Needham analyst Charles Shi has maintained their neutral stance on ACLS stock, giving a Hold rating today.
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Charles Shi has given his Hold rating due to a combination of factors surrounding Axcelis Technologies’ recent performance and future outlook. The company reported a strong first quarter in 2025, surpassing market expectations, and provided revenue guidance for the second quarter that aligns with conservative estimates. This performance indicates a potential stabilization after a period of underperformance, as evidenced by an improved book-to-bill ratio from 0.5x in 2024 to 0.8x in the first quarter of 2025.
Despite these positive signs, management’s expectations for the second half of 2025 suggest that revenue will remain consistent with the first half, indicating limited growth potential in the near term. While the company is showing improved consistency in its execution, it is still too early to confidently predict a full recovery. Therefore, Shi maintains a Hold rating, reflecting a cautious optimism about the company’s ability to sustain its recent improvements.