It's been a good week for Amtech Systems, Inc. (NASDAQ:ASYS) shareholders, because the company has just released its latest third-quarter results, and the shares gained 6.4% to US$4.85. It was a solid earnings report, with revenues and earnings both coming in very strong. Revenues were 15% higher than the analysts had forecast, at US$20m, while the company also delivered a surprise statutory profit, against analyst expectations of a loss. This is an important time for investors, as they can track a company's performance in its report, look at what experts are forecasting for next year, and see if there has been any change to expectations for the business. We've gathered the most recent statutory forecasts to see whether the analysts have changed their earnings models, following these results.
Taking into account the latest results, the current consensus from Amtech Systems' dual analysts is for revenues of US$87.3m in 2026. This would reflect a satisfactory 4.3% increase on its revenue over the past 12 months. Earnings are expected to improve, with Amtech Systems forecast to report a statutory profit of US$0.14 per share. Yet prior to the latest earnings, the analysts had been anticipated revenues of US$96.8m and earnings per share (EPS) of US$0.11 in 2026. While revenue forecasts have been revised downwards, the analysts look to have become more optimistic on the company's cost base, given the massive increase in to the earnings per share numbers.
View our latest analysis for Amtech Systems
The consensus price target fell 50% to US$6.00, with the analysts signalling that the weaker revenue outlook was a more powerful indicator than the upgraded EPS forecasts.
These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Amtech Systems' past performance and to peers in the same industry. We would highlight that Amtech Systems' revenue growth is expected to slow, with the forecast 3.4% annualised growth rate until the end of 2026 being well below the historical 7.5% p.a. growth over the last five years. Compare this against other companies (with analyst forecasts) in the industry, which are in aggregate expected to see revenue growth of 17% annually. Factoring in the forecast slowdown in growth, it seems obvious that Amtech Systems is also expected to grow slower than other industry participants.
The Bottom Line
The biggest takeaway for us is the consensus earnings per share upgrade, which suggests a clear improvement in sentiment around Amtech Systems' earnings potential next year. On the negative side, they also downgraded their revenue estimates, and forecasts imply they will perform worse than the wider industry. Yet - earnings are more important to the intrinsic value of the business. Furthermore, the analysts also cut their price targets, suggesting that the latest news has led to greater pessimism about the intrinsic value of the business.
With that in mind, we wouldn't be too quick to come to a conclusion on Amtech Systems. Long-term earnings power is much more important than next year's profits. At least one analyst has provided forecasts out to 2026, which can be seen for free on our platform here.
However, before you get too enthused, we've discovered 2 warning signs for Amtech Systems that you should be aware of.
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