What Happened:
Shares of semiconductor production equipment provider Amtech Systems (NASDAQ:ASYS) jumped 8.29% in the after-market session after the company reported second-quarter revenue and gross margin ahead of analysts' estimates. Inventory levels also improved, though EPS missed. There was a $6.3mm revenue contribution from the recent acquisition of Entrepix. It is unclear how many sell-side analysts modeled the magnitude and timing of this deal correctly. Moving ahead, revenue guidance for the next quarter missed analysts' expectations. Overall, it was a mixed quarter which should result in some uncertainty, especially given the mixed outlook and macro commentary provided by peers that have reported earnings this season. After the initial pop the shares cooled down to $9, up 2.04% from previous close.
What is the market telling us:
Amtech's shares are quite volatile and over the last year have had 35 moves greater than 5%. In context of that, today's move is indicating the market considers this news meaningful but not something that would fundamentally change its perception of the business.
Amtech is up 12.8% since the beginning of the year, but at $9 per share it is still trading 30.4% below its 52-week high of $12.93 from August 2022. Investors who bought $1,000 worth of Amtech's shares five years ago would now be looking at an investment worth $1,090.
Is now the time to buy Amtech? Access our full analysis of the earnings results here, it's free.