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Immersion (IMMR) Advances While Market Declines: Some Information for Investors

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Immersion (IMMR - Free Report) closed at $8.33 in the latest trading session, marking a +1.96% move from the prior day. The stock's performance was ahead of the S&P 500's daily loss of 0.29%. Meanwhile, the Dow lost 0.35%, and the Nasdaq, a tech-heavy index, lost 0.3%.

The touch-based technology company's shares have seen an increase of 17.39% over the last month, surpassing the Computer and Technology sector's gain of 3.61% and the S&P 500's gain of 4.42%.

The investment community will be closely monitoring the performance of Immersion in its forthcoming earnings report. The company is expected to report EPS of $0.57, up 128% from the prior-year quarter. Simultaneously, our latest consensus estimate expects the revenue to be $24.94 million, showing a 252.76% escalation compared to the year-ago quarter.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $1.15 per share and a revenue of $51.87 million, representing changes of +10.58% and +52.92%, respectively, from the prior year.

Investors should also take note of any recent adjustments to analyst estimates for Immersion. 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.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. 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, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 55.4% upward. Immersion currently has a Zacks Rank of #1 (Strong Buy).

With respect to valuation, Immersion is currently being traded at a Forward P/E ratio of 7.1. For comparison, its industry has an average Forward P/E of 17.92, which means Immersion is trading at a discount to the group.

The Computer - Peripheral Equipment industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 160, putting it in the bottom 37% of all 250+ industries.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Don't forget to use to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.

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