In the latest trading session, Aehr Test Systems (AEHR) closed at $32.25, marking a -1.83% move from the previous day. This move lagged the S&P 500's daily loss of 1.1%. Meanwhile, the Dow lost 1.19%, and the Nasdaq, a tech-heavy index, lost 3.27%.
Heading into today, shares of the company had lost 7.93% over the past month, lagging the Computer and Technology sector's gain of 1.45% and the S&P 500's loss of 3.02% in that time.
Wall Street will be looking for positivity from Aehr Test Systems as it approaches its next earnings report date. On that day, Aehr Test Systems is projected to report earnings of $0.16 per share, which would represent year-over-year growth of 14.29%. Meanwhile, our latest consensus estimate is calling for revenue of $17 million, up 11.26% from the prior-year quarter.
Any recent changes to analyst estimates for Aehr Test Systems should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Aehr Test Systems is currently sporting a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Aehr Test Systems has a Forward P/E ratio of 53.85 right now. For comparison, its industry has an average Forward P/E of 18.94, which means Aehr Test Systems is trading at a premium to the group.
The Electronics - Measuring Instruments industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 174, which puts it in the bottom 31% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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