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The most recent trading session ended with Silicon Motion (SIMO) standing at $38.94, reflecting a -0.7% shift from the previouse trading day's closing. The stock outperformed the S&P 500, which registered a daily loss of 2.36%. On the other hand, the Dow registered a loss of 2.48%, and the technology-centric Nasdaq decreased by 2.55%.
Coming into today, shares of the chip company had lost 29.71% in the past month. In that same time, the Computer and Technology sector lost 8.4%, while the S&P 500 lost 5.6%.
Investors will be eagerly watching for the performance of Silicon Motion in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on April 29, 2025. The company is expected to report EPS of $0.43, down 32.81% from the prior-year quarter. Simultaneously, our latest consensus estimate expects the revenue to be $162.58 million, showing a 14.12% drop compared to the year-ago quarter.
For the full year, the Zacks Consensus Estimates project earnings of $3.56 per share and a revenue of $828.21 million, demonstrating changes of +3.79% and +3.07%, respectively, from the preceding year.
Investors should also take note of any recent adjustments to analyst estimates for Silicon Motion. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. 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 remained stagnant within the past month. Currently, Silicon Motion is carrying a Zacks Rank of #3 (Hold).
Looking at its valuation, Silicon Motion is holding a Forward P/E ratio of 11.02. This expresses a premium compared to the average Forward P/E of 10.71 of its industry.
Meanwhile, SIMO's PEG ratio is currently 0.78. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As of the close of trade yesterday, the Computer - Integrated Systems industry held an average PEG ratio of 1.41.
The Computer - Integrated Systems industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 200, positioning it in the bottom 20% of all 250+ industries.