FormFactor (NASDAQ:FORM) Shares Gap Up – Should You Buy?

FormFactor, Inc. (NASDAQ:FORM)’s share price gapped up before the market opened on Thursday . The stock had previously closed at $111.59, but opened at $119.95. FormFactor shares last traded at $122.7450, with a volume of 218,108 shares traded.

Analyst Ratings Changes

FORM has been the topic of several recent research reports. Zacks Research upgraded FormFactor from a “hold” rating to a “strong-buy” rating in a research report on Tuesday, May 26th. Citigroup upped their target price on shares of FormFactor to $165.00 and gave the company a “buy” rating in a report on Thursday, April 30th. Stifel Nicolaus set a $135.00 price target on shares of FormFactor in a report on Thursday, April 30th. TD Cowen increased their target price on FormFactor from $80.00 to $150.00 and gave the stock a “hold” rating in a research report on Thursday, April 30th. Finally, Craig Hallum upgraded shares of FormFactor from a “hold” rating to a “buy” rating and set a $175.00 target price for the company in a report on Tuesday, May 12th. One equities research analyst has rated the stock with a Strong Buy rating, six have given a Buy rating and four have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, FormFactor has an average rating of “Moderate Buy” and an average target price of $132.45.

FormFactor Price Performance

The stock has a market cap of $9.51 billion, a PE ratio of 139.71 and a beta of 1.22. The company has a quick ratio of 3.69, a current ratio of 4.55 and a debt-to-equity ratio of 0.01. The company’s fifty day moving average is $133.12 and its 200 day moving average is $106.09.

FormFactor (NASDAQ:FORM) last released its quarterly earnings data on Wednesday, April 29th. The semiconductor company reported $0.56 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.45 by $0.11. FormFactor had a net margin of 8.14% and a return on equity of 9.31%. The company had revenue of $226.14 million during the quarter, compared to the consensus estimate of $225.54 million. During the same period in the previous year, the firm earned $0.23 earnings per share. FormFactor’s revenue for the quarter was up 31.9% on a year-over-year basis. FormFactor has set its Q2 2026 guidance at 0.570-0.650 EPS. As a group, sell-side analysts anticipate that FormFactor, Inc. will post 2.03 earnings per share for the current fiscal year.

Insider Activity

In related news, Director Brian C. White sold 3,250 shares of the stock in a transaction on Wednesday, May 20th. The stock was sold at an average price of $126.00, for a total value of $409,500.00. Following the completion of the sale, the director directly owned 8,653 shares in the company, valued at approximately $1,090,278. This represents a 27.30% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Rebeca Obregon-Jimenez sold 3,828 shares of the firm’s stock in a transaction dated Thursday, May 21st. The shares were sold at an average price of $126.47, for a total value of $484,127.16. Following the completion of the transaction, the director directly owned 7,875 shares in the company, valued at $995,951.25. This trade represents a 32.71% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 49,828 shares of company stock worth $6,306,587 in the last quarter. Insiders own 0.79% of the company’s stock.

Institutional Investors Weigh In On FormFactor

Several hedge funds have recently modified their holdings of FORM. Victory Capital Management Inc. lifted its position in FormFactor by 5,596.8% during the 4th quarter. Victory Capital Management Inc. now owns 1,256,545 shares of the semiconductor company’s stock worth $70,090,000 after acquiring an additional 1,234,488 shares in the last quarter. Morgan Stanley grew its position in FormFactor by 98.5% in the fourth quarter. Morgan Stanley now owns 2,271,562 shares of the semiconductor company’s stock valued at $126,708,000 after acquiring an additional 1,127,146 shares in the last quarter. Fuller & Thaler Asset Management Inc. purchased a new stake in shares of FormFactor during the fourth quarter valued at approximately $60,495,000. Shannon River Fund Management LLC purchased a new stake in shares of FormFactor during the third quarter valued at approximately $35,260,000. Finally, Norges Bank acquired a new position in shares of FormFactor during the fourth quarter worth $31,451,000. 98.76% of the stock is currently owned by hedge funds and other institutional investors.

FormFactor Company Profile

FormFactor, Inc (NASDAQ:FORM) is a leading provider of advanced test and measurement solutions for the semiconductor industry. The company specializes in the design, development and manufacture of high-performance wafer-level and package-level test interfaces used in wafer sort, characterization, reliability and failure analysis applications. By leveraging precision microelectromechanical systems (MEMS) and photolithographic processes, FormFactor delivers probe cards, analytical probes and test sockets that enable device makers to validate next-generation integrated circuits across logic, memory, RF, analog and power applications.

FormFactor’s product portfolio includes custom probe cards for wafer probers, TEM-based analytical probes for material and device characterization, and socket solutions for burn-in and final test of packaged devices.