Why Is FormFactor, Inc. (FORM) Stock Down -12.04% Today?
Key Takeaways
- FORM shares plunged 12.04% intraday Tuesday, falling $16.64 to $121.52 from Monday's close of $138.16.
- The immediate company-specific catalyst was an SEC filing showing CEO Mike Slessor sold about $2.1 million in stock under a pre-arranged Rule 10b5-1 trading plan.
- The selling was amplified by a broad semiconductor rout, with the Philadelphia Semiconductor Index down more than 5%.
- Rising long-term Treasury yields, higher oil prices, and profit-taking in high-multiple AI-chip names pressured the sector.
- Traders are watching the stock's 50-day moving average and the next quarterly report expected in late October.
Opening Summary
FormFactor, Inc. (FORM) is a Livermore, California-based supplier of probe cards, analytical probes, probe stations, and thermal and cryogenic test systems used by semiconductor manufacturers. On Tuesday, the stock plunged during regular trading: as of 1:49 p.m. ET, shares were changing hands at $121.52, down $16.64, or 12.04%, from Monday's closing price of $138.16. The move lower reflected a combination of an insider-selling disclosure and a broad pullback across semiconductor and AI-hardware names.
Insider Selling After a Sharp Run
The company-specific trigger came from an SEC filing disclosing that CEO Mike Slessor sold 16,002 shares on Friday at an average price of $130.95, a transaction worth roughly $2.1 million. The sale was executed under a pre-arranged Rule 10b5-1 plan and reduced the chief executive's ownership by about 3.2%. While such plans are scheduled in advance, the disclosure landed after a powerful rally in FORM shares and gave investors a reason to lock in profits.
Sector-Wide Semiconductor Selloff
The drop in FORM was not an isolated move. The Philadelphia Semiconductor Index sank more than 5%, putting it on track for its steepest one-day decline since early July. Memory and AI-related chip names led the selling as investors took profits after a strong run. FORM is closely tied to high-bandwidth memory and advanced packaging test demand, so when memory and AI infrastructure trades reverse, the stock tends to move with them.
Yields, Oil and Valuation Pressure
The broader macro backdrop added to the downside. The 30-year Treasury yield traded near its highest level since 2007, while the benchmark 10-year yield held near its highest since January 2025. Higher long-term rates reduce the present value of future technology profits and raise borrowing costs, making high-multiple growth stocks especially vulnerable. Oil prices also climbed as fading optimism over a U.S.-Iran de-escalation stoked inflation concerns, further dampening risk appetite. That combination hit high-beta semiconductor names such as FORM.
Market Context and Trading Activity
Shares gapped down at the open to $129.28 and continued to slide through the session. The move pushed FORM below its 50-day moving average near $123, while the stock remained above its 200-day average near $115. Early turnover was modest relative to the 30-day average, consistent with broad sector deleveraging rather than a concentrated single-stock liquidation. The decline was larger than the chip index's drop, reflecting both the insider-selling disclosure and the stock's high beta. The stock had jumped nearly 5% on Monday, making Tuesday's reversal a swift round-trip of those gains.
What Comes Next for FORM
The next major catalyst for FORM is its quarterly earnings report, expected in late October. The company's most recent report, released in late July, beat consensus estimates on both earnings and revenue, with strong demand tied to high-bandwidth memory and advanced probe cards. Still, investor focus is likely to remain on Treasury yields, oil prices, memory-industry pricing, and any signs that AI-related capital spending is moderating. The stock's elevated valuation and semiconductor cycle exposure remain key risks, even though underlying demand trends have been robust.
Trending AI Robots
Tickeron's Trending AI Robots page highlights a curated selection of AI-powered trading bots that are currently the strongest performers under live market conditions. Tickeron offers hundreds of bots covering thousands of tickers, with strategies that vary by timeframe, performance metrics, and traded symbols. Explore the page to see which AI robots are adapting to today's market environment.
Disclaimer
The information on this webpage is provided for general informational and educational purposes only and is not intended as investment advice, a recommendation to purchase or sell any security, or an offer or solicitation related to investments. It does not consider your personal financial situation, goals, or risk profile, and all investing carries inherent risks, including the possibility of losing your entire investment. For more details, please review our full disclaimer.
Contributor
Financial analyst and market blogger with expertise in equity research, fundamental analysis, and macroeconomic trends. I regularly publish coverage on individual stocks, ETFs, and sector developments — combining rigorous financial analysis with clear, engaging writing for a broad investment audience.
Aroon Indicator for FORM shows an upward move is likely
FORM's Aroon Indicator triggered a bullish signal on August 26, 2026. Tickeron's A.I.dvisor detected that the AroonUp green line is above 70 while the AroonDown red line is below 30. When the up indicator moves above 70 and the down indicator remains below 30, it is a sign that the stock could be setting up for a bullish move. Traders may want to buy the stock or look to buy calls options. A.I.dvisor looked at 233 similar instances where the Aroon Indicator showed a similar pattern. In of the 233 cases, the stock moved higher in the days that followed. This puts the odds of a move higher at .
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on September 08, 2026. You may want to consider a long position or call options on FORM as a result. In of 92 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
The Moving Average Convergence Divergence (MACD) for FORM just turned positive on September 09, 2026. Looking at past instances where FORM's MACD turned positive, the stock continued to rise in of 52 cases over the following month. The odds of a continued upward trend are .
FORM moved above its 50-day moving average on September 09, 2026 date and that indicates a change from a downward trend to an upward trend.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where FORM advanced for three days, in of 302 cases, the price rose further within the following month. The odds of a continued upward trend are .
Bearish Trend Analysis
The Stochastic Oscillator entered the overbought zone. Expect a price pull-back in the foreseeable future.
The 10-day moving average for FORM crossed bearishly below the 50-day moving average on August 26, 2026. This indicates that the trend has shifted lower and could be considered a sell signal. In of 19 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where FORM declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
Fundamental Analysis (Ratings)
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. FORM’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 64, placing this stock slightly better than average.
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is fair valued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating slightly better than average sales and a considerably profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (7.874) is normal, around the industry mean (7.865). P/E Ratio (77.283) is within average values for comparable stocks, (156.250). FORM's Projected Growth (PEG Ratio) (0.000) is slightly lower than the industry average of (1.158). FORM has a moderately low Dividend Yield (0.000) as compared to the industry average of (0.006). P/S Ratio (9.843) is also within normal values, averaging (29.998).
Notable companies
Industry description
Market Cap
High and low price notable news
Volume
Fundamental Analysis Ratings
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
Advertisement
General Information
a manufacturer of semiconductor wafer probe card products
Industry ElectronicProductionEquipment
Advertisement