FormFactor (FORM) Stock Analysis & Winston Score

FormFactor makes the tools that chip manufacturers use to test semiconductors before they are packaged and sold. Its main products are probe cards — tiny devices that touch the surface of a silicon wafer to check if the chips work correctly. Customers include major chipmakers like Intel, Samsung, and TSMC, as well as companies making memory chips and advanced processors. FormFactor earns revenue by selling probe cards and other wafer-testing equipment, replacing them regularly as chip designs change. The company operates globally, with significant sales in Asia where most chip fabrication happens, and generates roughly $800–900 million in annual revenue. Its competitive moat comes from deep engineering expertise and long customer relationships, since switching probe card suppliers mid-production is costly and risky. The key growth driver is the rise of advanced chips for artificial intelligence and high-bandwidth memory, which require more complex — and more expensive — testing equipment.