays PROVISIONAL until P/E evidence is available.
What would change this label: The PROVISIONAL label is replaced by a firm one as soon as trailing and forward P/E are captured: a forward P/E at or below about 23.8x (0.90x the peer median forward P/E of 26.45x in the brief) with growth holding above +15% would confirm UNDERVALUED, while a forward P/E above about 30.4x (1.15x that median) would move it to FAIRLY PRICED or OVERVALUED. On sales multiples alone, a P/S re-rating above about 7x, or revenue growth falling below 0% year over year, would also remove the undervalued case.
Qnity, a chip-materials business spun off from DuPont in late 2025, trades at about 5 times its sales while similar chip-equipment companies trade at about 11 times sales, and its sales grew about 22%. That looks cheap, but we could not obtain its profit-based price ratios, so this verdict is provisional until those are checked.
Both lines start at 100 on 2025-10-27. Over the full window Qnity Electronics returned +24.61% and the S&P 500 +12.32% (price returns; dividends not reinvested). Worst peak-to-trough fall for Qnity Electronics: -38.1% (2026-06-22 to 2026-10-22). Source: Nasdaq official daily history.
What the label rests on
PROVISIONAL label — no P/E evidence exists, so this rests on sales multiples: P/S 4.77x is 0.44x the peer median P/S of 10.85x, computed from the peers' own valuation files (TER 10.12x, KLAC 14.77x, LRCX 11.51x, AMAT 10.19x), a discount of more than half. Latest-quarter revenue grew +22.1% year over year (PRIMARY/EDGAR), so the discount is not explained by collapsing sales. Delivered demand check: the cluster median grew +24.8% year over year — demand rising, and Qnity is growing close to that pace. The discount may partly reflect lower materials margins versus equipment peers, which is why the label stays PROVISIONAL until P/E evidence is available. The company’s forward P/E is — against a peer median of —. Its own history: UNVERIFIED — no sourced range available. Sector demand read: Delivered demand check: the Semiconductor equipment & materials group's median latest-quarter revenue growth was 24.8% year over year (SEC filings) — demand rising. Latest-quarter sales growth was +22.1% versus a year earlier (SEC filings).
| Company | Price (Oct 27, 2026) | Forward P/E | Trailing P/E |
|---|---|---|---|
| Qnity Electronics (Q) | $118.75 | — | — |
| TER | $323.68 | 31.2× | 37.1× |
| KLAC | $157.21 | 28.8× | 43.0× |
| LRCX | $248.30 | 24.1× | 37.0× |
| AMAT | $405.78 | 23.0× | 35.0× |
| Peer median | — |
Multiples: stockanalysis.com (SECONDARY, S&P Global data), fetched Oct 28, 2026. Peer set chosen by sector; the median is the middle value of the set. The label and its numbers were recorded in the programme’s label registry on Oct 28, 2026 and will be scored at 6 and 12 months.
Sales, profit and cash
This company does not report a gross-profit line in its SEC facts (normal for banks, payment networks and some health insurers), so profit is shown as net income instead — gross margin is marked UNVERIFIED-absent rather than estimated.
Free cash flow = cash from operations minus spending on plant and equipment, both from the company’s SEC cash-flow statement. Gaps are quarters where that spending line is not separately tagged in the filings — shown as gaps, never estimated.
| Quarter | Sales | Gross margin | Net income | EPS (GAAP, diluted) | Free cash flow |
|---|---|---|---|---|---|
| Q/E Jun 2026 2026-06-30 | $1.4B | — | $124M | 0.59 | $151M |
| Q/E Mar 2026 2026-03-31 | $1.3B | — | $151M | 0.72 | $13M |
| Q/E Dec 2025 2025-12-31 | $1.2B | — | $137M | — | $420M |
| Q/E Sep 2025 2025-09-30 | $1.3B | — | $211M | 1.01 | $241M |
| Q/E Jun 2025 2025-06-30 | $1.2B | — | $188M | 0.90 | $224M |
| Q/E Mar 2025 2025-03-31 | $1.1B | — | $193M | 0.92 | $103M |
| Q/E Dec 2024 2024-12-31 | $1.1B | — | $221M | — | $220M |
| Q/E Sep 2024 2024-09-30 | $1.1B | — | $199M | 0.95 | — |
The last twelve reported quarters. Full 8-quarter history sits in the data pack behind this page. A dash means the figure is not tagged as a standalone quarter in the company’s SEC facts (the usual case is the fourth quarter, which many companies only report inside the full-year filing) — it is missing, not zero.
Earnings: getting better or worse?
Each box is one quarter’s earnings per share (EPS). Green means EPS was higher than the same quarter a year earlier; red means lower; a dash means the figure is not tagged in the filings.
Basis: GAAP diluted EPS from SEC company facts, compared with the same quarter a year earlier.
Key facts
| Item | Value |
|---|---|
| Company (legal name in filings) | Qnity Electronics, Inc. |
| Chief executive | Jon Kemp (source: https://www.qnityelectronics.com/leadership/jon-kemp.html) |
| Sector | Technology — Semiconductor Materials & Equipment — sells electronic materials used in semiconductor fabrication and advanced packaging |
| Share price (Oct 27, 2026) | $118.75 |
| Market value (market cap) | $24.8B — share price times shares outstanding of 209,208,543 (SEC filings; SEC EDGAR dei EntityCommonStockSharesOutstanding (latest)) |
| Sales, last twelve months | $5.2B |
| Net income, last twelve months | $623M |
| Free cash flow, last twelve months | $825M |
| Latest reported quarter | Q/E Jun 2026 (of 8 quarters in the data pack) |
| Six-year price return vs S&P 500 | +24.61% vs +12.32% |
| Worst peak-to-trough fall | -38.1% (2026-06-22 to 2026-10-22) |
What we could not verify
- Gross profit / gross margin: not tagged as a standalone line in this company's EDGAR company facts (common for banks, payment networks and some healthcare payers) — shown as UNVERIFIED-absent; the page charts revenue and net income instead.
- TTM GAAP diluted EPS could not be summed from company facts because at least one of the last four quarters (typically Q4) has no standalone tagged EPS; trailing P/E is therefore taken from the labelled secondary source in valuation_label.md.
- Free cash flow is absent for one or more quarters: either the filer does not separately tag PP&E purchases in its EDGAR cash-flow facts (common for banks), or — for a successor registrant's newest quarter — the cash-flow lines are year-to-date without the prior-quarter rung needed to difference them. Affected quarters are null in the data, never estimated.
- Own-history P/E range not yet compiled for this company in the Phase 1 batch run; the label rests on peer-median, growth and PEG evidence.
- PROVISIONAL label: trailing P/E, forward P/E and PEG are missing (null) because the stockanalysis.com statistics page could not be opened — it returned a 429 rate limit after 3 attempts and was not retried — and the revenue page that supplied price, P/S and market cap did not print them; peer_median_forward_pe is therefore also set to null in this file and the label rests on the P/S comparison and revenue growth only.
- Qnity listed only in Nov 2025 as a spin-off from DuPont, so its own trading history is short (8 quarters in the brief) and no meaningful own-history multiple range exists yet.
- Statistics page open failed: browser_open returned 429 rate limit after 3 attempts and was not retried per instructions
- Exact search 'Q stockanalysis.com statistics' did not surface the Qnity statistics page (single-letter ticker collision); price, PS ratio and market cap are from the stockanalysis.com Qnity revenue page in search results; trailing PE, forward PE and PEG were not printed there, so recorded as null
- The brief supplied 4 peers (TER, KLAC, LRCX, AMAT) rather than 5; the peer median P/S of 10.85x is computed over those 4 names from their valuation_raw.json files.
- Guidance record (each quarter scored against the guidance the company gave the quarter before) is not yet compiled for this company — it is a Phase 2 layer. The earnings strip below therefore uses reported EPS versus a year earlier, which is fully sourced from filings.
The IT factor — the most exciting thing the market is overlooking — is not assessed on an X-Ray page. It belongs to the Deep Dive (Phase 2), where it gets the evidence standard it needs. Leadership-era scoring (the six years split by chief executive) is likewise a Phase 2 layer; this page names the current chief executive only, from a sourced profile.
Sources
- SEC EDGAR submissions — Filing index; company legal name.
https://data.sec.gov/submissions/CIK0002058873.json - SEC EDGAR company facts — Quarterly financial spine: revenue, gross profit, net income, GAAP diluted EPS, operating cash flow, PP&E capex, buybacks, dividends, diluted shares.
https://data.sec.gov/api/xbrl/companyfacts/CIK0002058873.json - Nasdaq official daily history — Daily closes for the company; SPY (assetclass=etf) saved as raw/nasdaq_spy_raw.json over identical dates.
https://api.nasdaq.com/api/quote/Q/historical?assetclass=stocks - Valuation multiples and peer figures — stockanalysis.com (SECONDARY, S&P Global data), fetched Oct 28, 2026; see valuation_label.md in the data pack.
Conventions: earliest-filed value per period, as first reported; cash-flow years-to-date differenced quarter by quarter; EPS never differenced; free cash flow = operating cash flow minus plant-and-equipment spending. This page is a dated snapshot — updates are new versions, never silent edits.