Good to see EMKR got a mention in this news article that I copied and pasted from my trade account and made a nice run on Friday.
Axcelis Upgraded to Strong Buy on Improved Q4 Projections
2:15 pm ET January 18, 2016 (Zacks) Print
Zacks Investment Research upgraded Axcelis Technologies Inc. ACLS to a Zacks Rank #1 (Strong Buy) on Jan 15, 2016. Going by the Zacks model, companies holding a Zacks Rank #1 have strong chances of outperforming the broader market over the next few quarters.
Why the Upgrade?
Market sentiments were in favor of Axcelis Technologies in 2015. This was evident from an annual return of 1.2% and better-than-expected results in three of the trailing four quarters, with a positive average earnings surprise of 63.89%.
In addition, Axcelis Technologies’ share price has grown roughly 2.3% year to date in 2016. The hike was driven by the company’s recently updated guidance for fourth-quarter 2015. Revenues are expected at roughly $70 million, up from the previous projection of $60-$65 million; while operating profit is likely to come in at $2 million, up from the prior estimate of $1 million. Earnings are anticipated in a range of breakeven to 1 cent per share versus breakeven expected earlier. Also, the company’s cash and cash equivalents are likely to improve to $85 million from $80 million projected previously.
Axcelis Technologies’ increased confidence in fourth-quarter 2015 results has boosted investors’ optimism about its prospects. Over the last 7 days, the Zacks Consensus Estimate for the stock has increased 9.1% to 12 cents per share for 2016; while remaining unchanged at 12 cents for 2015. Also, the company currently has an Earnings ESP of +8.33% for 2015.
Other Stocks to Consider
Axcelis Technologies currently has a market capitalization of approximately $307 million. Other stocks worth considering in the industry include EMCORE Corporation EMKR, Cohu, Inc. COHU and Tessera Technologies Inc. TSRA. While EMCORE Corporation sports a Zacks Rank #1 (Strong Buy), both Cohu and Tessera Technologies carry a Zacks Rank #2 (Buy).
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