indie Semiconductor, Inc. — financial distress indicators
Financial-health summary
indie Semiconductor, Inc.'s reported numbers place it in the 'Watch' financial-health band (distress score 35/100). The main indicators are losses in each of the last 3 years, operations consume cash and cash runway under 24 months.
Stress by dimension
Share price — last 12 months
Indicators behind the score
Each red flag shows the evidence from the company’s own filings and the financial or legal principle behind it. Points add to the 0–100 score.
Net income negative in 3 of 3 fiscal years.
Persistent losses erode equity and the capacity to absorb shocks.
Operating cash flow negative in 3 of the last 3 years.
A business that cannot fund itself from operations depends on external capital to survive.
Cash covers ~23 months of free-cash-flow burn.
Funding needs within two years make the company dependent on capital-market access.
Operating margin fell from -61% to -71% in two years.
Sharp margin compression signals loss of pricing power or cost control.
Revenue vs net income
Cash generation
Debt vs cash vs equity
✅ Mitigating factors
- No material mitigating factors found in the available data.
📰 Recent news scan
- India's Sensex slumps to 32-month low on oil surge, foreign exodus - ReutersGoogle News · 2026-10-08
- India's GDP is booming, but stock market is crashing: What's going wrong? - The Times of IndiaGoogle News · 2026-10-08
- India’s Stock Traders Find Another Way to Bet, and Lose, Their Money - Bloomberg.comGoogle News · 2026-10-05
- The battle between India’s stock exchanges is heating up again - The EconomistGoogle News · 2026-09-24
- National Stock Exchange of India Rises in Trading Debut - WSJGoogle News · 2026-09-24
- Indie Semiconductor (INDI) Stock Valuation Reassessed After Recent Pullback And Bearish Fair Value Narrative - Yahoo FinanceGoogle News · 2026-06-12
⚖️ U.S. legal pathway — Title 11, U.S. Code
Which chapter would apply?
- Chapter 11 — reorganisation. Management usually stays in control as debtor-in-possession; the automatic stay (§362) halts collection; a plan must meet the best-interests test (§1129(a)(7)) and the absolute priority rule (§1129(b)) — creditors are paid before shareholders, who are frequently wiped out.
- Chapter 7 — liquidation. A trustee sells assets and distributes proceeds by statutory priority (§§507, 726).
- Subchapter V (“Chapter 5”) is a fast track for small-business debtors under a statutory debt cap, but SEC-reporting companies are excluded (§101(51D)) — so it rarely applies to listed companies.
What typically triggers a filing
- Payment default or covenant breach lenders will not waive; a debt maturity that cannot be refinanced.
- Auditor going-concern doubt (ASC 205-40 / PCAOB AS 2415) — often itself a default trigger in loan agreements.
- Creditors can force a case with an involuntary petition (§303) if debts are not paid as they come due.
- Delisting after sustained sub-$1 prices or equity deficits cuts off equity funding.
Transactions shortly before filing can be clawed back (preferences — 90 days, §547; fraudulent transfers — 2 years, §548).
Frequently asked questions
What do indie Semiconductor, Inc.'s financial-health indicators show?
As of 2026-10-08, indie Semiconductor, Inc.'s public financial data places it in the 'Watch' band with a distress score of 35/100, driven by losses in each of the last 3 years, operations consume cash and cash runway under 24 months. This is a statistical screen of reported numbers — it does not mean the company is insolvent, has defaulted or will enter insolvency proceedings.
What is indie Semiconductor, Inc.'s financial distress score?
35/100 ('Watch').
What works in indie Semiconductor, Inc.'s favour?
No material mitigating factors were found in the available data.
How are shareholders treated if a company enters insolvency?
In a Chapter 11 reorganisation the absolute priority rule pays secured lenders, then unsecured creditors, before shareholders — so existing shares are usually cancelled or heavily diluted. In Chapter 7 the company is liquidated and shareholders rarely recover anything.
Other Semiconductor companies with distress indicators
- GCT Semiconductor Holding, Inc. (GCTS)Very weak 72/100
- Wolfspeed, Inc. (WOLF)Very weak 70/100
- Fabric.AI, Inc. (FABC)Weak 65/100
- SmartKem, Inc. (SMTK)Weak 65/100
- Peraso Inc. (PRSO)Weak 63/100
- POET Technologies Inc. (POET)Weak 50/100
Methodology
Score = capped sum of rule-based red flags across seven dimensions (liquidity, solvency, profitability, cash flow, sales trend, market signal, news). Ohlson O-score (1980) gives an accounting-based 1-year failure probability; Merton distance-to-default (Bharath & Shumway 2008) gives a market-implied probability. Financial institutions use a capital-based rule set. Recalculated every trading day from the latest filings, prices and news.