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Silicon Motion (SIMO) Stock Sinks As Market Gains: What You Should Know
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The latest trading session saw Silicon Motion (SIMO - Free Report) ending at $58.10, denoting a -0.39% adjustment from its last day's close. This move lagged the S&P 500's daily gain of 0.75%. On the other hand, the Dow registered a gain of 0.58%, and the technology-centric Nasdaq increased by 1%.
Heading into today, shares of the chip company had lost 7.59% over the past month, lagging the Computer and Technology sector's gain of 2.48% and the S&P 500's gain of 4.03% in that time.
The investment community will be paying close attention to the earnings performance of Silicon Motion in its upcoming release. In that report, analysts expect Silicon Motion to post earnings of $0.85 per share. This would mark year-over-year growth of 34.92%. Our most recent consensus estimate is calling for quarterly revenue of $209.16 million, up 21.37% from the year-ago period.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $3.46 per share and a revenue of $815.73 million, indicating changes of +52.42% and +27.63%, respectively, from the former year.
Any recent changes to analyst estimates for Silicon Motion should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
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. Over the past month, the Zacks Consensus EPS estimate has shifted 1.58% downward. Silicon Motion presently features a Zacks Rank of #3 (Hold).
Digging into valuation, Silicon Motion currently has a Forward P/E ratio of 16.88. This signifies a discount in comparison to the average Forward P/E of 29.19 for its industry.
It is also worth noting that SIMO currently has a PEG ratio of 0.76. 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. The Electronics - Semiconductors industry currently had an average PEG ratio of 2.2 as of yesterday's close.
The Electronics - Semiconductors industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 142, this industry ranks in the bottom 44% of all industries, numbering over 250.
The Zacks Industry Rank gauges the strength of our individual 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.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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Silicon Motion (SIMO) Stock Sinks As Market Gains: What You Should Know
The latest trading session saw Silicon Motion (SIMO - Free Report) ending at $58.10, denoting a -0.39% adjustment from its last day's close. This move lagged the S&P 500's daily gain of 0.75%. On the other hand, the Dow registered a gain of 0.58%, and the technology-centric Nasdaq increased by 1%.
Heading into today, shares of the chip company had lost 7.59% over the past month, lagging the Computer and Technology sector's gain of 2.48% and the S&P 500's gain of 4.03% in that time.
The investment community will be paying close attention to the earnings performance of Silicon Motion in its upcoming release. In that report, analysts expect Silicon Motion to post earnings of $0.85 per share. This would mark year-over-year growth of 34.92%. Our most recent consensus estimate is calling for quarterly revenue of $209.16 million, up 21.37% from the year-ago period.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $3.46 per share and a revenue of $815.73 million, indicating changes of +52.42% and +27.63%, respectively, from the former year.
Any recent changes to analyst estimates for Silicon Motion should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
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. Over the past month, the Zacks Consensus EPS estimate has shifted 1.58% downward. Silicon Motion presently features a Zacks Rank of #3 (Hold).
Digging into valuation, Silicon Motion currently has a Forward P/E ratio of 16.88. This signifies a discount in comparison to the average Forward P/E of 29.19 for its industry.
It is also worth noting that SIMO currently has a PEG ratio of 0.76. 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. The Electronics - Semiconductors industry currently had an average PEG ratio of 2.2 as of yesterday's close.
The Electronics - Semiconductors industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 142, this industry ranks in the bottom 44% of all industries, numbering over 250.
The Zacks Industry Rank gauges the strength of our individual 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.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.