As of May 25, 2023, FormFactor, Inc. (NASDAQ:FORM) has received a consensus recommendation of “Hold” from the twelve brokerages currently covering the stock. Bloomberg.com reports that five investment analysts have rated the stock with a hold rating and one has issued a buy rating on the company. The average 1-year price objective among analysts who have updated their coverage on the stock in the last year is $32.22.
FormFactor, Inc., which specializes in test and measurement solutions, operates through two business segments: probe cards and systems. The former consists of technologies and product architectures, including micro-electromechanical systems technologies, while the latter includes analytical probe solutions for on-wafer probing, board tests, and package tests.
Institutional investors have shown significant interest in the semiconductor company as well. During the first quarter of 2023, Cerity Partners LLC acquired a new stake in FormFactor valued at $383,000. Meanwhile, Belpointe Asset Management LLC grew its position in shares of FormFactor by an impressive 170.1%. Quadrant Capital Group LLC increased its stake in shares by a whopping 469.2% in the third quarter of 2022.
CWM LLC raised its holdings in FormFactor by 44% during the fourth quarter of 2022 to own 1,561 shares worth $35,000 after purchasing an additional 477 shares during that same period.
Finally, Harvest Fund Management Co., Ltd purchased a new position last quarter worth approximately $63,000 bringing institutional ownership to an impressive ratio where over ninety-four percent of FormFactor’s shares are now owned by hedge funds as well as other institutional investors.
FormFactor’s current status reflects mixed sentiments amongst financial analysts since some are still reluctant to recommend buying into it while some believe that it can continue moving up towards its forward thinking objectives without exposing investors to excessive risks. Nevertheless, informed investors are keeping a close eye on FormFactor as it continues to make headway in the ever-evolving semiconductor industry.
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Financial Sector Divided on FormFactor: Recent Ratings and Price Target Fluctuations
It seems like the financial sector is divided on FormFactor, the NASDAQ-listed semiconductor testing company. While Needham & Company LLC gave it a “buy” rating and Citigroup downgraded it from a “buy” to a “neutral,” other firms such as DA Davidson and Northland Securities are lowering their price targets on the stock.
FormFactor saw some stock selling activity in March when its CFO Shai Shahar sold 4,759 of his shares for around $29.68 per share. Despite this, corporate insiders still own around 1.03% of the shares.
Today marks a new day of trading for FormFactor with its NASDAQ opening at $29.54. Its market cap is currently at $2.28 billion with a PE ratio of 105.50 and beta of 1.24. In the last twelve months, its stock traded between its high of $42.24 and low of $18.15.
With this year’s performance so far, it remains to be seen what FormFactor will do next to drive investor confidence in its brand in a highly competitive market that is heavily reliant on technological advancements and innovations.
As we keep our eyes peeled for more updates on FormFactor, investors may weigh their options amidst recent ratings and price target fluctuations by these research firms whilst also considering long-term trends in the industry as they make investment decisions going forward into H2 2023.
