NXP Semiconductors (NXPI) closed the most recent trading day at $244.33, moving -0.72% from the previous trading session. This move trailed the S&P 500’s daily loss of 0.14%. Meanwhile, the Dow experienced a drop of 0.77%, and the technology-dominated Nasdaq saw an increase of 0.17%.
Entering today, shares of the chip maker have gained 2.76% over the past month, lagging the Computer & Technology sector’s gain of 6.81% and the S&P 500’s gain of 5.34% over that time.
The investment community will be paying close attention to NXP Semiconductors’ earnings performance in its next release. The company is scheduled to release its earnings on April 29, 2024. In that report, analysts expect NXP Semiconductors to post earnings of $3.18 per share. This would mark a year-on-year decrease of 0.31%. Meanwhile, the Zacks Consensus Estimate for earnings forecasts net sales of $3.13 billion, up 0.17% from the year-ago period.
For the full fiscal year, the Zacks Consensus Estimates forecast earnings of $13.79 per share and revenue of $13.27 billion, representing changes of -1.57% and -0.06%, respectively, from the prior year.
Investors should also note some recent adjustments to analyst estimates for NXP Semiconductors. These audits help show the ever-changing nature of near-term business trends. Therefore, positive changes in ratings mean analyst optimism regarding the company’s business and profitability.
Based on our research, we believe these valuation revisions are directly related to near-team stock moves. To exploit this, we created the Zacks Rank, a quantitative model that incorporates these rating changes and presents a viable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has a remarkable history of outperformance, externally verified, with #1 stocks returning an average annual gain of +25% since 1988. During the last 30 days, the Zacks Consensus EPS estimate has moved 0.68% lower. NXP Semiconductors holds a Zacks Rank of #3 (Hold) now.
Looking at its valuation, NXP Semiconductors holds a Forward P/E ratio of 17.85. This valuation marks a discount compared to its industry’s average Forward P/E of 33.29.
We can additionally observe that NXPI currently boasts a PEG ratio of 0.83. The PEG ratio is similar to the widely used P/E ratio, but this metric also takes into account the company’s expected earnings growth. By the end of yesterday’s trading, the Semiconductor – Analog and Composites industry had an average PEG ratio of 2.8.
The Semiconductor – Analog and Mixed industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 202, this industry ranks in the bottom 20% of all industries, numbering over 250.
The Zacks Industry Rank is ordered from best to worst based on the average Zacks Rank of the individual companies in each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to use Zacks.com to stay up-to-date with all of these stock-changing metrics, among others, in the upcoming trading sessions.
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NXP Semiconductors NV (NXPI): Free Analysis Report
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