Kulicke and Soffa (KLIC) Gains But Lags Market: What You Should Know

·3-min read

In the latest trading session, Kulicke and Soffa (KLIC) closed at $54.58, marking a +0.26% move from the previous day. The stock lagged the S&P 500's daily gain of 1.02%.

Prior to today's trading, shares of the semiconductor equipment maker had lost 7.95% over the past month. This has lagged the Computer and Technology sector's gain of 1.36% and the S&P 500's gain of 3.01% in that time.

Wall Street will be looking for positivity from KLIC as it approaches its next earnings report date. This is expected to be August 4, 2021. On that day, KLIC is projected to report earnings of $1.36 per share, which would represent year-over-year growth of 547.62%. Our most recent consensus estimate is calling for quarterly revenue of $400 million, up 165.87% from the year-ago period.

KLIC's full-year Zacks Consensus Estimates are calling for earnings of $4.70 per share and revenue of $1.35 billion. These results would represent year-over-year changes of +394.74% and +116.63%, respectively.

Any recent changes to analyst estimates for KLIC should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

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. KLIC is currently sporting a Zacks Rank of #3 (Hold).

Investors should also note KLIC's current valuation metrics, including its Forward P/E ratio of 11.58. This valuation marks a discount compared to its industry's average Forward P/E of 16.36.

The Electronics - Manufacturing Machinery industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 110, putting it in the top 44% 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 KLIC in the coming trading sessions, be sure to utilize Zacks.com.


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