Back to top

Image: Bigstock

Lattice Semiconductor (LSCC) Stock Sinks As Market Gains: What You Should Know

Read MoreHide Full Article

In the latest trading session, Lattice Semiconductor (LSCC - Free Report) closed at $18.29, marking a -1.67% move from the previous day. This move lagged the S&P 500's daily gain of 0.73%. Meanwhile, the Dow gained 0.51%, and the Nasdaq, a tech-heavy index, added 1.34%.

Heading into today, shares of the chipmaker had lost 4.27% over the past month, lagging the Computer and Technology sector's gain of 2.97% and the S&P 500's of 0% in that time.

LSCC will be looking to display strength as it nears its next earnings release, which is expected to be February 11, 2020. The company is expected to report EPS of $0.15, up 87.5% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $100.07 million, up 4.26% from the year-ago period.

Investors should also note any recent changes to analyst estimates for LSCC. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

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.

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. The Zacks Consensus EPS estimate has moved 2.16% higher within the past month. LSCC currently has a Zacks Rank of #2 (Buy).

In terms of valuation, LSCC is currently trading at a Forward P/E ratio of 26.29. This represents a premium compared to its industry's average Forward P/E of 21.61.

We can also see that LSCC currently has a PEG ratio of 2.1. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Electronics - Semiconductors stocks are, on average, holding a PEG ratio of 1.85 based on yesterday's closing prices.

The Electronics - Semiconductors industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 10, which puts it in the top 4% of all 250+ industries.

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.

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


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Lattice Semiconductor Corporation (LSCC) - free report >>

Published in