Veeco Instruments (NASDAQ:VECO) Releases Earnings Results, Beats Estimates By $0.07 EPS

Veeco Instruments (NASDAQ:VECO) posted its quarterly earnings results on Wednesday. The semiconductor company reported $0.33 EPS for the quarter, beating the consensus estimate of $0.26 by $0.07, FiscalAI reports. Veeco Instruments had a return on equity of 3.54% and a net margin of 3.40%.The business had revenue of $193.48 million during the quarter, compared to analysts’ expectations of $180.08 million. During the same period last year, the firm earned $0.20 EPS. The company’s quarterly revenue was up 16.5% compared to the same quarter last year. Veeco Instruments updated its FY 2026 guidance to 1.360-1.610 EPS and its Q3 2026 guidance to 0.350-0.490 EPS.

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

• Q2 results exceeded expectations: Revenue reached $193 million, with non-GAAP operating income of $23 million and diluted EPS of $0.33. Management raised full-year 2026 revenue guidance to $780–$810 million.
• Order momentum strengthened substantially, including $200 million of Advanced Packaging orders that are primarily expected to ship in 2027. Management said visibility into 2027—and in some cases beyond—has improved significantly.
• AI-related demand is driving growth across Advanced Packaging, Silicon Photonics, laser annealing, memory, EUV, and data storage. Veeco expects semiconductor revenue to grow more than 10% in 2026, compound semiconductor revenue to approximately double, and data storage revenue to double year over year.
• Growth investments are pressuring near-term profitability: Veeco plans to more than double Advanced Packaging and Silicon Photonics capacity in 2027, adding about $10 million in 2026 operating expenses and reducing full-year gross margin by roughly 75 basis points. Full-year non-GAAP EPS guidance is now $1.36–$1.61 despite the higher revenue outlook.
• The proposed Axcelis merger continues to progress, with shareholder approvals and most regulatory clearances secured; China antitrust approval remains outstanding, and closing is still targeted for the second half of 2026.

Veeco Instruments Price Performance

Shares of NASDAQ VECO traded up $0.51 during trading on Friday, reaching $52.12. The company had a trading volume of 343,490 shares, compared to its average volume of 1,247,654. The company has a current ratio of 4.23, a quick ratio of 2.86 and a debt-to-equity ratio of 0.26. Veeco Instruments has a twelve month low of $22.32 and a twelve month high of $86.63. The stock has a 50-day moving average price of $61.23 and a two-hundred day moving average price of $47.25. The stock has a market capitalization of $3.18 billion, a PE ratio of 144.91 and a beta of 1.38.

Insider Activity

In related news, Director Richard A. Damore sold 43,701 shares of the business’s stock in a transaction dated Thursday, May 14th. The shares were sold at an average price of $60.71, for a total value of $2,653,087.71. Following the completion of the transaction, the director owned 112,594 shares of the company’s stock, valued at approximately $6,835,581.74. The trade was a 27.96% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, SVP Adrian Devasahayam sold 10,000 shares of the company’s stock in a transaction dated Tuesday, June 9th. The shares were sold at an average price of $65.00, for a total transaction of $650,000.00. Following the completion of the transaction, the senior vice president owned 85,115 shares in the company, valued at approximately $5,532,475. This trade represents a 10.51% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 231,309 shares of company stock worth $14,295,115 in the last quarter. Corporate insiders own 2.70% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of VECO. Royal Bank of Canada increased its stake in Veeco Instruments by 29.6% in the first quarter. Royal Bank of Canada now owns 134,088 shares of the semiconductor company’s stock valued at $2,692,000 after purchasing an additional 30,646 shares during the last quarter. AQR Capital Management LLC boosted its stake in Veeco Instruments by 51.5% in the 1st quarter. AQR Capital Management LLC now owns 29,785 shares of the semiconductor company’s stock worth $598,000 after buying an additional 10,122 shares during the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its holdings in Veeco Instruments by 4.5% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 33,043 shares of the semiconductor company’s stock valued at $664,000 after buying an additional 1,434 shares during the period. Millennium Management LLC increased its stake in shares of Veeco Instruments by 148.0% during the 1st quarter. Millennium Management LLC now owns 474,415 shares of the semiconductor company’s stock valued at $9,526,000 after acquiring an additional 283,099 shares during the last quarter. Finally, Woodline Partners LP acquired a new position in shares of Veeco Instruments during the 1st quarter valued at about $618,000. 98.46% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

A number of equities research analysts have commented on the company. Barclays raised their target price on Veeco Instruments from $30.00 to $55.00 and gave the company an “equal weight” rating in a report on Tuesday, May 19th. Zacks Research downgraded shares of Veeco Instruments from a “strong-buy” rating to a “hold” rating in a report on Monday, July 6th. Wall Street Zen upgraded shares of Veeco Instruments to a “hold” rating in a research note on Saturday, June 6th. Weiss Ratings raised shares of Veeco Instruments from a “sell (d)” rating to a “sell (d+)” rating in a report on Tuesday, June 30th. Finally, Citigroup upped their target price on shares of Veeco Instruments from $40.00 to $60.00 and gave the stock a “buy” rating in a research report on Wednesday, May 6th. One research analyst has rated the stock with a Buy rating, four have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, Veeco Instruments has an average rating of “Hold” and an average price target of $48.33.

Veeco Instruments Company Profile

Veeco Instruments Inc (NASDAQ: VECO) is a leading supplier of process equipment for the semiconductor, data storage, wireless communications, power electronics and advanced packaging industries. The company designs, manufactures and services precision tools used to grow, deposit and etch thin films on substrates, enabling the fabrication of chips, light-emitting diodes (LEDs), micro-electromechanical systems (MEMS) and high-density storage devices. Veeco’s platforms are deployed across fabrication facilities worldwide, where they support key processes in materials science and device manufacturing.

Veeco’s product portfolio spans molecular beam epitaxy (MBE), metal organic chemical vapor deposition (MOCVD), atomic layer deposition (ALD), ion beam etch and deposition, and high-precision wet and dry etch systems.