BMO cuts Entegris stock price target to $131 from $135

On Friday, BMO Capital Markets adjusted its price target for Entegris Inc (NASDAQ:ENTG) shares, bringing it down from $135.00 to $131.00, while reiterating an Outperform rating. The stock has shown significant momentum, gaining 7.87% over the past week and currently trading at $109.53. According to InvestingPro data, the company maintains a strong gross profit margin of 45.87%, supporting the firm’s analyst, Bhavesh Lodaya’s observations of solid results and continued margin expansion in both segments.

Entegris’ guidance for 2025 was noted to be slightly below BMO Capital and consensus expectations, specifically in the low single-digit percentage range. InvestingPro analysis shows that analysts expect a 9% revenue decline for the current year, though the company maintains strong financial health with a current ratio of 3.08, indicating robust liquidity despite market challenges from China export bans, tariffs, and foreign exchange headwinds.

In response to the short-term earnings trajectory, BMO Capital has modified its earnings forecasts for Entegris, leading to the lowered price target. Despite the adjustment, the firm remains optimistic about Entegris’ growth prospects in the second half of 2025 and the long-term potential for double-digit earnings growth.

Lodaya’s commentary highlighted confidence in Entegris as a company poised for multi-year growth, describing it as a "strong multi-year growth compounder." The analyst’s outlook suggests that while there are near-term hurdles, the company’s long-term growth narrative remains intact.

Entegris, a critical player in the materials and solutions for the semiconductor and other high-tech industries, is expected to continue leveraging its market position and innovative offerings to drive growth in the coming years, according to BMO Capital’s analysis.

In other recent news, Entegris, Inc. has been the subject of recent analyst attention and financial reports. Citi analyst Atif Malik has raised the price target for Entegris from $123.00 to $125.00, maintaining a Buy rating. This adjustment came after the company’s recent financial report showed stronger-than-expected results for the December quarter, despite the guidance for the March quarter being below market expectations.

Entegris surpassed analyst expectations in its Q4 2024 results, posting an adjusted earnings per share (EPS) of $0.84 and revenue of $849.84 million. However, the company’s Q1 2025 guidance fell short of analyst expectations, with a projected adjusted EPS between $0.64 and $0.71, and revenue ranging from $775 million to $805 million.

Despite the lower-than-expected guidance for the upcoming quarter, Entegris remains optimistic about long-term growth prospects in the semiconductor industry. The company’s management expects to see sequential growth through 2025, with full-year revenue projected to outpace the market by 4-5%. These recent developments underline the company’s strategic positioning within the semiconductor industry.

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