Track semiconductors, computing infrastructure and the technology cycle.
ASE’s third-quarter packaging and testing gross margin exceeded the upper end of company guidance, and management now sees the former 30% ceiling as a new baseline. The company raised its advanced packaging targets and capital expenditure, while Nomura increased its earnings forecasts and price target.
Third-quarter revenue in 2026 rose 22% year on year and fell 2% quarter on quarter, while net profit rose 109% year on year. Nomura believes higher optical fiber selling prices and a greater share of high-margin products drove margin expansion.
The company’s third-quarter revenue rose 24.6% quarter on quarter, while net profit attributable to shareholders grew 8.5% sequentially. Nomura is optimistic about high-speed products and optical engine upgrades, but upstream price increases prompted it to lower its gross margin forecasts and cut its target price from 1375 yuan to 1196 yuan.
Third-quarter revenue rose sequentially, but both gross margin and net profit declined. Management expects improvement in the fourth quarter, while Morgan Stanley has cut its earnings forecasts for the next three years and its price target due to tight component supply.
Third-quarter revenue rose 7.5% quarter on quarter, below market expectations of around 15%; component shortages, delays in ramping up new systems and inventory write-downs weighed on performance. Nomura expects pent-up demand to be released over successive quarters, while cutting its earnings forecasts and target price.
A higher share of cell turnkey business in the third quarter of 2026 lifted revenue above expectations while diluting gross margin. Nomura raised its earnings forecasts but lowered its target price after reducing its valuation multiple.
Large data center and enterprise customer signings strengthened in the third quarter, and the company raised its core FFO guidance for the third time this year; however, interconnection revenue growth remains slow, while expansion spending and cost pressures continue to affect the conversion of orders into revenue.
Citi observes that upward revisions to semiconductor earnings forecasts have narrowed from the previous quarter, with a more pronounced slowdown in equipment; tight memory supply and cloud providers’ capital spending support demand.
In the first quarter of fiscal 2027, SanDisk’s revenue and earnings per share both exceeded market consensus, with data centers the main source of growth; adjusted free cash flow, however, fell short of expectations.
In the third quarter of 2026, Samsung SDI’s operating profit and margin excluding US manufacturing tax credits both exceeded Bernstein’s expectations. US energy storage orders and production-line conversions supported growth, but weak electric vehicle demand, declining subsidies and cash flow constraints remain.
Third-quarter server business drove better-than-expected earnings, but fourth-quarter PC shipments are expected to fall sharply quarter over quarter, and inventory adjustments could continue into the first half of 2027. BofA cut its price target from $145 to $100.
Teradyne’s third-quarter revenue and earnings beat expectations, but the ramp-up of computing projects at two large cloud customers is concentrated in the middle and latter part of 2027. JPMorgan expects demand for memory, industrial and product testing to support sequential revenue growth in every quarter of 2027.
Shop Pay is expanding into AI channels, while Sidekick is taking on more merchant operations and store-building tasks. JPMorgan believes the product updates can help attract merchants and transaction volume, but its model also forecasts slower revenue growth and a lower gross margin.
Data center demand drove quarterly revenue above expectations, while the consumer business declined as customers adjusted to higher prices. Next-quarter guidance exceeded the Wall Street consensus but was slightly below buy-side expectations heard by JPMorgan.
The company has launched enterprise AI services and a voice agent and is considering a rebrand. JPMorgan believes the new businesses will take time to significantly drive growth, while the core business’s ability to withstand AI disruption remains key to its valuation.
Intel’s third-quarter profit beat expectations, but a fourth-quarter decline in the PC business and the shutdown of its Israeli factory weighed on guidance; capacity expansion will add to cash flow pressure in 2027.
Equinix’s annualized gross new bookings exceeded 500 million dollars for the first time in the third quarter, and pricing on new deals rose 12% year over year. JPMorgan sees room for price increases over multiple years as contracts renew, while its model shows expansion spending will continue to depress free cash flow.
In the quarter ended September 2026, SanDisk’s data-center revenue rose 61% sequentially, driving results and next-quarter guidance above market expectations. Morgan Stanley believes tight NAND supply and buybacks will support earnings, but consumer revenue has already declined sequentially.
Morgan Stanley expects Palantir’s third-quarter revenue to exceed the midpoint of company guidance by 5%–6%, but slowing US commercial customer growth, expectations for the fourth quarter and a high valuation limit the room for optimism.
Amazon and Intel’s cloud and server businesses are still growing, but cash investment, capacity and PC inventory reductions have changed near-term earnings expectations; SNDK and TWLO also face tests of their growth mix and margins.
