IBD 50 Stock Camtek Beats Q3 Targets, Matches Q4 Revenue Estimate

Core Insights - Camtek reported adjusted earnings of 82 cents per share on sales of $126 million for the September quarter, surpassing analyst expectations of 80 cents per share on $125.1 million in sales, marking a year-over-year earnings increase of 9% and a sales rise of 12% [2][3] - For the current quarter, Camtek forecasts revenue of $127 million, aligning with analyst estimates, and reflects a growth from $117.3 million in the same quarter last year [2][4] - The company attributes its record performance to the increasing demand for high-performance computing for AI applications, with expectations for continued annual growth into 2026 due to industry-wide investments in data centers and AI [3][4] Stock Performance - Following the earnings report, Camtek's stock fell over 8% in premarket trading to $108.95 [4] - The stock had previously broken out of a cup base at a buy point of 101.73 on September 22 [5] - Camtek is recognized on multiple IBD lists, including IBD 50, Global Leaders, and Tech Leaders, indicating strong market positioning [5] Industry Context - The semiconductor industry is experiencing heightened demand driven by advancements in AI and data center investments, which are expected to sustain growth for companies like Camtek [3][4] - Camtek specializes in high-end inspection and metrology equipment for the semiconductor industry, focusing on integrated circuit inspection and measurement throughout the production process [5]