As a test and quality control equipment manufacturer for the semiconductor industry, Aehr Test Systems (NASDAQ: AEHR) and its investors know all about the industry's cyclicality. Customers cut chip orders dramatically in bad times, only to hike them aggressively in good times. That's reflected in the stock price volatility, which implies risk; this week, the risk was on the upside.

The stock soared by 33.8% in the week to Friday morning on the back of the company's Tuesday announcement of preliminary results for its fiscal fourth quarter and full year 2024, ended May 31. It's not so much that its end markets are on fire right now; more the case that they are not quite as bad as management previously anticipated. Here are some of the highlights:

It's a good result relative to expectations, but note that Aehr's sales were $22.27 million in the fourth quarter of 2023.

Continue reading

Source Fool.com