ANDOVER, Mass., Nov. 25, 2024 (GLOBE NEWSWIRE) -- MKS Instruments, Inc. (NASDAQ: MKSI), a global provider of enabling technologies that transform our world, announced today that company management will be presenting at the following investor conferences: Wells Fargo TMT Conference on Tuesday, December 3, 2024 at 8:00 am PSTJohn T.C. Lee, President and Chief Executive Office will participate Nasdaq Investor Conference on Tuesday, December 10, 2024 at 11:00 am GMTJohn T.C. Lee, President and Chief Executive O ...

MKS Instruments (MKSI) closed the last trading session at $105.48, gaining 2.7% over the past four weeks, but there could be plenty of upside left in the stock if short-term price targets set by Wall Street analysts are any guide. The mean price target of $138.36 indicates a 31.2% upside potential.The mean estimate comprises 11 short-term price targets with a standard deviation of $16.66. While the lowest estimate of $110 indicates a 4.3% increase from the current price level, the most optimistic analyst ex ...

Core Viewpoint - MKS Instruments (MKSI) is positioned as a strong investment opportunity due to its improving earnings outlook and analysts' increasing earnings estimates [1][2]. Estimate Revisions - The upward trend in earnings estimate revisions for MKS Instruments indicates growing analyst optimism regarding its earnings prospects, which is expected to positively impact its stock price [2]. - For the current quarter, MKS Instruments is projected to earn $1.83 per share, reflecting a year-over-year increase of +56.41%, with a 34.14% rise in consensus estimates over the last 30 days [4]. - For the full year, the expected earnings per share is $6.22, representing a +40.41% year-over-year change, with a 10.9% increase in consensus estimates due to five upward revisions [5]. Zacks Rank - MKS Instruments currently holds a Zacks Rank 2 (Buy), supported by favorable estimate revisions, indicating a strong potential for outperformance compared to the S&P 500 [6]. - The Zacks Rank system has a proven track record, with Zacks 1 (Strong Buy) stocks averaging a +25% annual return since 2008, and stocks rated 1 and 2 significantly outperforming the S&P 500 [3][6]. Stock Performance - MKS Instruments shares have increased by 8.6% over the past four weeks, suggesting investor confidence in the company's earnings growth prospects [7].

Core Insights - The article emphasizes the importance of value investing, highlighting the strategy of identifying undervalued companies in the market [2] - MKS Instruments (MKSI) is presented as a strong candidate for value investors due to its favorable valuation metrics and earnings outlook [8] Valuation Metrics - MKSI holds a Zacks Rank of 2 (Buy) and a Value grade of A, indicating strong potential for value investors [4] - The stock has a P/E ratio of 16.38, which is lower than the industry average of 18.74, suggesting it may be undervalued [4] - MKSI's PEG ratio is 0.64, compared to the industry's average of 0.95, indicating a favorable valuation relative to expected earnings growth [5] - The P/S ratio for MKSI is 2.17, slightly below the industry average of 2.21, reinforcing its attractiveness as a value stock [6] - MKSI's P/CF ratio stands at 3.38, significantly lower than the industry's average of 11.14, suggesting strong cash flow relative to its valuation [7]

Did you analyze how MKS Instruments (MKSI) fared in its international operations for the quarter ending September 2024? Given the widespread global presence of this maker of analysis and processing equipment for semiconductor companies, scrutinizing the trends in international revenues becomes imperative to assess its financial strength and future growth possibilities.In the modern, closely-knit global economic landscape, the capacity of a business to access foreign markets is often a key determinant of its ...

Core Insights - Zacks Premium offers tools for investors to enhance their stock market engagement and confidence [1] - The Zacks Style Scores are designed to help investors select stocks with the highest potential to outperform the market in the short term [2] Zacks Style Scores Overview - Stocks are rated based on value, growth, and momentum characteristics, with scores ranging from A to F, where A indicates the highest potential for outperformance [3] - The Style Scores are categorized into four types: Value Score, Growth Score, Momentum Score, and VGM Score [3][4][5] Value Score - Focuses on identifying undervalued stocks using financial ratios such as P/E, PEG, Price/Sales, and Price/Cash Flow [3] Growth Score - Evaluates a company's financial health and future growth potential through projected and historical earnings, sales, and cash flow [4] Momentum Score - Targets stocks experiencing upward or downward trends in price or earnings, utilizing factors like one-week price change and monthly earnings estimate changes [4] VGM Score - Combines Value, Growth, and Momentum Scores to identify stocks with the best overall potential [5] Zacks Rank Integration - The Zacks Rank is a proprietary model that uses earnings estimate revisions to guide investors in stock selection [6] - Stocks rated 1 (Strong Buy) have historically achieved an average annual return of +25.41%, significantly outperforming the S&P 500 [7] Stock Selection Strategy - Investors are encouraged to select stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B for optimal success [8] - Stocks with lower ranks but high Style Scores may still carry risks due to downward earnings forecasts [9] Company Spotlight: MKS Instruments - MKS Instruments, Inc. is rated 2 (Buy) on the Zacks Rank and has a VGM Score of A, indicating strong potential [10] - The company has seen a 6.3% increase in shares over the past four weeks, appealing to momentum investors [10] - Recent upward revisions in earnings estimates for fiscal 2024 have increased the Zacks Consensus Estimate by $0.15 to $5.73 per share, with an average earnings surprise of 40% [11]

MKS Instruments (MKSI) reported adjusted earnings of $1.72 per share in third-quarter 2024, up from the year-ago quarter’s earnings of $1.46 per share. The figure beat the Zacks Consensus Estimate by 21.13%.Revenues of $896 million beat the consensus mark by 2.62% but declined 3.9% year over year.Products revenues (86% of total revenues) were $776 million, down 5.1% year over year. The figure beat the Zacks Consensus Estimate by 1.78%.Services revenues (13.4% of total revenues) increased 5.3% year over year ...

MKS Instruments (MKSI) came out with quarterly earnings of $1.72 per share, beating the Zacks Consensus Estimate of $1.42 per share. This compares to earnings of $1.46 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 21.13%. A quarter ago, it was expected that this maker of analysis and processing equipment for semiconductor companies would post earnings of $1.02 per share when it actually produced earnings of $1.53, delivering ...

Financial Performance - Quarterly revenue reached $896 million, at the high end of guidance[1] - GAAP net income was $62 million, with net income per share of $0.92[1] - Adjusted EBITDA for the quarter was $232 million, exceeding the high-end of guidance[1] - Total net revenues for Q3 2024 reached $896 million, a 1% increase from $887 million in Q2 2024, but a 4% decrease from $932 million in Q3 2023[11] - Net income for Q3 2024 was $62 million, compared to $23 million in Q2 2024 and a loss of $1,772 million in Q3 2023[11] - Net income for the three months ended September 30, 2024, was $62 million, compared to $39 million for the same period in 2023, representing a 59% increase[13] - Non-GAAP net earnings for the three months ended September 30, 2024, were $116 million, compared to $98 million in the same period last year, reflecting an 18.4% increase[14] - Adjusted EBITDA for the three months ended September 30, 2024, was $232 million, compared to $228 million for the same period last year, indicating a 1.8% increase[15] Cash and Liquidity - Cash and cash equivalents stood at $861 million as of September 30, 2024[8] - Cash and cash equivalents as of September 30, 2024, were $861 million, slightly down from $875 million at the end of 2023[12] - Net cash provided by operating activities was $163 million for the three months ended September 30, 2024, up from $122 million in the previous quarter, indicating a 33.6% increase[14] - Free cash flow for the three months ended September 30, 2024, was $141 million, compared to $96 million in the previous quarter, showing a 47% increase[14] - Total cash and cash equivalents at the end of the period were $861 million, compared to $859 million at the end of the previous quarter, indicating a slight increase[13] Expenses and Costs - Research and development expenses increased to $70 million in Q3 2024 from $66 million in Q2 2024, indicating continued investment in innovation[11] - Operating expenses for the three months ended September 30, 2024, were $304 million, up from $292 million for the same period last year, marking a 4.1% increase[15] - The company incurred $3 million in acquisition and integration costs during the three months ended September 30, 2024[14] - Acquisition and integration costs related to the Atotech acquisition amounted to $6 million[20] - Restructuring and other costs primarily due to severance from global cost-saving initiatives totaled $6 million[20] - A ransomware incident incurred costs of $14 million, primarily for third-party consulting and cybersecurity enhancements[21] Debt and Equity - The company made a voluntary principal prepayment of $216 million in October 2024[1] - Long-term debt increased to $4,758 million as of September 30, 2024, compared to $4,696 million at the end of 2023[12] - Total stockholders' equity decreased to $2,398 million as of September 30, 2024, from $2,472 million at the end of 2023[12] - The company recorded a loss on extinguishment of debt of $5 million for the three months ended September 30, 2024, down from $38 million in the previous quarter[14] - The company recorded a loss on extinguishment of debt of $52 million during the period[18] Profitability Metrics - Gross margin improved to 48.2% in Q3 2024, compared to 45.7% in Q3 2023[7] - Non-GAAP diluted earnings per share was $1.72, up from $1.46 in Q3 2023[7] - Non-GAAP gross margin improved to 48.2% for the three months ended September 30, 2024, compared to 47.3% for the same period in 2023[15] - Non-GAAP income from operations was $195 million for the three months ended September 30, 2024, compared to $192 million for the same period last year, reflecting a 1.6% increase[15] - The company reported a non-GAAP operating margin of 21.8% for the three months ended September 30, 2024, compared to 21.7% for the same period last year[15] Strategic Focus - The integration of Atotech Limited is a key strategic focus for future growth opportunities[9] - The company is focused on maintaining strong profit margins and generating healthy cash flow[1] Impairments and Adjustments - The company experienced a goodwill and intangible asset impairment of $1.827 billion in the previous year, which is a significant factor in the overall financial performance[14] - Goodwill and intangible asset impairments reached $1.827 billion, attributed to softer industry demand in the personal computer and smartphone markets[21] - Non-GAAP adjustments included a tax effect of $69 million, resulting in a difference between GAAP and Non-GAAP tax rates[18] - The effective tax rate for non-GAAP income was 15.1% for the nine months ended September 30, 2024, compared to 20.5% for the same period in 2023[16] - The company recorded an excess and obsolescence inventory charge of $13 million related to a discontinued product line[18] Future Outlook - For Q4 2024, the company expects revenue of $910 million, plus or minus $40 million[2]

Core Viewpoint - MKS Instruments, Inc. reported strong financial results for Q3 2024, with all key metrics exceeding guidance, indicating robust execution and a solid portfolio in the semiconductor and advanced electronics sectors, despite a muted demand environment [1][2]. Financial Performance - Quarterly revenue reached $896 million, at the high end of guidance, with a GAAP net income of $62 million and net income per share of $0.92 [1][9]. - Adjusted EBITDA for the quarter was $232 million, with Non-GAAP net earnings per diluted share of $1.72, also exceeding the high-end of guidance [1][9]. - The company expects Q4 2024 revenue to be around $910 million, with Adjusted EBITDA projected at $226 million and Non-GAAP net earnings per diluted share of $1.95 [3]. Management Commentary - The CEO highlighted the company's unique position as an enabler of critical technology advances in semiconductors and advanced electronics, positioning MKS well for long-term growth despite current market challenges [2]. - The company is focused on maintaining strong profit margins and generating healthy cash flow, with recent actions including a voluntary principal prepayment of $216 million to manage down debt [2][11]. Segment Performance - In Q3 2024, the semiconductor segment generated $378 million in revenue, while electronics and packaging contributed $231 million, and specialty industrial brought in $287 million [9]. - Year-over-year comparisons show a decline in total net revenues from $932 million in Q3 2023 to $896 million in Q3 2024, reflecting broader market conditions [9]. Cash and Debt Management - As of September 30, 2024, the company had $861 million in cash and cash equivalents, with total debt including $3.5 billion in secured term loans and $1.4 billion in convertible senior notes [10][16]. - The company paid a cash dividend of $15 million during the quarter and made significant debt repayments, indicating a proactive approach to financial management [10][11]. Future Outlook - MKS Instruments anticipates a market recovery and is strategically positioning itself to capitalize on future growth opportunities while managing its financial health [2][3].