FormFactor Insiders Sold $6.33M Into Four EPS Beats
FormFactor posted its fourth consecutive EPS beat in Q2 2026, with $0.82 actual versus a $0.61 consensus, while five insiders sold $6.33 million in open-market shares over 90 days with no purchases. T
CEO, Four Directors Exit FormFactor; Shares Slide 10%
NEW YORK, August 18 —
FormFactor, Inc. (FORM) has beaten analyst EPS estimates in each of the past four quarters by 27% to 34%; over that same stretch, five insiders collectively sold $6.33 million in open-market shares without a single purchase. On August 18, the pattern caught up with the price.
- Q2 2026 EPS $0.82 actual vs. $0.61 consensus, a 34.4% beat, the fourth consecutive positive surprise.
- CEO Mike Slessor sold 16,002 shares on Aug. 14 (~$2.1M) and 4,735 on July 15 (~$560K), per Form 4 filings.
Four Beats, Five Exits
FormFactor makes probe cards that test semiconductor chips, GPUs, CPUs, DRAM, and NAND — central to AI hardware and part of the semiconductor equipment supply chain at a time of rising demand. Revenue grew 31.9% to $0.90 billion TTM, free cash flow reached $115 million, and the balance sheet holds $350 million in cash against $30 million in total debt. Those four consecutive quarters, reported most recently in FormFactor's Q2 2026 earnings filing, each delivered EPS well above consensus, by 27.3%, 31.2%, 32.2%, and 34.4% respectively. Five insiders sold into those gains.
Selling Into Every Beat
CEO Mike Slessor sold 16,002 shares in six open-market transactions on August 14, collecting approximately $2.1 million at prices between $128.72 and $133.33, per Form 4 filings. A month earlier, he sold 4,735 shares for approximately $560,000 on July 15. The broader 90-day window brought in four directors, producing $6.33 million in total open-market sales and zero purchases across five insiders. At 35.8x forward earnings, FormFactor's valuation prices in precisely the beat-and-raise cadence that its own executives appear unwilling to hold through.
| Ticker | Mkt cap | Fwd P/E | 52-wk |
|---|---|---|---|
| FORM | $9.7B | 35.8x | +383.9% |
| ONTO | $19.3B | 27.1x | +226.5% |
| UCTT | $3.7B | 13.9x | +281.6% |
| ENTG | $23.0B | 30.0x | +102.7% |
| DIOD | $4.6B | 16.9x | +102.8% |
| MTSI | $22.4B | 34.5x | +170.7% |
If the Sales Are Planned, the Thesis Survives
The key unknown is whether Slessor's sales, spread across at least two months at ascending price points, operate under a pre-filed 10b5-1 plan, which would indicate routine diversification rather than market-timing judgment. The specific number to watch next quarter is gross margin, currently 46.2%, which in semiconductor equipment cycles tends to compress before revenue does. Run the free FormFactor, Inc. deep-dive →
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Frequently Asked Questions
Why did FormFactor stock drop on August 18?
FormFactor shares fell 10% on August 18 after five insiders collectively sold $6.33 million in open-market shares with no purchases over a 90-day window. The selling coincided with four consecutive EPS beats, including a 34.4% beat in Q2 2026. Analyst consensus price target remained at $138.625, approximately 11.5% above the post-drop price of $124.28.
How much did FormFactor CEO Mike Slessor sell?
CEO Mike Slessor sold 16,002 shares on August 14 for approximately $2.1 million at prices between $128.72 and $133.33, per Form 4 filings. He also sold 4,735 shares on July 15 for approximately $560,000. Total open-market sales across five insiders in the 90-day window reached $6.33 million with zero purchases.
Did FormFactor beat earnings estimates in Q2 2026?
FormFactor reported Q2 2026 EPS of $0.82 against a $0.61 consensus, a 34.4% beat. That was the fourth consecutive positive surprise, with prior beats of 27.3%, 31.2%, and 32.2% respectively. Revenue grew 31.9% to $0.90 billion on a trailing twelve-month basis.
What is a 10b5-1 plan and why does it matter here?
A 10b5-1 plan is a pre-filed schedule that allows executives to sell shares at set intervals, indicating routine diversification rather than market-timing judgment. Whether CEO Slessor's sales, spread across at least two months at ascending price points, operate under such a plan remains the key unknown. If confirmed, the analyst consensus of $138.625 and the AI probe-card demand story remain intact.
What metric should FormFactor investors watch next quarter?
Gross margin, currently 46.2%, is the number to watch. In semiconductor equipment cycles, gross margin tends to compress before revenue does. FormFactor trades at 35.8x forward earnings, a multiple that prices in precisely the beat-and-raise cadence the company has delivered across the past four quarters.
FormFactor shares fell 10% on August 18 — but the trigger is broader than a single CEO trade. Five insiders, the CEO and four directors, collectively sold $6.33 million in open-market shares over the past 90 days without a single purchase, even as an institutional manager bought 58,321 shares and the company posted its fourth consecutive analyst estimate beat.