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Utilized Supplies shares are up 17% prior to now 12 months.
David Paul Morris/Bloomberg
utilized supplies
It reported better-than-expected earnings for its fiscal second quarter, however shares fell late in buying and selling after administration stated the reminiscence semiconductor market stays troublesome.
The chip gear maker reported adjusted earnings of $2.00 per share for the April quarter, in contrast with the consensus estimate of $1.84 amongst Wall Road analysts tracked by FactSet. Income got here in at $6.63 billion for the quarter, above analyst expectations of $6.39 billion.
utilized supplies
(ticker: AMAT) additionally forecast a spread of potential income for the present quarter with a midpoint of $6.15 billion, in contrast with the consensus view of $6.06 billion.
“Our long-term outlook could be very constructive as semiconductors turn into a bigger and extra strategically essential market globally and supplies engineering allows important expertise inflections,” CEO Gary Dickerson stated in a press launch.
In a convention name to debate the outcomes, administration stated main client electronics markets, together with PCs and smartphones, stay weak. In addition they stated that costs and manufacturing facility utilization of reminiscence chips fell throughout the quarter, whereas inventories rose.
Shares of Utilized Supplies fell 1.5% to $128.01 after the discharge in aftermarket buying and selling.
Main clients of the chip gear firm embody Intel (INTC) and
Taiwan Semiconductor Manufacturing
(TSM).
Over the previous 12 months, Utilized Supplies shares are up 17%, in contrast with an 11% rally for the
iShares Semiconductor
(SOXX) an exchange-traded fund, which tracks the efficiency of the ICE Semiconductor Index.
Write to Tae Kim at tae.kim@barrons.com
