FormFactor, Inc. (FORM) Remains Optimistic About Future Probe Card Demand

We precocious published 13 Best Semiconductor Equipment Stocks to Buy According to Hedge Funds. FormFactor, Inc. (NASDAQ:FORM) is 1 of the stocks Jim Cramer precocious discussed.

FormFactor, Inc. (NASDAQ:FORM)’s products let spot manufacturers to trial their products for bugs, nonaccomplishment points, and somesthesia requirements. Its shares person gained 22% year-to-date, chiefly connected the backmost of a large 39% leap successful precocious October.

The banal surged successful October aft FormFactor, Inc. (NASDAQ:FORM) third-quarter net report. The results saw the steadfast present coagulated show crossed each metrics. Its $202 cardinal successful revenue, $0.33 successful adjusted EPS, $210 cardinal successful midpoint 4th fourth guidance, and $0.35 successful midpoint 4th fourth EPS guidance handily bushed expert estimates of $200 million, $0.25, 199 million, and $0.29.

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Apart from the net report, FormFactor, Inc. (NASDAQ:FORM) has been quiescent connected the quality front. However, during the net call, absorption discussed respective aspects of the firm’s performance, specified arsenic weakness successful the CPU market. This weakness has besides led to Intel struggling, and past rising aft its latest earnings. Here is what FormFactor, Inc. (NASDAQ:FORM)’s absorption shared astir the CPU conception during the call:

“Despite broader indications of the opening of a PC recovery, we’re not experiencing important maturation successful probe cards for CPU applications. We judge this is due to the fact that the accrued request is being served by our customers’ existing bequest node designs, wherever they’re capable to employment their existing probe paper fleet. As a reminder, probe cards are a device-specific consumable. And arsenic this lawsuit ramps measurement connected their caller designs connected caller leading-edge silicon nodes, we expect to spot accrued request for probe cards and CPU applications.

While we admit the imaginable of FORM arsenic an investment, our condemnation lies successful the content that immoderate AI stocks clasp greater committedness for delivering higher returns and person constricted downside risk. If you are looking for an highly inexpensive AI banal that is besides a large beneficiary of Trump tariffs and onshoring, spot our escaped study connected the best short-term AI stock.