The 10-second takeaway
For the quarter ended June 30 (Q2), Amkor Technology met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue grew. Non-GAAP earnings per share grew significantly. GAAP earnings per share increased.
Margins expanded across the board.
Amkor Technology recorded revenue of $746.1 million. The four analysts polled by S&P Capital IQ predicted revenue of $754.5 million on the same basis. GAAP reported sales were 8.7% higher than the prior-year quarter's $686.5 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures are normalized by S&P Capital IQ and may vary to maintain comparability with normalized estimates.
EPS came in at $0.18. The four earnings estimates compiled by S&P Capital IQ predicted $0.13 per share. Non-GAAP EPS of $0.18 for Q2 were 20% higher than the prior-year quarter's $0.15 per share. GAAP EPS of $0.14 for Q2 were much higher than the prior-year quarter's $0.00 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures are normalized by S&P Capital IQ and may vary to maintain comparability with normalized estimates.
For the quarter, gross margin was 18.5%, 550 basis points better than the prior-year quarter. Operating margin was 7.8%, 460 basis points better than the prior-year quarter. Net margin was 4.0%, 390 basis points better than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $737.0 million. On the bottom line, the average EPS estimate is $0.10.
Next year's average estimate for revenue is $2.91 billion. The average EPS estimate is $0.46.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 303 members out of 326 rating the stock outperform, and 23 members rating it underperform. Among 79 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 76 give Amkor Technology a green thumbs-up, and three give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Amkor Technology is outperform, with an average price target of $5.50.
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