Amkor guidance trails forecasts as brokers trim price targets

what happened

Seeking Alpha reports that Amkor earned 76 cents per share in adjusted third-quarter profit on $1.99 billion of revenue, short of the 78 cents and $2.04 billion analysts had expected.

For the fourth quarter, the chip packager projects adjusted EPS of 65 to 75 cents and revenue of $1.9 billion to $2 billion, also below consensus of 77 cents and $2.04 billion. Needham sees robust data center demand offset by softer smartphone and consumer sales amid memory shortages, while Morgan Stanley points to currency swings, a disruption linked to an earthquake in Japan and a slower ramp-up of advanced packaging lines.

Shares nonetheless climbed 5% to $38.7 in Tuesday trading. Capital spending for 2026 is now pegged near $2.5 billion, the bottom of the earlier $2.5–3 billion range, owing to payment timing on the Arizona plant. Spending is expected to rise in 2027 as capacity expands for data center orders.

why it matters

For investors, the takeaway is that packaging demand tied to data centers looks firm while consumer exposure weakens. Price targets fell at Needham (to $55 from $65), Morgan Stanley (to $63 from $70), B. Riley (to $41 from $46) and Melius Research (to $53 from $72), reflecting broker estimates rather than a forecast for the stock.

market impact

Amkor shares and chip packaging peers: weak guidance weighs on estimates, while data center demand supports the outlook.

• ↔Amkor shares mixed — weak guidance pressures the stock while firm data center demand supports it

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