Back to top

Image: Bigstock

Infineon Technologies AG (IFNNY) Registers a Bigger Fall Than the Market: Important Facts to Note

Read MoreHide Full Article

In the latest trading session, Infineon Technologies AG (IFNNY - Free Report) closed at $33.68, marking a -1.29% move from the previous day. The stock's performance was behind the S&P 500's daily loss of 1.23%. Meanwhile, the Dow experienced a drop of 1.36%, and the technology-dominated Nasdaq saw a decrease of 1.4%.

Shares of the company witnessed a loss of 7.58% over the previous month, trailing the performance of the Computer and Technology sector with its gain of 2.32% and the S&P 500's gain of 1.61%.

Analysts and investors alike will be keeping a close eye on the performance of Infineon Technologies AG in its upcoming earnings disclosure. The company is expected to report EPS of $0.41, down 44.59% from the prior-year quarter.

Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $2.22 per share and revenue of $16.92 billion, indicating changes of -21.55% and -2.86%, respectively, compared to the previous year.

Investors should also take note of any recent adjustments to analyst estimates for Infineon Technologies AG. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.

The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. At present, Infineon Technologies AG boasts a Zacks Rank of #4 (Sell).

Digging into valuation, Infineon Technologies AG currently has a Forward P/E ratio of 15.37. This represents a discount compared to its industry's average Forward P/E of 32.98.

Investors should also note that IFNNY has a PEG ratio of 2.76 right now. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. IFNNY's industry had an average PEG ratio of 3.3 as of yesterday's close.

The Electronics - Semiconductors industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 192, which puts it in the bottom 24% of all 250+ industries.

The Zacks Industry Rank is ordered 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.

Ensure to harness to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.

See More Zacks Research for These Tickers

Normally $25 each - click below to receive one report FREE:

Infineon Technologies AG (IFNNY) - free report >>

Published in