|
|
|
|
|||||
|
|
|
Quarterly earnings results are a good time to check in on a company’s progress, especially compared to its peers in the same sector. Today we are looking at FormFactor (NASDAQ:FORM) and the best and worst performers in the semiconductor manufacturing industry.
The semiconductor industry is driven by demand for advanced electronic products like smartphones, PCs, servers, and data storage. The need for technologies like artificial intelligence, 5G networks, and smart cars is also creating the next wave of growth for the industry. Keeping up with this dynamism requires new tools that can design, fabricate, and test chips at ever smaller sizes and more complex architectures, creating a dire need for semiconductor capital manufacturing equipment.
The 14 semiconductor manufacturing stocks we track reported a very strong Q3. As a group, revenues beat analysts’ consensus estimates by 3.3% while next quarter’s revenue guidance was 0.6% below.
Luckily, semiconductor manufacturing stocks have performed well with share prices up 14.7% on average since the latest earnings results.
With customers across the foundry and fabless markets, FormFactor (NASDAQ:FORM) is a US-based provider of test and measurement technologies for semiconductors.
FormFactor reported revenues of $202.7 million, down 2.5% year on year. This print exceeded analysts’ expectations by 1.3%. Overall, it was an exceptional quarter for the company with a beat of analysts’ EPS and adjusted operating income estimates.
“As we said last quarter, we are focused on, and committed to, improving our profitability as we return to a path to our target model,” said Mike Slessor, CEO of FormFactor, Inc.
Interestingly, the stock is up 22% since reporting and currently trades at $58.21.
Is now the time to buy FormFactor? Access our full analysis of the earnings results here, it’s free for active Edge members.
Sporting most major chip manufacturers as its customers, Teradyne (NASDAQ:TER) is a US-based supplier of automated test equipment for semiconductors as well as other technologies and devices.
Teradyne reported revenues of $769.2 million, up 4.3% year on year, outperforming analysts’ expectations by 3.3%. The business had a stunning quarter with a solid beat of analysts’ adjusted operating income estimates and revenue guidance for next quarter exceeding analysts’ expectations.
The market seems happy with the results as the stock is up 37.5% since reporting. It currently trades at $198.56.
Is now the time to buy Teradyne? Access our full analysis of the earnings results here, it’s free for active Edge members.
With fabs representing the company’s largest customer type, Entegris (NASDAQ:ENTG) supplies products that purify, protect, and generally ensure the integrity of raw materials needed for advanced semiconductor manufacturing.
Entegris reported revenues of $807.1 million, flat year on year, exceeding analysts’ expectations by 0.6%. Still, it was a slower quarter as it posted revenue guidance for next quarter missing analysts’ expectations and EPS in line with analysts’ estimates.
As expected, the stock is down 10% since the results and currently trades at $85.10.
Read our full analysis of Entegris’s results here.
Formed by the 1997 merger of the two leading semiconductor yield management companies, KLA Corporation (NASDAQ:KLAC) is the leading supplier of equipment used to measure and inspect semiconductor chips.
KLA Corporation reported revenues of $3.21 billion, up 13% year on year. This print beat analysts’ expectations by 1.1%. It was a strong quarter as it also logged a decent beat of analysts’ adjusted operating income estimates and a beat of analysts’ EPS estimates.
The stock is up 2.8% since reporting and currently trades at $1,269.
Read our full, actionable report on KLA Corporation here, it’s free for active Edge members.
Sporting a global footprint of facilities, Photronics (NASDAQ:PLAB) is a manufacturer of photomasks, templates used to transfer patterns onto semiconductor wafers.
Photronics reported revenues of $215.8 million, down 3.1% year on year. This result topped analysts’ expectations by 5.5%. Overall, it was an exceptional quarter as it also produced a beat of analysts’ EPS estimates and revenue guidance for next quarter exceeding analysts’ expectations.
The stock is up 33.1% since reporting and currently trades at $34.21.
Read our full, actionable report on Photronics here, it’s free for active Edge members.
As a result of the Fed’s rate hikes in 2022 and 2023, inflation has come down from frothy levels post-pandemic. The general rise in the price of goods and services is trending towards the Fed’s 2% goal as of late, which is good news. The higher rates that fought inflation also didn't slow economic activity enough to catalyze a recession. So far, soft landing. This, combined with recent rate cuts (half a percent in September 2024 and a quarter percent in November 2024) have led to strong stock market performance in 2024. The icing on the cake for 2024 returns was Donald Trump’s victory in the U.S. Presidential Election in early November, sending major indices to all-time highs in the week following the election. Still, debates around the health of the economy and the impact of potential tariffs and corporate tax cuts remain, leaving much uncertainty around 2025.
Want to invest in winners with rock-solid fundamentals? Check out our 9 Best Market-Beating Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate.
StockStory’s analyst team — all seasoned professional investors — uses quantitative analysis and automation to deliver market-beating insights faster and with higher quality.
| Dec-23 | |
| Dec-23 | |
| Dec-19 | |
| Dec-18 | |
| Dec-15 | |
| Dec-04 | |
| Nov-28 | |
| Nov-26 | |
| Nov-26 | |
| Nov-26 | |
| Nov-26 | |
| Nov-25 | |
| Nov-24 | |
| Nov-20 | |
| Nov-19 |
Join thousands of traders who make more informed decisions with our premium features. Real-time quotes, advanced visualizations, backtesting, and much more.
Learn more about FINVIZ*Elite