Tuesday, February 10, 2015

Seeking Alpha: The Wait Drags On With Ultratech

If FinFET-related annealing orders eventually do appear in 2015 and the 3D advanced packaging opportunity develops as management hopes, Ultratech (NASDAQ:UTEK) will likely look like a study on the rewards of patience. If the trends seen throughout 2014 continue, it's going to be an experience in death by hundreds of papercuts.

Ultratech still isn't seeing the orders for its LSA systems that it needs to generate attractive margin leverage and get Wall Street enthusiastic about the shares. 2015 is shaping up as a make-or-break year, but then 2014 was supposed to be that way and leading chip producers like Taiwan Semiconductor (NYSE:TSM), Intel (NASDAQ:INTC), and Samsung delayed orders in response to FinFET yield issues. While a strong LSA cycle and growing interest in the company's advanced packaging and metrology products could eventually support a much higher share price, the high teens to low $20's is probably as good as it gets until/unless those orders start to show up in the company's books.

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The Wait Drags On With Ultratech

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