TTM Technologies Plunges on In-Line Guidance Despite Record Sales
TTM Technologies shares fell 27.7% on Thursday even after the company reported record third-quarter revenue of $1.2 billion and adjusted EPS of $1.46, both above estimates. Its fourth-quarter revenue guidance was slightly below consensus, and AI hardware stocks broadly sold off. The company’s initial 2027 forecast exceeded analyst expectations, but debt and pending acquisitions remain risks.
TTM’s third quarter set company records for sales and adjusted earnings, with revenue reaching $1.2 billion, 60% higher year over year, and adjusted EPS at $1.46. Data center and networking sales doubled, contributing 41% of total revenue, while adjusted EBITDA margin reached 20.1%.
For the fourth quarter, management projected revenue of $1.42 billion to $1.44 billion and adjusted EPS of $1.77 to $1.83, roughly matching consensus. Its first 2027 outlook called for $6.5 billion to $6.75 billion in revenue and $8.10 to $8.90 in adjusted EPS. Net leverage stood at 2.8x after two acquisitions closed, with three more pending, including Ophir Optics.
The sharp share decline could affect retail and institutional investors, including pension and mutual-fund holders, by reducing portfolio values. TTM’s debt-funded acquisition strategy may influence employees, suppliers, and communities tied to its manufacturing footprint if integration or leverage pressures emerge. Because TTM supplies AI hardware, demand swings could also ripple to customers and workers in the broader technology supply chain, though the long-term effects remain uncertain.