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

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Xilinx closed the most recent trading day at $189.09, moving +0.69% from the previous trading session. This change outpaced the S&P 500's 0.97% loss on the day. Meanwhile, the Dow lost 0.96%, and the Nasdaq, a tech-heavy index, added 0.23%.

Heading into today, shares of the computer chipmaker had lost 9.02% over the past month, lagging the Computer and Technology sector's loss of 4.93% and the S&P 500's loss of 0.78% in that time.

Xilinx will be looking to display strength as it nears its next earnings release, which is expected to be January 26, 2022. On that day, Xilinx is projected to report earnings of $1.05 per share, which would represent year-over-year growth of 34.62%. Our most recent consensus estimate is calling for quarterly revenue of $953.75 million, up 18.71% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $4.10 per share and revenue of $3.73 billion, which would represent changes of +33.12% and +18.52%, respectively, from the prior year.

Investors might also notice recent changes to analyst estimates for Xilinx. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about 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.

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. Within the past 30 days, our consensus EPS projection remained stagnant. Xilinx is currently a Zacks Rank #3 (Hold).

In terms of valuation, Xilinx is currently trading at a Forward P/E ratio of 45.86. This valuation marks a no noticeable deviation compared to its industry's average Forward P/E of 45.86.

The Semiconductors - Programmable Logic industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 102, putting it in the top 40% 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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