Aehr Test Systems (AEHR) closed the most recent trading day at $12.40, moving -0.48% from the previous trading session. The stock underperformed the S&P 500, which posted a gain of 0.11% for the day. On the other hand, the Dow registered a gain of 0.12%, and the technology-centric Nasdaq decreased by 0.12%.
Shares of the company are down 21.78% over the past month, underperforming the Computer & Technology sector’s gain of 3.59% and the S&P 500’s gain of 3.55%.
The investment community will be paying close attention to Aehr Test Systems’ earnings performance in its next release. On that day, Aehr Test Systems is projected to report earnings of -$0.04 per share, which would represent a year-over-year decline of 125%. At the same time, our most recent consensus estimate projects revenue of $14.7 million, reflecting a 14.58% drop from the corresponding quarter last year.
Investors should also note any recent adjustments to analyst estimates for Aehr Test Systems. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive rating reviews as a good sign for the company’s business outlook.
Our research suggests that these changes in valuations have a direct relationship with upcoming stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these rating changes into account and delivers a clear, reasonable rating model.
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 seen a decrease of 45.83%. Aehr Test Systems currently has a Zacks Rank of number 3 (Hold).
Valuation is also important, so investors should note that Aehr Test Systems has a Forward P/E ratio of 26.51 right now. This means no notable deviation compared to the average Forward P/E of 26.51 for its industry.
The Electronics – Measuring Instruments industry is part of the Computers and Technology sector. Currently, this industry has a Zacks Industry Rank of 214, placing it in the bottom 16% of more than 250 industries.
The Zacks Industry Rank assesses the strength of our particular 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.
Remember to apply Zacks.com to follow these and more stock movement metrics during the next trading sessions.
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Aehr Test Systems (AEHR): Free Analysis Report
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