BofA update shows where active managers are putting money
Investing.com - BMO Capital lowered its price target on Entegris Inc (NASDAQ:ENTG) to $95 from $100 while maintaining an Outperform rating on the stock. The stock has declined nearly 13% in the past week, with analysts’ targets now ranging from $85 to $115, according to InvestingPro data.
The price target reduction follows Entegris’s second-quarter results, which exceeded both company guidance and consensus estimates as U.S.-China trade normalized and the company’s consumables business showed positive momentum. The company maintains strong fundamentals with a healthy current ratio of 3.26x and an Altman Z-Score of 4.01, indicating solid financial stability.
BMO Capital noted that Entegris faces short-term margin headwinds as it works to optimize its supply chains and improve free cash flow and inventory management.
The research firm highlighted that Entegris did not provide an outlook beyond the third quarter of 2025, citing ongoing macroeconomic uncertainty and management transition within the company.
BMO Capital stated that while it continues to see long-term value in Entegris stock, multiple expansion would require "greater visibility around future earnings/margin progression and debt reduction."
In other recent news, Entegris, Inc. announced its third-quarter guidance, which did not meet investor expectations. Despite this, the company reported better-than-expected results for the second quarter. The materials supplier for the semiconductor industry provided its guidance on Wednesday, indicating future performance that investors found disappointing. This announcement resulted in a notable reaction from the market. The company’s shares experienced a decline following the guidance release. However, the positive performance in the second quarter highlights some resilience in the company’s recent financial activities. Investors and analysts will likely keep a close watch on Entegris’ upcoming financial reports to assess its ongoing performance.
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