TTM Technologies shares are up more than 88% this year and Amphenol’s more than 21%. The Motley Fool says both benefit from defense modernization and AI infrastructure spending. Second-quarter revenue grew 37% at TTM and 55% at Amphenol year over year.
TTM makes printed circuit boards and radio-frequency components for aerospace and defense, which account for 37% of its sales; AI data-center and networking products make up 40%. In August, it spent $1.1 billion to acquire EPIQ Design Solutions, a maker of radios and RF products. Amphenol supplies rugged military connectors and sensors and acquired Italy’s EI.com, which makes interconnect solutions and high-voltage cable assemblies.
For the third quarter, TTM forecast sales of $1.1 billion–$1.14 billion and adjusted EPS of $1.21–$1.27; Amphenol forecast revenue of $9.3 billion–$9.4 billion and adjusted EPS of $1.40–$1.42. The article says both stocks have higher valuations than major defense contractors and identifies supply-chain and production constraints, as well as political changes that could cool defense spending, as risks.
