Amkor Technology (AMKR) issued its third quarter results and provided guidance for the coming months, giving investors plenty to consider. The company also announced a planned CEO succession, which is scheduled for the start of 2026.
See our latest analysis for Amkor Technology.
Amkor Technology’s shares have surged in response to its steady financial progress and forthcoming CEO transition, with a standout 17% jump in just one day. In addition, the stock boasts a 29% 1-month share price return, and its 1-year total shareholder return of nearly 50% underscores improving momentum as investors take note of both results and the company’s evolution.
If Amkor’s rapid rally has you curious about what else is gaining attention, this is an ideal moment to broaden your search and discover See the full list for free.
With shares posting impressive gains and results showing steady improvement, the central question now is whether the recent rally has left Amkor undervalued or if future growth is already fully reflected in the price. Could there still be a buying opportunity, or has the market priced it in?
Amkor Technology is trading at a price-to-earnings (P/E) ratio of 30.4x, which suggests the market sees decent earnings potential compared to peers and industry standards.
The P/E ratio compares a company’s share price to its per-share earnings. It serves as a quick snapshot of how the market is valuing those profits. In the semiconductor sector, this multiple helps investors gauge expectations for future earnings growth and sector momentum.
Amkor’s P/E is below both the US Semiconductor industry average, which stands at 36.1x, and the peer average of 40.2x. Looking at the estimated fair P/E ratio of 32.5x, the stock appears to be trading at a slight discount to what regression models suggest the market could move toward if sentiment shifts or fundamentals improve.
Explore the SWS fair ratio for Amkor Technology
Result: Price-to-Earnings of 30.4x (UNDERVALUED)
However, risks remain if sector sentiment shifts or analyst targets stall. This could dampen further momentum despite Amkor’s recent rally.
Find out about the key risks to this Amkor Technology narrative.
While Amkor’s current price looks reasonable compared to earnings ratios, our DCF model tells a different story. According to this method, the stock is trading above its SWS DCF fair value estimate. This raises the question of whether the market’s optimism is running ahead of reality, or if long-term growth prospects are simply difficult to capture with models.
