QuickLogic (QUIK) Stock Drops Despite Market Gains: Important Facts to Note

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QuickLogic (QUIK) closed at $8.78 in the latest trading session, marking a -1.79% move from the prior day. This move lagged the S&P 500's daily gain of 0.61%. Elsewhere, the Dow saw an upswing of 0.97%, while the tech-heavy Nasdaq appreciated by 0.33%.

Coming into today, shares of the maker of chips for mobile and portable electronics manufacturers had gained 18.88% in the past month. In that same time, the Computer and Technology sector gained 8.6%, while the S&P 500 gained 5.36%.

The upcoming earnings release of QuickLogic will be of great interest to investors. The company is expected to report EPS of -$0.05, down 138.46% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $4.2 million, down 37.03% from the year-ago period.

For the full year, the Zacks Consensus Estimates are projecting earnings of $0.35 per share and revenue of $24.4 million, which would represent changes of +105.88% and +15.11%, respectively, from the prior year.

Any recent changes to analyst estimates for QuickLogic should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health 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, 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. Within the past 30 days, our consensus EPS projection remained stagnant. Right now, QuickLogic possesses a Zacks Rank of #4 (Sell).

In the context of valuation, QuickLogic is at present trading with a Forward P/E ratio of 25.54. This expresses a discount compared to the average Forward P/E of 34.26 of its industry.

The Electronics - Semiconductors industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 103, this industry ranks in the top 41% of all industries, numbering over 250.

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.

Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.

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