NXP Semiconductors N.V. (NXPI) is listed on NASDAQ and operates in the Semiconductors industry (Technology sector).
NXP Semiconductors N.V. offers various semiconductor products. The company's product portfolio includes microcontrollers; application processors, including i.MX application processors, and i.MX 8 and 9 family of applications processors; communication processors; wireless connectivity solutions, such as near field communications, ultra-wideband, Bluetooth low-energy, Zigbee, and Wi-Fi and Wi-Fi/Bluetooth integrated SoCs; analog and interface devices; radio frequency power amplifiers; and security controllers, as well as semiconductor-based environmental and inertial sensors, including pressure, inertial, magnetic, and gyroscopic sensors. The company's product solutions are used in a range of applications, including automotive, industrial and Internet of Things, mobile, and communication infrastructure. The company markets its products to various original equipment manufacturers, contract manufacturers, and distributors. It operates in China, the Netherlands, the United States, Singapore, Germany, Japan, South Korea, Malaysia, and internationally. The company was formerly known as KASLION Acquisition B.V and changed its name to NXP Semiconductors N.V. in May 2010. NXP Semiconductors N.V. was incorporated in 2006 and is headquartered in Eindhoven, the Netherlands.
| Rating | Analysts |
|---|---|
| Strong Buy | 0 |
| Buy | 32 |
| Hold | 12 |
| Sell | 2 |
| Strong Sell | 0 |
NXP Semiconductors N.V., headquartered in Eindhoven, the Netherlands, is a prominent player in the semiconductor industry. Established in 2006, the company provides a diverse range of semiconductor products. Its offerings include microcontrollers, application processors, communication processors, and wireless connectivity solutions such as near field communications, ultra-wideband, Bluetooth low-energy, Zigbee, and integrated Wi-Fi/Bluetooth systems. Additionally, NXP produces analog and interface devices, radio frequency power amplifiers, and security controllers. The company also offers semiconductor-based environmental and inertial sensors, including pressure, inertial, magnetic, and gyroscopic sensors. NXP's products are utilized across various sectors, including automotive, industrial, Internet of Things, mobile, and communication infrastructure. The company serves original equipment manufacturers, contract manufacturers, and distributors. NXP operates globally, with a presence in countries such as China, the United States, Singapore, Germany, Japan, South Korea, and Malaysia. Originally known as KASLION Acquisition B.V., the company adopted its current name in May 2010.
Over the past three fiscal years, the company has experienced a consistent decline in revenue, decreasing at a compound annual growth rate (CAGR) of -3.9% from $13.28 billion in 2023 to $12.27 billion in 2025. This decline in revenue has been accompanied by a decrease in profitability, as evidenced by the operating margin, which compressed by 0.6 percentage points from 27.6% to 26.9%, and the net margin, which fell by 4.6 percentage points from 21.1% to 16.5%. Earnings per share (EPS) also declined significantly at a CAGR of -13.8%, dropping from $10.70 to $7.95. Despite these challenges, the company maintained positive free cash flow (FCF), which remained relatively stable, ending at $2.42 billion in 2025 with an FCF margin of 19.7%. The cash conversion ratio (CCR) improved to 1.40, indicating that earnings are well-supported by cash flows. However, the company's net debt position increased consistently, rising from $7.53 billion to $8.96 billion, reflecting a growing leverage. Capital efficiency metrics showed a decrease in asset turnover to 0.48, while the return on invested capital (ROIC) also declined to 12.5%, suggesting reduced efficiency in generating returns from its investments. Despite these headwinds, the company managed to reduce its capex intensity to 3.2%, indicating a more capital-light operational model.
Recent developments for NXP Semiconductors (NXPI) have been dominated by financial and strategic updates. The company is expected to report earnings growth, as highlighted by Zacks Investment Research on April 21, despite previous concerns about its automotive segment's performance. Analysts have reacted to these expectations with a double downgrade from Barrons on April 17, suggesting Texas Instruments as a preferable investment. Strategically, NXP announced on April 20 the redemption of $750 million in 3.875% senior notes due June 2026, a move that could impact its financial leverage and interest expenses. In terms of trading activity, Cardinal Capital Management Inc. increased its stake by purchasing 25,477 shares, while CCLA Investment Management reduced its holdings, reflecting mixed institutional sentiment. Additionally, Wellington Management Group and State Street Corp have adjusted their positions, with Wellington acquiring over 1.3 million shares, indicating confidence in NXP's long-term prospects. These developments suggest a period of strategic financial management and mixed market sentiment as the company navigates its growth trajectory amidst sector challenges.