One such stock that you may want to consider dropping is SanDisk Corp. (SNDK), which has witnessed a significant price decline in the past four weeks, and it has seen negative earnings estimate revisions for the current quarter and the current year. A Zacks Rank #5 (Strong Sell) further confirms weakness in SNDK.
A key reason for this move has been the negative trend in earnings estimate revisions. For the full year, we have seen 4 estimates moving down in the past 30 days, compared with no upward revision. This trend has caused the consensus estimate to trend lower, going from $4.78 a share a month ago to its current level of $4.08.
Also, for the current quarter, SanDisk has seen 4 downward estimate revisions versus no revision in the opposite direction, dragging the consensus estimate down to 59 cents a share from 73 cents over the past 30 days.
The stock also has seen some pretty dismal trading lately, as the share price has dropped 21.8% in the past month.
So it may not be a good decision to keep this stock in your portfolio anymore, at least if you don’t have a long time horizon to wait.
If you are still interested in the Technology sector, you may instead consider a better-ranked stock – Amkor Technology, Inc. (AMKR). The stock currently holds a Zacks Rank #1 (Strong Buy) and may be better selection at this time.
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