Back to top

Image: Bigstock

ASE Technology Hldg (ASX) Flat As Market Sinks: What You Should Know

Read MoreHide Full Article

ASE Technology Hldg (ASX - Free Report) closed the most recent trading day at $3.58, making no change from the previous trading session. This change was narrower than the S&P 500's 1.51% loss on the day. Meanwhile, the Dow lost 1.69%, and the Nasdaq, a tech-heavy index, lost 1.53%.

Heading into today, shares of the integrated circuit maker had lost 24.95% over the past month, lagging the Computer and Technology sector's loss of 14.82% and the S&P 500's loss of 18.13% in that time.

Wall Street will be looking for positivity from ASX as it approaches its next earnings report date.

It is also important to note the recent changes to analyst estimates for ASX. These revisions help to show the ever-changing nature of 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. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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. Over the past month, the Zacks Consensus EPS estimate remained stagnant. ASX is currently a Zacks Rank #1 (Strong Buy).

Valuation is also important, so investors should note that ASX has a Forward P/E ratio of 9.94 right now. This valuation marks a discount compared to its industry's average Forward P/E of 15.18.

It is also worth noting that ASX currently has a PEG ratio of 3.28. 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. Electronics - Semiconductors stocks are, on average, holding a PEG ratio of 1.83 based on yesterday's closing prices.

The Electronics - Semiconductors industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 58, which puts it in the top 23% 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.

Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


ASE Technology Holding Co., Ltd. (ASX) - free report >>

Published in