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The consensus price target hints at a 28.9% upside potential for FormFactor (FORM). While empirical research shows that this sought-after metric is hardly effec
FormFactor (FORM) closed the last trading session at $107.9, gaining 9.2% over the past four weeks, but there could be plenty of upside left in the stock if short-term price targets set by Wall Street analysts are any guide. The mean price target of $139.11 indicates a 28.9% upside potential.
The mean estimate comprises nine short-term price targets with a standard deviation of $38.41. While the lowest estimate of $64.00 indicates a 40.7% decline from the current price level, the most optimistic analyst expects the stock to surge 62.2% to reach $175.00. It's very important to note the standard deviation here, as it helps understand the variability of the estimates. The smaller the standard deviation, the greater the agreement among analysts.
While the consensus price target is highly sought after by investors, the ability and unbiasedness of analysts in setting price targets have long been questionable. And investors making investment decisions solely based on this tool would arguably do themselves a disservice.
