Ultra Clean (NASDAQ:UCTT) Stock Price Down 9.4% – What’s Next?

Ultra Clean Holdings, Inc. (NASDAQ:UCTT)’s stock price was down 9.4% during mid-day trading on Monday . The stock traded as low as $85.81 and last traded at $83.9920. 222,086 shares changed hands during mid-day trading, a decline of 83% from the average session volume of 1,316,042 shares. The stock had previously closed at $92.75.

Analyst Upgrades and Downgrades

A number of research firms have commented on UCTT. TD Cowen raised their target price on Ultra Clean from $100.00 to $130.00 and gave the company a “buy” rating in a report on Thursday, July 9th. Weiss Ratings downgraded shares of Ultra Clean from a “sell (d+)” rating to a “sell (d)” rating in a report on Friday. Needham & Company LLC raised their price objective on shares of Ultra Clean from $70.00 to $92.00 and gave the company a “buy” rating in a research note on Wednesday, April 29th. Wall Street Zen raised shares of Ultra Clean from a “hold” rating to a “buy” rating in a report on Tuesday, July 7th. Finally, Oppenheimer upped their target price on shares of Ultra Clean from $100.00 to $115.00 and gave the stock an “outperform” rating in a research report on Tuesday, June 9th. Two research analysts have rated the stock with a Strong Buy rating, four have assigned a Buy rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat, Ultra Clean has a consensus rating of “Buy” and a consensus target price of $113.40.

Ultra Clean Price Performance

The company has a debt-to-equity ratio of 0.86, a quick ratio of 1.72 and a current ratio of 3.07. The stock has a market capitalization of $3.47 billion, a PE ratio of -18.07, a P/E/G ratio of 1.16 and a beta of 1.83. The company’s fifty day simple moving average is $100.70 and its two-hundred day simple moving average is $75.20.

Ultra Clean (NASDAQ:UCTT) last announced its quarterly earnings results on Tuesday, April 28th. The semiconductor company reported $0.31 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.27 by $0.04. The company had revenue of $533.70 million for the quarter, compared to the consensus estimate of $525.28 million. Ultra Clean had a negative net margin of 9.38% and a positive return on equity of 4.28%. The company’s revenue for the quarter was up 2.9% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $0.28 earnings per share. As a group, sell-side analysts predict that Ultra Clean Holdings, Inc. will post 2.14 EPS for the current year.

Insider Activity

In related news, insider Christopher S. Cook sold 11,903 shares of the company’s stock in a transaction that occurred on Thursday, April 30th. The stock was sold at an average price of $75.31, for a total value of $896,414.93. Following the sale, the insider owned 108,905 shares of the company’s stock, valued at approximately $8,201,635.55. This represents a 9.85% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CFO Sheri Savage sold 15,766 shares of the firm’s stock in a transaction on Thursday, June 4th. The stock was sold at an average price of $89.47, for a total value of $1,410,584.02. Following the transaction, the chief financial officer directly owned 50,710 shares of the company’s stock, valued at $4,537,023.70. The trade was a 23.72% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders sold 80,106 shares of company stock worth $6,734,589. 1.80% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Ultra Clean

A number of hedge funds and other institutional investors have recently modified their holdings of the company. Harbor Investment Advisory LLC acquired a new position in shares of Ultra Clean in the second quarter valued at approximately $62,000. AdvisorNet Financial Inc acquired a new stake in Ultra Clean during the first quarter worth approximately $34,000. EverSource Wealth Advisors LLC boosted its position in Ultra Clean by 37.3% during the first quarter. EverSource Wealth Advisors LLC now owns 721 shares of the semiconductor company’s stock worth $45,000 after acquiring an additional 196 shares during the last quarter. Quadrant Capital Group LLC grew its stake in Ultra Clean by 40.3% in the 4th quarter. Quadrant Capital Group LLC now owns 989 shares of the semiconductor company’s stock worth $25,000 after acquiring an additional 284 shares during the period. Finally, Thurston Springer Miller Herd & Titak Inc. purchased a new stake in Ultra Clean in the 2nd quarter worth approximately $141,000. 96.06% of the stock is currently owned by hedge funds and other institutional investors.

About Ultra Clean

Ultra Clean Holdings, Inc is a global supplier of critical consumables and process tools for the semiconductor manufacturing industry. The company specializes in precision parts cleaning, chemical–mechanical planarization (CMP) slurries, surface conditioning pads, and specialty components used in wafer fabrication and advanced packaging. Ultra Clean also provides assembly and test hardware, tooling, and automated modules designed to support complex front-end and back-end processes in semiconductor fabs.

Ultra Clean’s product portfolio encompasses a range of cleaning systems and consumables aimed at particle and film removal, as well as CMP slurries and pads that are engineered for uniform material removal and planarization.