Ultra Clean Holdings' (UCTT) 2030 goals for $4 billion in revenue, over 20% in gross margin, and more than 10% in operating margin are tracking ahead of plan, Oppenheimer said Tuesday in a report.

Comments from the company's clients and a meeting with management spurred "confidence in a stronger/longer AI-led 'ultra' cycle," the report said.

Ultra Clean, which makes components and parts for the semiconductor industry, "sounded confident about its ability to outgrow the industry on mix, outsourcing, and customer overflow manufacturing," Oppenheimer said.

Some clients are urging the company to "invest aggressively to meet their ramp needs assuming continued upside scenarios, while offering firm assurances," the report said.

Oppenheimer increased its 2026 earnings estimates for Ultra Clean 5% to $2.46 a share and boosted its revenue forecast 1% to $2.5 billion. It lifted its 2027 EPS estimate 15% to $4.92 and increased its revenue projection 9% to $3.2 billion.

Oppenheimer boosted its price target on Ultra Clean stock to $115 from $100 with an outperform rating.

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