Stock Story -
Semiconductor production equipment provider Amtech Systems (NASDAQ:ASYS) will be announcing earnings results tomorrow after market close. Here's what to look for.
Amtech beat analysts' revenue expectations by 8.2% last quarter, reporting revenues of $25.43 million, down 23.6% year on year. It was a mixed quarter for the company, with a significant improvement in its inventory levels but underwhelming revenue guidance for the next quarter.
Is Amtech a buy or sell going into earnings? Find out by reading the original article on StockStory, it's free.
This quarter, analysts are expecting Amtech's revenue to decline 21.4% year on year to $24.15 million, a reversal from the 54% increase it recorded in the same quarter last year. Adjusted loss is expected to come in at -$0.06 per share.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Amtech has missed Wall Street's revenue estimates twice over the last two years.
Looking at Amtech's peers in the semiconductor manufacturing segment, some have already reported their Q2 results, giving us a hint as to what we can expect. FormFactor (NASDAQ:FORM) delivered year-on-year revenue growth of 26.7%, beating analysts' expectations by 1.3%, and Lam Research (NASDAQ:LRCX) reported revenues up 20.7%, topping estimates by 1%. FormFactor traded down 11.8% following the results while Lam Research was also down 10%.
Read the full analysis of FormFactor's and Lam Research's results on StockStory.
Inflation progressed towards the Fed's 2% goal at the end of 2023, leading to strong stock market performance. 2024 has been a bumpier ride as the market switches between optimism and pessimism around rate cuts thanks to mixed inflation data, and semiconductor manufacturing stocks have not been spared, with share prices down 18.6% on average over the last month. Amtech is down 17.4% during the same time and is heading into earnings with an average analyst price target of $6 (compared to the current share price of $5.45).
