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Richardson Electronics (RELL) Stock Sinks As Market Gains: What You Should Know
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In the latest trading session, Richardson Electronics (RELL - Free Report) closed at $21.50, marking a -0.56% move from the previous day. This move lagged the S&P 500's daily gain of 0.59%. At the same time, the Dow added 0.53%, and the tech-heavy Nasdaq gained 0.45%.
Coming into today, shares of the electronic components and communication products company had lost 11.61% in the past month. In that same time, the Computer and Technology sector lost 6.38%, while the S&P 500 lost 4.33%.
Wall Street will be looking for positivity from Richardson Electronics as it approaches its next earnings report date. On that day, Richardson Electronics is projected to report earnings of $0.29 per share, which would represent a year-over-year decline of 3.33%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $64.5 million, up 19.49% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $1.31 per share and revenue of $260 million. These totals would mark changes of +28.43% and +15.75%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for Richardson Electronics. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Richardson Electronics is currently a Zacks Rank #3 (Hold).
Investors should also note Richardson Electronics's current valuation metrics, including its Forward P/E ratio of 16.5. This represents a premium compared to its industry's average Forward P/E of 6.73.
Meanwhile, RELL's PEG ratio is currently 0.83. 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. The Electronics - Parts Distribution industry currently had an average PEG ratio of 0.79 as of yesterday's close.
The Electronics - Parts Distribution industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 92, which puts it in the top 37% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Richardson Electronics (RELL) Stock Sinks As Market Gains: What You Should Know
In the latest trading session, Richardson Electronics (RELL - Free Report) closed at $21.50, marking a -0.56% move from the previous day. This move lagged the S&P 500's daily gain of 0.59%. At the same time, the Dow added 0.53%, and the tech-heavy Nasdaq gained 0.45%.
Coming into today, shares of the electronic components and communication products company had lost 11.61% in the past month. In that same time, the Computer and Technology sector lost 6.38%, while the S&P 500 lost 4.33%.
Wall Street will be looking for positivity from Richardson Electronics as it approaches its next earnings report date. On that day, Richardson Electronics is projected to report earnings of $0.29 per share, which would represent a year-over-year decline of 3.33%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $64.5 million, up 19.49% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $1.31 per share and revenue of $260 million. These totals would mark changes of +28.43% and +15.75%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for Richardson Electronics. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Richardson Electronics is currently a Zacks Rank #3 (Hold).
Investors should also note Richardson Electronics's current valuation metrics, including its Forward P/E ratio of 16.5. This represents a premium compared to its industry's average Forward P/E of 6.73.
Meanwhile, RELL's PEG ratio is currently 0.83. 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. The Electronics - Parts Distribution industry currently had an average PEG ratio of 0.79 as of yesterday's close.
The Electronics - Parts Distribution industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 92, which puts it in the top 37% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.