How Entegris earnings and guidance reset expectations
Entegris (ENTG) put fresh numbers on the table with its third quarter 2026 report, pairing detailed earnings figures with fourth quarter guidance that gives investors a clearer handle on the company's current pacing.
For the quarter ended September 26, 2026, Entegris reported sales of US$1,005.7 million compared with US$807.1 million a year earlier. Net income for the same period was US$157.8 million, while basic and diluted earnings per share from continuing operations were both US$1.03, versus US$0.46 per share in the prior year quarter.
Across the first nine months of 2026, the business recorded sales of US$2,700.8 million compared with US$2,372.7 million in the same period a year before. Net income over those nine months was US$343.4 million, with basic earnings per share from continuing operations of US$2.25 and diluted earnings per share of US$2.24, compared with US$1.23 and US$1.22 respectively a year earlier.
Management also laid out targets for the final stretch of the year. For the fourth quarter ending December 31, 2026, Entegris guided to sales in a range of US$1,025 million to US$1,055 million, GAAP net income between US$168 million and US$181 million, and diluted earnings per share of US$1.09 to US$1.17. GAAP operating income is projected between US$235 million and US$250 million, which gives investors a reference point for thinking about profitability as the company moves through the current semiconductor investment cycle.
Entegris shares have reacted quickly to the earnings beat and guidance, with a 7 day share price return of 24.7% and a 90 day share price return of 34.4% contributing to a year to date share price gain of 78.7%. The 1 year total shareholder return of 83.4% and 3 year total shareholder return of 88.7% suggest momentum has been building over both shorter and longer horizons.
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After a near 80% year to date surge, Entegris now forces a basic choice: lean into the move at today's price, or wait and risk that the recent reset already did the heavy lifting on valuation.
Most Popular Entegris Narrative: 11% Undervalued
Entegris last closed at $160, while the most followed narrative framework places fair value closer to $179, so the current setup hinges on whether the earnings, cash flow and risk assumptions behind that gap feel reasonable to you.
Operational optimization, including the ramp of the KSP Taiwan filtration facility toward breakeven, closures of dilutive sites and a more than 20% increase in factory direct labor to tap existing capacity, is already lifting gross margin and can further support net margin and free cash flow as fixed costs are spread over higher volumes.
See why 13 investors see Entegris as 11% undervalued .
Result: Fair Value of $179.21 (UNDERVALUED)
Still, the Entegris story can break if wafer fab spending stumbles or margin expansion takes longer, which could pressure a stock that is already priced for strength.
Find out about the key risks to this Entegris narrative .
Another View: Entegris looks expensive on earnings multiples
The narrative fair value of US$179.21 paints Entegris as 11% undervalued, yet the current P/E near 80x tells a very different story. The sector trades around 45.2x and the fair ratio for Entegris sits at 36.2x, which implies meaningful valuation risk if sentiment cools. Which signal do you trust more right now?
See what the numbers say about this price in our valuation breakdown with the See what the numbers say about this price — find out in our valuation breakdown.
Next Steps
Mixed messages on valuation can be useful if they push you to stress test the story yourself and move before sentiment shifts again. To see the balance of potential upside against the issues investors are worried about, start with the 1 key reward and 2 important warning signs .
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include ENTG .
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