Benchmark Maintains Hold on Amtech Systems (ASYS) as AI Revenue Surge

Amtech Systems Inc (NASDAQ:ASYS) is one of the best performing micro cap stocks in 2025. On December 11, Benchmark reaffirmed its Hold rating on Amtech Systems Inc (NASDAQ:ASYS) stock. Benchmark noted that Amtech has experienced recent success, primarily on the back of increased demand for reflow equipment related to AI applications. In fact, Benchmark pointed out, Amtech’s AI-related revenue grew more than three times annually, now representing 30% of their Thermal Processing Solutions segment.

Benchmark Maintains Hold on Amtech Systems (ASYS) as AI Revenue Surge

Dragon Images/Shutterstock.com

Despite the AI boom, Benchmark observed that business from front-end semiconductor customers remained soft during the reporting period. The analysts identified this as a persistent headwind for Amtech’s overall growth.

Separately, Amtech released its Q4 FY2025 earnings on December 10, in which it reported EPS of $0.10, against the forecasted loss of $0.06. Revenue reached $19.8 million, also exceeding estimates; the anticipated figure was $18.25 million. Nonetheless, the revenue figure was 18% lower year over year due to what management described as reduced sales in the mature node semiconductor market.

For the full fiscal 2025, revenue totaled $79.4 million, down from $101.2 million the previous year. Management stated that this reduction was also a function of weaker mature node demand but partially mitigated by AI growth. The company raised guidance for Q1 FY 2026; management expects revenue to fall in the $18-20 million range, with high single-digit adjusted EBITDA margins, citing continued AI market strength and improved operating leverage.

Amtech Systems Inc. (NASDAQ:ASYS) supplies thermal processing and semiconductor equipment used in advanced materials manufacturing. Its product portfolio includes diffusion furnaces, ion implant equipment, and polishing systems.

While we acknowledge the potential of Amtech Systems Inc (NASDAQ:ASYS) as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than ASYS and that has 100x upside potential, check out our report about the cheapest AI stock.

READ NEXT: 10 Must-Buy AI Stocks to Invest In and 11 Best NYSE Stocks Under $5 to Buy.

Disclosure: None. This article is originally published at Insider Monkey.