Veeco Instruments (NASDAQ:VECO) Posts Quarterly Earnings Results, Misses Expectations By $0.07 EPS

Veeco Instruments (NASDAQ:VECO) posted its quarterly earnings data on Wednesday. The semiconductor company reported $0.36 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.43 by ($0.07), FiscalAI reports. The business had revenue of $209.38 million for the quarter, compared to analyst estimates of $213.33 million. Veeco Instruments had a return on equity of 3.52% and a net margin of 3.40%.

Here are the key takeaways from Veeco Instruments’ conference call:

• Management expects growth to accelerate: Veeco forecast fourth-quarter revenue of $230 million to $260 million and raised its 2026 revenue outlook to $790 million–$820 million. It sees 2027 company growth near the higher end of industry estimates, around 40%, even after factoring in supply constraints.
• AI-related demand is strengthening across several markets: Veeco cited order momentum in advanced packaging, silicon photonics, annealing, and data storage, with customer visibility extending into 2027 and, in some areas, 2028. It plans to more than double capacity in 2027 for advanced packaging and silicon photonics demand.
• Third-quarter results were within guidance: Revenue was $209 million and non-GAAP diluted EPS was $0.36. Semiconductor revenue rose 4% sequentially, while compound semiconductor revenue increased 96%.
• Margins and execution remain risks: Third-quarter gross margin was 39%, below expectations because of higher supply-chain costs, product mix, and delayed revenue recognition on a system under export review. Management also cited longer component lead times and shortages, though it said mitigation efforts are underway.

Veeco Instruments Trading Down 3.7%

Veeco Instruments stock traded down $1.39 during midday trading on Wednesday, reaching $36.00. The stock had a trading volume of 1,538,351 shares, compared to its average volume of 1,089,163. Veeco Instruments has a twelve month low of $26.00 and a twelve month high of $86.63. The stock has a market capitalization of $2.20 billion, a PE ratio of 100.00 and a beta of 1.41. The company has a debt-to-equity ratio of 0.25, a quick ratio of 2.69 and a current ratio of 3.93. The stock’s 50-day simple moving average is $45.72 and its 200 day simple moving average is $46.85.

Insider Transactions at Veeco Instruments

In other Veeco Instruments news, CEO William Miller sold 200,000 shares of the company’s stock in a transaction dated Monday, August 17th. The stock was sold at an average price of $54.18, for a total transaction of $10,836,000.00. Following the completion of the sale, the chief executive officer directly owned 169,570 shares in the company, valued at $9,187,302.60. This represents a 54.12% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO John Kiernan sold 35,000 shares of the firm’s stock in a transaction dated Monday, August 10th. The stock was sold at an average price of $51.05, for a total value of $1,786,750.00. Following the completion of the transaction, the chief financial officer owned 68,802 shares in the company, valued at approximately $3,512,342.10. This trade represents a 33.72% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 2.70% of the stock is currently owned by insiders.

Wall Street Analysts Forecast Growth

A number of analysts have issued reports on the company. Oppenheimer reissued an “outperform” rating and issued a $24.00 price target on shares of Veeco Instruments in a research note on Wednesday, October 14th. Citigroup upped their price objective on shares of Veeco Instruments from $60.00 to $63.00 and gave the company a “buy” rating in a research note on Monday, August 10th. Weiss Ratings lowered shares of Veeco Instruments from a “hold (c)” rating to a “hold (c-)” rating in a report on Friday, August 21st. Northland Securities upgraded shares of Veeco Instruments from a “market perform” rating to an “outperform” rating and set a $66.00 price objective on the stock in a report on Monday, September 21st. Finally, Wall Street Zen raised shares of Veeco Instruments from a “buy” rating to a “strong-buy” rating in a research report on Saturday, September 12th. Three investment analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company’s stock. According to MarketBeat, the company presently has an average rating of “Hold” and a consensus price target of $52.00.

About Veeco Instruments

Veeco Instruments Inc (NASDAQ: VECO) develops and manufactures specialized equipment used in the production of semiconductors and other advanced electronic devices. Its systems help customers deposit, etch, pattern, anneal and otherwise process thin films and materials at the wafer level.

The company’s product portfolio includes metal-organic chemical vapor deposition systems, molecular beam epitaxy equipment, ion beam etch and deposition systems, laser annealing systems, and related process-control and automation technologies.