Photronics (PLAB) Outpaces Stock Market Gains: What You Should Know
In the latest trading session, Photronics (PLAB) closed at $18.73, marking a +1.41% move from the previous day. This move outpaced the S&P 500's daily gain of 0.92%. Elsewhere, the Dow gained 0.51%, while the tech-heavy Nasdaq added 0.54%.
Heading into today, shares of the electronics imaging company had gained 12.48% over the past month, outpacing the Computer and Technology sector's loss of 5.93% and the S&P 500's loss of 0.85% in that time.
Investors will be hoping for strength from Photronics as it approaches its next earnings release. In that report, analysts expect Photronics to post earnings of $0.31 per share. This would mark year-over-year growth of 138.46%. Meanwhile, our latest consensus estimate is calling for revenue of $183.65 million, up 20.77% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $1.30 per share and revenue of $753 million, which would represent changes of +46.07% and +13.44%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Photronics. 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. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable 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. Over the past month, the Zacks Consensus EPS estimate has moved 9.24% higher. Photronics currently has a Zacks Rank of #1 (Strong Buy).
Looking at its valuation, Photronics is holding a Forward P/E ratio of 14.21. This represents a discount compared to its industry's average Forward P/E of 16.41.
The Semiconductor Equipment - Photomasks industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 6, putting it in the top 3% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
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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