Amkor Technology (NASDAQ:AMKR) Shares Gap Up - What's Next?

Key Points

• Amkor Technology shares gapped up at the open, rising from a prior close of $86.55 to $91.00 before trading around $90.72, suggesting strong short-term investor interest.
• The company posted a better-than-expected quarterly earnings report, with EPS of $0.33 versus $0.23 expected and revenue of $1.68 billion versus $1.63 billion anticipated; revenue also jumped 27.5% year over year.
• Despite the earnings beat, Wall Street’s outlook remains mixed: the stock currently has a consensus Hold rating and an average price target of $67.38, even though several analysts recently raised targets or kept Buy ratings.

Shares of Amkor Technology, Inc. (NASDAQ:AMKR - Get Free Report) gapped up before the market opened on Wednesday . The stock had previously closed at $86.55, but opened at $91.00. Amkor Technology shares last traded at $90.7220, with a volume of 1,410,829 shares traded.

Wall Street Analysts Forecast Growth

Several research analysts have weighed in on the company. Wall Street Zen cut Amkor Technology from a "strong-buy" rating to a "buy" rating in a research report on Saturday, March 21st. B. Riley Financial boosted their price objective on shares of Amkor Technology from $65.00 to $70.00 and gave the company a "neutral" rating in a report on Tuesday, April 28th. Weiss Ratings reissued a "hold (c)" rating on shares of Amkor Technology in a report on Monday, April 20th. Morgan Stanley boosted their price objective on shares of Amkor Technology from $45.00 to $69.00 and gave the company an "equal weight" rating in a report on Tuesday, April 28th. Finally, Needham & Company LLC raised their price objective on Amkor Technology from $65.00 to $90.00 and gave the stock a "buy" rating in a research note on Tuesday, April 28th. Four analysts have rated the stock with a Buy rating and seven have given a Hold rating to the company's stock. According to data from MarketBeat, the company presently has a consensus rating of "Hold" and an average price target of $67.38.

Amkor Technology Price Performance

The business's 50 day moving average is $69.54 and its 200-day moving average is $54.28. The firm has a market capitalization of $22.45 billion, a P/E ratio of 51.73 and a beta of 2.25. The company has a quick ratio of 1.74, a current ratio of 2.01 and a debt-to-equity ratio of 0.28.

Amkor Technology (NASDAQ:AMKR - Get Free Report) last announced its quarterly earnings data on Monday, April 27th. The semiconductor company reported $0.33 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.23 by $0.10. Amkor Technology had a net margin of 6.17% and a return on equity of 9.88%. The business had revenue of $1.68 billion for the quarter, compared to analysts' expectations of $1.63 billion. During the same period last year, the firm posted $0.09 earnings per share. The firm's quarterly revenue was up 27.5% compared to the same quarter last year. As a group, sell-side analysts predict that Amkor Technology, Inc. will post 2.08 EPS for the current fiscal year.

Amkor Technology Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, June 23rd. Investors of record on Wednesday, June 3rd will be given a dividend of $0.0835 per share. This represents a $0.33 annualized dividend and a dividend yield of 0.4%. The ex-dividend date is Wednesday, June 3rd. Amkor Technology's dividend payout ratio is currently 18.86%.

Insider Activity at Amkor Technology

In related news, CFO Megan Faust sold 1,000 shares of Amkor Technology stock in a transaction that occurred on Tuesday, June 9th. The shares were sold at an average price of $70.30, for a total transaction of $70,300.00. Following the sale, the chief financial officer directly owned 132,138 shares of the company's stock, valued at approximately $9,289,301.40. The trade was a 0.75% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Gil C. Tily sold 15,000 shares of Amkor Technology stock in a transaction that occurred on Monday, May 11th. The shares were sold at an average price of $77.30, for a total transaction of $1,159,500.00. Following the sale, the director directly owned 108,806 shares in the company, valued at $8,410,703.80. This trade represents a 12.12% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 114,000 shares of company stock worth $8,497,550 in the last ninety days. Insiders own 26.40% of the company's stock.

Institutional Investors Weigh In On Amkor Technology

A number of institutional investors have recently made changes to their positions in AMKR. Vanguard Group Inc. boosted its position in Amkor Technology by 4.6% during the third quarter. Vanguard Group Inc. now owns 15,779,847 shares of the semiconductor company's stock valued at $448,148,000 after acquiring an additional 687,900 shares during the last quarter. AQR Capital Management LLC raised its holdings in shares of Amkor Technology by 18.4% in the third quarter. AQR Capital Management LLC now owns 4,211,529 shares of the semiconductor company's stock valued at $119,607,000 after purchasing an additional 653,489 shares during the last quarter. American Century Companies Inc. grew its position in shares of Amkor Technology by 0.5% during the 3rd quarter. American Century Companies Inc. now owns 3,835,987 shares of the semiconductor company's stock valued at $108,942,000 after acquiring an additional 17,656 shares during the period. State Street Corp grew its position in shares of Amkor Technology by 1.4% during the 4th quarter. State Street Corp now owns 3,473,925 shares of the semiconductor company's stock valued at $137,151,000 after acquiring an additional 47,514 shares during the period. Finally, First Trust Advisors LP grew its position in shares of Amkor Technology by 37.4% during the 4th quarter. First Trust Advisors LP now owns 2,722,310 shares of the semiconductor company's stock valued at $107,477,000 after acquiring an additional 740,701 shares during the period. Institutional investors own 42.76% of the company's stock.

About Amkor Technology

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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