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Kulicke and Soffa (KLIC) Outpaces Stock Market Gains: What You Should Know

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Kulicke and Soffa (KLIC - Free Report) closed at $50.98 in the latest trading session, marking a +1.39% move from the prior day. This change outpaced the S&P 500's 0.29% gain on the day. At the same time, the Dow added 0.58%, and the tech-heavy Nasdaq gained 0.4%.

Prior to today's trading, shares of the semiconductor equipment maker had gained 0.54% over the past month. This has outpaced the Computer and Technology sector's loss of 5.44% and lagged the S&P 500's gain of 0.91% in that time.

Investors will be hoping for strength from KLIC as it approaches its next earnings release. On that day, KLIC is projected to report earnings of $0.91 per share, which would represent year-over-year growth of 313.64%. Our most recent consensus estimate is calling for quarterly revenue of $300 million, up 99.02% from the year-ago period.

KLIC's full-year Zacks Consensus Estimates are calling for earnings of $3.28 per share and revenue of $1.11 billion. These results would represent year-over-year changes of +245.26% and +78.12%, respectively.

Investors should also note any recent changes to analyst estimates for KLIC. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. KLIC is currently sporting a Zacks Rank of #1 (Strong Buy).

Valuation is also important, so investors should note that KLIC has a Forward P/E ratio of 14.89 right now. This valuation marks a discount compared to its industry's average Forward P/E of 19.56.

The Electronics - Manufacturing Machinery industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 17, putting it in the top 7% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow KLIC in the coming trading sessions, be sure to utilize Zacks.com.


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