NEW YORK, July 23, 2026, 19:01 EDT
- Amkor shares rose 13.3% after hours to $74.00 at 7 p.m. EDT.
- Nvidia’s deal features an unspecified advance payment to secure packaging capacity in the U.S.
- Q2 results are expected on July 27. Early consensus forecasts revenue at approximately $1.80 billion with EPS at $0.47.
Amkor’s stock climbed 13.3% to $74.00 as of 7 p.m. EDT Thursday. The main Nasdaq trading session had ended, with after-hours trading still in progress.
The key factor is where the funding comes from. Nvidia plans to advance partial payment for Amkor’s U.S. capacity boost.
This could help ease Amkor’s immediate financing pressures. The company anticipates capital expenditures between $2.5 billion and $3.0 billion in 2026.
The deal represents a significant amount compared to Amkor’s current financial foundation.
| Measure | Company figure | Comparison |
|---|---|---|
| Nvidia agreement value | $1.50 billion | Announced contract value |
| First-quarter net sales | $1.685 billion | Deal amounts to 89% of quarterly sales |
| First-quarter capital spending | $224.6 million | Deal is 6.7 times larger |
| 2026 capital-spending guidance | $2.5 billion-$3.0 billion | Deal represents 50%-60% of guidance |
| May convertible notes | $1.15 billion | Principal totals 38%-46% of projected capex |
The ratios reflect headline figures rather than actual cash inflows. Amkor has not specified the prepayment total or timing of revenue recognition. The $1.5 billion sum relates to a packaging and development agreement spanning multiple years.
The firms plan to work on high-density interconnects and heterogeneous integration together. Amkor currently supplies Nvidia with data-center processors and networking chipsets. Chief Executive Kevin Engel stated the agreement “accelerates our long-term roadmap.” Amkor Technology
In May, Amkor raised $1.15 billion by selling zero-coupon convertible bonds. The bonds have an initial conversion price set at $106.37. Capped call transactions are in place to cap dilution, effective up to $139.50 per share.
Amkor shares dropped 10.7% over the previous full week, ending at $62.94 on July 17, compared to $70.47 on July 10. Before Thursday’s announcement, the stock climbed back 3.8% this week.
Amkor traded at $74 in after-hours action, marking a 17.6% gain over last Friday’s closing price. Share prices in extended trading often see large moves on lower volume.
On Thursday, the regular session closed down 2.45% at $65.33. The Nasdaq declined by 2.15%, and the Philadelphia Semiconductor Index slipped 0.5%.
B. Riley Securities reduced its price target to $75 from $90 on Wednesday, while maintaining its Neutral rating. With the stock quoted late at $74, this leaves a 1.4% potential upside to the new target.
Amkor is set to release second-quarter earnings on Monday, July 27, with management scheduled to begin the call at 5 p.m. EDT.
Initial consensus estimates point to about $1.80 billion in revenue and $0.47 earnings per share, both aligning closely with Amkor’s projected range. The main focus of the call could shift to contract terms. Investors will be watching for details on the size of prepayments, margin figures, and updates on the Arizona investment timeline.
Risks: Pricing, margins and a projected revenue schedule were not specified in the announcement. Amkor noted that its Arizona site could fall short of budget or schedule projections. Holders of convertibles could see dilution if the price rises above $106.37, but capped calls provide some coverage.
