Semiconductor photomask manufacturer Photronics (NASDAQ: PLAB) will be announcing earnings results tomorrow before the bell. Here’s what you need to know.
Photronics beat analysts’ revenue expectations last quarter, reporting revenues of $215.8 million, down 3.1% year on year. It was an exceptional quarter for the company, with a beat of analysts’ EPS estimates and revenue guidance for next quarter exceeding analysts’ expectations.
Is Photronics a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting Photronics’s revenue to grow 3.7% year on year, a reversal from the 1.9% decrease it recorded in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Photronics has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at Photronics’s peers in the semiconductor manufacturing segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Teradyne delivered year-on-year revenue growth of 43.9%, beating analysts’ expectations by 11%, and IPG Photonics reported revenues up 17.1%, topping estimates by 10%. Teradyne traded up 13.4% following the results while IPG Photonics was also up 38.8%.
Read our full analysis of Teradyne’s results here and IPG Photonics’s results here.
There has been positive sentiment among investors in the semiconductor manufacturing segment, with share prices up 5.8% on average over the last month. Photronics is up 6.6% during the same time and is heading into earnings with an average analyst price target of $42 (compared to the current share price of $36.96).
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