Tokyo Electron (OTCMKTS:TOELY) Shares Gap Down - Should You Sell?

Key Points

• Tokyo Electron shares experienced a significant drop, opening at $88.14 after closing at $91.83, with last trading recorded at $88.80.
• Zacks Research downgraded the stock from a "hold" to a "strong sell" rating, while the current average rating remains a "Moderate Buy".
• In their latest quarterly earnings, Tokyo Electron missed estimates with $0.86 earnings per share versus a consensus of $0.89 and reported $3.80 billion in revenue against expectations of $4.10 billion.

Tokyo Electron Ltd. (OTCMKTS:TOELY - Get Free Report) shares gapped down prior to trading on Friday . The stock had previously closed at $91.83, but opened at $88.14. Tokyo Electron shares last traded at $88.80, with a volume of 34,585 shares changing hands.

Wall Street Analysts Forecast Growth

Separately, Zacks Research lowered shares of Tokyo Electron from a "hold" rating to a "strong sell" rating in a report on Monday. One research analyst has rated the stock with a Strong Buy rating and one has given a Sell rating to the company. According to data from MarketBeat, Tokyo Electron currently has an average rating of "Moderate Buy".

Tokyo Electron Price Performance

The company's 50-day simple moving average is $77.94 and its 200-day simple moving average is $78.37. The company has a market cap of $81.89 billion, a price-to-earnings ratio of 22.85 and a beta of 1.80.

Tokyo Electron (OTCMKTS:TOELY - Get Free Report) last posted its quarterly earnings results on Thursday, July 31st. The company reported $0.86 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.89 by ($0.03). The firm had revenue of $3.80 billion for the quarter, compared to analyst estimates of $4.10 billion. Tokyo Electron had a net margin of 22.07% and a return on equity of 28.97%. Tokyo Electron has set its FY 2025 guidance at 6.700-6.700 EPS. Equities analysts predict that Tokyo Electron Ltd. will post 3.23 EPS for the current fiscal year.

About Tokyo Electron

Tokyo Electron Limited, together with its subsidiaries, develops, manufactures, and sells semiconductor and flat panel display (FPD) production equipment in Japan, Europe, North America, Taiwan, China, South Korea, Southeast Asia, and internationally. The company offers coaters/developers, etch systems, surface preparation systems, deposition systems, test systems, wafer bonders/debonders, wafer edge trimming, SiC epitaxial CVD systems, gas cluster ion beam system, and cleaning systems.

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