Bull Of The Day: nLight (LASR)

nLight (LASR) is a Zacks Rank #2 (Buy) that has an F for Value and an A for Growth. The company not only has a very memorable ticker symbol, it aso provider high power semiconductor and fiber laser.  The company recently posted a strong quarter and this could lead to a major breakout.  Let’s learn more about why this stock is the Bull of the Day.Description                                               nLIGHT, Inc. engages in the provision of semiconductor and fiber lasers for aerospace and defense, industrial, and microfabrication applications. It operates through the Laser Products and Advanced Development segments. The Laser Products segment designs, manufactures, and sells a range of semiconductor lasers and fiber lasers that are typically integrated into laser systems or manufacturing tools built by customers. The Advanced Development segment focuses on research, design, and prototyping of next-generation laser technologies, leveraging expertise in laser technology, development, beam control, and advanced optics. The company was founded by Scott H. Keeney, Mark DeVito, and Jason Farmer in June 2000 and is headquartered in Camas, WA.Earnings HistoryWhen I look at a stock, the first thing I do is look to see if the company is beating the number.  This tells me right away where the market’s expectations have been for the company and how management has communicated to the market.  A stock that consistently beats has management communicating expectations to Wall Street that can be achieved.  That is what you want to see.NLight (LASR) has posted two consecutive beats of the Zacks Consensus Estimate as well as one miss and one meet.  The takeaway from the earnings history is that the company has an average positive earnings surprise of 50% over the last year.The most recent earnings print saw the company post $0.06 when the consensus was at -$0.09.  That 15 cent beat translates into a positive earnings surprise of 166%.Earnings Estimates RevisionsEarnings estimate revisions is what the Zacks Rank is all about. Estimates are moving higher for NLight (LASR).The full year 2025 has increased from a loss of $0.28 to a loss of $0.16 over the last 60 days.2026 has increased from a loss of $0.21 to a loss of $0.10 over the same time period.GrowthThere is good growth projected for NLight (LASR).  This fiscal year analysts are expecting $234M in revenue which would be good for 18% topline growth.Next fiscal year, the consensus is calling for $245M and that would be good for 4.6%.ValuationThere is no forward PE for NLight (LASR) is still losing money despite the surprise profitability the company posted in the most recent quarter.  The price to book is low at 6.3x and that certainly has room to grow based on its peer group average.  Price to sales comes in at 6.3x.Margins have increased from -28.1% to -24.4%  and most recently at -14.7% and investors are patiently awaiting those numbers to become positive.  The problem is, when the operating margins do turn positive this stock is likely to be much in price.Zacks Names #1 Semiconductor StockThis under-the-radar company specializes in semiconductor products that titans like NVIDIA don't build. It's uniquely positioned to take advantage of the next growth stage of this market. And it's just beginning to enter the spotlight, which is exactly where you want to be.With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $971 billion by 2028.See This Stock Now for Free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report nLight (LASR): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks