Cohu (COHU)
NASDAQ:COHU
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Cohu
(NASDAQ:COHU)
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Rating:67Neutral
Price Target:
$49.00
▲(18.76% Upside)
Action:ReiteratedDate:05/03/26
The score is driven by strong technical momentum and a bullish earnings outlook with upgraded 2026 guidance and robust HPC/inspection demand indicators. Offsetting this, core financial performance is still constrained by ongoing losses and compressed margins, and valuation is less supportive due to a negative P/E and no dividend.
Positive Factors
Large HPC order pipeline
A ~$750M HPC pipeline across multiple customers provides a durable multi-quarter revenue runway beyond near-term bookings. Multi-customer qualification and strong order momentum support scaled handler and inspection demand, underpinning the company’s multi‑quarter revenue guidance and strategic market position.
Negative Factors
Continued net losses and compressed profitability
Sustained net losses and compressed margins limit internal reinvestment and return generation. If systems mix and ramp costs persist, profitability may remain negative over the next several quarters, increasing reliance on cash reserves or external financing to fund growth initiatives.
Read all positive and negative factors
Positive Factors
Negative Factors
Large HPC order pipeline
A ~$750M HPC pipeline across multiple customers provides a durable multi-quarter revenue runway beyond near-term bookings. Multi-customer qualification and strong order momentum support scaled handler and inspection demand, underpinning the company’s multi‑quarter revenue guidance and strategic market position.
Read all positive factors
Cohu (COHU) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$2.34B
Dividend YieldN/A
Average Volume (3M)656.64K
Price to Earnings (P/E)―
Beta (1Y)1.73
Revenue Growth23.10%
EPS Growth35.49%
CountryUS
Employees2,986
SectorTechnology
Sector Strength88
IndustrySemiconductors
Share Statistics
EPS (TTM)-1.19
Shares Outstanding47,175,346
10 Day Avg. Volume830,805
30 Day Avg. Volume656,645
Financial Highlights & Ratios
PEG Ratio-2.20
Price to Book (P/B)1.40
Price to Sales (P/S)2.42
P/FCF Ratio102.25
Enterprise Value/Market Cap1.05
Enterprise Value/Revenue5.10
Enterprise Value/Gross Profit14.09
Enterprise Value/Ebitda3.44K
Forecast
1Y Price Target
$57.43Price Target Upside39.19% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering7
EPS Forecast (FY)0.53
Revenue Forecast (FY)$511.76M
Cohu Business Overview & Revenue Model
Company Description
Cohu, Inc., through its subsidiaries, provides semiconductor test equipment and services in China, the United States, Taiwan, Malaysia, the Philippines, and internationally. The company supplies semiconductor test and inspection handlers, micro-el...
How the Company Makes Money
Cohu primarily makes money by selling semiconductor test and handling equipment used in high-volume manufacturing. The core revenue stream is product revenue from (1) automated test equipment (ATE) platforms that run electrical tests on semiconduc...
Cohu Key Performance Indicators (KPIs)
Cohu Earnings Call Summary
Earnings Call Date:Apr 30, 2026
(Q1-2026)
| % Change Since: |
Next Earnings Date:Jul 30, 2026
Earnings Call Sentiment Positive
The call conveyed strong commercial momentum: revenue beat, materially upgraded guidance, large and growing HPC and inspection pipelines, notable customer wins (including a $100M incremental account opportunity), and improving recurring revenue mix. These positives are moderated by near-term margin pressure from systems mix and initial ramp costs, higher operating expenses to secure growth, supply-chain and capacity constraints, and timing risk for converting a sizable pipeline into 2026 revenue (some likely shifting into 2027). Overall liquidity is healthy but the capital structure includes significant convertible debt. On balance, the strategic wins and upgraded outlook outweigh the manageable execution and timing risks.Positive Updates
Revenue Beat and Upgraded Guidance
Q1 revenue of $125.1 million exceeded the midpoint of guidance. Q2 revenue guidance of approximately $144 million (+15% sequentially, +34% year-over-year). Full-year 2026 revenue outlook raised to growth of 20% to 25% versus prior year.
Negative Updates
Higher Operating Expenses
Q1 operating expenses were $55 million, above guidance, driven by accelerated hiring, design materials, and field support to scale HPC opportunities. Management expects OpEx to remain in the low-$50 million range for the balance of the year (Q2 guidance ~$53M).
Read all updates
Q1-2026 Updates
Positive
Negative
Revenue Beat and Upgraded Guidance
Q1 revenue of $125.1 million exceeded the midpoint of guidance. Q2 revenue guidance of approximately $144 million (+15% sequentially, +34% year-over-year). Full-year 2026 revenue outlook raised to growth of 20% to 25% versus prior year.
Read all positive updates
Company Guidance
Management reported Q1 revenue of $125.1M (above guidance midpoint) with recurring revenue ~60% of sales, Q1 gross margin 46.5% (recurring product gross margin ~50% vs systems ~40%), operating expenses $55M, net interest income ~$2.1M, Q1 tax $4.8M, cash & investments $489M, cash from operations $10M, total debt $305M (including $288M convertible), and Q1 capex ~$2M (targeting ~2% of revenue for 2026). For Q2 they forecast revenue up 15% sequentially and 34% YoY to ~$144M ± $7M, Q2 gross margin ~44%, OpEx about $53M, net interest income ~ $2M, Q2 tax ~$5.3M and diluted shares ~52.6M (4.2M from the convertible, 3.3M offset by a capped call). Full‑year 2026 revenue growth is guided to +20–25% YoY with gross margin in the mid‑40% range and quarterly OpEx remaining in the low‑$50M range; they raised HPC revenue guidance to $80–100M (backed by a ~$750M compute pipeline — ~$650M test handlers + ~$100M HBM inspection), NEON HBM revenue ~ $20M (up ~80% YoY), inspection business ~ $70M, noted semiconductor test orders +163% YoY, inspection orders +64% YoY, overall orders up 57% YoY (2% QoQ), a ~14‑week handler cycle time, and expect Q3 roughly in line with Q2 and a modest mid‑single‑digit seasonal Q4 decline.Cohu Financial Statement Overview
Summary
Income Statement
34
Negative
Balance Sheet
62
Positive
Cash Flow
58
Neutral
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 481.28M | 452.96M | 401.78M | 636.32M | 812.77M | 887.21M |
| Gross Profit | 174.29M | 156.15M | 179.83M | 302.81M | 382.87M | 386.40M |
| EBITDA | 715.00K | -6.91M | -19.41M | 96.97M | 171.72M | 180.64M |
| Net Income | -55.54M | -74.27M | -69.82M | 28.16M | 96.85M | 167.32M |
Balance Sheet | ||||||
| Total Assets | 1.24B | 1.24B | 999.41M | 1.15B | 1.23B | 1.26B |
| Cash, Cash Equivalents and Short-Term Investments | 488.70M | 483.98M | 262.09M | 335.70M | 385.58M | 379.90M |
| Total Debt | 330.08M | 359.46M | 18.69M | 58.94M | 103.16M | 144.88M |
| Total Liabilities | 433.44M | 457.44M | 142.52M | 200.18M | 298.57M | 376.54M |
| Stockholders Equity | 768.99M | 785.54M | 856.89M | 950.17M | 928.84M | 882.50M |
Cash Flow | ||||||
| Free Cash Flow | 40.17M | 10.73M | -7.86M | 85.42M | 98.09M | 85.73M |
| Operating Cash Flow | 52.19M | 31.69M | 2.78M | 101.47M | 112.86M | 97.73M |
| Investing Cash Flow | -245.39M | -257.02M | 21.92M | -30.21M | -67.87M | 39.89M |
| Financing Cash Flow | 243.53M | 246.33M | -59.03M | -68.14M | -91.07M | 6.53M |
Cohu Technical Analysis
Positive
41.26
Price Trends
31.54
Positive
28.69
Positive
24.81
Positive
Market Momentum
2.62
Negative
80.95
Negative
95.25
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For COHU, the sentiment is Positive. The current price of 41.26 is above the 20-day moving average (MA) of 33.76, above the 50-day MA of 31.54, and above the 200-day MA of 24.81, indicating a bullish trend. The MACD of 2.62 indicates Negative momentum. The RSI at 80.95 is Negative, neither overbought nor oversold. The STOCH value of 95.25 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for COHU.
Cohu Risk Analysis
Cohu disclosed 41 risk factors in its most recent earnings report. Cohu reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Cohu Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
80 Outperform | $3.16B | 12.15 | 11.84% | ― | -0.06% | -1.01% | |
67 Neutral | $2.34B | -29.19 | -6.91% | ― | 23.10% | 35.49% | |
61 Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% | |
58 Neutral | $3.90B | -37.25 | -28.05% | ― | -3.24% | -786.94% | |
56 Neutral | $3.06B | -89.67 | -8.87% | ― | -26.39% | -147.85% | |
56 Neutral | $1.13B | -12.01 | -9.41% | ― | 0.60% | -359.56% | |
55 Neutral | $2.08B | 65.95 | 2.07% | 2.25% | 8.86% | -62.89% |
* Technology Sector Average
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Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.