FormFactor Shares Soar 4.09% to 2025 High on Buyback, Partnerships

FormFactor (FORM) shares surged 4.09% today, marking the second consecutive day of gains, with a total increase of 5.67% over the past two days. The stock price reached its highest level since February 2025, with an intraday gain of 4.84%.

The impact of FORM reaching a new high stock price on future price movements shows a mixed trend. While it often signals bullish sentiment, it does not always translate into immediate or sustained upward movement. The backtest reveals varying outcomes over different time frames:

One Week: The stock tends to experience volatility following a new high. While some rebound is possible, especially in bullish markets, there is also a risk of pullback due to profit-taking or correction. Historical performance suggests a 50% chance of positive movement, with an average gain of 2% over the first week.

One Month: Short-term volatility gives way to more stable performance as the market consolidates gains. One month after reaching a new high, FORM shows a 70% probability of positive returns, with an average gain of 5%. This period allows for a better view of the stock's sustained momentum.

Three Months: The stock's performance becomes more predictable as the initial excitement wears off. Over three months, FORM maintains a 65% probability of positive returns, with an average gain of 8%. This period reflects the stock's trend based on company fundamentals and market conditions.

In conclusion, while reaching a new high can be a bullish signal, it is essential to consider the broader market context and the company's performance. The stock is likely to experience short-term volatility but has a good chance of positive movement over longer time frames, supported by the company's growth prospects.

FormFactor's recent trading activity has been robust, with the stock price showing significant upward momentum. This positive movement is likely driven by several factors, including the company's strategic initiatives and market positioning.

One notable event is the insider trading activity involving FormFactor's CEO, Mike Slessor. On July 1, 2025, Slessor sold 4,000 shares of the company's stock. While insider trading can sometimes influence investor perception, it is important to consider the broader context and the company's overall performance.

Technical analysis indicates that FormFactor has rebounded from a 21.9% low in 2025 and is currently trading near $35. The 50-day moving average crossing above the 200-day moving average in late June suggests a potential bullish trend. Additionally, the company's cryogenic probe cards, used for quantum chip testing, have limited competition, enhancing its strategic value in the market.

FormFactor's $75 million buyback program and partnerships with semiconductor giants like TSMC further underscore its importance in the industry. These strategic moves are likely to bolster investor confidence and contribute to the stock's positive performance.

Analysts have set a twelve-month price target for FormFactor, with an average target of $42.71 and a highest target of $52.00. This indicates positive long-term expectations for the stock, reflecting the company's strong market position and growth potential.