Ultra Clean Holdings Inc. (UCTT) surged 6.1% in pre-market trading to $77.50 on Thursday after the company reported third-quarter earnings that exceeded analyst expectations and provided an upbeat revenue outlook.
The semiconductor equipment and materials supplier posted adjusted earnings per share of $0.70, beating the consensus estimate of $0.53 by approximately 32%. Revenue also came in above forecasts, according to figures released earlier this month. The company’s stock had declined roughly 27% over the prior month, having previously peaked at $144.22 earlier this year.
Following the earnings release, several analysts reaffirmed Buy-equivalent ratings and raised price targets. One firm increased its target to $150, citing the company’s improved operational performance and demand outlook. Ultra Clean Holdings operates in the same sector as peers such as Ichor Holdings and Entegris, both of which also serve the semiconductor industry.
The broader market showed strength in pre-market trading, with the Nasdaq Composite advancing more than 1.1% and the S&P 500 gaining approximately 0.5%. Ultra Clean Holdings has a beta value estimated above 2.0, indicating higher volatility relative to the broader market.
