Veeco Instruments (NASDAQ:VECO) Posts Quarterly Earnings Results, Misses Expectations By $0.06 EPS

Veeco Instruments (NASDAQ:VECO) posted its earnings results on Tuesday. The semiconductor company reported $0.14 earnings per share for the quarter, missing analysts’ consensus estimates of $0.20 by ($0.06), FiscalAI reports. Veeco Instruments had a return on equity of 5.04% and a net margin of 5.33%.The business had revenue of $158.34 million during the quarter, compared to analyst estimates of $160.07 million. During the same quarter in the prior year, the company earned $0.37 EPS. The company’s revenue was down 5.4% on a year-over-year basis. Veeco Instruments updated its Q2 2026 guidance to 0.200-0.320 EPS and its FY 2026 guidance to 1.500-1.850 EPS.

Here are the key takeaways from Veeco Instruments’ conference call:

• $250M+ orders received for MOCVD, wet processing and Spector ion?beam deposition tools to support indium phosphide laser production — shipments begin in Q3 2026 with the major revenue ramp expected in Q1 2027, underscoring Veeco’s role in silicon photonics.
• Management is expanding manufacturing capacity — including plans to increase Spector IBD capacity roughly 10x by early 2027 (with potential further expansion) and adding production footprint/outsourced partners to meet accelerating demand.
• Q1 results were within guidance: revenue $158M, non?GAAP operating income ~$9M and EPS $0.14; Veeco reiterated full?year 2026 revenue guidance of $740–$800M and non?GAAP EPS $1.50–$1.85 and issued a Q2 guide of $170–$190M.
• Gross margin compressed to ~36% in Q1 partly due to an ~$8M top?line impact from a delayed LSA system shipment to a China customer that now requires a U.S. export license, highlighting regulatory and execution risk.
• The proposed merger with Axcelis is approved by shareholders and regulators except for China antitrust approval, leaving closing timing and integration outcomes uncertain until that clearance is received.

Veeco Instruments Trading Down 2.7%

Shares of Veeco Instruments stock opened at $49.54 on Wednesday. The firm has a market cap of $2.99 billion, a PE ratio of 83.97 and a beta of 1.36. Veeco Instruments has a 1 year low of $18.31 and a 1 year high of $53.43. The company has a debt-to-equity ratio of 0.26, a current ratio of 4.75 and a quick ratio of 3.20. The stock has a fifty day moving average price of $37.03 and a 200-day moving average price of $32.79.

Insider Buying and Selling at Veeco Instruments

In related news, CEO William John Miller sold 50,000 shares of the business’s stock in a transaction dated Tuesday, March 3rd. The shares were sold at an average price of $31.62, for a total value of $1,581,000.00. Following the transaction, the chief executive officer directly owned 414,543 shares of the company’s stock, valued at approximately $13,107,849.66. The trade was a 10.76% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Company insiders own 2.70% of the company’s stock.

Institutional Trading of Veeco Instruments

Several hedge funds have recently added to or reduced their stakes in VECO. Vise Technologies Inc. grew its position in shares of Veeco Instruments by 5.3% during the 4th quarter. Vise Technologies Inc. now owns 7,503 shares of the semiconductor company’s stock valued at $214,000 after acquiring an additional 377 shares during the period. Mercer Global Advisors Inc. ADV increased its stake in shares of Veeco Instruments by 4.4% during the 4th quarter. Mercer Global Advisors Inc. ADV now owns 10,986 shares of the semiconductor company’s stock worth $314,000 after purchasing an additional 462 shares during the last quarter. Russell Investments Group Ltd. raised its holdings in shares of Veeco Instruments by 9.9% in the 2nd quarter. Russell Investments Group Ltd. now owns 6,421 shares of the semiconductor company’s stock worth $130,000 after purchasing an additional 580 shares during the period. Amundi lifted its stake in Veeco Instruments by 6.6% in the third quarter. Amundi now owns 10,616 shares of the semiconductor company’s stock valued at $328,000 after purchasing an additional 657 shares during the last quarter. Finally, Smartleaf Asset Management LLC lifted its stake in Veeco Instruments by 23.4% in the fourth quarter. Smartleaf Asset Management LLC now owns 3,702 shares of the semiconductor company’s stock valued at $108,000 after purchasing an additional 703 shares during the last quarter. Institutional investors own 98.46% of the company’s stock.

Trending Headlines about Veeco Instruments

Here are the key news stories impacting Veeco Instruments this week:

• Positive Sentiment: Reported >$250M in high?volume equipment orders for manufacturing indium phosphide lasers, a multi?customer win that supports stronger future revenue visibility. Veeco Announces $250 Million+ in Equipment Orders for Manufacturing Indium Phosphide Lasers
• Positive Sentiment: Management affirmed FY2026 guidance with a midpoint that is modestly above consensus, and the company reiterated growth drivers—this underpinning helped trigger a strong premarket spike. Why Veeco Instruments Shares Are Trading Higher By 21%; Here Are 20 Stocks Moving Premarket
• Neutral Sentiment: Updated FY2026 guidance: EPS range $1.50–$1.85 and revenue $740M–$800M (midpoint roughly in line with consensus). The range gives optionality but keeps results cadence dependent on order shipments. Veeco Reports First Quarter 2026 Financial Results
• Neutral Sentiment: Company hosted an earnings call and published a slide deck/transcript with detail on market demand (laser/photonics), supply chain and segment outlook—useful for modeling but not immediately decisive. Veeco Instruments Inc. (VECO) Q1 2026 Earnings Call Transcript Veeco Instruments Inc. 2026 Q1 – Results – Earnings Call Presentation
• Negative Sentiment: Q1 results missed estimates: non?GAAP EPS $0.14 vs. consensus ~$0.20 and revenue $158.3M vs. ~$160M; revenue declined year?over?year and GAAP swung to a small loss — these misses pressured near?term sentiment. Veeco Instruments (VECO) Misses Q1 Earnings and Revenue Estimates
• Negative Sentiment: Q2 EPS guidance of $0.20–$0.32 has a midpoint below Street expectations and the revenue range is wide—creates execution risk for the near term and adds volatility to quarterly estimates. Veeco Q1 Slide Deck / Guidance

Analyst Upgrades and Downgrades

A number of analysts have commented on the company. Citigroup boosted their price objective on Veeco Instruments from $36.00 to $40.00 and gave the stock a “buy” rating in a report on Thursday, February 26th. Needham & Company LLC reaffirmed a “hold” rating on shares of Veeco Instruments in a research report on Thursday, February 26th. Zacks Research downgraded Veeco Instruments from a “strong-buy” rating to a “hold” rating in a report on Monday, April 27th. Finally, Weiss Ratings reissued a “hold (c)” rating on shares of Veeco Instruments in a research report on Wednesday, January 21st. Two analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company’s stock. According to MarketBeat.com, the company currently has an average rating of “Hold” and an average target price of $28.17.

About Veeco Instruments

Veeco Instruments Inc (NASDAQ: VECO) is a leading supplier of process equipment for the semiconductor, data storage, wireless communications, power electronics and advanced packaging industries. The company designs, manufactures and services precision tools used to grow, deposit and etch thin films on substrates, enabling the fabrication of chips, light-emitting diodes (LEDs), micro-electromechanical systems (MEMS) and high-density storage devices. Veeco’s platforms are deployed across fabrication facilities worldwide, where they support key processes in materials science and device manufacturing.

Veeco’s product portfolio spans molecular beam epitaxy (MBE), metal organic chemical vapor deposition (MOCVD), atomic layer deposition (ALD), ion beam etch and deposition, and high-precision wet and dry etch systems.