Corsair Gaming Q3 revenue beats estimates on memory demand
Overview
Gaming hardware maker's Q3 revenue rose 6% yr/yr, beating analyst expectations
Adjusted EPS for Q3 more than doubled yr/yr
Growth driven by strong memory demand and supply chain execution
Outlook
Corsair sees Q4 net revenue between $420 mln and $450 mln
Company raises 2026 revenue outlook to $1.456 bln-$1.486 bln from $1.40 bln-$1.47 bln
Company expects continued softness in DIY PC demand due to elevated memory pricing
Result Drivers
MEMORY DEMAND - Co said strong demand and market share gains in memory drove 43% yr/yr revenue growth in that category, offsetting softness in DIY components
SUPPLY CHAIN EXECUTION - Co attributed memory growth to strong supply chain execution and inventory build ahead of Q4
PERIPHERALS BACKLOG - Co said Peripherals segment growth was limited by delayed product launches and logistics, resulting in higher backlog at quarter end
Company press release:
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Beat | $367.03 mln | $336.56 mln (9 Analysts) |
Q3 Net Loss | $2.39 mln | ||
Q3 Gross Profit | $97.83 mln | ||
Q3 Operating income | -$1.64 mln | ||
Q3 Pretax Loss | $1.40 mln |
Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 4 "strong buy" or "buy", 4 "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the computer hardware peer group is "buy."
Wall Street's median 12-month price target for Corsair Gaming Inc is $12.00, about 9.9% below its November 4 closing price of $13.32
The stock recently traded at 16 times the next 12-month earnings vs. a P/E of 14 three months ago
Reuters Recommended Reads
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)