Forensic Analysis · Semiconductors · as of Aug 11, 2026
Formfactor Inc (FORM)
A forensic read on Formfactor Inc built from its complete SEC filings — financial-health screens, earnings quality, red flags and a price-aware rating. Reproducible math, not opinion.
D · Weak — demands caution
Forensic grade
Safe
Financial health
15.7
Distress distance
Clean
Earnings quality
4
Forensic signals
79.7
P / E (ttm)
5.3%
ROE
$9.0B
Market cap
2.8%
Revenue growth
This free snapshot doesn't read filing or proxy text, so the auditor-quality and governance checks that can lower a grade were not evaluated (red flags, auditor quality, say on pay, board independence). Those checks only ever lower a grade, so the full analysis can land below the grade above but never above it — treat it as the most favourable reading, not the settled one.
Formfactor Inc earns a D (Weak — demands caution) forensic quality grade, and its balance-sheet distress test reads 15.7, placing it in the Safe zone. 4 forensic signals were flagged in its latest SEC filings, led by accruals ratio (% of noa).
What the filings flag
+20.3%
FY2024→FY2025
Accruals ratio (% of NOA).Net operating assets grew +20.3% relative to their own average in FY2025 — scaled by NOA itself, not total assets (see the Forensic Screens card's differently-scaled Sloan Accrual Ratio for that read). Accruals are building sharply — a large slice of profit sits in operating assets, not cash; Richardson/Sloan link high accruals to weaker future returns as they reverse. The build is led by payables paid down 24% against +4% in cost of sales and PP&E up +23% against revenue +3%. The cash-flow cross-check is more mixed: reported earnings ran behind operating cash by 7% of net operating assets, diverging from the balance-sheet accrual read.
4.6%
FY2025
Return on invested capital.Return on invested capital is 4.6% in the latest fiscal year and slipping from 6% — well below its ~10% cost of capital, so reinvested dollars may be destroying value, not building it.
+0.0%/yr
FY2022–FY2025
Share count.Diluted share count changed +0% over the last 3 years to FY2025 (+0.0%/yr). Roughly flat — buybacks ($26M) are about offsetting stock comp ($39M), not shrinking the count. Per-share value isn't being meaningfully helped or hurt by the count.
224% of FCF
FY2025
Shareholder returns.Returned $26M to shareholders (buybacks + dividends) in FY2025 — 224% of free cash flow, but 23% of operating cash flow. Returns run ahead of free cash flow because the business is also funding heavy growth capex (usually debt-financed); the payout itself is covered by operating cash — sustainable as long as that spending is genuine expansion, not upkeep. Counting the $39M of stock-based comp paid out in shares on top of that, the combined claim on free cash flow is 552%.
Key fundamentals
Latest Revenue$785.0M
Revenue Growth YoY+2.8%
Revenue CAGR (3yr)+1.6%
Net Margin6.9%
Free Cash Flow$11.7M
Return on Equity5.3%
Debt / Equity0.01x
The forensic grade and screens above are free — no account needed. Want the AI investment read on top — the 0–100 rating, thesis, bull-vs-bear, red flags and the 12-month scenario, written from Formfactor Inc's actual 10-K/10-Q/8-K filings?