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Amkor Technology (NASDAQ:AMKR) Inc. shares have touched a 52-week low, dipping to $18.87 amidst market fluctuations. The semiconductor packaging and test services provider has faced a challenging year, with the stock price reflecting a significant downturn. According to InvestingPro analysis, the company maintains a GOOD financial health score despite current market pressures, with liquid assets exceeding short-term obligations. Over the past year, Amkor Technology has seen its value decrease by nearly 40%, a stark contrast to the industry’s rapid growth in previous years. Trading at a P/E ratio of 13.4 and below its Fair Value, the stock appears undervalued. Investors are closely monitoring the company’s performance, looking for signs of recovery or further decline in an increasingly competitive sector. InvestingPro subscribers can access 12 additional key insights and a comprehensive Pro Research Report for deeper analysis of AMKR’s potential.
In other recent news, Amkor Technology reported fourth-quarter earnings that surpassed analyst expectations with adjusted earnings per share of $0.43, beating the estimate of $0.38. However, the company’s revenue of $1.63 billion fell short of the anticipated $1.66 billion, marking a 7% year-over-year decline. The company’s guidance for the first quarter of 2025 also disappointed, with projected earnings per share between $0.01 and $0.17, below the consensus of $0.31, and revenue expected between $1.225 billion and $1.325 billion, less than the anticipated $1.464 billion. Despite these challenges, Amkor highlighted achievements such as the ramp-up of its Vietnam facility and record revenue in its computing end market.
KeyBanc Capital Markets adjusted its price target for Amkor Technology to $27 from $34, maintaining an Overweight rating. The decision followed Amkor’s cautious outlook for 2025, including a historic low in first-quarter gross margins and flat to low single-digit growth guidance for the year. Meanwhile, DA Davidson maintained a Buy rating with a $36 price target, expressing optimism about Amkor’s potential to recover from the loss of a key system-in-a-package socket and transition to advanced packaging technology. UBS also revised its price target to $27.65 from $32.50, keeping a Neutral rating, and expressed concerns about Amkor’s ambitious recovery expectations for the latter half of 2025. These developments reflect a mixed outlook for Amkor Technology as it navigates through current market challenges.
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