Earnings Alerts

Advantest Corp (6857) Earnings: FY Operating Income Surges Past Estimates

  • Advantest raised its full-year operating income forecast to 138 billion yen, previously expected at 90 billion yen, beating estimates of 108.44 billion yen.
  • The company also increased its net income forecast to 105 billion yen, previously expected at 67 billion yen, surpassing estimates of 81.64 billion yen.
  • Full-year net sales forecast was boosted to 600 billion yen from an earlier estimate of 525 billion yen, above analysts’ expectations of 550.47 billion yen.
  • First quarter operating income reached 31.33 billion yen, compared to 14.27 billion yen last year and estimated 18.96 billion yen.
  • Net income for the first quarter was 23.87 billion yen, up from 9.20 billion yen last year and higher than the estimated 15.37 billion yen.
  • First quarter net sales increased by 37% year-over-year to 138.73 billion yen, beating the estimate of 120.34 billion yen.
  • Analyst recommendations: 10 buys, 9 holds, and 0 sells.

Advantest Corp on Smartkarma

Analysts on Smartkarma are closely watching Advantest Corp, a company in the technology sector. Scott Foster‘s report titled “Advantest (6857 JP): AI Speculation Discounted” highlights a bullish sentiment, suggesting a cyclical recovery driven by the demand for High Bandwidth Memory testers. While sales and profits are expected to soar, the current stock price reflects most of these positive expectations. Foster advises investors to consider taking profits and waiting for a better entry point, as the stock has recently dipped but still shows significant growth.

On the other hand, Mark Chadwick‘s analysis, “Advantest (6587) | Testing the Limits of AI,” takes a more cautious stance. Despite reporting strong Q3 results and raising full-year guidance, Chadwick maintains a bearish outlook on Advantest due to concerns about an overvalued stock price driven by AI hype. He warns of a potential downside of 25%, emphasizing the need for careful evaluation of the company’s current valuation in light of the market’s enthusiasm for AI-related technologies.


A look at Advantest Corp Smart Scores

FactorScoreMagnitude
Value2
Dividend2
Growth3
Resilience3
Momentum2
OVERALL SMART SCORE2.4

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

Advantest Corp, a producer of semiconductor testing devices and electronic measuring instruments, has been assessed using Smartkarma Smart Scores to evaluate its long-term outlook. With a balanced score across different factors, Advantest Corp shows potential for steady growth and resilience in the market. The company scores moderately in areas such as value, dividend, and momentum, while displaying stronger performance in growth and resilience. This indicates a promising outlook for Advantest Corp in terms of its ability to adapt to market changes and sustain its growth trajectory over the long haul.

ADVANTEST CORPORATION, known for its semiconductor testing devices and electronic measuring instruments, has received varied scores in different aspects, hinting at a mixed yet optimistic long-term outlook. With a focus on producing large-scale integration (LSI) test systems, memory test systems, and other electronic instruments, the company’s scorecard reflects a moderate stance in value and dividend factors, alongside a stronger positioning in growth and resilience. This suggests Advantest Corp is well-positioned to navigate future market challenges and capitalize on opportunities for expansion and development.


Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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