Overview
- Fiscal Q1 results topped estimates with adjusted EPS of $2.38 on revenue of $7.01 billion, as profit rose about 70% year over year to $2.03 billion.
- For the current quarter, the company guided revenue to $7.15–$8.15 billion and adjusted EPS to $2.44–$2.84, both above Wall Street expectations.
- Executives said accelerating AI workloads are lifting orders across leading‑edge logic, high‑bandwidth memory and advanced packaging, and the company has nearly doubled system manufacturing capacity while boosting inventories.
- Shares jumped by double digits following the report, and sell‑side firms raised price targets, including KeyBanc to $450, Barclays to $450, Wells Fargo to $435, Citi to $420, Morgan Stanley to $420 and Mizuho to $410.
- CEO Gary Dickerson moved up the industry outlook, projecting semiconductor equipment growth of more than 20% in 2026 and forecasting global chip revenues could reach $1 trillion in 2026, as the company also contends with a $252 million U.S. Commerce Department penalty tied to China exports.