Ultra Clean (NASDAQ:UCTT) Upgraded by UBS Group to Strong-Buy Rating

Key Points

• UBS upgraded Ultra Clean to a "strong-buy", joining several firms that have raised price targets recently; the consensus from analysts is a Moderate Buy with an average price target of $104.40.
• Q1 results beat estimates: EPS $0.31 vs. $0.27 expected and revenue $533.7M vs. $525.3M, with Q2 guidance of $0.44–$0.60 and analysts forecasting ~2.04 EPS for the fiscal year.
• An insider, Christopher S. Cook, sold 11,903 shares (~$896K), reducing his stake (insiders now own 1.90%), while institutional investors hold roughly 96% of the stock.

Ultra Clean (NASDAQ:UCTT - Get Free Report) was upgraded by equities research analysts at UBS Group to a "strong-buy" rating in a research report issued to clients and investors on Tuesday,Zacks.com reports.

A number of other analysts have also commented on the company. Needham & Company LLC lifted their target price on Ultra Clean from $70.00 to $92.00 and gave the stock a "buy" rating in a report on Wednesday, April 29th. Craig Hallum reaffirmed a "buy" rating and set a $100.00 price target on shares of Ultra Clean in a report on Tuesday, February 24th. Wall Street Zen raised Ultra Clean from a "hold" rating to a "buy" rating in a research report on Saturday, May 2nd. TD Cowen lifted their price objective on Ultra Clean from $70.00 to $100.00 and gave the stock a "buy" rating in a report on Wednesday, April 29th. Finally, Zacks Research lowered Ultra Clean from a "strong-buy" rating to a "hold" rating in a research report on Friday, April 24th. One equities research analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating, one has issued a Hold rating and one has given a Sell rating to the company's stock. According to data from MarketBeat.com, Ultra Clean presently has a consensus rating of "Moderate Buy" and an average price target of $104.40.

Ultra Clean Trading Up 0.4%

Shares of NASDAQ UCTT opened at $83.46 on Tuesday. The firm's 50 day moving average price is $66.79 and its 200-day moving average price is $45.47. The company has a market cap of $3.74 billion, a PE ratio of -19.45, a P/E/G ratio of 1.16 and a beta of 1.94. Ultra Clean has a 52-week low of $18.52 and a 52-week high of $87.68. The company has a debt-to-equity ratio of 0.86, a quick ratio of 1.72 and a current ratio of 3.07.

Ultra Clean (NASDAQ:UCTT - Get Free Report) last announced its quarterly earnings results on Tuesday, April 28th. The semiconductor company reported $0.31 earnings per share for the quarter, beating the consensus estimate of $0.27 by $0.04. Ultra Clean had a negative net margin of 9.38% and a positive return on equity of 4.28%. The company had revenue of $533.70 million during the quarter, compared to the consensus estimate of $525.28 million. During the same quarter last year, the firm earned $0.28 earnings per share. The firm's quarterly revenue was up 2.9% compared to the same quarter last year. Ultra Clean has set its Q2 2026 guidance at 0.440-0.600 EPS. On average, equities research analysts expect that Ultra Clean will post 2.04 EPS for the current fiscal year.

Insiders Place Their Bets

In other Ultra Clean news, insider Christopher S. Cook sold 11,903 shares of the stock in a transaction that occurred on Thursday, April 30th. The shares were sold at an average price of $75.31, for a total value of $896,414.93. Following the transaction, the insider directly owned 108,905 shares in the company, valued at approximately $8,201,635.55. This trade represents a 9.85% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Insiders own 1.90% of the company's stock.

Institutional Investors Weigh In On Ultra Clean

Hedge funds and other institutional investors have recently modified their holdings of the stock. AdvisorNet Financial Inc bought a new stake in Ultra Clean during the first quarter valued at about $34,000. EverSource Wealth Advisors LLC raised its stake in shares of Ultra Clean by 148.9% in the third quarter. EverSource Wealth Advisors LLC now owns 926 shares of the semiconductor company's stock worth $25,000 after buying an additional 554 shares during the period. Quadrant Capital Group LLC raised its stake in shares of Ultra Clean by 40.3% in the fourth quarter. Quadrant Capital Group LLC now owns 989 shares of the semiconductor company's stock worth $25,000 after buying an additional 284 shares during the period. Danske Bank A S lifted its position in shares of Ultra Clean by 450.0% during the 4th quarter. Danske Bank A S now owns 1,100 shares of the semiconductor company's stock valued at $28,000 after buying an additional 900 shares in the last quarter. Finally, Advisory Services Network LLC bought a new position in shares of Ultra Clean during the 3rd quarter valued at approximately $45,000. 96.06% of the stock is currently owned by hedge funds and other institutional investors.

About Ultra Clean

Ultra Clean Holdings, Inc is a global supplier of critical consumables and process tools for the semiconductor manufacturing industry. The company specializes in precision parts cleaning, chemical–mechanical planarization (CMP) slurries, surface conditioning pads, and specialty components used in wafer fabrication and advanced packaging. Ultra Clean also provides assembly and test hardware, tooling, and automated modules designed to support complex front-end and back-end processes in semiconductor fabs.

Ultra Clean's product portfolio encompasses a range of cleaning systems and consumables aimed at particle and film removal, as well as CMP slurries and pads that are engineered for uniform material removal and planarization.

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