
Entegris (ENTG) Stock Forecast & Price Target
Entegris (ENTG) Analyst Ratings
Bulls say
Entegris is poised for growth as its largest customer, TSMC, has increased its revenue contribution from 12% to 16% in 2024, driven by heightened demand for AI technologies. The re-rating of semiconductor-related stocks post-ChatGPT has positioned the industry for more profitable long-term growth, which benefits Entegris as a key supplier in the semiconductor manufacturing ecosystem. Additionally, Entegris's Advanced Purity Solutions (APS) provide significant value, with each 1% yield improvement potentially increasing profits by $500 million in advanced fabrication facilities, underscoring the company's importance in enhancing production efficiency.
Bears say
The semiconductor industry, a primary revenue source for Entegris, has faced significant volatility, with wafer fab equipment (WFE) declines exceeding 10% in ten separate years since 1990, including notable drops of 46% in 2009 and 9% in 2019. Despite advancements in AI, outside of this sector, fab utilization has stagnated around 3,300 million square inches for the past ten quarters, indicating broader weakness in semiconductor demand. Additionally, Entegris is currently impacted by lengthy qualifications and operational inefficiencies that have adversely affected its gross margins, contributing to a negative financial outlook.
This aggregate rating is based on analysts' research of Entegris and is not a guaranteed prediction by Public.com or investment advice.
Entegris (ENTG) Analyst Forecast & Price Prediction
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