Cohu (NASDAQ:COHU) Announces Earnings Results, Beats Estimates By $0.12 EPS

Cohu (NASDAQ:COHU) released its earnings results on Thursday. The semiconductor company reported $0.26 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.14 by $0.12, FiscalAI reports. Cohu had a negative return on equity of 3.50% and a negative net margin of 11.54%.The firm had revenue of $149.00 million for the quarter, compared to analyst estimates of $144.20 million. During the same period in the previous year, the company earned $0.02 earnings per share. Cohu’s revenue was up 38.3% compared to the same quarter last year.

Here are the key takeaways from Cohu’s conference call:

• Strong Q2 execution: Revenue rose 38% year over year to $149 million, recurring revenue reached 53% of sales, non-GAAP EPS was $0.26, and gross margin exceeded guidance at 45.5%.
• AI and HPC momentum accelerated: Computing represented 46% of system orders, up 150% year over year, while Cohu raised its 2026 high-performance computing revenue outlook to $100 million-$110 million. The HPC opportunity pipeline expanded to approximately $850 million annually across 19 customers.
• Growth investments and guidance increased: The company expects Q3 revenue of about $170 million, up 14% sequentially, and now forecasts approximately 35% full-year 2026 revenue growth, or roughly $610 million-$615 million. Malaysia and Philippines manufacturing expansions are intended to more than double HPC handler output by mid-2027.
• Software adoption is becoming repeatable: Software analytics generated its first $1 million revenue quarter, with orders up 140% year over year, and Cohu is progressing toward its largest single-customer deployment while developing on-site agentic AI tools to support recurring revenue.
• Supply-chain and end-market risks remain: Memory and other specialty components have longer lead times and higher costs, potentially pressuring margins or customer pricing, while automotive demand remains weak, with utilization not expected to reach 80% until late Q1 or Q2 2027.

Cohu Stock Up 18.1%

COHU traded up $7.11 on Thursday, reaching $46.45. 2,408,918 shares of the company traded hands, compared to its average volume of 1,141,867. The company has a market cap of $2.19 billion, a price-to-earnings ratio of -39.03 and a beta of 1.55. The company has a debt-to-equity ratio of 0.37, a current ratio of 6.43 and a quick ratio of 5.31. The stock’s 50 day moving average price is $56.66 and its 200-day moving average price is $42.25. Cohu has a 52-week low of $17.80 and a 52-week high of $74.60.

Analysts Set New Price Targets

A number of analysts recently commented on the stock. B. Riley Financial boosted their target price on shares of Cohu from $60.00 to $65.00 and gave the stock a “buy” rating in a report on Wednesday, July 22nd. Robert W. Baird started coverage on shares of Cohu in a report on Wednesday, July 8th. They set an “outperform” rating and a $65.00 target price for the company. Stifel Nicolaus lifted their price target on shares of Cohu from $50.00 to $70.00 and gave the stock a “buy” rating in a research report on Friday, July 10th. Evercore reaffirmed an “outperform” rating and issued a $53.00 price target on shares of Cohu in a report on Tuesday, April 28th. Finally, Needham & Company LLC increased their price objective on Cohu from $33.00 to $54.00 and gave the company a “buy” rating in a research report on Friday, May 1st. One analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, Cohu has an average rating of “Moderate Buy” and a consensus price target of $63.86.

Insider Buying and Selling at Cohu

In other news, Director William Bendush sold 7,500 shares of the company’s stock in a transaction on Wednesday, May 13th. The shares were sold at an average price of $49.14, for a total value of $368,550.00. Following the transaction, the director directly owned 24,780 shares of the company’s stock, valued at approximately $1,217,689.20. This represents a 23.23% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Steven J. Bilodeau sold 10,257 shares of Cohu stock in a transaction on Wednesday, May 20th. The shares were sold at an average price of $44.85, for a total value of $460,026.45. Following the sale, the director directly owned 52,272 shares of the company’s stock, valued at approximately $2,344,399.20. The trade was a 16.40% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 89,668 shares of company stock worth $4,210,016 over the last 90 days. 3.05% of the stock is currently owned by insiders.

Institutional Trading of Cohu

Large investors have recently added to or reduced their stakes in the business. State Street Corp increased its position in Cohu by 0.3% during the fourth quarter. State Street Corp now owns 1,819,530 shares of the semiconductor company’s stock worth $42,340,000 after buying an additional 5,439 shares during the last quarter. SG Capital Management LLC acquired a new stake in shares of Cohu in the fourth quarter worth $33,174,000. Invesco Ltd. boosted its holdings in shares of Cohu by 478.4% during the 2nd quarter. Invesco Ltd. now owns 1,175,282 shares of the semiconductor company’s stock worth $22,612,000 after buying an additional 972,088 shares during the period. Paradigm Capital Management Inc. NY raised its holdings in Cohu by 12.3% in the 4th quarter. Paradigm Capital Management Inc. NY now owns 914,897 shares of the semiconductor company’s stock worth $21,290,000 after acquiring an additional 99,998 shares during the period. Finally, Charles Schwab Investment Management Inc. increased its stake in shares of Cohu by 1.7% in the fourth quarter. Charles Schwab Investment Management Inc. now owns 806,191 shares of the semiconductor company’s stock worth $18,760,000 after purchasing an additional 13,376 shares during the period. 94.67% of the stock is owned by institutional investors.

Cohu Company Profile

Cohu, Inc is a global provider of semiconductor test and inspection solutions, offering a broad portfolio of products designed to support chip manufacturers, outsourced semiconductor assembly and test (OSAT) providers, and electronics original equipment manufacturers (OEMs). The company’s product lineup includes automatic test handlers, wafer probers, test sockets, thermal subassembly systems and burn-in boards, all engineered to optimize throughput, accuracy and reliability in semiconductor production and final test.

Founded in 1947 and headquartered in Poway, California, Cohu has grown through both organic development and targeted acquisitions to become a recognized leader in test handling and interconnect technologies.