Amkor Technology (NASDAQ:AMKR) Shares Gap Up - Should You Buy?

Key Points

• Amkor Technology shares gapped up before trading, opening at $71.43 after closing at $66.91 and later trading around $73.07, an intraday gain of about 8.4%.
• Recent analyst sentiment is mixed, but several firms raised price targets; Needham and B. Riley both set targets at $90, while the overall consensus rating remains Hold with an average price target of $69.88.
• The company posted a strong quarter, beating earnings and revenue estimates with $0.33 EPS on $1.68 billion in revenue, and also paid a quarterly dividend of $0.0835 per share.

Amkor Technology, Inc. (NASDAQ:AMKR - Get Free Report)'s share price gapped up prior to trading on Thursday . The stock had previously closed at $66.91, but opened at $71.43. Amkor Technology shares last traded at $73.0740, with a volume of 788,570 shares trading hands.

Wall Street Analysts Forecast Growth

AMKR has been the topic of several recent analyst reports. Wall Street Zen downgraded shares of Amkor Technology from a "strong-buy" rating to a "buy" rating in a report on Saturday, March 21st. Needham & Company LLC upped their price target on shares of Amkor Technology from $65.00 to $90.00 and gave the stock a "buy" rating in a research report on Tuesday, April 28th. Weiss Ratings reaffirmed a "hold (c)" rating on shares of Amkor Technology in a research note on Monday, April 20th. UBS Group reiterated a "neutral" rating and issued a $80.00 price objective on shares of Amkor Technology in a report on Tuesday, May 26th. Finally, B. Riley Financial raised their target price on Amkor Technology from $70.00 to $90.00 and gave the company a "neutral" rating in a research report on Thursday, June 25th. Four analysts have rated the stock with a Buy rating and seven have given a Hold rating to the company's stock. According to MarketBeat, Amkor Technology currently has an average rating of "Hold" and a consensus price target of $69.88.

Amkor Technology Stock Up 8.4%

The stock has a market capitalization of $17.97 billion, a price-to-earnings ratio of 40.86 and a beta of 2.20. The company has a quick ratio of 1.74, a current ratio of 2.01 and a debt-to-equity ratio of 0.28. The business's 50-day moving average is $75.02 and its two-hundred day moving average is $58.61.

Amkor Technology (NASDAQ:AMKR - Get Free Report) last issued its earnings results on Monday, April 27th. The semiconductor company reported $0.33 earnings per share for the quarter, topping the consensus estimate of $0.23 by $0.10. The business had revenue of $1.68 billion for the quarter, compared to analysts' expectations of $1.63 billion. Amkor Technology had a return on equity of 9.88% and a net margin of 6.17%.The business's revenue for the quarter was up 27.5% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.09 EPS. Equities analysts anticipate that Amkor Technology, Inc. will post 2.08 EPS for the current year.

Amkor Technology Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Tuesday, June 23rd. Shareholders of record on Wednesday, June 3rd were issued a $0.0835 dividend. This represents a $0.33 annualized dividend and a yield of 0.5%. The ex-dividend date was Wednesday, June 3rd. Amkor Technology's dividend payout ratio is presently 18.86%.

Insiders Place Their Bets

In other Amkor Technology news, EVP Mark N. Rogers sold 5,000 shares of the business's stock in a transaction dated Tuesday, June 16th. The shares were sold at an average price of $86.21, for a total value of $431,050.00. Following the transaction, the executive vice president directly owned 38,904 shares in the company, valued at $3,353,913.84. The trade was a 11.39% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Guillaume Marie Jean Rutten sold 50,000 shares of the stock in a transaction that occurred on Friday, May 8th. The shares were sold at an average price of $74.28, for a total transaction of $3,714,000.00. Following the completion of the sale, the director directly owned 502,558 shares of the company's stock, valued at approximately $37,330,008.24. This trade represents a 9.05% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders sold 119,000 shares of company stock worth $8,928,600. 26.40% of the stock is currently owned by company insiders.

Institutional Trading of Amkor Technology

Several institutional investors have recently made changes to their positions in AMKR. Arista Wealth Management LLC grew its position in Amkor Technology by 1.2% in the second quarter. Arista Wealth Management LLC now owns 13,642 shares of the semiconductor company's stock worth $1,176,000 after acquiring an additional 157 shares during the period. Tactive Advisors LLC purchased a new stake in Amkor Technology in the second quarter valued at $266,000. Thurston Springer Miller Herd & Titak Inc. acquired a new position in shares of Amkor Technology in the 2nd quarter valued at $54,000. Quantum Financial Advisors LLC acquired a new position in shares of Amkor Technology in the 2nd quarter valued at $249,000. Finally, FNY Investment Advisers LLC purchased a new position in shares of Amkor Technology during the 2nd quarter worth $716,000. Hedge funds and other institutional investors own 42.76% of the company's stock.

Amkor Technology Company Profile

Amkor Technology, Inc NASDAQ: AMKR is a leading provider of outsourced semiconductor packaging and test (OSAT) services, supporting integrated device manufacturers and semiconductor foundries worldwide. The company offers a broad range of advanced packaging solutions, including wafer bumping, flip chip, system-in-package and ball grid array technologies, designed to meet the performance, power and form-factor demands of applications across consumer electronics, automotive, communications and industrial markets.

In addition to packaging, Amkor delivers comprehensive test services such as wafer probing, final test, system-level test and digital, analog and mixed-signal testing, enabling customers to accelerate time-to-market and reduce total costs.

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