Stock Track | Amphenol Plummets 15.65% Intraday Despite Earnings Beat as High Expectations Not Met

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Amphenol's stock experienced a sharp intraday decline of 15.65% on Wednesday, following the release of its fourth-quarter financial results and first-quarter outlook.

Despite reporting adjusted earnings of $0.97 per share on sales of $6.4 billion, which exceeded Wall Street's forecasts, and issuing solid guidance for the current quarter, the stock sold off significantly. Analysts suggest the sell-off reflects that the earnings beat was not as substantial as some investors had hoped, particularly given the stock's significant run-up ahead of the report. Shares had surged 23% year-to-date and nearly 140% over the past 12 months, creating elevated expectations for the AI infrastructure beneficiary.

An analyst noted that buy-side expectations heading into the print were for sales between $6.6 billion and $6.8 billion, reflecting anticipation of a stronger artificial-intelligence infrastructure cycle. Amphenol, which manufactures cables and sensors for data centers, has been highly sensitive to AI-related news, with its shares previously experiencing volatility on developments in the sector.

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