Cohu secures $5M in orders for GaN power device testing as AI data centers drive demand

Cohu secures $5M in orders for GaN power device testing By Investing.com

SAN DIEGO - Cohu Inc. (NASDAQ:COHU) announced today it received multiple orders totaling approximately $5 million from a semiconductor manufacturer for its DiamondX testing platform, according to a press release statement. The systems will be used for development and manufacturing of gallium nitride power devices intended for AI data center power architectures. The DiamondX platform provides high-current capability, ultra-low resistance measurement accuracy and multi-site throughput. Cohu supplies equipment and services for semiconductor manufacturing. The company was founded in 1947 and is based in San Diego. With a market capitalization of $2.42 billion, the stock has surged 191% over the past year and is currently trading near its 52-week high of $52.43. The orders represent expansion into the AI data center market, where GaN power devices are being adopted for power conversion applications. The DiamondX test configurations support characterization and production testing of GaN devices used in AC-DC conversion, high-voltage DC-DC modules and power management integrated circuits. "AI data centers are fundamentally changing the performance requirements for power semiconductors," said Luis Müller, Cohu President and CEO. "GaN devices offer compelling efficiency and power density advantages, and the DiamondX platform enables customers to test accurately and economically at scale as they move from device characterization to high-volume production."The strong stock performance comes despite the company posting a loss of $1.19 per share over the last twelve months. According to InvestingPro analysis, which offers comprehensive insights on over 1,400 US stocks including detailed Pro Research Reports, Cohu appears overvalued at current levels based on Fair Value calculations. Two InvestingPro Tips highlight that while the company holds more cash than debt on its balance sheet, analysts predict a return to profitability this year with earnings forecast at $0.61 per share. Investors can access 11 additional ProTips for deeper analysis. The company stated it continues to invest in power test architectures aligned with AI infrastructure requirements and industrial and automotive electrification markets. Cohu reported revenue of $481 million over the last twelve months, representing 23% year-over-year growth. The semiconductor manufacturer placing the orders was not identified in the announcement. In other recent news, Cohu Inc. reported its first-quarter 2026 earnings, revealing an earnings per share of $0.01, which fell short of the forecast of $0.03. However, the company exceeded revenue expectations by reporting $125.1 million, surpassing the forecast of $122.07 million. Cohu also provided guidance for the second quarter of 2026, projecting revenue of $144.0 million, which indicates a 15% sequential increase. Analysts have responded positively to these developments, with Stifel raising its price target for Cohu to $50 and Needham increasing its target to $54, both maintaining a Buy rating on the stock. Jefferies also raised its price target to $60, noting the momentum in AI and high-performance computing test infrastructure. Despite the earnings per share miss, Cohu's revenue performance and future guidance have led to increased confidence among investors. The company has projected a significant year-over-year growth of 20% to 25% for the calendar year 2026, compared to Stifel's prior mid-teens estimate. These developments suggest a positive outlook for Cohu's future performance, according to analysts from Stifel, Needham, and Jefferies. This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Cohu receives multiple orders for testing next-generation GAN power devices for AI data centers

Cohu, Inc. is engaged in supplying test, interface, automation, inspection and metrology, and software products and related services to the semiconductor industry. The Company sells its products, such as semiconductor automated test equipment (ATE), semiconductor handlers, interface products, inspection metrology, DI-Core data analytics, spares and kits and services. Its semiconductor ATE is used both for wafer level and device package testing. Its solutions consist primarily of two platforms for the system on a chip (SoC) device market: Diamondx tester and PAx tester. Interface Products are comprised of test contactors, probe heads and probe pins. Inspection Metrology are products that provide advanced vision capabilities. DI-Core data analytics is a comprehensive software suite used to optimize Cohu equipment performance. Spares and Kits are consumable, non-consumable and spare items. It provides various parts and labor warranties on its test and handling systems and instruments.