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Kulicke and Soffa (KLIC) Gains As Market Dips: What You Should Know

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Kulicke and Soffa (KLIC - Free Report) closed at $68.30 in the latest trading session, marking a +0.37% move from the prior day. The stock outpaced the S&P 500's daily loss of 0.72%.

Coming into today, shares of the semiconductor equipment maker had gained 23.23% in the past month. In that same time, the Computer and Technology sector lost 0.64%, while the S&P 500 gained 0.11%.

Kulicke and Soffa will be looking to display strength as it nears its next earnings release. In that report, analysts expect Kulicke and Soffa to post earnings of $1.92 per share. This would mark year-over-year growth of 123.26%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $460 million, up 71.73% from the year-ago period.

KLIC's full-year Zacks Consensus Estimates are calling for earnings of $5.75 per share and revenue of $1.54 billion. These results would represent year-over-year changes of -6.35% and +1.5%, respectively.

Investors might also notice recent changes to analyst estimates for Kulicke and Soffa. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. 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 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. The Zacks Consensus EPS estimate has moved 8.22% higher within the past month. Kulicke and Soffa is currently sporting a Zacks Rank of #2 (Buy).

Digging into valuation, Kulicke and Soffa currently has a Forward P/E ratio of 11.84. Its industry sports an average Forward P/E of 14.79, so we one might conclude that Kulicke and Soffa is trading at a discount comparatively.

The Electronics - Manufacturing Machinery industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 27, which puts it in the top 11% 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.


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