MKS Beats Q3 Estimates, Guides Q4 Revenue to $1.49B
MKSI sits 56% above its 52-week low of $134.74 on elevated volume (1.9× avg).
Summary
MKS beat on Q3 revenue at $1.41B versus the $1.36B consensus, with adjusted EPS of $4.18 and GAAP EPS of $3.26 on $236M net income. Growth was broad: Semiconductor revenue rose 54% year over year and Electronics & Packaging 43%, pushing GAAP operating margin to 23.1% from 14.0% and adjusted EBITDA margin to 30.7% from 24.3%. The company guided Q4 revenue to $1.49B plus or minus $40M and non-GAAP EPS to $5.00 plus or minus $0.38, with adjusted EBITDA of $461M plus or minus $29M. That Q4 outlook excludes the pending $650M Ophir Optics sale to TTM Technologies announced October 19th, so reported results will diverge from guidance once that deal closes. The stock trades at 12x next-twelve-month earnings versus a P/E of 21 three months ago, and the median analyst target sits at $390.
At the time of this announcement, MKSI was trading at $209.90 on NASDAQ in the Technology sector, with a market capitalization of approximately $13.2B. The 52-week trading range was $134.74 to $447.62. This news item was assessed with positive market sentiment and an importance score of 7 out of 10. Source: Reuters.