There’s Reason For Concern Over FormFactor, Inc.’s (NASDAQ:FORM) Massive 32% Price Jump
Despite an already strong run, FormFactor, Inc. (NASDAQ:FORM) shares have been powering on, with a gain of 32% in the last thirty days. Looking back a bit further, it’s encouraging to see the stock is up 69% in the last year.
Since its price has surged higher, FormFactor may be sending bearish signals at the moment with its price-to-sales (or “P/S”) ratio of 7.5x, since almost half of all companies in the Semiconductor in the United States have P/S ratios under 5.2x and even P/S lower than 2x are not unusual. Although, it’s not wise to just take the P/S at face value as there may be an explanation why it’s as high as it is.
