Amkor Technology (AMKR) closed the most recent trading day at $54.68, moving -2.39% from the previous trading session. The stock trailed the S&P 500, which registered a daily gain of 0.66%. Elsewhere, the Dow gained 0.18%, while the tech-heavy Nasdaq added 1.05%.
Prior to today's trading, shares of the chip packaging and test services provider had gained 17.27% outpaced the Computer and Technology sector's gain of 6.36% and the S&P 500's gain of 0.55%.
Market participants will be closely following the financial results of Amkor Technology in its upcoming release. On that day, Amkor Technology is projected to report earnings of $0.79 per share, which would represent year-over-year growth of 54.9%. Our most recent consensus estimate is calling for quarterly revenue of $2.02 billion, up 1.54% from the year-ago period.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $2.6 per share and revenue of $7.64 billion, indicating changes of +73.33% and +13.95%, respectively, compared to the previous year.
It is also important to note the recent changes to analyst estimates for Amkor Technology. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Amkor Technology is currently a Zacks Rank #3 (Hold).
With respect to valuation, Amkor Technology is currently being traded at a Forward P/E ratio of 21.52. This expresses a discount compared to the average Forward P/E of 39.71 of its industry.
It is also worth noting that AMKR currently has a PEG ratio of 0.69. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Electronics - Semiconductors industry had an average PEG ratio of 1.35 as trading concluded yesterday.
The Electronics - Semiconductors industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 72, which puts it in the top 30% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Amkor Technology, Inc. (AMKR): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).