Ultra Clean (NASDAQ:UCTT) Shares Down 6.9% – What’s Next?

Ultra Clean Holdings, Inc. (NASDAQ:UCTT) was down 6.9% during mid-day trading on Tuesday . The company traded as low as $82.99 and last traded at $83.00. Approximately 975,936 shares traded hands during trading, a decline of 27% from the average session volume of 1,338,261 shares. The stock had previously closed at $89.17.

More Ultra Clean News

Here are the key news stories impacting Ultra Clean this week:

• Positive Sentiment: Q2 results exceeded expectations: Ultra Clean reported $644.9 million in revenue, up 24.3% year over year, while adjusted EPS of $0.70 topped the $0.53 consensus estimate. Ultra Clean Holdings Beats Q2 Earnings and Revenue Estimates
• Positive Sentiment: Strong Q3 guidance: Management forecast revenue of $700 million-$750 million and EPS of $0.83-$1.03, both above Wall Street expectations. The outlook reflects rising demand tied to artificial intelligence and semiconductor manufacturing equipment. Ultra Clean Q2 Earnings Call Centers on AI Demand and Capacity
• Positive Sentiment: Analyst support increased: Needham raised its price target to $125 from $92 and assigned a Buy rating, while UBS analyst Timothy Arcuri maintained a Buy rating and lifted his target to $150. Analysts cited undervalued growth potential and an anticipated wafer-fabrication-equipment upcycle. Ultra Clean Price Target Raised at Needham
• Neutral Sentiment: Capacity expansion is a longer-term catalyst: The earnings call emphasized AI-driven demand, extended customer forecasts and investments to expand production capacity, which could support future growth but may require additional capital.
• Negative Sentiment: Cash flow and GAAP profitability raised concerns: Reported operating cash flow was negative $41.1 million, while net income attributable to common shareholders was $8.7 million. A third-party data provider reported diluted GAAP EPS of $0.19, highlighting a less favorable earnings mix than the adjusted figure cited by the company and analysts. Ultra Clean Q2 2026 Earnings
• Negative Sentiment: Insider selling may weigh on sentiment: Disclosed trading data showed substantial insider sales and no insider purchases over the past six months, potentially adding caution after the stock’s sizable prior advance.

Wall Street Analysts Forecast Growth

UCTT has been the topic of a number of research reports. Oppenheimer lifted their price target on shares of Ultra Clean from $115.00 to $150.00 and gave the company an “outperform” rating in a research note on Tuesday. Weiss Ratings downgraded shares of Ultra Clean from a “sell (d+)” rating to a “sell (d)” rating in a research report on Friday, July 24th. Wall Street Zen lowered shares of Ultra Clean from a “buy” rating to a “hold” rating in a report on Saturday. Needham & Company LLC boosted their price objective on shares of Ultra Clean from $92.00 to $125.00 and gave the company a “buy” rating in a research report on Tuesday. Finally, UBS Group reaffirmed a “buy” rating on shares of Ultra Clean in a research note on Tuesday. One investment analyst has rated the stock with a Strong Buy rating, five have given a Buy rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, Ultra Clean currently has an average rating of “Moderate Buy” and an average target price of $129.00.

Ultra Clean Price Performance

The company has a current ratio of 3.07, a quick ratio of 1.72 and a debt-to-equity ratio of 0.86. The company has a 50 day simple moving average of $100.63 and a 200 day simple moving average of $76.50. The stock has a market cap of $3.83 billion, a P/E ratio of -19.89, a PEG ratio of 1.11 and a beta of 1.88.

Ultra Clean (NASDAQ:UCTT) last issued its quarterly earnings results on Monday, August 3rd. The semiconductor company reported $0.70 earnings per share for the quarter, topping the consensus estimate of $0.53 by $0.17. Ultra Clean had a negative net margin of 9.38% and a positive return on equity of 4.28%. The company had revenue of $644.90 million during the quarter, compared to analysts’ expectations of $587.65 million. During the same period last year, the business earned $0.27 EPS. The business’s quarterly revenue was up 24.3% on a year-over-year basis. Ultra Clean has set its Q3 2026 guidance at 0.830-1.030 EPS. Sell-side analysts forecast that Ultra Clean Holdings, Inc. will post 2.14 earnings per share for the current fiscal year.

Insider Buying and Selling at Ultra Clean

In related news, CFO Sheri Savage sold 15,766 shares of the firm’s stock in a transaction on Thursday, June 4th. The shares were sold at an average price of $89.47, for a total value of $1,410,584.02. Following the completion of the transaction, the chief financial officer owned 50,710 shares of the company’s stock, valued at approximately $4,537,023.70. This trade represents a 23.72% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, General Counsel Paul Yoonku Cho sold 2,000 shares of Ultra Clean stock in a transaction on Friday, May 8th. The shares were sold at an average price of $86.89, for a total transaction of $173,780.00. Following the completion of the sale, the general counsel owned 15,844 shares in the company, valued at $1,376,685.16. The trade was a 11.21% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders have sold 48,034 shares of company stock worth $4,296,414. Company insiders own 1.80% of the company’s stock.

Institutional Trading of Ultra Clean

A number of hedge funds and other institutional investors have recently modified their holdings of UCTT. EverSource Wealth Advisors LLC grew its holdings in shares of Ultra Clean by 37.3% during the first quarter. EverSource Wealth Advisors LLC now owns 721 shares of the semiconductor company’s stock worth $45,000 after purchasing an additional 196 shares during the last quarter. Quadrant Capital Group LLC raised its holdings in Ultra Clean by 40.3% in the 4th quarter. Quadrant Capital Group LLC now owns 989 shares of the semiconductor company’s stock valued at $25,000 after buying an additional 284 shares during the last quarter. ProShare Advisors LLC raised its holdings in Ultra Clean by 2.7% in the 4th quarter. ProShare Advisors LLC now owns 13,491 shares of the semiconductor company’s stock valued at $342,000 after buying an additional 350 shares during the last quarter. State of Alaska Department of Revenue boosted its position in Ultra Clean by 1.6% during the 4th quarter. State of Alaska Department of Revenue now owns 25,093 shares of the semiconductor company’s stock worth $635,000 after buying an additional 400 shares during the period. Finally, Swiss National Bank boosted its position in Ultra Clean by 0.4% during the 1st quarter. Swiss National Bank now owns 89,800 shares of the semiconductor company’s stock worth $5,584,000 after buying an additional 400 shares during the period. Institutional investors and hedge funds own 96.06% of the company’s stock.

About Ultra Clean

Ultra Clean Holdings, Inc is a global supplier of critical consumables and process tools for the semiconductor manufacturing industry. The company specializes in precision parts cleaning, chemical–mechanical planarization (CMP) slurries, surface conditioning pads, and specialty components used in wafer fabrication and advanced packaging. Ultra Clean also provides assembly and test hardware, tooling, and automated modules designed to support complex front-end and back-end processes in semiconductor fabs.

Ultra Clean’s product portfolio encompasses a range of cleaning systems and consumables aimed at particle and film removal, as well as CMP slurries and pads that are engineered for uniform material removal and planarization.