Chipmaker Macom Technology Solutions on Thursday edged above Wall Street's targets for its fiscal fourth quarter but guided analysts lower for the current period. MTSI stock dropped on the news.
The Lowell, Mass.-based company earned an adjusted 56 cents a share on sales of $150.4 million in the quarter ended Sept. 29. Analysts polled by FactSet had expected Macom earnings of 55 cents a share on sales of $150.3 million. In the year-earlier period, Macom earned 77 cents a share on sales of $178.1 million.
For the current quarter ending Dec. 29, Macom predicted adjusted earnings of 57 cents a share on sales of $151 million. That's based on the midpoint of its guidance. Wall Street was modeling earnings of 59 cents a share on sales of $155.6 million. In the year-earlier period, Macom earned 81 cents a share on sales of $180.1 million.
Macom makes semiconductor products for the telecommunications, industrial, defense, and data center markets.
MTSI Stock Sinks After Report
"We believe focusing on the highest frequency, highest power and highest data rate applications will further strengthen our market position and results in fiscal year 2024," Chief Executive Stephen Daly said in a news release.
On the stock market today, MTSI stock retreated 0.8% to close at 72.41.
Macom ranks second out of 32 stocks in IBD's semiconductor manufacturing industry group, according to IBD Stock Checkup. MTSI stock has an IBD Composite Rating of 85 out of 99.
Other semiconductor stocks moving on earnings news Thursday included Arm Holdings, Diodes and Power Integrations. All three dropped after their quarterly reports.
Arm beat estimates for the September quarter but missed with its forecast for the current quarter. Diodes and Power Integrations both missed Q3 targets and guided well below views for Q4.
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