During the last three months, 9 analysts shared their evaluations of FormFactor (NASDAQ:FORM), revealing diverse outlooks from bullish to bearish.
The table below summarizes their recent ratings, showcasing the evolving sentiments within the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 5 | 0 | 4 | 0 | 0 |
| Last 30D | 0 | 0 | 1 | 0 | 0 |
| 1M Ago | 1 | 0 | 0 | 0 | 0 |
| 2M Ago | 1 | 0 | 0 | 0 | 0 |
| 3M Ago | 3 | 0 | 3 | 0 | 0 |
In the assessment of 12-month price targets, analysts unveil insights for FormFactor, presenting an average target of $55.22, a high estimate of $74.00, and a low estimate of $42.00. Surpassing the previous average price target of $47.44, the current average has increased by 16.4%.
Breaking Down Analyst Ratings: A Detailed Examination
A comprehensive examination of how financial experts perceive FormFactor is derived from recent analyst actions. The following is a detailed summary of key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Brian Chin | Stifel | Raises | Hold | $55.00 | $50.00 |
| 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 |
Key Insights:
- Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to FormFactor. This information offers 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: Gaining insights, analysts provide estimates for the future value of FormFactor's stock. This comparison reveals trends in analysts' expectations over time.
To gain a panoramic view of FormFactor's market performance, explore these analyst evaluations alongside essential financial indicators. Stay informed and make judicious decisions using our Ratings Table.
Stay up to date on FormFactor analyst ratings.
Unveiling the Story Behind 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.
FormFactor: A Financial Overview
Market Capitalization Analysis: Reflecting a smaller scale, the company's market capitalization is positioned below industry averages. This could be attributed to factors such as growth expectations or operational capacity.
Revenue Growth: FormFactor's remarkable performance in 3 months is evident. As of 31 March, 2024, the company achieved an impressive revenue growth rate of 0.76%. This signifies 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: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 12.91%, the company showcases strong profitability and effective cost control.
Return on Equity (ROE): FormFactor's financial strength is reflected in its exceptional ROE, which exceeds industry averages. With a remarkable ROE of 2.38%, the company showcases efficient use of equity capital and strong financial health.
Return on Assets (ROA): FormFactor's ROA stands out, surpassing industry averages. With an impressive ROA of 1.96%, the company demonstrates effective utilization of assets and strong financial performance.
Debt Management: FormFactor's debt-to-equity ratio is below the industry average. With a ratio of 0.05, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.
The Significance of Analyst Ratings Explained
Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.
Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.
This article was generated by Benzinga's automated content engine and reviewed by an editor.