Qnity Electronics (NYSE:Q) Announces Quarterly Earnings Results, Beats Estimates By $0.18 EPS

Qnity Electronics (NYSE:Q) released its quarterly earnings results on Thursday. The premier technology solutions leader reported $0.82 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.64 by $0.18, Briefing.com reports. The company had revenue of $1.19 billion for the quarter, compared to the consensus estimate of $1.15 billion. Qnity Electronics’s revenue was up 8.1% compared to the same quarter last year. Qnity Electronics updated its FY 2026 guidance to 3.550-3.950 EPS.

Here are the key takeaways from Qnity Electronics’ conference call:

• Qnity delivered strong 2025 results with 10% organic sales growth, seventh consecutive quarter of organic growth, and adjusted pro forma operating EBITDA up 11% with a 29.5% margin, reflecting outperformance versus the market.
• Management issued full‑year 2026 guidance of $4.97B–$5.17B net sales, adjusted EBITDA of $1.465B–$1.575B and adjusted EPS of $3.55–$3.95, citing AI, advanced nodes and ICS strength as key growth drivers.
• The company announced a multi‑year transformation expected to deliver ~$100 million EBITDA run‑rate by end of 2028 but will incur ~$140 million of one‑time costs and elevated 2026 CapEx (~9% of sales), which will compress near‑term free cash flow.
• Product innovation and design wins are accelerating — highlighted by the new Emblem CMP pad platform and POR wins across every business line — providing multi‑year visibility as wins scale into production over 2–3 years.
• Management flagged downside risk from the memory market and China exposure (~30% of sales), and said guidance is conservative to account for potential memory pricing/volume pressure.

Qnity Electronics Stock Up 1.5%

Shares of NYSE Q traded up $1.89 during midday trading on Friday, hitting $126.67. The stock had a trading volume of 4,736,396 shares, compared to its average volume of 2,732,895. The firm has a market capitalization of $26.53 billion and a P/E ratio of 125.42. The company’s 50 day simple moving average is $98.48. Qnity Electronics has a 1 year low of $70.50 and a 1 year high of $140.60. The company has a debt-to-equity ratio of 0.18, a current ratio of 1.78 and a quick ratio of 1.07.

Qnity Electronics Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Monday, March 16th. Shareholders of record on Friday, February 27th will be issued a dividend of $0.08 per share. The ex-dividend date of this dividend is Friday, February 27th. This represents a $0.32 dividend on an annualized basis and a dividend yield of 0.3%. Qnity Electronics’s dividend payout ratio is presently 23.76%.

Key Headlines Impacting Qnity Electronics

Here are the key news stories impacting Qnity Electronics this week:

• Positive Sentiment: Q4 beat and strong guidance — Qnity reported Q4 EPS of $0.82 (vs. $0.64 est.) and revenue $1.19B (vs. $1.15B est.), with revenue +8.1% YoY. Management set FY‑2026 EPS guidance of $3.55–$3.95, well above consensus, which supports higher forward expectations. Qnity Reports Fourth Quarter and Full Year 2025 Results
• Positive Sentiment: Analyst upgrades / higher price target — KeyCorp raised its price target to $147 and moved to an “overweight” stance, citing upside vs. current levels; other broker commentary (RBC) expects the stock to rise. These notes amplify buying interest following the beat. Benzinga RBC / American Banking News
• Positive Sentiment: Share repurchase — Qnity announced a $500 million buyback, a direct capital‑allocation action that typically supports share prices and signals confidence from the board. MarketWatch
• Positive Sentiment: Secular AI demand tailwinds — Coverage highlights Qnity as a beneficiary of the AI/high‑performance computing buildout, underpinning revenue upside assumptions embedded in guidance and analyst upgrades. CNBC: Qnity as an AI force Reuters
• Neutral Sentiment: Transformation plan — Management targets a $100M EBITDA run‑rate improvement by 2028; this is constructive for margins but will take time to realize and relies on execution. Seeking Alpha
• Neutral Sentiment: Analyst / media coverage and transcripts — Multiple outlets published call transcripts and analysis (Zacks, Seeking Alpha) that dig into metrics and execution risk; useful for due diligence but not immediate catalysts. Zacks Earnings Call Transcript
• Negative Sentiment: High valuation — The stock trades at a rich multiple (P/E ~125 on current data), which raises sensitivity to any slowdown vs. the elevated expectations implied by guidance and analyst upgrades. MarketBeat profile

Insider Activity at Qnity Electronics

In other Qnity Electronics news, CEO Jon D. Kemp sold 5,655 shares of Qnity Electronics stock in a transaction on Thursday, December 11th. The shares were sold at an average price of $85.01, for a total transaction of $480,731.55. Following the sale, the chief executive officer owned 89,177 shares of the company’s stock, valued at $7,580,936.77. The trade was a 5.96% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, VP Michael G. Goss sold 1,895 shares of the company’s stock in a transaction on Thursday, December 11th. The stock was sold at an average price of $84.79, for a total transaction of $160,677.05. Following the sale, the vice president directly owned 13,305 shares of the company’s stock, valued at $1,128,130.95. The trade was a 12.47% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 6.40% of the stock is currently owned by insiders.

Institutional Trading of Qnity Electronics

Several large investors have recently added to or reduced their stakes in Q. Essex Investment Management Co. LLC purchased a new position in shares of Qnity Electronics during the 4th quarter worth $29,000. Colonial Trust Advisors acquired a new stake in Qnity Electronics during the fourth quarter worth about $29,000. ARK Investment Management LLC purchased a new position in Qnity Electronics during the fourth quarter worth about $36,000. Zions Bancorporation National Association UT acquired a new position in Qnity Electronics in the 4th quarter valued at about $41,000. Finally, Ameriflex Group Inc. acquired a new position in Qnity Electronics in the 4th quarter valued at about $49,000.

Analyst Upgrades and Downgrades

A number of equities analysts have weighed in on Q shares. Oppenheimer assumed coverage on shares of Qnity Electronics in a research report on Tuesday, December 16th. They issued an “outperform” rating and a $100.00 price target for the company. KeyCorp boosted their price objective on Qnity Electronics from $117.00 to $147.00 and gave the company an “overweight” rating in a research report on Friday. Weiss Ratings assumed coverage on Qnity Electronics in a research report on Thursday, January 22nd. They set a “hold (c-)” rating for the company. Wolfe Research started coverage on Qnity Electronics in a research note on Monday, November 3rd. They set an “outperform” rating and a $110.00 target price on the stock. Finally, Mizuho set a $120.00 price target on Qnity Electronics in a report on Monday. Six investment analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company’s stock. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and an average price target of $120.86.

Qnity Electronics Company Profile

Qnity Electronics Inc is a premier technology solution provider across the semiconductor value chain. Qnity Electronics Inc is based in WILMINGTON, Del.