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QuickLogic (QUIK) Sees a More Significant Dip Than Broader Market: Some Facts to Know

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In the latest trading session, QuickLogic (QUIK - Free Report) closed at $7.76, marking a -1.4% move from the previous day. The stock's performance was behind the S&P 500's daily loss of 0.13%. Elsewhere, the Dow saw an upswing of 0.33%, while the tech-heavy Nasdaq depreciated by 0.39%.

The maker of chips for mobile and portable electronics manufacturers's stock has dropped by 2.48% in the past month, falling short of the Computer and Technology sector's gain of 2.7% and the S&P 500's gain of 2.43%.

Market participants will be closely following the financial results of QuickLogic in its upcoming release. On that day, QuickLogic is projected to report earnings of -$0.05 per share, which would represent a year-over-year decline of 138.46%. In the meantime, our current consensus estimate forecasts the revenue to be $4.2 million, indicating a 37.03% decline compared to the corresponding quarter of the prior year.

For the full year, the Zacks Consensus Estimates project earnings of $0.35 per share and a revenue of $24.4 million, demonstrating changes of +105.88% and +15.11%, respectively, from the preceding year.

It's also important for investors to be aware of any recent modifications to analyst estimates for QuickLogic. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. As of now, QuickLogic holds a Zacks Rank of #5 (Strong Sell).

Looking at valuation, QuickLogic is presently trading at a Forward P/E ratio of 22.49. This valuation marks a discount compared to its industry's average Forward P/E of 28.95.

The Electronics - Semiconductors industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 100, which puts it in the top 40% of all 250+ industries.

The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.


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