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Axcelis Technologies (ACLS) Rises As Market Takes a Dip: Key Facts

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The latest trading session saw Axcelis Technologies (ACLS - Free Report) ending at $112.39, denoting a +0.78% adjustment from its last day's close. The stock exceeded the S&P 500, which registered a loss of 0.2% for the day. Meanwhile, the Dow lost 0.6%, and the Nasdaq, a tech-heavy index, added 0.11%.

Shares of the semiconductor services company have depreciated by 4.09% over the course of the past month, underperforming the Computer and Technology sector's gain of 2.99% and the S&P 500's gain of 3.32%.

The upcoming earnings release of Axcelis Technologies will be of great interest to investors. The company is predicted to post an EPS of $1.26, indicating a 11.89% decline compared to the equivalent quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $242.55 million, indicating a 4.52% decrease compared to the same quarter of the previous year.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $6.88 per share and a revenue of $1.12 billion, representing changes of -7.4% and -0.69%, respectively, from the prior year.

It is also important to note the recent changes to analyst estimates for Axcelis Technologies. 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.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Currently, Axcelis Technologies is carrying a Zacks Rank of #3 (Hold).

Investors should also note Axcelis Technologies's current valuation metrics, including its Forward P/E ratio of 16.22. This indicates a discount in contrast to its industry's Forward P/E of 29.3.

One should further note that ACLS currently holds a PEG ratio of 2.37. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The average PEG ratio for the Electronics - Manufacturing Machinery industry stood at 3.37 at the close of the market yesterday.

The Electronics - Manufacturing Machinery industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 183, this industry ranks in the bottom 28% of all industries, numbering over 250.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.


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