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Amkor Technology (AMKR) Declines More Than Market: Some Information for Investors

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Amkor Technology (AMKR - Free Report) closed at $40.29 in the latest trading session, marking a -8.26% move from the prior day. The stock trailed the S&P 500, which registered a daily loss of 0.24%. On the other hand, the Dow registered a loss of 0.62%, and the technology-centric Nasdaq increased by 0.23%.

The chip packaging and test services provider's stock has climbed by 42.15% in the past month, exceeding the Computer and Technology sector's gain of 0.89% and the S&P 500's gain of 1.31%.

The investment community will be paying close attention to the earnings performance of Amkor Technology in its upcoming release. On that day, Amkor Technology is projected to report earnings of $0.42 per share, which would represent a year-over-year decline of 2.33%. Alongside, our most recent consensus estimate is anticipating revenue of $1.83 billion, indicating a 12.14% upward movement from the same quarter last year.

AMKR's full-year Zacks Consensus Estimates are calling for earnings of $1.25 per share and revenue of $6.65 billion. These results would represent year-over-year changes of -12.59% and +5.21%, respectively.

It is also important to note the recent changes to analyst estimates for Amkor Technology. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.

Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

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. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Amkor Technology currently has a Zacks Rank of #3 (Hold).

Digging into valuation, Amkor Technology currently has a Forward P/E ratio of 35.2. This denotes a premium relative to the industry average Forward P/E of 34.75.

The Electronics - Semiconductors industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 67, putting it in the top 28% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our 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.

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


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