#3 - Cirrus Logic (NASDAQ:CRUS)
Cirrus Logic (NASDAQ: CRUS) - Despite rumblings that they might be supplanted by competitors, the audio-chip manufacturer retained its business with Apple. This is critical for a company that relies on Apple for 81 percent of its revenue. However, this left the company vulnerable to softness in sales from the new iPhones that launched at the end of 2017. So it’s no surprise, the stock has been battered lately, down nearly 50 percent year-over-year. Shares are currently trading at just over 11 times trailing twelve-month earnings. Its earnings-per-share (EPS) is forecast to drop to $2.96 from $4.27. But with analysts expecting healthier sales for a new generation of iPhones set to launch at the end of 2018, the forecast for Cirrus Logic is looking up. If CRUS can raise extremely low investor expectations, analysts see a 20 to 30 percent rise in their stock price with revenue growth of 5.4 percent and earnings per share rising to $3.25. The stock has been climbing recently and is currently trading at approximately $43.50, up from its 12-month low of $35.36 reached in late April.
About Cirrus Logic
Cirrus Logic, Inc, a fabless semiconductor company, develops low-power high-precision mixed-signal processing solutions in China, the United States, and internationally. The company offers audio products, including amplifiers; codecs components that integrate analog-to-digital converters (ADCs) and digital-to-analog converters (DACs) into a single integrated circuit (IC); smart codecs, a codec with integrated digital signal processing; standalone digital signal processors; and SoundClear technology, which consists of a portfolio of tools, software, and algorithms that helps to enhance user experience with features, such as louder, high-fidelity sound, audio playback, voice capture, and hearing augmentation for use in smartphones, tablets, laptops, AR/VR headsets, home theater systems, automotive entertainment systems, and professional audio systems.
Read More - Current Price
- $102.55
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 5 Buy Ratings, 2 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $132.50 (29.2% Upside)
