Back to top

Image: Bigstock

Bull Of The Day: Ultra Clean Corp (UCTT)

Read MoreHide Full Article

Ultra Clean Corp (UCTT - Free Report) is one of my favorite stocks.  It has been a favorite for some time and at $25 and change it remains a favorite.  Can you tell that I like this name or what?  

Once again I am highlighting this stock as the Bull of the Day as it is back to the coveted Zacks Rank #1 (Strong Buy) status and looking to press higher and make a new 52 week high soon.  

Description

is a developer and supplier of critical subsystems for the semiconductor capital equipment, flat panel, solar and medical device industries. Ultra Clean offers its customers an integrated outsourced solution for gas delivery systems and other subassemblies, improved design-to-delivery cycle times, component neutral design and manufacturing and component testing capabilities. Ultra Clean's customers are primarily original equipment manufacturers for the semiconductor capital equipment, flat panel, solar and medical device industries. Ultra Clean is headquartered in Menlo Park, California.

Earnings History

In looking at the last four earnings reports, investors have to like what they see.  You can view this table below at the Zacks website under the detailed estimates page.

Estimates Moving Higher

Also on the detailed estimate page you can see the earnings estimate history over the last few months.  I key in on the annual numbers and love to see how the estimate has increased from 30, 60 and 90 days.  When I see something like that it tells me that about once a month the analysts are raising their expectations for the stock.

Chart and Valuation

I have talked a lot about the low valuation for UCTT in the past.  I think a good way to think about the valuation of the stock is to look at the price and consensus chart.  The stock runs higher with the estimates, and if I told you that the stock historically trades at around 13x forward earnings then you might be salivating.  The truth is, the stock trades at 11x forward and 15x trailing.  That is great for a stock with huge growth potential.

 

New Report: An Investor’s Guide to Cybersecurity

Cyberattacks have become more frequent and destructive than ever. In fact, they’re expected to cause $6 trillion per year in damage by 2020.

The cybersecurity industry is expanding quickly in response to these threats. In fact, a projected $170 billion per year will be spent to protect consumer and corporate assets. Zacks has just released Cybersecurity: An Investor’s Guide to Locking Down Profits which reveals 4 promising investment candidates.

Download the new report now>>


See More Zacks Research for These Tickers


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


Ultra Clean Holdings, Inc. (UCTT) - free report >>