Nov. 14 at 6:52 PM
Citi reiterated its Buy rating on MKS and raised its price target from
$122 to
$185 after the company posted strong September-quarter results driven by sustained demand in its chemical equipment business, which has now shown strength for four straight quarters. AI-related chemical revenue has increased from 5% to 10%, with further upside potential. Although NAND-related demand may remain volatile, MKS is exposed to roughly 1–2% of the projected
$40 billion NAND upgrade opportunity over the coming years.
Citi lifted its 2025/2026 EPS estimates to
$7.67 and
$8.87 and boosted its valuation multiple to 21× (from 16×) on 2026 earnings, citing expanding AI-related contributions and sector-wide multiple expansion.
MKS also reported better-than-expected Q3 results, delivering
$988 million in revenue and
$1.93 EPS, and received additional price-target hikes from firms such as KeyBanc and Mizuho.
$MKSI