Cirrus Logic (CRUS) Tops Q3 Earnings and Revenue Estimates

Company Performance - Cirrus Logic reported quarterly earnings of $2.51 per share, exceeding the Zacks Consensus Estimate of $2.03 per share, but down from $2.89 per share a year ago, representing an earnings surprise of 23.65% [1] - The company achieved revenues of $555.74 million for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 8.97%, although this is a decline from year-ago revenues of $618.98 million [2] - Over the last four quarters, Cirrus Logic has consistently surpassed consensus EPS and revenue estimates [2] Market Outlook - Cirrus Logic shares have underperformed the market, losing about 0.3% since the beginning of the year compared to the S&P 500's gain of 1.9% [3] - The company's earnings outlook will be crucial for future stock performance, with current consensus EPS estimates at $1 on $357.05 million in revenues for the coming quarter and $6.41 on $1.78 billion in revenues for the current fiscal year [7] Industry Context - The Electronics - Semiconductors industry, to which Cirrus Logic belongs, is currently ranked in the top 34% of over 250 Zacks industries, indicating a favorable environment for performance [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can impact Cirrus Logic's stock performance [5][6]