Ratings for FormFactor (NASDAQ:FORM) were provided by 9 analysts in the past three months, showcasing a mix of bullish and bearish perspectives.
Summarizing their recent assessments, the table below illustrates the evolving sentiments in the past 30 days and compares them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 5 | 0 | 4 | 0 | 0 |
| Last 30D | 1 | 0 | 0 | 0 | 0 |
| 1M Ago | 0 | 0 | 0 | 0 | 0 |
| 2M Ago | 4 | 0 | 3 | 0 | 0 |
| 3M Ago | 0 | 0 | 1 | 0 | 0 |
Analysts' evaluations of 12-month price targets offer additional insights, showcasing an average target of $54.67, with a high estimate of $74.00 and a low estimate of $42.00. This upward trend is evident, with the current average reflecting a 16.02% increase from the previous average price target of $47.12.
Diving into Analyst Ratings: An In-Depth Exploration
The standing of FormFactor among financial experts becomes clear with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Craig Ellis | B. Riley Securities | Raises | Buy | $74.00 | $65.00 |
| Craig Ellis | B. Riley Securities | Raises | Buy | $65.00 | $54.00 |
| Atif Malik | Citigroup | Raises | Neutral | $46.00 | $37.00 |
| Krish Sankar | TD Cowen | Raises | Hold | $48.00 | $37.00 |
| Craig Ellis | B. Riley Securities | Raises | Buy | $54.00 | $52.00 |
| Christian Schwab | Craig-Hallum | Raises | Buy | $60.00 | $50.00 |
| Charles Shi | Needham | Raises | Buy | $53.00 | $46.00 |
| Brian Chin | Stifel | Raises | Hold | $42.00 | $36.00 |
| Vedvati Shrotre | Evercore ISI Group | Announces | In-Line | $50.00 | - |
Key Insights:
- Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to FormFactor. This information provides a snapshot of how analysts perceive the current state of the company.
- Rating: Analyzing trends, analysts offer qualitative evaluations, ranging from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of FormFactor compared to the broader market.
- Price Targets: Analysts navigate through adjustments in price targets, providing estimates for FormFactor's future value. Comparing current and prior targets offers insights into analysts' evolving expectations.
Considering these analyst evaluations in conjunction with other financial indicators can offer a comprehensive understanding of FormFactor's market position. Stay informed and make well-informed decisions with our Ratings Table.
Stay up to date on FormFactor analyst ratings.
About FormFactor
FormFactor Inc designs, develops, manufactures, sells, and supports semiconductor probe card products. The company operates in two reportable segments namely Probe Cards Segment and the Systems Segment. Sales of probe cards and analytical probes are included in the Probe Cards Segment, while sales of probe stations and thermal sub-systems are included in the Systems Segment. Probe cards generate the maximum revenue from its operations. It offers multiple product lines which include analytical probes, probe stations, thermal sub-systems, and related services.
Key Indicators: FormFactor's Financial Health
Market Capitalization Analysis: Falling below industry benchmarks, the company's market capitalization reflects a reduced size compared to peers. This positioning may be influenced by factors such as growth expectations or operational capacity.
Revenue Growth: FormFactor's revenue growth over a period of 3 months has been noteworthy. As of 31 March, 2024, the company achieved a revenue growth rate of approximately 0.76%. This indicates a substantial increase in the company's top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Information Technology sector.
Net Margin: FormFactor's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 12.91% net margin, the company effectively manages costs and achieves strong profitability.
Return on Equity (ROE): FormFactor's ROE excels beyond industry benchmarks, reaching 2.38%. This signifies robust financial management and efficient use of shareholder equity capital.
Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 1.96%, the company showcases effective utilization of assets.
Debt Management: With a below-average debt-to-equity ratio of 0.05, FormFactor adopts a prudent financial strategy, indicating a balanced approach to debt management.
The Significance of Analyst Ratings Explained
Experts in banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their comprehensive research involves attending company conference calls and meetings, analyzing financial statements, and engaging with insiders to generate what are known as analyst ratings for stocks. Typically, analysts assess and rate each stock once per quarter.
In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.
This article was generated by Benzinga's automated content engine and reviewed by an editor.