NXP Semiconductors (NXPI) Stock Sinks As Market Gains: What You Should Know

NXP Semiconductors (NXPI) ended the recent trading session at $219.28, demonstrating a -1.97% change from the preceding day's closing price. The stock trailed the S&P 500, which registered a daily gain of 0.3%. On the other hand, the Dow registered a loss of 0.48%, and the technology-centric Nasdaq increased by 0.03%. Heading into today, shares of the chipmaker had gained 1.65% over the past month, lagging the Computer and Technology sector's gain of 3.1% and the S&P 500's gain of 2.09%.Investors will be eagerly watching for the performance of NXP Semiconductors in its upcoming earnings disclosure. The company is predicted to post an EPS of $3.1, indicating a 10.14% decline compared to the equivalent quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $3.15 billion, indicating a 2.96% decrease compared to the same quarter of the previous year. For the annual period, the Zacks Consensus Estimates anticipate earnings of $11.7 per share and a revenue of $12.12 billion, signifying shifts of -10.62% and -3.92%, respectively, from the last year. It is also important to note the recent changes to analyst estimates for NXP Semiconductors. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook. Based on our research, we believe these estimate revisions are directly related to near-term stock moves. 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. The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.08% upward. NXP Semiconductors presently features a Zacks Rank of #3 (Hold). In the context of valuation, NXP Semiconductors is at present trading with a Forward P/E ratio of 19.11. This denotes a discount relative to the industry average Forward P/E of 37.55. Also, we should mention that NXPI has a PEG ratio of 2.2. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. As of the close of trade yesterday, the Semiconductor - Analog and Mixed industry held an average PEG ratio of 2.17. The Semiconductor - Analog and Mixed industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 29, positioning it in the top 12% of all 250+ industries. The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1. You can find more information on all of these metrics, and much more, on Zacks.com. Free Report: Profiting from the 2nd Wave of AI ExplosionThe next phase of the AI explosion is poised to create significant wealth for investors, especially those who get in early. It will add literally trillion of dollars to the economy and revolutionize nearly every part of our lives.Investors who bought shares like Nvidia at the right time have had a shot at huge gains.But the rocket ride in the "first wave" of AI stocks may soon come to an end. The sharp upward trajectory of these stocks will begin to level off, leaving exponential growth to a new wave of cutting-edge companies.Zacks' AI Boom 2.0: The Second Wave report reveals 4 under-the-radar companies that may soon be shining stars of AI’s next leap forward.Access AI Boom 2.0 now, absolutely 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 NXP Semiconductors N.V. (NXPI): 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