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The Zacks Analyst Blog Highlights: Microsoft, Apple, Micron Technology, Lam Research and ASML Holding
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For Immediate Release
Chicago, IL – Feb 13, 2018 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include Microsoft (MSFT - Free Report) , Apple (AAPL - Free Report) , Micron Technology, Inc. (MU - Free Report) , Lam Research Corporation (LRCX - Free Report) and ASML Holding N.V. (ASML - Free Report) .
3 Strong-Buy Semiconductor Stocks for You to Consider Now
Semiconductor stocks were battered by the recent market sell-off, but with several interesting trends like the Internet of Things and artificial intelligence on the rise, it is still an exciting time to be investing in this corner of the technology sector.
While tech behemoths like Microsoft and Apple may hog all the headlines, it has really been the companies powering their technologies—the semiconductor manufacturers—that have been garnering the attention of Wall Street.
Indeed, as our “Computer and Technology” sector has gained nearly 19.3% over the past year, semiconductor companies have been a driving factor behind its growth. The aforementioned emerging tech trends have created new consumer demand, and the semiconductor makers are delivering.
Luckily, the proven Zacks stock picking methods are effective across all industries. Check out these Zacks Rank #1 (Strong Buy) semiconductor stocks right now:
1. Micron Technology, Inc.
Micron is one of the leading worldwide providers of semiconductor memory solutions. The company’s memory solutions are marketed towards customers in a variety of industries, including computer manufacturing, consumer electronics, and telecommunications. Micron’s rapid top and bottom line growth has made short-term price swings a common occurrence, but the firm has the potential to dominate for years.
Micron shares have gained more than 65% over the past year, but the stock has fallen about 12% since reaching new highs in November. That leaves MU with very attractive valuation metrics right now. Shares are trading at just 3.99x forward earnings, and with its PEG of just 0.40, investors are getting a great price for its growth potential as well.
Earnings estimates for Micron’s current fiscal year have trended significantly higher over the past 60 days. We now expect the company’s full-year EPS growth to touch 104% on the back of 39% revenue growth. Looking ahead, Micron is expected to improve its earnings at an annualized rate of 10% over the next three to five years.
2. Lam Research Corporation
Lam Research is a designer and manufacturer of semiconductor processing equipment used in the fabrication of integrated circuits. The company is recognized as a leading supplier of front-end wafer processing equipment to the worldwide semiconductor industry.
Lam recently crushed estimates on the top and bottom line, posting adjusted earnings of $4.34 per share versus the consensus of $3.69 and revenues of $2.58 billion versus the consensus of $2.57 billion. Management also released guidance that was significantly higher than our prior consensus estimates.
Meanwhile, the recent sell-off has made Lam Research’s valuation much more attractive. The stock now has a P/E of just 9.91 and a PEG of 0.67. The company is also generating a staggering $13.19 in cash per share.
3. ASML Holding N.V.
ASML is a world leader in the manufacture of advanced technology systems for the semiconductor industry. The company offers an integrated portfolio for manufacturing complex integrated circuits and markets its products to major global semiconductor manufacturers.
ASML has emerged as a strong pick over the past year or so, and shares have gained about 50% within the past 52 weeks. More recently, analyst sentiment has improved, lifting our consensus estimate for the company’s full-year earnings by nearly $1.00 within the past 60 days.
The stock is currently trading at about 25x forward earnings, meaning that is not the cheapest option in this bunch. But top and bottom line growth is impressive, margins are strong, and cash flow is great. ASML is also at the top of an industry that ranks in the top 3% of the Zacks Industry Rank.
Want more analysis from this author? Make sure to follow @Ryan_McQueeney on Twitter!
Wall Street’s Next Amazon
Zacks EVP Kevin Matras believes this familiar stock has only just begun its climb to become one of the greatest investments of all time. It’s a once-in-a-generation opportunity to invest in pure genius.
Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.
Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.
Strong Stocks that Should Be in the News
Many are little publicized and fly under the Wall Street radar. They're virtually unknown to the general public. Yet today's 220 Zacks Rank #1 "Strong Buys" were generated by the stock-picking system that has nearly tripled the market from 1988 through 2015. Its average gain has been a stellar +26% per year.See these high-potential stocks free >>.
Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.
Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.
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The Zacks Analyst Blog Highlights: Microsoft, Apple, Micron Technology, Lam Research and ASML Holding
For Immediate Release
Chicago, IL – Feb 13, 2018 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include Microsoft (MSFT - Free Report) , Apple (AAPL - Free Report) , Micron Technology, Inc. (MU - Free Report) , Lam Research Corporation (LRCX - Free Report) and ASML Holding N.V. (ASML - Free Report) .
Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1Stock of the Day pick for free.
Here are highlights from Monday’s Analyst Blog:
3 Strong-Buy Semiconductor Stocks for You to Consider Now
Semiconductor stocks were battered by the recent market sell-off, but with several interesting trends like the Internet of Things and artificial intelligence on the rise, it is still an exciting time to be investing in this corner of the technology sector.
While tech behemoths like Microsoft and Apple may hog all the headlines, it has really been the companies powering their technologies—the semiconductor manufacturers—that have been garnering the attention of Wall Street.
Indeed, as our “Computer and Technology” sector has gained nearly 19.3% over the past year, semiconductor companies have been a driving factor behind its growth. The aforementioned emerging tech trends have created new consumer demand, and the semiconductor makers are delivering.
Luckily, the proven Zacks stock picking methods are effective across all industries. Check out these Zacks Rank #1 (Strong Buy) semiconductor stocks right now:
1. Micron Technology, Inc.
Micron is one of the leading worldwide providers of semiconductor memory solutions. The company’s memory solutions are marketed towards customers in a variety of industries, including computer manufacturing, consumer electronics, and telecommunications. Micron’s rapid top and bottom line growth has made short-term price swings a common occurrence, but the firm has the potential to dominate for years.
Micron shares have gained more than 65% over the past year, but the stock has fallen about 12% since reaching new highs in November. That leaves MU with very attractive valuation metrics right now. Shares are trading at just 3.99x forward earnings, and with its PEG of just 0.40, investors are getting a great price for its growth potential as well.
Earnings estimates for Micron’s current fiscal year have trended significantly higher over the past 60 days. We now expect the company’s full-year EPS growth to touch 104% on the back of 39% revenue growth. Looking ahead, Micron is expected to improve its earnings at an annualized rate of 10% over the next three to five years.
2. Lam Research Corporation
Lam Research is a designer and manufacturer of semiconductor processing equipment used in the fabrication of integrated circuits. The company is recognized as a leading supplier of front-end wafer processing equipment to the worldwide semiconductor industry.
Lam recently crushed estimates on the top and bottom line, posting adjusted earnings of $4.34 per share versus the consensus of $3.69 and revenues of $2.58 billion versus the consensus of $2.57 billion. Management also released guidance that was significantly higher than our prior consensus estimates.
Meanwhile, the recent sell-off has made Lam Research’s valuation much more attractive. The stock now has a P/E of just 9.91 and a PEG of 0.67. The company is also generating a staggering $13.19 in cash per share.
3. ASML Holding N.V.
ASML is a world leader in the manufacture of advanced technology systems for the semiconductor industry. The company offers an integrated portfolio for manufacturing complex integrated circuits and markets its products to major global semiconductor manufacturers.
ASML has emerged as a strong pick over the past year or so, and shares have gained about 50% within the past 52 weeks. More recently, analyst sentiment has improved, lifting our consensus estimate for the company’s full-year earnings by nearly $1.00 within the past 60 days.
The stock is currently trading at about 25x forward earnings, meaning that is not the cheapest option in this bunch. But top and bottom line growth is impressive, margins are strong, and cash flow is great. ASML is also at the top of an industry that ranks in the top 3% of the Zacks Industry Rank.
Want more analysis from this author? Make sure to follow @Ryan_McQueeney on Twitter!
Wall Street’s Next Amazon
Zacks EVP Kevin Matras believes this familiar stock has only just begun its climb to become one of the greatest investments of all time. It’s a once-in-a-generation opportunity to invest in pure genius.
Click for details >>
Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1 Stock of the Day pick for free.
About Zacks Equity Research
Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.
Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.
Strong Stocks that Should Be in the News
Many are little publicized and fly under the Wall Street radar. They're virtually unknown to the general public. Yet today's 220 Zacks Rank #1 "Strong Buys" were generated by the stock-picking system that has nearly tripled the market from 1988 through 2015. Its average gain has been a stellar +26% per year.See these high-potential stocks free >>.
Follow us on Twitter: https://twitter.com/zacksresearch
Join us on Facebook: https://www.facebook.com/home.php#/pages/Zacks-Investment-Research/57553657748?ref=ts
Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.
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Zacks Investment Research
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Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.