Formfactor CEO Mike Slessor sells $113k in stock

Published 02/04/2025, 01:26
Formfactor CEO Mike Slessor sells $113k in stock

In a recent transaction, Mike Slessor, CEO of FormFactor Inc. (NASDAQ:FORM), sold 4,000 shares of the company’s common stock. The sale comes as FormFactor’s stock trades near its 52-week low of $27.55, having declined approximately 37% over the past year. According to InvestingPro analysis, the company maintains a strong financial position with a healthy current ratio of 4.61x. The shares were sold at a weighted average price of approximately $28.24, with the total transaction amounting to $112,977. Following this sale, Slessor retains ownership of 514,650 shares in the company. This transaction was executed automatically under a pre-established Rule 10b5-1 trading plan. With the stock currently showing signs of being undervalued based on InvestingPro’s Fair Value analysis, investors can access 12 additional key insights and a comprehensive Pro Research Report to better understand the company’s potential.

In other recent news, FormFactor reported its fourth-quarter earnings, revealing an earnings per share (EPS) of $0.27, which was below the consensus estimate by $0.02. Revenue for the quarter reached $189.5 million, slightly under the expected $190.12 million, yet marking a 12.7% increase from the previous year’s same quarter. However, guidance for the first quarter of 2025 fell short, with expected EPS between $0.15 and $0.23, significantly lower than the anticipated $0.33. The projected revenue range of $165 million to $175 million also missed the consensus estimate of $192.93 million. Following this announcement, B.Riley downgraded FormFactor’s stock from Buy to Neutral, citing weak demand in the PC and smartphone markets and a retreat in gross margins.

In contrast, Stifel maintained a Hold rating with a $48 price target, expressing cautious optimism about FormFactor’s position in the High Bandwidth (NASDAQ:BAND) Memory (HBM) DRAM market. The company also announced a strategic partnership with Delft Circuits to enhance quantum computing capabilities, integrating Cri/oFlex® cabling to boost system performance. Additionally, FormFactor acquired a minority interest in FICT Limited, a move not expected to materially impact operations. Despite these developments, analysts remain watchful of FormFactor’s performance amid ongoing market challenges.

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