Cohu (COHU 4.05%) stock is losing ground in Friday's daily trading session. The tech company's share price was down 7.2% as of 3:20 p.m. ET amid roughly flat trading for the S&P 500 and the Nasdaq Composite.
Cohu reported its fourth-quarter results after the market closed yesterday and delivered sales in line with Wall Street's expectations. On the other hand, the business reported a loss that was far larger than anticipated.
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Cohu stock sinks on Q4 earnings miss
With its Q4 report yesterday, Cohu announced a non-GAAP (adjusted) loss of $0.15 on revenue of $122.2 million. While sales were up roughly 30% year over year and met the average analyst target, Wall Street was actually modeling for a per-share profit of $0.06 in the period. The stock is pulling back today in response to the weak bottom-line results.
NASDAQ: COHU
Key Data Points
What's next for Cohu?
Along with its Q4 report, Cohu issued guidance for the current quarter. With guidance for sales between $115 million and $129 million, management expects that sales in Q1 will be roughly in line with last quarter's revenue. Meanwhile, the company's gross margin is projected to come in at roughly 45% -- representing a significant improvement over last year's margin of 42.7%.
Looking ahead to the full-year period, Cohu anticipates sales for high-bandwidth-memory (HBM) products to be between $15 million and $20 million. While it's still a relatively small product category for the company, rising HBM sales could help boost margins.
