Ultra Clean (NASDAQ:UCTT) Stock Price Down 6.9% – What’s Next?

Shares of Ultra Clean Holdings, Inc. (NASDAQ:UCTT) were down 6.9% during mid-day trading on Tuesday . The stock traded as low as $82.99 and last traded at $83.00. Approximately 975,936 shares changed hands during trading, a decline of 27% from the average daily volume of 1,338,261 shares. The stock had previously closed at $89.17.

Key Stories Impacting Ultra Clean

Here are the key news stories impacting Ultra Clean this week:

• Positive Sentiment: Q2 results exceeded expectations: Ultra Clean reported $644.9 million in revenue, up 24.3% year over year, while adjusted EPS of $0.70 topped the $0.53 consensus estimate. Ultra Clean Holdings Beats Q2 Earnings and Revenue Estimates
• Positive Sentiment: Strong Q3 guidance: Management forecast revenue of $700 million-$750 million and EPS of $0.83-$1.03, both above Wall Street expectations. The outlook reflects rising demand tied to artificial intelligence and semiconductor manufacturing equipment. Ultra Clean Q2 Earnings Call Centers on AI Demand and Capacity
• Positive Sentiment: Analyst support increased: Needham raised its price target to $125 from $92 and assigned a Buy rating, while UBS analyst Timothy Arcuri maintained a Buy rating and lifted his target to $150. Analysts cited undervalued growth potential and an anticipated wafer-fabrication-equipment upcycle. Ultra Clean Price Target Raised at Needham
• Neutral Sentiment: Capacity expansion is a longer-term catalyst: The earnings call emphasized AI-driven demand, extended customer forecasts and investments to expand production capacity, which could support future growth but may require additional capital.
• Negative Sentiment: Cash flow and GAAP profitability raised concerns: Reported operating cash flow was negative $41.1 million, while net income attributable to common shareholders was $8.7 million. A third-party data provider reported diluted GAAP EPS of $0.19, highlighting a less favorable earnings mix than the adjusted figure cited by the company and analysts. Ultra Clean Q2 2026 Earnings
• Negative Sentiment: Insider selling may weigh on sentiment: Disclosed trading data showed substantial insider sales and no insider purchases over the past six months, potentially adding caution after the stock’s sizable prior advance.

Analyst Ratings Changes

A number of research firms have commented on UCTT. TD Cowen upped their price target on Ultra Clean from $130.00 to $140.00 and gave the company a “buy” rating in a research report on Tuesday. Wall Street Zen lowered shares of Ultra Clean from a “buy” rating to a “hold” rating in a report on Saturday. Zacks Research raised Ultra Clean from a “hold” rating to a “strong-buy” rating in a research note on Monday, May 25th. Needham & Company LLC increased their price target on Ultra Clean from $92.00 to $125.00 and gave the stock a “buy” rating in a report on Tuesday. Finally, UBS Group reiterated a “buy” rating on shares of Ultra Clean in a report on Tuesday. One analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, Ultra Clean currently has a consensus rating of “Moderate Buy” and an average price target of $129.00.

Ultra Clean Price Performance

The company has a debt-to-equity ratio of 0.86, a current ratio of 3.07 and a quick ratio of 1.72. The firm has a market cap of $3.83 billion, a PE ratio of -19.89, a P/E/G ratio of 1.11 and a beta of 1.88. The business’s fifty day moving average is $100.63 and its 200-day moving average is $76.50.

Ultra Clean (NASDAQ:UCTT) last announced its quarterly earnings results on Monday, August 3rd. The semiconductor company reported $0.70 earnings per share for the quarter, beating the consensus estimate of $0.53 by $0.17. Ultra Clean had a positive return on equity of 4.28% and a negative net margin of 9.38%.The company had revenue of $644.90 million during the quarter, compared to analysts’ expectations of $587.65 million. During the same period in the previous year, the business earned $0.27 earnings per share. The firm’s quarterly revenue was up 24.3% compared to the same quarter last year. Ultra Clean has set its Q3 2026 guidance at 0.830-1.030 EPS. On average, research analysts predict that Ultra Clean Holdings, Inc. will post 2.14 earnings per share for the current fiscal year.

Insider Activity

In related news, insider Jeffrey L. Mckibben sold 4,205 shares of the firm’s stock in a transaction that occurred on Thursday, May 14th. The shares were sold at an average price of $87.00, for a total value of $365,835.00. Following the sale, the insider directly owned 11,349 shares of the company’s stock, valued at $987,363. This trade represents a 27.03% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, General Counsel Paul Yoonku Cho sold 2,000 shares of Ultra Clean stock in a transaction on Friday, May 8th. The stock was sold at an average price of $86.89, for a total transaction of $173,780.00. Following the sale, the general counsel directly owned 15,844 shares of the company’s stock, valued at $1,376,685.16. This represents a 11.21% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 48,034 shares of company stock valued at $4,296,414 over the last 90 days. Company insiders own 1.80% of the company’s stock.

Hedge Funds Weigh In On Ultra Clean

Large investors have recently modified their holdings of the company. Quadrant Capital Group LLC raised its stake in shares of Ultra Clean by 40.3% during the fourth quarter. Quadrant Capital Group LLC now owns 989 shares of the semiconductor company’s stock worth $25,000 after acquiring an additional 284 shares in the last quarter. Danske Bank A S lifted its holdings in Ultra Clean by 450.0% in the fourth quarter. Danske Bank A S now owns 1,100 shares of the semiconductor company’s stock worth $28,000 after buying an additional 900 shares during the period. AdvisorNet Financial Inc bought a new position in Ultra Clean in the first quarter worth $34,000. Smartleaf Asset Management LLC lifted its holdings in shares of Ultra Clean by 472.9% during the second quarter. Smartleaf Asset Management LLC now owns 1,713 shares of the semiconductor company’s stock valued at $39,000 after purchasing an additional 1,414 shares during the last quarter. Finally, EverSource Wealth Advisors LLC boosted its stake in Ultra Clean by 37.3% in the 1st quarter. EverSource Wealth Advisors LLC now owns 721 shares of the semiconductor company’s stock worth $45,000 after purchasing an additional 196 shares in the last quarter. 96.06% of the stock is owned by hedge funds and other institutional investors.

Ultra Clean Company Profile

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.