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ICHR · Analysis updated Nov 10, 2026, 6:00 PM ET
Why is Ichor Holdings, Ltd. (ICHR) stock moving?
Ichor reported Q3 2026 revenue of $328.7M, up 37% year over year and 12% sequentially, with GAAP gross margin of 15.8% and GAAP diluted EPS of $0.55. Non-GAAP EPS of $0.63 beat the $0.45 estimate, while sales were slightly below the $330M consensus. Q4 guidance calls for adjusted EPS of $0.65-$0.75 versus a $0.62 estimate and sales of $345M-$365M versus a $363.1M estimate, so the midpoint of the sales range sits below consensus. Management says demand visibility extends into 2027 and margins are still expanding. Every covering firm kept a Buy rating, but price targets were cut sharply: Stifel to $93 from $115, Needham to $55 from $88, B. Riley to $60 from $70, TD Cowen to $55, and DA Davidson initiated at $37. The stock fell from a $43.08 close on Oct 28 to a $28.03 close on Nov 5 on the window's highest volume of 2.05M shares. The news does not explain that drop. It has since rebounded to $35.27 on Nov 10 on 977K shares, and the current price sits below every published target.
News behind the analysis
- Ichor Holdings, Ltd. Announces Third Quarter 2026 Financial ResultsQ3 revenue rose 37% year over year to $328.7M, with GAAP gross margin of 15.8% and GAAP diluted EPS of $0.55. Management said customer demand has visibility well into 2027.
- Ichor Hldgs Q3 Adj. EPS $0.63 Beats $0.45 Estimate, Sales $328.699M Miss $330.000M EstimateNon-GAAP EPS beat consensus by a wide margin while revenue came in slightly below the $330M estimate.
- Ichor Holdings Sees Q4 Adj EPS $0.65-$0.75 vs $0.62 Est; Sees Sales $345.000M-$365.000M vs $363.067M EstQ4 adjusted EPS guidance sits above the $0.62 estimate, while the sales range midpoint of about $355M is below the $363.1M consensus.
- Ichor Holdings Sees Q4 GAAP EPS $0.50-$0.60 vs $0.44 EstQ4 GAAP EPS guidance is above the $0.44 estimate, which supports the expectation of continued earnings growth.
- Ichor Analysts Slash Their Forecasts After Q3 ResultsAnalysts cut price targets after the Q3 report even though EPS beat estimates. Shares rose 1.7% that day.
- Needham Maintains Buy Rating on Ichor Holdings, Lowers Price TargetNeedham kept its Buy rating and cut its price target from $88 to $55.
- TD Cowen Maintains Buy on Ichor Holdings, Lowers Price Target to $55TD Cowen maintained its Buy rating and set a $55 price target after the Q3 report.
- Stifel Maintains Buy Rating on Ichor Holdings, Lowers Price TargetStifel kept its Buy rating and reduced its 12-month price target from $115 to $93.
- B. Riley Adjusts Price Target on Ichor Holdings to $60 From $70, Keeps Buy RatingB. Riley cut its price target from $70 to $60 and kept its Buy rating.
- DA Davidson Initiates Coverage of Ichor Holdings with Buy RatingDA Davidson started coverage with a Buy rating and a $37 price target, which sits just above the latest close of $35.27.
About Ichor Holdings
Ichor Holdings is a Fremont, California-based company that designs, engineers and makes fluid delivery subsystems and components, such as gas and chemical delivery systems, for semiconductor manufacturing equipment. It acts mainly as an outsourced supplier to the big chip-equipment makers and is working to raise the share of its own proprietary components, aiming for about 35% of content, to lift its historically thin margins.
How it makes money
Ichor sells gas and liquid delivery subsystems, weldments, machined parts and other precision components to semiconductor equipment makers (OEMs). They build these into etch, deposition and other wafer-fab tools. A large share of revenue has historically come from a few customers, mainly Lam Research and Applied Materials. Revenue was about $329 million in Q3 2026, up about 37% from a year earlier, with a gross margin of about 16%.
What usually moves ICHR
- Wafer fab equipment spending cycles
- Order trends at major customers like Lam Research and Applied Materials
- AI-driven memory and logic chip capacity investment
- Gross margin gains from proprietary products
- Export controls and China-related trade restrictions