Chip manufacturer NXP Semiconductors (NASDAQ: NXPI) will be reporting results this Tuesday after market close. Here’s what investors should know.
NXP Semiconductors beat analysts’ revenue expectations last quarter, reporting revenues of $3.34 billion, up 7.2% year on year. It was a satisfactory quarter for the company, with a meaningful improvement in its inventory levels.
Is NXP Semiconductors a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting NXP Semiconductors’s revenue to grow 11.3% year on year, a reversal from the 9.3% decrease it recorded in the same quarter last year.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. NXP Semiconductors rarely misses Wall Street’s revenue estimates.
Looking at NXP Semiconductors’s peers in the semiconductors segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Texas Instruments delivered year-on-year revenue growth of 18.6%, beating analysts’ expectations by 6.6%, and Micron reported revenues up 196%, topping estimates by 20.1%. Texas Instruments traded up 19.6% following the results while Micron was down 3.8%.
Read our full analysis of Texas Instruments’s results here and Micron’s results here.
There has been positive sentiment among investors in the semiconductors segment, with share prices up 50.4% on average over the last month. NXP Semiconductors is up 30.3% during the same time and is heading into earnings with an average analyst price target of $258.84 (compared to the current share price of $244.25).
ALSO WORTH WATCHING: Nvidia’s Quiet Partner. Nvidia’s chips cost a hundred grand. The connectors that make them work cost even more. One company makes them all.
Every AI server needs specialized infrastructure the chip companies don’t make. High-speed cables. Power connectors. Thermal sensors. This 90-year-old company built a monopoly on it. The AI boom just started. This stock is still flying under the radar. Claim The Stock Ticker Here for FREE.
