FormFactor (NASDAQ:FORM) Shares Gap Down After Analyst Downgrade

FormFactor, Inc. (NASDAQ:FORM) gapped down before the market opened on Tuesday after Craig Hallum downgraded the stock from a buy rating to a hold rating. The stock had previously closed at $143.93, but opened at $134.10. FormFactor shares last traded at $131.33, with a volume of 746,357 shares traded.

A number of other analysts have also issued reports on the stock. Cantor Fitzgerald restated an “overweight” rating and set a $175.00 target price on shares of FormFactor in a research report on Monday. Weiss Ratings reissued a “hold (c)” rating on shares of FormFactor in a research note on Tuesday, April 21st. Loop Capital set a $64.00 price target on FormFactor in a research note on Tuesday, January 27th. Freedom Capital raised FormFactor to a “hold” rating in a research note on Tuesday, January 27th. Finally, Stifel Nicolaus raised their price target on FormFactor from $65.00 to $75.00 and gave the stock a “hold” rating in a research note on Thursday, February 5th. Four investment analysts have rated the stock with a Buy rating and nine have given a Hold rating to the company’s stock. According to MarketBeat.com, FormFactor currently has a consensus rating of “Hold” and a consensus target price of $121.55.

Insider Buying and Selling

In other news, CFO Aric Brendan Mckinnis sold 3,462 shares of FormFactor stock in a transaction dated Thursday, March 5th. The stock was sold at an average price of $90.42, for a total value of $313,034.04. Following the transaction, the chief financial officer directly owned 11,140 shares of the company’s stock, valued at $1,007,278.80. The trade was a 23.71% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this link. Also, Director Dennis Thomas St sold 7,431 shares of FormFactor stock in a transaction dated Tuesday, February 10th. The shares were sold at an average price of $93.84, for a total value of $697,325.04. Following the completion of the transaction, the director directly owned 31,526 shares in the company, valued at $2,958,399.84. This represents a 19.07% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 64,482 shares of company stock worth $6,438,951 over the last 90 days. Company insiders own 0.79% of the company’s stock.

Trending Headlines about FormFactor

Here are the key news stories impacting FormFactor this week:

• Positive Sentiment: Q1 results beat estimates — FormFactor reported $0.56 EPS vs. consensus ~$0.45 and revenue of $226.1M (up ~32% YoY); management said gross margins and EPS came in above the outlook range, which helped lift sentiment. FormFactor, Inc. Reports 2026 First-Quarter Results
• Positive Sentiment: Q2 guidance well above Street — Management set Q2 EPS of $0.57–$0.65 (consensus ~$0.42) and revenue $235M–$245M (consensus ~$227.7M), signaling stronger demand into the next quarter. This guidance is a primary driver of the rally. Listen to Conference Call / Press Release
• Positive Sentiment: Margin expansion and end-market strength — Commentary and analyst notes point to surging DRAM demand and strong probe-card sales as the core drivers of revenue and margin upside. Investors are treating the beat as confirmation of durable end‑market momentum. FORM Q1 Earnings Beat, Revenues Rise Y/Y, Margin Jumps
• Positive Sentiment: Analyst price-target and composite-score upgrades — Some outlets and services have raised FormFactor’s metrics (composite rating to 97; at least one price-target increase reported), which supports buying interest. Composite rating for FormFactor rises to 97
• Neutral Sentiment: Earnings-call takeaways summarized — Market write-ups and call summaries highlight record revenue and management’s constructive commentary but add detail rather than new surprises; useful for confirming drivers but not changing the narrative. FormFactor, Inc. Q1 2026 Earnings Call Summary
• Neutral Sentiment: Analyst stance mixed — Needham kept a Hold rating, citing long‑term growth drivers but valuation concerns; this tempers upside for some investors. FormFactor: Solid Q1 and Long-Term Growth Drivers Offset by Valuation
• Negative Sentiment: Some downgrades/positioning shifts — Zacks moved FormFactor from strong-buy to hold, reflecting more cautious near-term analyst positioning that could limit follow-through buying despite the strong quarter. Zacks.com

Hedge Funds Weigh In On FormFactor

Several hedge funds and other institutional investors have recently modified their holdings of the company. Hsbc Holdings PLC acquired a new position in shares of FormFactor during the 1st quarter valued at $2,407,000. Sage Rhino Capital LLC acquired a new position in shares of FormFactor during the 1st quarter valued at $240,000. Abel Hall LLC lifted its holdings in shares of FormFactor by 14.1% during the 1st quarter. Abel Hall LLC now owns 5,897 shares of the semiconductor company’s stock valued at $572,000 after acquiring an additional 728 shares in the last quarter. New York State Teachers Retirement System lifted its holdings in shares of FormFactor by 86.4% during the 1st quarter. New York State Teachers Retirement System now owns 33,813 shares of the semiconductor company’s stock valued at $3,280,000 after acquiring an additional 15,677 shares in the last quarter. Finally, Leonteq Securities AG acquired a new position in shares of FormFactor during the 1st quarter valued at $194,000. 98.76% of the stock is owned by institutional investors and hedge funds.

FormFactor Price Performance

The company has a debt-to-equity ratio of 0.01, a quick ratio of 3.60 and a current ratio of 4.50. The firm has a market cap of $10.60 billion, a price-to-earnings ratio of 156.24 and a beta of 1.04. The company’s fifty day moving average is $109.65 and its two-hundred day moving average is $78.61.

FormFactor (NASDAQ:FORM) last released its quarterly earnings results on Wednesday, April 29th. The semiconductor company reported $0.56 EPS for the quarter, topping the consensus estimate of $0.45 by $0.11. The firm had revenue of $226.14 million for the quarter, compared to analyst estimates of $225.20 million. FormFactor had a return on equity of 9.41% and a net margin of 8.14%.FormFactor’s revenue for the quarter was up 31.9% on a year-over-year basis. During the same period in the previous year, the company posted $0.23 EPS. FormFactor has set its Q2 2026 guidance at 0.570-0.650 EPS. Equities research analysts forecast that FormFactor, Inc. will post 1.41 EPS for the current year.

About FormFactor

FormFactor, Inc (NASDAQ:FORM) is a leading provider of advanced test and measurement solutions for the semiconductor industry. The company specializes in the design, development and manufacture of high-performance wafer-level and package-level test interfaces used in wafer sort, characterization, reliability and failure analysis applications. By leveraging precision microelectromechanical systems (MEMS) and photolithographic processes, FormFactor delivers probe cards, analytical probes and test sockets that enable device makers to validate next-generation integrated circuits across logic, memory, RF, analog and power applications.

FormFactor’s product portfolio includes custom probe cards for wafer probers, TEM-based analytical probes for material and device characterization, and socket solutions for burn-in and final test of packaged devices.