Deutsche Bank analysts provided their outlook on Entegris, Inc. (NASDAQ:ENTG) ahead of the upcoming Q3 announcement, expecting the company to report generally in-line results.
The analysts believe fab output levels to have remained elevated through the quarter, and potentially offsetting any incremental FX headwinds. However, while the analysts reiterated the defensive nature of the company, they now see incremental risks from lower industry wafer starts as early as Q4, which could potentially prompt management to guide conservatively.
Further, while the company should not see a direct impact from the new export restrictions, they remain unsure of the levels of activity that domestic China customers could maintain in 2023, given the lack of access to tools/services necessary to operate fabs.