Cohu shares climb as company guides 2027 revenue growth of 30% to 40%

what happened

Shares of chip test equipment maker Cohu rose roughly 6% after its third-quarter report topped market forecasts, Seeking Alpha reported. Revenue reached $173 million, up 37% from a year earlier and above the $170.2 million analysts had expected. Adjusted earnings came in at 43 cents per share, nine cents better than estimates, while bookings surged 126% year over year.

CEO Luis Müller said a growing number of customer programs are clearing qualification and moving into volume output, driven by rising demand for checking ever more sophisticated, power-hungry processors. For 2027 the company expects revenue to rise 30% to 40%, with the top of that range hinging on the timing of customer approvals and production ramps, provided market conditions stay robust. Cohu expects Eclipse thermal system shipments to triple in 2027 versus 2026 and is widening its manufacturing capacity.

why it matters

The jump in bookings is the key signal for investors, since it points to orders that will convert into revenue later. Management says it has better visibility into customers' capacity needs, and the path from qualification to production typically takes nine to 12 months. Some tightness in specialty components exists, but Müller does not see it as a constraint on the business.

market impact

Cohu and chip test equipment: strong outlook and bookings growth support the stock.

• ▲Cohu shares pressure up — strong 2027 guidance and a 126% jump in bookings

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