Axcelis Technologies (ACLS) Sees a More Significant Dip Than Broader Market: Some Facts to Know

Company Performance - Axcelis Technologies (ACLS) ended the recent trading session at $67.93, showing a -4% change from the previous day's closing price, which is a lag compared to the S&P 500's daily loss of 0.27% [1] - Over the past month, shares of Axcelis have appreciated by 12.57%, outperforming the Computer and Technology sector's gain of 11.99% and the S&P 500's gain of 6.9% [1] Upcoming Earnings - The upcoming earnings release is expected to report an EPS of $0.73, which is a decrease of 52.9% from the prior-year quarter [2] - The Zacks Consensus Estimate for revenue is projecting net sales of $185.2 million, down 27.8% from the year-ago period [2] Full Year Projections - For the full year, the Zacks Consensus Estimates project earnings of $3.29 per share and revenue of $751.1 million, representing changes of -46.5% and -26.21%, respectively, from the prior year [3] Analyst Estimates - Recent modifications to analyst estimates for Axcelis Technologies are important as they indicate changing near-term business trends, with positive revisions signaling optimism about the business outlook [4] Zacks Rank and Performance - The Zacks Rank system, which ranges from 1 (Strong Buy) to 5 (Strong Sell), currently ranks Axcelis Technologies at 3 (Hold), with the consensus EPS projection remaining stagnant over the past 30 days [6] - Historically, 1 ranked stocks have generated an average annual return of +25% since 1988 [6] Valuation Metrics - Axcelis Technologies is trading at a Forward P/E ratio of 21.51, which is a discount compared to the industry average Forward P/E of 21.87 [7] - The company has a PEG ratio of 3.92, while the Electronics - Manufacturing Machinery industry had an average PEG ratio of 1.78 [7] Industry Context - The Electronics - Manufacturing Machinery industry is part of the Computer and Technology sector and currently holds a Zacks Industry Rank of 226, placing it in the bottom 9% of all 250+ industries [8] - Research indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [8]