QuickLogic (QUIK) Stock Slides as Market Rises: Facts to Know Before You Trade

In the latest trading session, QuickLogic QUIK closed at $15.70, marking a -1.75% move from the previous day. This change lagged the S&P 500's daily gain of 0.86%. At the same time, the Dow added 1.22%, and the tech-heavy Nasdaq gained 0.51%.

Prior to today's trading, shares of the maker of chips for mobile and portable electronics manufacturers had gained 25.73% over the past month. This has outpaced the Computer and Technology sector's gain of 3.76% and the S&P 500's gain of 2.84% in that time.

Analysts and investors alike will be keeping a close eye on the performance of QuickLogic in its upcoming earnings disclosure. The company is forecasted to report an EPS of $0.06, showcasing a 250% upward movement from the corresponding quarter of the prior year. Meanwhile, the latest consensus estimate predicts the revenue to be $6.2 million, indicating a 50.12% increase compared to the same quarter of the previous year.

For the annual period, the Zacks Consensus Estimates anticipate earnings of $0.36 per share and a revenue of $27.6 million, signifying shifts of +111.76% and +30.2%, respectively, from the last year.

Investors should also take note of any recent adjustments to analyst estimates for QuickLogic. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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.

The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, there's been a 41.67% rise in the Zacks Consensus EPS estimate. At present, QuickLogic boasts a Zacks Rank of #1 (Strong Buy).

Valuation is also important, so investors should note that QuickLogic has a Forward P/E ratio of 44.39 right now. For comparison, its industry has an average Forward P/E of 32.5, which means QuickLogic is trading at a premium to the group.

The Electronics - Semiconductors industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 188, which puts it in the bottom 26% 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.

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