Back to top

Image: Bigstock

TTM Technologies to Report Q3 Earnings: Buy, Sell or Hold the Stock?

Read MoreHide Full Article

Key Takeaways

  • TTMI to report Q3 results on Oct. 22, with estimated revenue growth of 50.02% and EPS growth of 86.57%.
  • AI data centers may account for 49% of TTMI's Q3 sales, while its $1.7B defense backlog boosts visibility.
  • TTMI has gained 49.7% YTD, but its 38.69x P/E, supply constraints and production risks underpin a hold view.

TTM Technologies (TTMI - Free Report) is slated to report third-quarter 2026 results before the market opens on Oct. 22.

For the third quarter of 2026, TTMI expects net sales between $1.10 billion and $1.14 billion. The Zacks Consensus Estimate for revenues is pegged at $1.13 billion, indicating a 50.02% increase from the year-ago quarter’s reported figure.

TTM Technologies expects non-GAAP earnings between $1.21 and $1.27 per share. The consensus mark for earnings is pegged at $1.25 per share, which has remained stable over the past 30 days. However, this marks robust year-over-year growth of 86.57%.

TTMI Estimate Movement

Zacks Investment Research
Image Source: Zacks Investment Research

TTMI’s Earnings Surprise History

The company has a consistent track record of positive earnings surprises, surpassing the Zacks Consensus Estimate in each of the past four quarters and delivering an average earnings surprise of 8.51%.

TTM Technologies, Inc. Price and EPS Surprise

TTM Technologies, Inc. Price and EPS Surprise

TTM Technologies, Inc. price-eps-surprise | TTM Technologies, Inc. Quote

Q3 Earnings Whispers for TTMI Stock

Our proven model does not conclusively predict an earnings beat for TTM Technologies this time around. According to the Zacks model, the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. However, this is not the case here, as you can see below.

TTMI has an Earnings ESP of 0.00% at present and a Zacks Rank #3. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.

What to Expect From TTMI's Q3 Results

TTM Technologies is expected to have benefited from robust demand for AI data centers and networking infrastructure in the third quarter of 2026. The company reported 91% year-over-year growth in this end market in the second quarter and expects it to contribute approximately 49% of third-quarter sales, up from 40% in the preceding quarter. The ramp-up of N+M asymmetrical interconnect printed circuit boards, supported by completed Phase 1 factory expansions, is likely to have further boosted sales. The company also indicated that the N+M production ramp-up should support adjusted EBITDA margin improvement as production volumes and yields increase.

TTM Technologies is expected to have gained from strong aerospace and defense (A&D)  demand, supported by increasing defense budgets and robust bookings across strategic programs. The company's $1.7 billion defense backlog and 1.3 book-to-bill ratio exiting the second quarter provide healthy revenue visibility. Programs involving Golden Dome, APS-153 maritime surveillance radar and ATP Sensor Systems are likely to have supported performance. Moreover, the initial production ramp of Ultra-High-Density Interconnect (Ultra-HDI) products at its new Syracuse facility during the third quarter is expected to have strengthened its advanced defense electronics capabilities.

The Medical, Industrial and Instrumentation end market is expected to have contributed positively to TTM Technologies' third-quarter performance. Strong demand for continuous glucose monitoring devices, surgical robotics and electrophysiology solutions is likely to have supported medical revenues. Growing adoption of automated test equipment supporting AI applications is anticipated to have strengthened instrumentation demand. The segment recorded 33% year-over-year growth in the preceding quarter, while management projected 35-40% growth for full-year 2026. These favorable demand trends are expected to have supported revenue growth in the quarter under review.

However, TTM Technologies is likely to have faced pressure from its automotive business in the quarter under review. Management expects automotive to account for approximately 6% of third-quarter sales, down from 8% in the previous quarter, reflecting continued weakness and limited availability of certain supply chain materials. Copper-clad laminate producers are shifting away from lower-complexity materials toward higher-complexity products, creating potential supply constraints. Although TTMI is working with suppliers to secure adequate materials, these challenges could have restricted sales opportunities and affected production flexibility in the quarter to be reported.

TTMI’s Stock Price Performance & Valuation

Shares of TTM Technologies have climbed 46.9% year to date, outperforming the Zacks Computer and Technology sector’s 19.2% rise. Among its competitors, Microchip Technology (MCHP - Free Report) has advanced 16.5% and Mercury Systems (MRCY - Free Report) has gained 4.6%, whereas Curtiss-Wright (CW - Free Report) has declined 9.1% over the same period. While Mercury Systems and Curtiss-Wright compete with TTMI in the Aerospace and Defense (A&D) market, Microchip Technology operates in the RF & Components (RF&S) space.

TTMI Outperforms Sector and Competitors

Zacks Investment Research
Image Source: Zacks Investment Research

Now, let’s look at the value TTM Technologies offers investors at current levels. Currently, TTMI appears overvalued, as suggested by the Value Score of C. TTMI trades at 37.96x trailing 12-month (P/E), well above the Zacks Electronics - Miscellaneous Components industry average of 21.32x. Its competitors also trade at varying multiples: Microchip Technology at 22.5x, Mercury Systems at 236.53x and Curtiss-Wright at 34.78x.

TTMI Trailing 12-Month P/E Ratio

Zacks Investment Research
Image Source: Zacks Investment Research

Investment Considerations: Balancing Risk and Reward

TTM Technologies is benefiting from strong AI-related demand, defense spending and growth in medical electronics. Its expanding backlog, improving margins and planned European acquisitions offer additional growth opportunities. However, capacity expansion, production ramp-ups, supply constraints and debt obligations could create challenges. TTMI’s growth outlook remains positive, but its performance will depend on managing costs, expanding production successfully and maintaining strong customer demand.

Conclusion: Hold TTMI Stock Ahead of Q3 Earnings

TTM Technologies’ outlook ahead of its third-quarter 2026 results reflects strong growth opportunities from AI data centers, defense and medical electronics, supported by improving margins and a growing backlog. However, its premium valuation, rising capital spending, supply constraints and production challenges warrant caution. Given the company’s growth prospects and execution risks, existing investors may consider holding their positions, while prospective investors may wait for the upcoming results and a more attractive entry point before making a decision.

You can see the complete list of today’s Zacks #1 Rank stocks here.

Published in