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Axcelis Technologies (ACLS) Gains But Lags Market: What You Should Know

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In the latest trading session, Axcelis Technologies (ACLS - Free Report) closed at $175.35, marking a +0.71% move from the previous day. This change lagged the S&P 500's 0.74% gain on the day. Elsewhere, the Dow gained 0.25%, while the tech-heavy Nasdaq added 11.47%.

Heading into today, shares of the semiconductor services company had lost 3.42% over the past month, lagging the Computer and Technology sector's gain of 2.44% and the S&P 500's gain of 3.34% in that time.

Axcelis Technologies will be looking to display strength as it nears its next earnings release. On that day, Axcelis Technologies is projected to report earnings of $1.46 per share, which would represent year-over-year growth of 10.61%. Our most recent consensus estimate is calling for quarterly revenue of $256 million, up 15.74% from the year-ago period.

ACLS's full-year Zacks Consensus Estimates are calling for earnings of $6.47 per share and revenue of $1.04 billion. These results would represent year-over-year changes of +18.5% and +12.5%, respectively.

Any recent changes to analyst estimates for Axcelis Technologies should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. 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. 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.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Axcelis Technologies is currently sporting a Zacks Rank of #3 (Hold).

Valuation is also important, so investors should note that Axcelis Technologies has a Forward P/E ratio of 26.9 right now. This valuation marks a no noticeable deviation compared to its industry's average Forward P/E of 26.9.

The Electronics - Manufacturing Machinery industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 97, putting it in the top 39% 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.

To follow ACLS in the coming trading sessions, be sure to utilize Zacks.com.


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