Ultra Clean (NASDAQ:UCTT) Shares Gap Up on Strong Earnings

Ultra Clean Holdings, Inc. (NASDAQ:UCTT) shares gapped up before the market opened on Tuesday following a stronger than expected earnings report. The stock had previously closed at $35.05, but opened at $36.38. Ultra Clean shares last traded at $33.94, with a volume of 177,399 shares changing hands.

The semiconductor company reported $0.35 EPS for the quarter, beating analysts’ consensus estimates of $0.33 by $0.02. Ultra Clean had a negative net margin of 0.46% and a positive return on equity of 2.59%. The company had revenue of $540.40 million during the quarter, compared to analysts’ expectations of $515.88 million. During the same quarter in the prior year, the company posted ($0.03) earnings per share. Ultra Clean’s revenue for the quarter was up 24.2% compared to the same quarter last year.

Analyst Upgrades and Downgrades

UCTT has been the topic of several recent analyst reports. Craig Hallum upped their target price on Ultra Clean from $52.00 to $60.00 and gave the company a “buy” rating in a research report on Friday, July 26th. Needham & Company LLC decreased their price objective on shares of Ultra Clean from $50.00 to $44.00 and set a “buy” rating for the company in a research report on Tuesday. Oppenheimer initiated coverage on shares of Ultra Clean in a research report on Wednesday, September 25th. They set an “outperform” rating and a $70.00 target price on the stock. Finally, TD Cowen decreased their price target on shares of Ultra Clean from $60.00 to $57.00 and set a “buy” rating for the company in a report on Tuesday. Four equities research analysts have rated the stock with a buy rating, According to MarketBeat, the stock has a consensus rating of “Buy” and a consensus price target of $57.75.

Hedge Funds Weigh In On Ultra Clean

A number of institutional investors have recently bought and sold shares of UCTT. GAMMA Investing LLC increased its stake in shares of Ultra Clean by 52.1% in the second quarter. GAMMA Investing LLC now owns 622 shares of the semiconductor company’s stock worth $30,000 after acquiring an additional 213 shares during the period. Signaturefd LLC grew its position in Ultra Clean by 465.5% during the 3rd quarter. Signaturefd LLC now owns 803 shares of the semiconductor company’s stock worth $32,000 after purchasing an additional 661 shares during the period. CWM LLC raised its stake in shares of Ultra Clean by 46.3% during the 2nd quarter. CWM LLC now owns 800 shares of the semiconductor company’s stock valued at $39,000 after buying an additional 253 shares during the last quarter. Innealta Capital LLC acquired a new position in shares of Ultra Clean in the 2nd quarter valued at about $41,000. Finally, nVerses Capital LLC purchased a new stake in shares of Ultra Clean in the second quarter worth about $64,000. 96.06% of the stock is owned by hedge funds and other institutional investors.

Ultra Clean Stock Performance

The firm has a fifty day moving average of $36.60 and a 200 day moving average of $42.03. The company has a debt-to-equity ratio of 0.52, a current ratio of 2.73 and a quick ratio of 1.60. The stock has a market capitalization of $1.60 billion, a price-to-earnings ratio of -43.76 and a beta of 2.08.

Ultra Clean Company Profile

Ultra Clean Holdings, Inc develops and supplies critical subsystems, components and parts, and ultra-high purity cleaning and analytical services for the semiconductor industry in the United States and internationally. The company provides ultra-clean valves, high purity connectors, industrial process connectors and valves, pneumatic actuators, manifolds and safety solutions, hoses, pressure gauges, and gas line and component heaters; chemical delivery modules that deliver gases and reactive chemicals in a liquid or gaseous form from a centralized subsystem to the reaction chamber; and gas delivery systems, such as weldments, filters, mass flow controllers, regulators, pressure transducers and valves, component heaters, and an integrated electronic and/or pneumatic control system.