Ultra Clean (NASDAQ:UCTT) Shares Gap Down – Should You Sell?

Ultra Clean Holdings, Inc. (NASDAQ:UCTT) shares gapped down before the market opened on Wednesday . The stock had previously closed at $105.15, but opened at $100.33. Ultra Clean shares last traded at $103.0230, with a volume of 41,892 shares.

Wall Street Analyst Weigh In

UCTT has been the topic of a number of research reports. Weiss Ratings raised Ultra Clean from a “sell (d)” rating to a “sell (d+)” rating in a report on Friday, July 10th. Needham & Company LLC upped their price objective on Ultra Clean from $70.00 to $92.00 and gave the company a “buy” rating in a research note on Wednesday, April 29th. UBS Group initiated coverage on Ultra Clean in a research report on Tuesday, May 5th. They set a “buy” rating and a $130.00 price objective for the company. TD Cowen lifted their target price on Ultra Clean from $100.00 to $130.00 and gave the company a “buy” rating in a research note on Thursday, July 9th. Finally, Zacks Research raised Ultra Clean from a “hold” rating to a “strong-buy” rating in a report on Monday, May 25th. Two analysts have rated the stock with a Strong Buy rating, four have issued a Buy rating and one has issued a Sell rating to the stock. According to MarketBeat, Ultra Clean currently has a consensus rating of “Buy” and an average target price of $113.40.

Ultra Clean Price Performance

The stock has a fifty day moving average of $100.36 and a two-hundred day moving average of $74.05. The stock has a market cap of $4.51 billion, a price-to-earnings ratio of -23.44, a price-to-earnings-growth ratio of 1.35 and a beta of 1.83. The company has a quick ratio of 1.72, a current ratio of 3.07 and a debt-to-equity ratio of 0.86.

Ultra Clean (NASDAQ:UCTT) last released its earnings results on Tuesday, April 28th. The semiconductor company reported $0.31 EPS for the quarter, beating analysts’ consensus estimates of $0.27 by $0.04. Ultra Clean had a positive return on equity of 4.28% and a negative net margin of 9.38%.The company had revenue of $533.70 million during the quarter, compared to the consensus estimate of $525.28 million. During the same quarter last year, the company earned $0.28 earnings per share. Ultra Clean’s quarterly revenue was up 2.9% compared to the same quarter last year. Ultra Clean has set its Q2 2026 guidance at 0.440-0.600 EPS. On average, equities research analysts anticipate that Ultra Clean Holdings, Inc. will post 2.14 earnings per share for the current year.

Insider Activity

In other Ultra Clean news, insider Jeffrey L. Mckibben sold 4,205 shares of the company’s stock in a transaction dated 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 owned 11,349 shares of the company’s stock, valued at $987,363. This represents a 27.03% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, SVP Jamie J. Palfrey sold 8,691 shares of the company’s stock in a transaction that occurred on Tuesday, May 5th. The shares were sold at an average price of $79.72, for a total value of $692,846.52. Following the completion of the sale, the senior vice president directly owned 16,446 shares in the company, valued at approximately $1,311,075.12. The trade was a 34.57% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 80,106 shares of company stock valued at $6,734,589 in the last 90 days. Insiders own 1.80% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Quadrant Capital Group LLC lifted 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 valued at $25,000 after buying an additional 284 shares during the period. Danske Bank A S grew its stake in Ultra Clean by 450.0% in the 4th quarter. Danske Bank A S now owns 1,100 shares of the semiconductor company’s stock worth $28,000 after acquiring an additional 900 shares during the period. AdvisorNet Financial Inc purchased a new stake in Ultra Clean in the 1st quarter worth approximately $34,000. Smartleaf Asset Management LLC raised its holdings in Ultra Clean by 472.9% in the 2nd quarter. Smartleaf Asset Management LLC now owns 1,713 shares of the semiconductor company’s stock valued at $39,000 after acquiring an additional 1,414 shares during the last quarter. Finally, EverSource Wealth Advisors LLC raised its holdings in Ultra Clean by 37.3% in the 1st quarter. EverSource Wealth Advisors LLC now owns 721 shares of the semiconductor company’s stock valued at $45,000 after acquiring an additional 196 shares during the last quarter. 96.06% of the stock is currently owned by hedge funds and other institutional investors.

About Ultra Clean

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.