Xilinx (XLNX - Free Report) closed at $99.18 in the latest trading session, marking a -0.28% move from the prior day. This change lagged the S&P 500's daily gain of 0.49%. At the same time, the Dow added 0.57%, and the tech-heavy Nasdaq gained 0.67%.
Prior to today's trading, shares of the computer chipmaker had gained 9.01% over the past month. This has outpaced the Computer and Technology sector's gain of 5.11% and the S&P 500's gain of 3.03% in that time.
XLNX will be looking to display strength as it nears its next earnings release, which is expected to be January 28, 2020. On that day, XLNX is projected to report earnings of $0.64 per share, which would represent a year-over-year decline of 30.43%. Our most recent consensus estimate is calling for quarterly revenue of $725.70 million, down 9.29% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $3.34 per share and revenue of $3.22 billion, which would represent changes of -4.02% and +5.33%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for XLNX. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.04% lower within the past month. XLNX currently has a Zacks Rank of #3 (Hold).
Investors should also note XLNX's current valuation metrics, including its Forward P/E ratio of 29.74. For comparison, its industry has an average Forward P/E of 29.74, which means XLNX is trading at a no noticeable deviation to the group.
Also, we should mention that XLNX has a PEG ratio of 2.48. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Semiconductors - Programmable Logic was holding an average PEG ratio of 2.48 at yesterday's closing price.
The Semiconductors - Programmable Logic industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 109, putting it in the top 43% 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.
To follow XLNX in the coming trading sessions, be sure to utilize Zacks.com.