Here's Why Axcelis Technologies (ACLS) Gained But Lagged the Market Today

Company Performance - Axcelis Technologies (ACLS) closed at $69.47, reflecting a +0.42% change from the previous day, underperforming the S&P 500 which gained 1.09% [1] - The company is expected to report an EPS of$ 1.25, a decline of 41.86% year-over-year, with revenue anticipated at $244.9 million, down 21.07% from the same quarter last year [5] - Over the past month, shares of Axcelis Technologies have decreased by 5.6%, contrasting with a 1.8% gain in the Computer and Technology sector and a 0.71% loss in the S&P 500 [9] Earnings Estimates - The Zacks Consensus Estimates for the fiscal year predict earnings of$ 5.86 per share and revenue of $1.01 billion, representing declines of -21.13% and -10.63% respectively from the previous year [2] - The consensus EPS projection has remained stagnant over the past 30 days, and Axcelis Technologies currently holds a Zacks Rank of 5 (Strong Sell) [3] Valuation Metrics - Axcelis Technologies has a PEG ratio of 2.16, compared to the Electronics - Manufacturing Machinery industry average of 1.61, indicating a higher valuation relative to expected earnings growth [7] - The company is trading at a Forward P/E ratio of 11.81, which is below the industry average Forward P/E of 22.66, suggesting it is undervalued compared to its peers [11] Industry Context - The Electronics - Manufacturing Machinery industry is part of the Computer and Technology sector, which has a Zacks Industry Rank of 236, placing it in the bottom 6% of over 250 industries [12]