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SMART Global Holdings, Inc. (SGH) Gains But Lags Market: What You Should Know
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In the latest trading session, SMART Global Holdings, Inc. (SGH - Free Report) closed at $31.81, marking a +0.51% move from the previous day. This change lagged the S&P 500's 2.15% gain on the day. Meanwhile, the Dow gained 2.17%, and the Nasdaq, a tech-heavy index, added 2.89%.
Heading into today, shares of the company had gained 6.96% over the past month, outpacing the Computer and Technology sector's loss of 7.5% and the S&P 500's loss of 5.16% in that time.
Investors will be hoping for strength from SGH as it approaches its next earnings release, which is expected to be December 20, 2018. In that report, analysts expect SGH to post earnings of $1.77 per share. This would mark year-over-year growth of 68.57%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $382.24 million, up 44.02% from the year-ago period.
SGH's full-year Zacks Consensus Estimates are calling for earnings of $6.94 per share and revenue of $1.57 billion. These results would represent year-over-year changes of +9.12% and +22.17%, respectively.
Any recent changes to analyst estimates for SGH should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable 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. The Zacks Consensus EPS estimate has moved 3.28% higher within the past month. SGH currently has a Zacks Rank of #2 (Buy).
Valuation is also important, so investors should note that SGH has a Forward P/E ratio of 4.56 right now. This represents a discount compared to its industry's average Forward P/E of 16.8.
We can also see that SGH currently has a PEG ratio of 0.3. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Electronics - Semiconductors stocks are, on average, holding a PEG ratio of 1.29 based on yesterday's closing prices.
The Electronics - Semiconductors industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 99, which puts it in the top 39% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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SMART Global Holdings, Inc. (SGH) Gains But Lags Market: What You Should Know
In the latest trading session, SMART Global Holdings, Inc. (SGH - Free Report) closed at $31.81, marking a +0.51% move from the previous day. This change lagged the S&P 500's 2.15% gain on the day. Meanwhile, the Dow gained 2.17%, and the Nasdaq, a tech-heavy index, added 2.89%.
Heading into today, shares of the company had gained 6.96% over the past month, outpacing the Computer and Technology sector's loss of 7.5% and the S&P 500's loss of 5.16% in that time.
Investors will be hoping for strength from SGH as it approaches its next earnings release, which is expected to be December 20, 2018. In that report, analysts expect SGH to post earnings of $1.77 per share. This would mark year-over-year growth of 68.57%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $382.24 million, up 44.02% from the year-ago period.
SGH's full-year Zacks Consensus Estimates are calling for earnings of $6.94 per share and revenue of $1.57 billion. These results would represent year-over-year changes of +9.12% and +22.17%, respectively.
Any recent changes to analyst estimates for SGH should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable 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. The Zacks Consensus EPS estimate has moved 3.28% higher within the past month. SGH currently has a Zacks Rank of #2 (Buy).
Valuation is also important, so investors should note that SGH has a Forward P/E ratio of 4.56 right now. This represents a discount compared to its industry's average Forward P/E of 16.8.
We can also see that SGH currently has a PEG ratio of 0.3. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Electronics - Semiconductors stocks are, on average, holding a PEG ratio of 1.29 based on yesterday's closing prices.
The Electronics - Semiconductors industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 99, which puts it in the top 39% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.