Entegris (ENTG): S&P MidCap 400 Inclusion, Q4 Earnings, and Future

Entegris (ENTG): S&P MidCap 400 Inclusion, Q4 Earnings, and Future Outlook#

Entegris (ENTG is experiencing significant positive momentum, marked by its upcoming inclusion in the S&P MidCap 400 index and a strong Q4 2024 earnings report. While facing challenges like China sales restrictions, the company is strategically positioned for growth, particularly in high-performance computing (HPC), advanced packaging, and memory markets, further supported by funding from the CHIPS Act. According to Monexa AI, the company's current price is $100.69, with a day high of $103.28 and a day low of $99.8.

Entegris Set to Join S&P MidCap 400: A Milestone for the Semiconductor Supplier#

The inclusion of Entegris (ENTG in the S&P MidCap 400 index, effective March 6, 2025, is a significant event for the company. This move is expected to increase the company's visibility among investors and boost its trading volume, contributing to greater stock liquidity. The company is set to replace Arcadium Lithium plc (NYSE: ALTM) in the index. According to prnewswire.com, Rio Tinto plc (ASX: RIO) is acquiring Arcadium Lithium in a deal expected to be completed soon, pending final closing conditions.

Impact of S&P MidCap 400 Inclusion on Institutional Ownership#

Inclusion in the S&P MidCap 400 typically leads to increased institutional investment as index funds and exchange-traded funds (ETFs) adjust their portfolios to mirror the index's composition. Following the announcement on February 27, 2025, Entegris shares surged by 6% in after-hours trading, reflecting the market's positive sentiment. Smartkarma.com estimates that approximately US$1.2 billion in shares may be purchased due to the index change. This increased demand can drive up the stock price and improve overall market sentiment towards the company. The inclusion validates Entegris' market position and growth potential within the semiconductor industry. The company's beta is 1.322, according to Monexa AI.

The semiconductor industry is the backbone of modern technology, and Entegris plays a crucial role by providing advanced materials and process solutions. As demand for semiconductors continues to grow, driven by emerging technologies like artificial intelligence (AI) and high-performance computing (HPC), Entegris is well-positioned to capitalize on these trends. The company's inclusion in the S&P MidCap 400 should attract more long-term investors and further solidify its market standing.

Q4 2024 Earnings: Entegris Exceeds Expectations Amidst Industry Transition#

Entegris (ENTG reported strong financial results for Q4 2024, exceeding its guidance for both sales and non-GAAP earnings per share (EPS). According to businesswire.com, Bertrand Loy, Entegris' President and Chief Executive Officer, stated that the company concluded 2024 with strong performance in the fourth quarter, exceeding guidance for both sales and non-GAAP EPS. For the year, the company continued to outperform the market and demonstrated leverage in its model with EBITDA growth that was twice the rate of sales. The company's Q4 earnings came in at $0.84 per share, beating the Zacks Consensus Estimate of $0.77 per share, according to zacks.com.

Key Financial Metrics from Q4 2024 Earnings Report#

These results highlight Entegris's ability to navigate the complexities of the semiconductor market and deliver consistent growth. Entegris' revenue grew by 11% year-over-year, excluding divestitures, demonstrating the strength of its core business. Non-GAAP EPS also exceeded guidance, reflecting effective cost management and operational efficiency. The company's market cap is $15,216,977,630, according to Monexa AI.

| Metric | Q4 2024 | Q4 2023 | Change | Source 1. 0. string