Ultra Clean (NASDAQ:UCTT) Shares Gap Down - Here's Why

Key Points

• Ultra Clean shares fell 8.7%, opening at $68.12 versus a prior close of $74.04, as the stock traded below its 50-day and 200-day moving averages.
• Analyst sentiment remains broadly positive: the stock has a consensus “Moderate Buy” rating and an average price target of $129, with recent upgrades from Oppenheimer and TD Cowen.
• Ultra Clean exceeded quarterly expectations, reporting $0.70 in EPS versus a $0.53 consensus and $644.9 million in revenue, up 24.3% year over year; it also issued Q3 EPS guidance of $0.83–$1.03.

Shares of Ultra Clean Holdings, Inc. (NASDAQ:UCTT - Get Free Report) gapped down prior to trading on Monday . The stock had previously closed at $74.04, but opened at $68.12. Ultra Clean shares last traded at $69.0650, with a volume of 61,734 shares trading hands.

Wall Street Analyst Weigh In

A number of equities research analysts recently commented on the company. Wall Street Zen raised Ultra Clean from a "hold" rating to a "buy" rating in a research note on Sunday, August 9th. Oppenheimer increased their target price on Ultra Clean from $115.00 to $150.00 and gave the company an "outperform" rating in a research note on Tuesday, August 4th. Zacks Research upgraded Ultra Clean from a "hold" rating to a "strong-buy" rating in a report on Monday, May 25th. Weiss Ratings lowered Ultra Clean from a "sell (d)" rating to a "sell (d-)" rating in a research report on Friday, August 7th. Finally, TD Cowen boosted their target price on Ultra Clean from $130.00 to $140.00 and gave the stock a "buy" rating in a research report on Tuesday, August 4th. One investment analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and an average price target of $129.00.

Ultra Clean Trading Down 8.7%

The company has a market capitalization of $3.03 billion, a P/E ratio of -130.36, a PEG ratio of 0.79 and a beta of 1.88. The company has a debt-to-equity ratio of 0.84, a current ratio of 2.73 and a quick ratio of 1.25. The business's 50-day moving average price is $84.32 and its two-hundred day moving average price is $82.27.

Ultra Clean (NASDAQ:UCTT - Get Free Report) last released its quarterly earnings data on Monday, August 3rd. The semiconductor company reported $0.70 EPS for the quarter, beating analysts' consensus estimates of $0.53 by $0.17. The business had revenue of $644.90 million during the quarter, compared to analysts' expectations of $587.65 million. Ultra Clean had a negative net margin of 1.07% and a positive return on equity of 6.99%. The firm's quarterly revenue was up 24.3% on a year-over-year basis. During the same quarter in the prior year, the company earned $0.27 EPS. Ultra Clean has set its Q3 2026 guidance at 0.830-1.030 EPS. As a group, analysts forecast that Ultra Clean Holdings, Inc. will post 2.67 EPS for the current fiscal year.

Institutional Investors Weigh In On Ultra Clean

Several large investors have recently modified their holdings of the business. Sequoia Financial Advisors LLC acquired a new stake in shares of Ultra Clean during the second quarter worth about $333,000. Tidal Investments LLC grew its position in shares of Ultra Clean by 46.9% in the 2nd quarter. Tidal Investments LLC now owns 17,373 shares of the semiconductor company's stock valued at $2,477,000 after purchasing an additional 5,544 shares during the period. Engineers Gate Manager LP increased its stake in Ultra Clean by 29.8% during the 2nd quarter. Engineers Gate Manager LP now owns 11,556 shares of the semiconductor company's stock worth $1,648,000 after purchasing an additional 2,656 shares in the last quarter. Integrated Wealth Concepts LLC bought a new stake in Ultra Clean during the 2nd quarter worth approximately $224,000. Finally, Waverly Advisors LLC acquired a new stake in Ultra Clean during the 2nd quarter worth approximately $234,000. 96.06% of the stock is currently owned by institutional investors.

About Ultra Clean

Ultra Clean Holdings, Inc NASDAQ: UCTT, doing business as Ultra Clean Technology, provides critical subsystems, components and services used in the semiconductor manufacturing industry. The company primarily serves semiconductor equipment manufacturers and semiconductor device producers, helping support the fabrication processes used to make integrated circuits and other advanced electronic components.

Ultra Clean's products include gas delivery systems, fluid and chemical delivery systems, vacuum assemblies, process modules, structural components and other engineered assemblies for semiconductor production equipment.

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