Stock fact sheet · data as of
Veeco Instruments Inc. (VECO): fair value, margin of safety and Wheel Score
Ticker symbol VECO · Technology · Semiconductors · United States · Blend
Is VECO undervalued?
VECO closed at 36.00 on 5 Nov 2026, more than 30% above the GLS average fair value of 17.03. Only 1 of the 8 models that produced a value sit above the price. By our models the shares are priced well beyond what the filed earnings, cash flow and book value support; the "below fair value" Wheel Trade Filter keeps names like this under 70.
There is a wide gap between EPV (4.78) and 10 Cap (43.13). When the models are this far apart the "fair value" is really a range, and the margin of safety above should be read with that range in mind.
Ranked against every other company we cover, neither cheapness nor growth clearly wins for VECO, so the nightly engine files it under Blend (value score 24, growth score 28, out of 100).
Nine valuation models for VECO
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | 7.89 | -78% | Present value of the projected free cash flows, discounted at the cost of capital |
| Graham Number | 12.10 | -66% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 24.60 | -32% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 10.75 | -70% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 5.70 | -84% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 43.13 | +20% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 27.26 | -24% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | - | - | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend; no value tonight |
| EPV | 4.78 | -87% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | 6.64 | -82% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 48.33 | +34% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
Veeco Instruments Inc. scores only 4 of 9 on the Piotroski F-score, which fails the "Piotroski 6 or more" Wheel Trade Filter. A reading this low means several of the basic tests - positive earnings, positive operating cash flow, falling debt, no new share issuance - are not met. A GLS Moat score of 4.7/10 is a weak reading: the accounts do not show returns and margins that competitors have been unable to wear down, so the Moat part of the Wheel Score contributes little.
Returns on capital are thin or negative - ROIC 3.1%, ROE 4.0%, ROA 2.7% - with debt at 0.30 times equity and a free-cash-flow yield of 5.7%.
Veeco Instruments Inc. pays no dividend, so the DDM model does not apply and a covered-call holder earns only the premium and any price gain. Revenue comes mainly from Semiconductor 68%, Data Storage 12%, Compound Semiconductor 11% (quarter Q2 FY2026).
Institutional ownership scores 10/10, insider activity 1/10 and Congressional trading 5/10 on the GLS smart-money scales.
| Piotroski F-score | 4 / 9 | ROIC | 3.1% |
|---|---|---|---|
| GLS Moat | 4.7 / 10 | ROE | 4.0% |
| Debt / equity | 0.30 | ROA | 2.7% |
| Free-cash-flow yield | 5.7% | Payout ratio | 0% |
| Institutions | 10 / 10 | Insiders · Congress | 1 · 5 / 10 |
Wheel Score 25: Weak
With a Wheel Score of 25 Veeco Instruments Inc. sits in the Weak band. It fails filter 1, options that actually trade - options too quiet (803 open interest, 498 a day); and filter 3, below fair value - trades 111% above our fair value; and filter 4, financially healthy - Piotroski 4/9 (under 6); and filter 5, can repay its debt - 3.5 years to repay its debt (over 3); and filter 7, a premium worth selling - implied volatility 83% (over 80%); Value (weak) is its weakest part.
Implied volatility is 83%, above the 80% ceiling of the Wheel Trade Filter on premium. The premium looks generous, but moves of that size can blow through any strike. Chain open interest is thin - 803 contracts across every expiry - so fills at a fair price are not guaranteed; a 30-45-day put may not exist at a usable strike.
Volume runs at 1.5M shares a day on a market cap of $2.2B, with a beta of 1.40 - a high beta, so the stock tends to move more than the market and a strike can be gapped through; the Stability part of the Wheel Score rates that fair.
| Filter | Wheel Trade Filter | Result | Detail |
|---|---|---|---|
| 1 | Options that actually trade | Fails | options too quiet (803 open interest, 498 a day) |
| 2 | A real business, not a gamble | Passes | Profitable over the last twelve months - not a speculative stock, fund or note |
| 3 | Below fair value | Fails | trades 111% above our fair value |
| 4 | Financially healthy | Fails | Piotroski 4/9 (under 6) |
| 5 | Can repay its debt | Fails | 3.5 years to repay its debt (over 3) |
| 6 | No serious red flags | Passes | Red Flags score 60 or more out of 100 (earnings, margins, debt, analysts, filings and price checked the same way for every stock) |
| 7 | A premium worth selling | Fails | implied volatility 83% (over 80%) |
| 8 | Big enough | Passes | Market cap $1 billion or more |
| 9 | Not a penny stock | Passes | Share price $5 or more |
| How it ranks | Rating | From | |
|---|---|---|---|
| Value | Weak | 111% above fair value | |
| Premium | Fair | implied volatility 83% | |
| Moat | Fair | moat 4.7/10 | |
| Health | Fair | Piotroski 4/9 | |
| Red Flags | Good | Red Flags score 80/100 | |
| Option trading | Weak | 498 contracts a day, 803 open interest | |
| Stability | Fair | beta 1.40, $2.2B company |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls: a stock must pass all 9 Wheel Trade Filters to score 70, and the score then ranks the ones that pass; the Sunday Scan is the top 10. It is updated nightly and is not a recommendation. How the Wheel Score works · the walkthrough lesson shows how it fits into a trade, start to finish.
Upcoming events
No upcoming earnings date is recorded for VECO in the nightly calendar.
No analyst upgrades or downgrades were recorded in the last 30 days.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Semiconductors
The 12 companies below are the closest to Veeco Instruments Inc. by market cap within the Semiconductors industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
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|---|---|---|---|---|---|
| NLST Netlist, Inc. | 5.99 | 0.0304 | -19591% | 14No options | $2.2B |
| UCTT Ultra Clean Holdings, Inc. | 44.04 | 10.80 | -308% | 25Weak | $2.1B |
| COHU Cohu, Inc. | 43.98 | 18.17 | -142% | 22Weak | $2.1B |
| OUST Ouster, Inc. | 33.54 | - | - | 20Weak | $2.4B |
| AEHR Aehr Test Systems | 60.84 | 2.30 | -2541% | 21Weak | $2.0B |
| NVTS Navitas Semiconductor Corp | 9.33 | - | - | 20Weak | $2.4B |
| PENG Penguin Solutions, Inc. | 48.35 | 81.39 | +41% | 37Weak | $2.5B |
| LASR nLIGHT, Inc. | 32.99 | 19.00 | -74% | 21Weak | $1.9B |
| POWI Power Integrations, Inc. | 46.80 | 20.64 | -127% | 35Weak | $2.6B |
| HIMX Himax Technologies, Inc. | 10.44 | 4.83 | -116% | 33Weak | $1.8B |
| AMBA Ambarella, Inc. | 60.92 | 7.60 | -702% | 24Weak | $2.7B |
| IMOS ChipMOS TECHNOLOGIES Inc. | 51.19 | 40.18 | -27% | 33Weak | $1.8B |
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A free GLS Equity account gets you nightly fair value and the Wheel Score on ~7,400 US stocks, a watchlist, the scanner preview and the Sunday Scan - the top 10 stocks that pass all 9 Wheel Trade Filters, emailed every week. Pro adds the full put and call scanners, unlimited watchlists with alerts and the trade journal.
Start free See the Sunday ScanQuestions about VECO
Is VECO undervalued right now?
No: at 36.00 the stock trades 111% above the GLS average fair value of 17.03 (data as of 5 Nov 2026), well beyond what trailing earnings, cash flow and book value support.
What is the Wheel Score of VECO and what does it mean?
VECO scores 25 out of 100 (Weak) - it fails Wheel Trade Filters 1, 3, 4, 5, 7. The Wheel Score ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned - in two parts: the 9 pass/fail Wheel Trade Filters (busy options, a real business, below fair value, Piotroski 6 or more, debt it can repay, a Red Flags score of 60 or more, implied volatility of 25-80%, a $1 billion company, $5 a share) and a ranking of how strongly a stock passes on value, premium, moat, health, red flags, option trading and stability. A stock that fails any filter stays under 70; 70-84 is Good, 85 and above is Prime. The Sunday Scan is the top 10 that pass, sorted by Wheel Score.
What is the GLS fair value for VECO?
17.03 per share as of 5 Nov 2026 - the simple average of the 8 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Veeco Instruments Inc. report earnings next?
No upcoming earnings date is recorded for VECO in our calendar as of 5 Nov 2026; the Calendars page is refreshed every morning.
Does VECO have listed options, and how liquid are they?
Yes. The nightly snapshot found 108 listed contracts with 803 open interest across all expiries and implied volatility of 83% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.