QM · rank #9 · 2026-10-20
FORM
NASDAQ · $10.18B (USD)
The exact numbers the algorithm saw.
| Momentum 12-1 Return from 12 months ago to 1 month ago. | +236.02% |
|---|---|
| ROE TTM Return on equity, trailing 12 months. | +11.0% |
| Profit margin Net profit margin, trailing 12 months. | +12.8% |
| Market cap (USD) Size filter: > $500M required. | $10.18B |
| Anchor (recent) Close on 2026-09-18 | $118.38 |
| Anchor (far) Close on 2025-09-19 | $35.23 |
The AI research card
Independent qualitative review of each pick before the order is placed. On the rare day the research service is unavailable, the paper book trades on the quant ranking alone and no card appears here.
Summary
FormFactor designs and sells probe cards, probe stations, and interface/characterization systems that serve as a precision testing bottleneck for DRAM/HBM, advanced packaging, and co-packaged optics at leading semiconductor manufacturers and foundries.
Rationale
Record Q2 revenue of $258.2M (+31.9% YoY), Q3 guidance of ~$270M, 50%+ gross margins, ROE near 11%, and a $300M Teradyne strategic equity investment all reinforce that the momentum signal reflects genuine fundamental acceleration rather than pure sentiment rotation.
Material risks
- 1The Teradyne collaboration—while strategically validating—has not closed, and Teradyne's deep test-equipment capabilities could over time internalize probe/interface know-how, converting today's partner into a competing or displacing force.
- 2HBM probe card demand is the primary revenue driver, and any inventory correction, HBM stack architecture shift, or customer concentration event could sharply reverse the revenue trajectory that underpins both the momentum and quality signals.
AI verdict council
Each pick is reviewed independently by 3 models before any order. 3 of 3 voted to proceed.