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Semtech (SMTC) to Report Q2 Earnings: What's in the Offing?
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Semtech Corporation (SMTC - Free Report) is slated to report second-quarter fiscal 2019 results on Aug 29.
The company’s surprise history has been pretty impressive. It beat estimates in each of the last four quarters, with an average of 4.79%. The trend is likely to continue in the to-be-reported quarter as well.
Coming to share price movement, Semtech’s shares have returned 35.6% in the past year, outperforming the industry’s growth of 7.8%.
Why a Likely Positive Surprise?
Our proven model shows that Semtech is likely to beat on earnings because it has the right combination of the two key ingredients.
Earnings ESP: The company has an Earnings ESP of +0.51%, which is a great indicator of an earnings beat. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: Semtech currently carries a Zacks Rank #3 (Hold).
Note that stocks with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 when combined with a positive ESP have a significantly higher chance of beating earnings estimates. The Sell-rated stocks (Zacks Rank #4 or 5) should never be considered going into an earnings announcement.
The combination of Semtech’s favorable Zacks Rank and positive Earnings ESP makes us confident about an earnings beat.
What is Driving the Better-Than-Expected Earnings?
The company’s improved profitability is driven by differentiated growth drivers and diversification strategy. The key growth drivers for Semtech are product differentiation, operational flexibility, and specific focus on fast-growing segments and regions.
In addition, the growing need for more efficient energy management in home and industrial settings, increasing electronic system requirements for mobile devices, and the propagation of green standards will continue to drive demand in these market segments.
Supported by these factors, we expect the company to report strong results in the quarter to be reported.
Adobe Systems Incorporated (ADBE - Free Report) has an Earnings ESP of +0.25% and a Zacks Rank of #3.
Lam Research Corporation (LRCX - Free Report) has an Earnings ESP of +1.18% and a Zacks Rank #3.
Wall Street’s Next Amazon
Zacks EVP Kevin Matras believes this familiar stock has only just begun its climb to become one of the greatest investments of all time. It’s a once-in-a-generation opportunity to invest in pure genius.
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Semtech (SMTC) to Report Q2 Earnings: What's in the Offing?
Semtech Corporation (SMTC - Free Report) is slated to report second-quarter fiscal 2019 results on Aug 29.
The company’s surprise history has been pretty impressive. It beat estimates in each of the last four quarters, with an average of 4.79%. The trend is likely to continue in the to-be-reported quarter as well.
Coming to share price movement, Semtech’s shares have returned 35.6% in the past year, outperforming the industry’s growth of 7.8%.
Why a Likely Positive Surprise?
Our proven model shows that Semtech is likely to beat on earnings because it has the right combination of the two key ingredients.
Earnings ESP: The company has an Earnings ESP of +0.51%, which is a great indicator of an earnings beat. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: Semtech currently carries a Zacks Rank #3 (Hold).
Note that stocks with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 when combined with a positive ESP have a significantly higher chance of beating earnings estimates. The Sell-rated stocks (Zacks Rank #4 or 5) should never be considered going into an earnings announcement.
The combination of Semtech’s favorable Zacks Rank and positive Earnings ESP makes us confident about an earnings beat.
What is Driving the Better-Than-Expected Earnings?
The company’s improved profitability is driven by differentiated growth drivers and diversification strategy. The key growth drivers for Semtech are product differentiation, operational flexibility, and specific focus on fast-growing segments and regions.
In addition, the growing need for more efficient energy management in home and industrial settings, increasing electronic system requirements for mobile devices, and the propagation of green standards will continue to drive demand in these market segments.
Supported by these factors, we expect the company to report strong results in the quarter to be reported.
Semtech Corporation Price and EPS Surprise
Semtech Corporation Price and EPS Surprise | Semtech Corporation Quote
Other Stocks to Consider
You may also consider the following stocks with a positive Earnings ESP and a favorable Zacks Rank:
Hewlett Packard Enterprise Company (HPE - Free Report) has an Earnings ESP of +3.65% and a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.
Adobe Systems Incorporated (ADBE - Free Report) has an Earnings ESP of +0.25% and a Zacks Rank of #3.
Lam Research Corporation (LRCX - Free Report) has an Earnings ESP of +1.18% and a Zacks Rank #3.
Wall Street’s Next Amazon
Zacks EVP Kevin Matras believes this familiar stock has only just begun its climb to become one of the greatest investments of all time. It’s a once-in-a-generation opportunity to invest in pure genius.
Click for details >>