Ichor Holdings falls on weak revenue forecast

Ichor Holdings

11/01/2023 14:49

(Updates to market open)
    ** Shares of chip equipment maker Ichor Holdings Ltd
 ICHR.O  down 8.2% at $27.2 in early trade
    ** Stock on track to record its biggest single-day drop in
five months, if losses hold
    ** Co expects Q4 revenue in the range of $300 mln-$302 mln,
vs analysts' est of $326.5 mln - Refinitiv
    ** Says Q4 revenue outlook shows a sequential decline of
about 15%
    ** Weakness in wafer fab equipment, particularly those
related to memory spending, resulted in near-term demand
reduction - CEO Jeffrey Andreson
    ** "We are currently witnessing quarter-over-quarter revenue
declines that are modestly higher than what we were expecting a
couple of months ago" - CEO
    ** Based on current visibility, co sees Q1 2023 revenue
between $210 mln and $240 mln
    ** Three of four brokerages rate stock "buy" and one "hold";
median PT is $30.50 - Refinitiv
    ** Brokerage D.A. Davidson cuts PT on stock to $31 from $36
    ** ICHR fell 41.7% in 2022 
 (Reporting by Shashwat Chauhan in Bengaluru)
 ((Shashwat.Chauhan@thomsonreuters.com))