FormFactor (NASDAQ:FORM) Stock Price Down 7% - Here's Why

Key Points

• FormFactor's stock price has declined by 7%, trading as low as $40.00, due to various analyst rating changes.
• The company reported earnings of $0.27 per share, falling short of the expected $0.30, with revenue slightly exceeding forecasts at $195.80 million.
• Several analysts continue to rate FormFactor as a "Hold," with an average target price set at $38.29 despite recent price reductions from some brokerages.

FormFactor, Inc. (NASDAQ:FORM - Get Free Report)'s stock price fell 7% during mid-day trading on Tuesday . The stock traded as low as $40.00 and last traded at $39.60. 431,466 shares changed hands during mid-day trading, a decline of 48% from the average session volume of 832,894 shares. The stock had previously closed at $42.57.

Analyst Ratings Changes

Several brokerages have recently issued reports on FORM. Wall Street Zen raised FormFactor from a "sell" rating to a "hold" rating in a research report on Saturday, September 20th. Weiss Ratings reissued a "hold (c)" rating on shares of FormFactor in a research report on Saturday, September 27th. Stifel Nicolaus reduced their price objective on FormFactor from $34.00 to $31.00 and set a "hold" rating for the company in a research report on Thursday, July 31st. Finally, Citigroup reaffirmed a "neutral" rating and set a $31.00 price objective (down previously from $36.00) on shares of FormFactor in a research report on Thursday, August 21st. One equities research analyst has rated the stock with a Buy rating and seven have given a Hold rating to the company's stock. According to data from MarketBeat.com, the company presently has an average rating of "Hold" and an average target price of $38.29.

FormFactor Stock Down 8.5%

The company has a market capitalization of $3.00 billion, a PE ratio of 69.65 and a beta of 1.28. The company has a debt-to-equity ratio of 0.01, a current ratio of 4.24 and a quick ratio of 3.34. The company has a 50-day moving average of $31.59 and a two-hundred day moving average of $31.41.

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

Insider Buying and Selling

In other FormFactor news, Director Kelley Steven-Waiss sold 3,600 shares of the business's stock in a transaction that occurred on Friday, September 12th. The stock was sold at an average price of $30.43, for a total transaction of $109,548.00. Following the sale, the director directly owned 35,479 shares of the company's stock, 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 legal filing with the SEC, which is available through this link. Also, Director Rebeca Obregon-Jimenez sold 4,000 shares of the business's stock in a transaction that occurred on Wednesday, August 13th. The stock was sold at an average price of $29.55, for a total value of $118,200.00. Following the sale, the director directly owned 13,126 shares in the company, valued at $387,873.30. The trade was a 23.36% decrease in their ownership of the stock. The disclosure for this sale can be found here. Company insiders own 0.96% of the company's stock.

Institutional Trading of FormFactor

Large investors have recently modified their holdings of the company. Reinhart Partners LLC. lifted its holdings in FormFactor by 64.8% during the second quarter. Reinhart Partners LLC. now owns 1,904,698 shares of the semiconductor company's stock worth $65,541,000 after buying an additional 749,088 shares during the period. Harbor Capital Advisors Inc. boosted its holdings in FormFactor by 54.7% in the second quarter. Harbor Capital Advisors Inc. now owns 162,464 shares of the semiconductor company's stock valued at $5,590,000 after purchasing an additional 57,470 shares during the last quarter. GAMMA Investing LLC boosted its holdings in FormFactor by 52.3% in the first quarter. GAMMA Investing LLC now owns 5,279 shares of the semiconductor company's stock valued at $149,000 after purchasing an additional 1,813 shares during the last quarter. Janney Montgomery Scott LLC boosted its stake in shares of FormFactor by 104.4% during the 1st quarter. Janney Montgomery Scott LLC now owns 15,245 shares of the semiconductor company's stock worth $431,000 after acquiring an additional 7,787 shares in the last quarter. Finally, Victory Capital Management Inc. boosted its stake in shares of FormFactor by 2.8% during the 1st quarter. Victory Capital Management Inc. now owns 21,643 shares of the semiconductor company's stock worth $612,000 after acquiring an additional 599 shares in the last quarter. Hedge funds and other 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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.