NXP Semiconductors (NXPI) Stock Declines While Market Improves: Some Information for Investors
NXP Semiconductors (NXPI) closed at $219.13 in the latest trading session, marking a -0.64% move from the prior day. The stock trailed the S&P 500, which registered a daily gain of 0.46%. On the other hand, the Dow registered a gain of 0.48%, and the technology-centric Nasdaq increased by 0.7%.
The chipmaker's shares have seen an increase of 19.32% over the last month, surpassing the Computer and Technology sector's gain of 4.16% and the S&P 500's gain of 4.85%.
The upcoming earnings release of NXP Semiconductors will be of great interest to investors. The company is forecasted to report an EPS of $3.64, showcasing a 2.41% downward movement from the corresponding quarter of the prior year. Simultaneously, our latest consensus estimate expects the revenue to be $3.4 billion, showing a 2.52% escalation compared to the year-ago quarter.
For the full year, the Zacks Consensus Estimates project earnings of $13.95 per share and a revenue of $13.25 billion, demonstrating changes of -11.26% and +0.34%, respectively, from the preceding year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for NXP Semiconductors. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.4% higher. NXP Semiconductors presently features a Zacks Rank of #3 (Hold).
In the context of valuation, NXP Semiconductors is at present trading with a Forward P/E ratio of 15.81. This signifies a discount in comparison to the average Forward P/E of 26.99 for its industry.
Also, we should mention that NXPI has a PEG ratio of 0.95. 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. Semiconductor - Analog and Mixed stocks are, on average, holding a PEG ratio of 3.84 based on yesterday's closing prices.
The Semiconductor - Analog and Mixed industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 208, finds itself in the bottom 18% echelons of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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NXP Semiconductors N.V. (NXPI) : Free Stock Analysis Report
