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Xilinx (XLNX) Stock Sinks As Market Gains: What You Should Know

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Xilinx (XLNX - Free Report) closed at $146.19 in the latest trading session, marking a -1.4% move from the prior day. This change lagged the S&P 500's 0.28% gain on the day. At the same time, the Dow added 0.35%, and the tech-heavy Nasdaq gained 0.5%.

Prior to today's trading, shares of the computer chipmaker had gained 13.75% over the past month. This has outpaced the Computer and Technology sector's gain of 4.61% and the S&P 500's gain of 5.42% in that time.

Wall Street will be looking for positivity from XLNX as it approaches its next earnings report date. On that day, XLNX is projected to report earnings of $0.74 per share, which would represent year-over-year growth of 8.82%. Our most recent consensus estimate is calling for quarterly revenue of $776.06 million, up 7.26% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $2.93 per share and revenue of $3.07 billion, which would represent changes of -12.54% and -3.08%, respectively, from the prior year.

It is also important to note the recent changes to analyst estimates for XLNX. 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.

Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. XLNX is currently a Zacks Rank #3 (Hold).

Valuation is also important, so investors should note that XLNX has a Forward P/E ratio of 50.63 right now. This valuation marks a no noticeable deviation compared to its industry's average Forward P/E of 50.63.

The Semiconductors - Programmable Logic industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 122, which puts it in the top 48% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual 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.

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


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