Electro Scientific Industries (NASDAQ:ESIO) stock was flying high today after releasing its most recent earnings report, but that wasn’t all that was boosting its stock.
Electro Scientific Industries’ earnings report saw the company bringing in earnings per share of 59 cents for its fiscal second quarter of 2019. This is up from its earnings per share of 39 cents from the same time last year. It was also a boon to ESIO stock by beating out Wall Street’s earnings per share estimate of 57 cents for the period.
Electro Scientific Industries also reported net income of $16.84 million for its fiscal second quarter of 2019. Net income reported by the company during its fiscal second quarter of 2018 was $4.26 million.
Revenue of $85.92 million reported by Electro Scientific Industries in its fiscal second quarter of 2019 was also good news for ESIO stock. It is an increase over the company’s revenue of $70.97 million from the same period of the year prior. It also comes in above analysts’ revenue estimate of $84.35 million for the quarter
While this is all good news for Electro Scientific Industries, it isn’t the major factor that is pushing ESIO stock toward the sky today. That bit of news has to do with a new deal it has with MKS Instruments (NASDAQ:MKSI).
This deal will have MKS Instruments acquiring Electro Scientific Industries for $30 per share. This represents a roughly 100% premium to the stock’s closing price on Monday. It also sets the total value of the deal at around $1.00 billion. The two companies are expecting the deal to close in the first quarter of 2019.
ESIO stock was up 90% and MKSI stock was up 4% as of noon Tuesday.
As of this writing, William White did not hold a position in any of the aforementioned securities.