
MKS Instruments (MKSI) Stock Forecast & Price Target
MKS Instruments (MKSI) Analyst Ratings
Bulls say
MKS Inc reported strong financial performance in the second quarter, with Electronics & Packaging revenues increasing by 5% quarter-over-quarter and 16% year-over-year to $266 million, surpassing guidance expectations due to robust demand for chemistry and chemistry equipment. The Semiconductor segment also demonstrated growth with revenues rising by 5% from the previous quarter and 17% year-over-year to $432 million, attributed to normalized customer inventories and increased demand for RF power-driven NAND upgrades, alongside favorable foreign exchange impacts. Additionally, the company generated $136 million in free cash flow, an increase from both the prior quarter and the same period last year, contributing to a solid cash position of $674 million as of the end of June, which supports the company's financial resilience and growth potential.
Bears say
MKS Inc. is experiencing challenges, particularly indicated by a net debt to pro forma TTM EBITDA ratio of 4.0x, reflecting limited financial flexibility despite a slight reduction from 4.2x earlier in the year. The Specialty Industrial segment, which constitutes 28% of total revenues, reported a year-over-year decline of 6% excluding foreign exchange and palladium price impacts, thereby highlighting ongoing revenue pressures. Additionally, significant risks, such as a potential slowdown in global economic activity and weakened demand in key markets like the laser and photonics business, contribute to an overarching negative outlook for the company's stock.
This aggregate rating is based on analysts' research of MKS Instruments and is not a guaranteed prediction by Public.com or investment advice.
MKS Instruments (MKSI) Analyst Forecast & Price Prediction
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