In the latest trading session, Cirrus Logic (CRUS) closed at $75.80, marking a -1.57% move from the previous day. This move was narrower than the S&P 500’s daily loss of 3.63%. At the same time, the Dow lost 2.77%, and the tech-heavy Nasdaq lost 0.36%.
Prior to today’s trading, shares of the chipmaker had lost 9.18% over the past month. This has was narrower than the Computer and Technology sector’s loss of 11.25% and lagged the S&P 500’s loss of 6.15% in that time.
Investors will be hoping for strength from Cirrus Logic as it approaches its next earnings release, which is expected to be May 3, 2022. In that report, analysts expect Cirrus Logic to post earnings of $1.41 per share. This would mark year-over-year growth of 113.64%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $420.4 million, up 43.22% from the year-ago period.
Any recent changes to analyst estimates for Cirrus Logic should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company’s business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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. Within the past 30 days, our consensus EPS projection has moved 1.17% higher. Cirrus Logic is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, Cirrus Logic is holding a Forward P/E ratio of 12.75. For comparison, its industry has an average Forward P/E of 16.23, which means Cirrus Logic is trading at a discount to the group.
It is also worth noting that CRUS currently has a PEG ratio of 1.71. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company’s expected earnings growth rate into account. Electronics – Semiconductors stocks are, on average, holding a PEG ratio of 1.16 based on yesterday’s closing prices.
The Electronics – Semiconductors industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 141, putting it in the bottom 45% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
7 Best Stocks for the Next 30 Days
Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers “Most Likely for Early Price Pops.”
Since 1988, the full list has beaten the market more than 2X over with an average gain of +25.4% per year. So be sure to give these hand-picked 7 your immediate attention.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days.
Click to get this free report
