FormFactor’s third quarter was marked by a positive market reaction, driven by operational improvements and product mix shifts discussed by management. CEO Mike Slessor highlighted the company’s focus on gross margin recovery, citing a 250 basis point sequential improvement from cost controls, labor reductions, and manufacturing efficiencies. Slessor explained, “We’re focused on and committed to improving our profitability to get back on a path to the 47% non-GAAP gross margins of our target model.” The company’s success in expanding its leadership in high-bandwidth memory (HBM) probe cards—particularly as test complexity increased with HBM4 adoption—was also a key driver of quarterly performance.
Shares of semiconductor testing company FormFactor (NASDAQ:FORM) fell 6.4% in the morning session after a sell-off in the artificial intelligence (AI) sector, sparked by investor concerns over high valuations.
Semiconductors are the core infrastructure powering the Information Age. Compute-intensive AI workloads are also priming them for the next wave of secular growth,
so it’s no wonder the industry has outperformed the market over the past six months, delivering returns of 62.7% compared to 21% for the S&P 500.
Wall Street has issued downbeat forecasts for the stocks in this article.
These predictions are rare - financial institutions typically hesitate to say bad things about a company because it can jeopardize their other revenue-generating business lines like M&A advisory.
Shares of semiconductor testing company FormFactor (NASDAQ:FORM) jumped 23.9% in the morning session after the company reported strong third-quarter 2025 results that surpassed market expectations and provided an optimistic outlook for the upcoming quarter.
Semiconductor testing company FormFactor (NASDAQ:FORM) reported Q3 CY2025 results beating Wall Street’s revenue expectations, but sales fell by 2.5% year on year to $202.7 million. On top of that, next quarter’s revenue guidance ($210 million at the midpoint) was surprisingly good and 5.2% above what analysts were expecting. Its non-GAAP profit of $0.33 per share was 32.7% above analysts’ consensus estimates.
Semiconductor testing company FormFactor (NASDAQ:FORM) announced better-than-expected revenue in Q3 CY2025, but sales fell by 2.5% year on year to $202.7 million. On top of that, next quarter’s revenue guidance ($210 million at the midpoint) was surprisingly good and 5.2% above what analysts were expecting. Its non-GAAP profit of $0.33 per share was 32.7% above analysts’ consensus estimates.
Shares of semiconductor testing company FormFactor (NASDAQ:FORM) fell 4.9% in the afternoon session after the semiconductor sector sold off after peer Texas Instruments provided a cautious forecast. Texas Instruments reported earnings with a slight miss on profit and warned of a slower-than-expected future. The news sent its shares down over 5% and dampened spirits across the semiconductor industry, which fell as a group. This negative sentiment surrounding a major player in the chip space appeared to weigh on FormFactor's stock as well, contributing to its decline.
"You get what you pay for" often applies to expensive stocks with best-in-class business models and execution.
While their quality can sometimes justify the premium, they typically experience elevated volatility during market downturns when expectations change.
Sunnyvale, CA – October 15, 2025 – As the artificial intelligence revolution continues its relentless march, the foundational infrastructure enabling this transformation – advanced semiconductors – remains under intense scrutiny. Today, the focus turns to FormFactor (NASDAQ: FORM), a leading provider of essential test and measurement technologies, whose Q3 2025 financial guidance offers a compelling [...]
Shares of semiconductor testing company FormFactor (NASDAQ:FORM) jumped 2.7% in the afternoon session after the company's stock rose along with others in the semiconductor sector after industry giant ASML Holding reported better-than-expected orders for the third quarter.
Shares of semiconductor testing company FormFactor (NASDAQ:FORM) jumped 6.3% in the afternoon session after B. Riley upgraded its rating on the stock from Neutral to Buy and significantly raised its price target.
