FormFactor, Inc. (NASDAQ:FORM) Stock Rated "Moderate Buy" by Sell-Side Analysts

Key Points

• Analysts rate FormFactor a “Moderate Buy”: Seven of 12 analysts recommend buying the stock, one gives a strong-buy rating, and four rate it a hold. The average 12-month price target is $133.50.
• FormFactor reported stronger-than-expected quarterly results: The company earned $0.82 per share versus the $0.61 consensus estimate, while revenue rose 31.9% year over year to $258.24 million.
• Institutional ownership is substantial, while insiders have been selling: Hedge funds and other institutions own 98.76% of the stock, whereas insiders sold 35,612 shares worth about $4.13 million over the past three months.

Shares of FormFactor, Inc. (NASDAQ:FORM - Get Free Report) have earned a consensus recommendation of "Moderate Buy" from the twelve brokerages that are covering the company, Marketbeat.com reports. Four equities research analysts have rated the stock with a hold rating, seven have issued a buy rating and one has issued a strong buy rating on the company. The average 12 month target price among brokerages that have covered the stock in the last year is $133.50.

Several equities research analysts recently issued reports on the stock. Wall Street Zen downgraded shares of FormFactor from a "strong-buy" rating to a "buy" rating in a research note on Sunday, August 9th. Cantor Fitzgerald restated an "overweight" rating on shares of FormFactor in a research note on Tuesday, September 22nd. TD Cowen lowered their price objective on FormFactor from $150.00 to $100.00 and set a "hold" rating on the stock in a research note on Thursday, July 30th. Weiss Ratings cut shares of FormFactor from a "hold (c+)" rating to a "hold (c)" rating in a research report on Friday, October 2nd. Finally, Zacks Research raised FormFactor from a "hold" rating to a "strong-buy" rating in a report on Tuesday, August 18th.

Insider Activity at FormFactor

In other FormFactor news, CEO Mike Slessor sold 17,510 shares of the business's stock in a transaction on Wednesday, September 16th. The shares were sold at an average price of $104.73, for a total transaction of $1,833,822.30. Following the sale, the chief executive officer owned 466,694 shares of the company's stock, valued at approximately $48,876,862.62. The trade was a 3.62% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Kelley Steven-Waiss sold 2,100 shares of the company's stock in a transaction on Thursday, September 3rd. The stock was sold at an average price of $96.10, for a total transaction of $201,810.00. Following the transaction, the director owned 24,426 shares of the company's stock, valued at $2,347,338.60. This trade represents a 7.92% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders sold 35,612 shares of company stock valued at $4,131,094. 0.79% of the stock is owned by insiders.

Hedge Funds Weigh In On FormFactor

A number of institutional investors and hedge funds have recently bought and sold shares of the company. BlackRock Inc. bought a new stake in shares of FormFactor during the second quarter worth about $1,676,772,000. Andar Capital Management HK Ltd bought a new position in FormFactor in the 2nd quarter valued at approximately $27,000,000. Bank of America Corp DE bought a new position in FormFactor in the 2nd quarter valued at approximately $285,257,000. Primecap Management Co. CA acquired a new stake in FormFactor during the 2nd quarter worth approximately $270,300,000. Finally, Reinhart Partners LLC. boosted its position in FormFactor by 3.1% during the 3rd quarter. Reinhart Partners LLC. now owns 659,667 shares of the semiconductor company's stock worth $98,495,000 after buying an additional 19,745 shares during the period. Institutional investors and hedge funds own 98.76% of the company's stock.

FormFactor Stock Performance

Shares of NASDAQ FORM opened at $139.67 on Friday. The company has a debt-to-equity ratio of 0.01, a quick ratio of 3.34 and a current ratio of 4.08. The stock has a 50 day moving average price of $119.75 and a 200 day moving average price of $122.90. The stock has a market capitalization of $10.89 billion, a PE ratio of 95.66 and a beta of 1.18. FormFactor has a 52 week low of $37.95 and a 52 week high of $160.27.

FormFactor (NASDAQ:FORM - Get Free Report) last posted its quarterly earnings results on Wednesday, July 29th. The semiconductor company reported $0.82 earnings per share for the quarter, topping the consensus estimate of $0.61 by $0.21. FormFactor had a return on equity of 13.44% and a net margin of 12.80%. The firm had revenue of $258.24 million for the quarter, compared to analyst estimates of $240.00 million. During the same quarter in the previous year, the firm earned $0.27 EPS. The business's quarterly revenue was up 31.9% on a year-over-year basis. FormFactor has set its Q3 2026 guidance at 0.770-0.950 EPS. Analysts predict that FormFactor will post 2.67 earnings per share for the current fiscal year.

FormFactor Company Profile

FormFactor, Inc develops and manufactures semiconductor test and measurement products used throughout the integrated-circuit manufacturing process. Its technologies help chip manufacturers and semiconductor companies evaluate the electrical performance, reliability and quality of wafers and individual devices before and during production.

The company's offerings include advanced wafer probe cards, probe card assemblies, semiconductor test systems, engineering probe stations and related accessories and services.

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