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Harmonic (HLIT) Gains But Lags Market: What You Should Know
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In the latest trading session, Harmonic (HLIT - Free Report) closed at $9.53, marking a +1.28% move from the previous day. The stock lagged the S&P 500's daily gain of 1.43%. Meanwhile, the Dow gained 1.02%, and the Nasdaq, a tech-heavy index, added 0.32%.
Heading into today, shares of the video services provider had gained 6.81% over the past month, outpacing the Computer and Technology sector's gain of 5.48% and the S&P 500's gain of 5.65% in that time.
Investors will be hoping for strength from Harmonic as it approaches its next earnings release. The company is expected to report EPS of $0.04, unchanged from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $140.57 million, up 25.98% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $0.35 per share and revenue of $589.53 million. These totals would mark changes of +2.94% and +16.24%, respectively, from last year.
Any recent changes to analyst estimates for Harmonic should also be noted by investors. These revisions help to show the ever-changing nature of 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. 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, 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. Harmonic is currently a Zacks Rank #4 (Sell).
Digging into valuation, Harmonic currently has a Forward P/E ratio of 27.27. This represents a premium compared to its industry's average Forward P/E of 17.96.
Investors should also note that HLIT has a PEG ratio of 1.82 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Communication - Components industry currently had an average PEG ratio of 1.82 as of yesterday's close.
The Communication - Components industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 77, which puts it in the top 31% 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Harmonic (HLIT) Gains But Lags Market: What You Should Know
In the latest trading session, Harmonic (HLIT - Free Report) closed at $9.53, marking a +1.28% move from the previous day. The stock lagged the S&P 500's daily gain of 1.43%. Meanwhile, the Dow gained 1.02%, and the Nasdaq, a tech-heavy index, added 0.32%.
Heading into today, shares of the video services provider had gained 6.81% over the past month, outpacing the Computer and Technology sector's gain of 5.48% and the S&P 500's gain of 5.65% in that time.
Investors will be hoping for strength from Harmonic as it approaches its next earnings release. The company is expected to report EPS of $0.04, unchanged from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $140.57 million, up 25.98% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $0.35 per share and revenue of $589.53 million. These totals would mark changes of +2.94% and +16.24%, respectively, from last year.
Any recent changes to analyst estimates for Harmonic should also be noted by investors. These revisions help to show the ever-changing nature of 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. 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, 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. Harmonic is currently a Zacks Rank #4 (Sell).
Digging into valuation, Harmonic currently has a Forward P/E ratio of 27.27. This represents a premium compared to its industry's average Forward P/E of 17.96.
Investors should also note that HLIT has a PEG ratio of 1.82 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Communication - Components industry currently had an average PEG ratio of 1.82 as of yesterday's close.
The Communication - Components industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 77, which puts it in the top 31% 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.
You can find more information on all of these metrics, and much more, on Zacks.com.