Axcelis Technologies (NASDAQ:ACLS) Posts Quarterly Earnings Results, Beats Estimates By $0.15 EPS

Axcelis Technologies (NASDAQ:ACLS) released its quarterly earnings results on Thursday. The semiconductor company reported $1.26 earnings per share for the quarter, beating the consensus estimate of $1.11 by $0.15, FiscalAI reports. Axcelis Technologies had a net margin of 10.71% and a return on equity of 11.69%. The company had revenue of $237.78 million during the quarter, compared to analysts’ expectations of $230.08 million. During the same quarter in the prior year, the company earned $1.21 earnings per share. The business’s quarterly revenue was up 11.3% compared to the same quarter last year. Axcelis Technologies updated its Q4 2026 guidance to 1.500-1.500 EPS.

Here are the key takeaways from Axcelis Technologies’ conference call:

• Axcelis reported Q3 revenue of $238 million and diluted EPS of $1.26, both ahead of its expectations. CS&I revenue reached a quarterly record of $93 million.
• Gross margin was 41.2%, below the 43% outlook, mainly because the stronger Korean won increased costs; foreign-exchange gains in other income partly offset the impact.
• Bookings rose to $222 million, the highest since Q4 2023, with a 1.5 book-to-bill ratio and backlog reaching $531 million. Management described demand as broadening across power, memory and general mature markets, and expects all three to grow in 2027.
• For Q4, Axcelis forecast revenue of about $275 million and EPS of about $1.50, with growth primarily from power and general mature. It expects Q1 2027 revenue to be relatively consistent with Q4 despite seasonal CS&I softness.
• The pending Veeco merger is now expected to close by the end of Q1 2027, subject to regulatory clearance in China and a new HSR submission.

Axcelis Technologies Stock Up 9.6%

Shares of ACLS traded up $8.66 during mid-day trading on Friday, hitting $98.66. 179,423 shares of the company’s stock were exchanged, compared to its average volume of 594,408. The company has a market cap of $3.05 billion, a PE ratio of 33.09, a P/E/G ratio of 2.81 and a beta of 1.88. Axcelis Technologies has a 52 week low of $73.60 and a 52 week high of $193.78. The company has a 50-day simple moving average of $116.08 and a 200 day simple moving average of $122.65. The company has a debt-to-equity ratio of 0.04, a current ratio of 4.90 and a quick ratio of 3.21.

Wall Street Analysts Forecast Growth

A number of equities analysts recently weighed in on the stock. Weiss Ratings raised shares of Axcelis Technologies from a “hold (c-)” rating to a “hold (c)” rating in a research note on Friday, October 16th. B. Riley Financial reiterated a “buy” rating and set a $140.00 target price (down from $165.00) on shares of Axcelis Technologies in a report on Friday. Finally, Craig Hallum raised Axcelis Technologies from a “hold” rating to a “buy” rating and set a $140.00 price target on the stock in a research note on Friday. Two investment analysts have rated the stock with a Buy rating, two have given a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat, Axcelis Technologies presently has an average rating of “Hold” and an average target price of $145.33.

Axcelis Technologies News Summary

Here are the key news stories impacting Axcelis Technologies this week:

• Positive Sentiment: Q3 results topped expectations. Axcelis reported revenue of $237.8 million, up 11.3% year over year, versus estimates of about $230 million. Non-GAAP diluted EPS was $1.26, above the $1.11 consensus. Axcelis Q3 financial results
• Positive Sentiment: Q4 guidance exceeded consensus. The company forecast revenue of $275 million and EPS of $1.50, compared with analyst estimates of about $239.3 million and $1.18, respectively. Axcelis Q4 outlook and merger timing
• Positive Sentiment: Craig-Hallum upgraded ACLS to Buy from Hold and set a $140 price target, signaling improved analyst sentiment. Craig-Hallum upgrade
• Neutral Sentiment: Axcelis said it is targeting completion of its merger with Veeco by the end of Q1 2027. The deal’s eventual impact will depend on closing and integration. Axcelis Q4 outlook and merger timing

About Axcelis Technologies

Axcelis Technologies, Inc develops and manufactures equipment used in the fabrication of semiconductor devices. The company is best known for its ion implantation systems, which precisely introduce dopant atoms into silicon wafers to control the electrical properties of semiconductor components.

Its product portfolio includes the Purion family of ion implantation systems, designed for applications such as high-current, medium-current and high-energy implantation. Axcelis also provides related aftermarket products and services, including spare parts, equipment upgrades, process support and customer training.

Headquartered in Beverly, Massachusetts, Axcelis serves semiconductor manufacturers and other customers in major chip-production regions worldwide.