FormFactor (NASDAQ:FORM) Shares Gap Up - Still a Buy?

Key Points

• FormFactor's shares opened at $40.72 after gapping up from a previous close of $38.71, and last traded at $39.15 with a volume of 200,154 shares.
• Analysts have mixed ratings on FormFactor, with one Buy rating, six Hold ratings, and a lowered average target price of $38.29.
• The company reported $0.27 earnings per share for the last quarter, missing expectations, with revenue down 0.8% compared to the same quarter last year.

FormFactor, Inc. (NASDAQ:FORM - Get Free Report)'s share price gapped up before the market opened on Thursday . The stock had previously closed at $38.71, but opened at $40.72. FormFactor shares last traded at $39.15, with a volume of 200,154 shares traded.

Wall Street Analyst Weigh In

A number of research firms have weighed in on FORM. Stifel Nicolaus cut their price objective on shares of FormFactor from $34.00 to $31.00 and set a "hold" rating on the stock in a report on Thursday, July 31st. Citigroup reaffirmed a "neutral" rating and issued a $31.00 target price (down from $36.00) on shares of FormFactor in a report on Thursday, August 21st. Finally, Wall Street Zen raised FormFactor from a "sell" rating to a "hold" rating in a research report on Saturday, September 20th. One analyst has rated the stock with a Buy rating and six have given a Hold rating to the company. According to data from MarketBeat.com, FormFactor has an average rating of "Hold" and an average target price of $38.29.

FormFactor Price Performance

The firm has a market cap of $3.03 billion, a P/E ratio of 70.01 and a beta of 1.28. The company has a quick ratio of 3.34, a current ratio of 4.24 and a debt-to-equity ratio of 0.01. The stock's 50-day moving average is $31.22 and its 200-day moving average is $31.25.

FormFactor (NASDAQ:FORM - Get Free Report) last posted its earnings results on Wednesday, July 30th. The semiconductor company reported $0.27 earnings per share for the quarter, missing analysts' consensus estimates of $0.30 by ($0.03). FormFactor had a net margin of 5.75% and a return on equity of 5.57%. The business had revenue of $195.80 million during the quarter, compared to the consensus estimate of $190.17 million. During the same period in the previous year, the firm earned $0.35 EPS. The business's revenue was down .8% compared to the same quarter last year. FormFactor has set its Q3 2025 guidance at 0.210-0.290 EPS. As a group, equities analysts anticipate that FormFactor, Inc. will post 0.9 EPS for the current fiscal year.

Insider Transactions at FormFactor

In other news, Director Kelley Steven-Waiss sold 3,600 shares of the business's stock in a transaction dated Friday, September 12th. The stock was sold at an average price of $30.43, for a total value of $109,548.00. Following the sale, the director directly owned 35,479 shares in the company, valued at $1,079,625.97. The trade was a 9.21% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Also, Director Rebeca Obregon-Jimenez sold 4,000 shares of the business's stock in a transaction on Wednesday, August 13th. The stock was sold at an average price of $29.55, for a total transaction of $118,200.00. Following the completion of the sale, the director directly owned 13,126 shares in the company, valued at approximately $387,873.30. This represents a 23.36% decrease in their position. The disclosure for this sale can be found here. Insiders own 0.90% of the company's stock.

Institutional Inflows and Outflows

Several large investors have recently added to or reduced their stakes in the company. Public Employees Retirement System of Ohio bought a new position in FormFactor during the fourth quarter worth about $27,000. Wealth Enhancement Advisory Services LLC increased its holdings in shares of FormFactor by 11.9% during the fourth quarter. Wealth Enhancement Advisory Services LLC now owns 7,720 shares of the semiconductor company's stock worth $340,000 after purchasing an additional 822 shares during the period. Versant Capital Management Inc increased its holdings in shares of FormFactor by 256.3% during the first quarter. Versant Capital Management Inc now owns 1,197 shares of the semiconductor company's stock worth $34,000 after purchasing an additional 861 shares during the period. GAMMA Investing LLC increased its stake in FormFactor by 4,208.8% during the 1st quarter. GAMMA Investing LLC now owns 149,343 shares of the semiconductor company's stock worth $4,225,000 after acquiring an additional 145,877 shares during the period. Finally, Rhumbline Advisers increased its stake in FormFactor by 3.8% during the 1st quarter. Rhumbline Advisers now owns 220,192 shares of the semiconductor company's stock worth $6,229,000 after acquiring an additional 8,121 shares during the period. Institutional investors own 98.76% of the company's stock.

About FormFactor

FormFactor, Inc designs, manufactures, and sells probe cards, analytical probes, probe stations, metrology systems, thermal systems, and cryogenic systems to semiconductor companies and scientific institutions in the United States, Taiwan, South Korea, China, Europe, Japan, Malaysia, Singapore, and internationally.

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