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NXP Semiconductors (NXPI) Laps the Stock Market: Here's Why
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In the latest trading session, NXP Semiconductors (NXPI - Free Report) closed at $279.63, marking a +0.89% move from the previous day. The stock's change was more than the S&P 500's daily gain of 0.03%. Elsewhere, the Dow saw a downswing of 0.56%, while the tech-heavy Nasdaq appreciated by 0.59%.
Prior to today's trading, shares of the chipmaker had gained 12.16% over the past month. This has outpaced the Computer and Technology sector's gain of 6.87% and the S&P 500's gain of 4.19% in that time.
The upcoming earnings release of NXP Semiconductors will be of great interest to investors. The company's upcoming EPS is projected at $3.20, signifying a 6.71% drop compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $3.13 billion, down 5.25% from the year-ago period.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $13.99 per share and revenue of $13.13 billion, indicating changes of -0.14% and -1.1%, respectively, compared to the previous year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for NXP Semiconductors. These revisions help to show the ever-changing nature of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 2.03% increase. NXP Semiconductors is currently sporting a Zacks Rank of #3 (Hold).
Looking at valuation, NXP Semiconductors is presently trading at a Forward P/E ratio of 19.81. This indicates a discount in contrast to its industry's Forward P/E of 37.77.
It is also worth noting that NXPI currently has a PEG ratio of 2.31. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. NXPI's industry had an average PEG ratio of 3.43 as of yesterday's close.
The Semiconductor - Analog and Mixed industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 203, finds itself in the bottom 20% echelons of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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NXP Semiconductors (NXPI) Laps the Stock Market: Here's Why
In the latest trading session, NXP Semiconductors (NXPI - Free Report) closed at $279.63, marking a +0.89% move from the previous day. The stock's change was more than the S&P 500's daily gain of 0.03%. Elsewhere, the Dow saw a downswing of 0.56%, while the tech-heavy Nasdaq appreciated by 0.59%.
Prior to today's trading, shares of the chipmaker had gained 12.16% over the past month. This has outpaced the Computer and Technology sector's gain of 6.87% and the S&P 500's gain of 4.19% in that time.
The upcoming earnings release of NXP Semiconductors will be of great interest to investors. The company's upcoming EPS is projected at $3.20, signifying a 6.71% drop compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $3.13 billion, down 5.25% from the year-ago period.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $13.99 per share and revenue of $13.13 billion, indicating changes of -0.14% and -1.1%, respectively, compared to the previous year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for NXP Semiconductors. These revisions help to show the ever-changing nature of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 2.03% increase. NXP Semiconductors is currently sporting a Zacks Rank of #3 (Hold).
Looking at valuation, NXP Semiconductors is presently trading at a Forward P/E ratio of 19.81. This indicates a discount in contrast to its industry's Forward P/E of 37.77.
It is also worth noting that NXPI currently has a PEG ratio of 2.31. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. NXPI's industry had an average PEG ratio of 3.43 as of yesterday's close.
The Semiconductor - Analog and Mixed industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 203, finds itself in the bottom 20% echelons of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.