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ASML (ASML) Stock Sinks As Market Gains: What You Should Know
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In the latest trading session, ASML (ASML - Free Report) closed at $803.92, marking a -0.26% move from the previous day. This move lagged the S&P 500's daily gain of 0.31%. At the same time, the Dow added 0.1%, and the tech-heavy Nasdaq gained 0.48%.
Heading into today, shares of the equipment supplier to semiconductor makers had lost 5.18% over the past month, lagging the Computer and Technology sector's loss of 0.76% and the S&P 500's loss of 0.04% in that time.
ASML will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $4.30, up 11.69% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $5.87 billion, up 15.73% from the year-ago period.
ASML's full-year Zacks Consensus Estimates are calling for earnings of $15.93 per share and revenue of $21.68 billion. These results would represent year-over-year changes of +64.4% and +35.07%, respectively.
Investors should also note any recent changes to analyst estimates for ASML. These recent revisions tend to reflect the evolving nature of short-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. 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.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. ASML is currently a Zacks Rank #3 (Hold).
In terms of valuation, ASML is currently trading at a Forward P/E ratio of 50.59. Its industry sports an average Forward P/E of 20.81, so we one might conclude that ASML is trading at a premium comparatively.
Also, we should mention that ASML has a PEG ratio of 1.52. 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. Semiconductor Equipment - Wafer Fabrication stocks are, on average, holding a PEG ratio of 1.52 based on yesterday's closing prices.
The Semiconductor Equipment - Wafer Fabrication industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 73, which puts it in the top 29% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
To follow ASML in the coming trading sessions, be sure to utilize Zacks.com.
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ASML (ASML) Stock Sinks As Market Gains: What You Should Know
In the latest trading session, ASML (ASML - Free Report) closed at $803.92, marking a -0.26% move from the previous day. This move lagged the S&P 500's daily gain of 0.31%. At the same time, the Dow added 0.1%, and the tech-heavy Nasdaq gained 0.48%.
Heading into today, shares of the equipment supplier to semiconductor makers had lost 5.18% over the past month, lagging the Computer and Technology sector's loss of 0.76% and the S&P 500's loss of 0.04% in that time.
ASML will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $4.30, up 11.69% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $5.87 billion, up 15.73% from the year-ago period.
ASML's full-year Zacks Consensus Estimates are calling for earnings of $15.93 per share and revenue of $21.68 billion. These results would represent year-over-year changes of +64.4% and +35.07%, respectively.
Investors should also note any recent changes to analyst estimates for ASML. These recent revisions tend to reflect the evolving nature of short-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. 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.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. ASML is currently a Zacks Rank #3 (Hold).
In terms of valuation, ASML is currently trading at a Forward P/E ratio of 50.59. Its industry sports an average Forward P/E of 20.81, so we one might conclude that ASML is trading at a premium comparatively.
Also, we should mention that ASML has a PEG ratio of 1.52. 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. Semiconductor Equipment - Wafer Fabrication stocks are, on average, holding a PEG ratio of 1.52 based on yesterday's closing prices.
The Semiconductor Equipment - Wafer Fabrication industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 73, which puts it in the top 29% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
To follow ASML in the coming trading sessions, be sure to utilize Zacks.com.