Connect with us

Hi, what are you looking for?

[stock_market_widget type="ticker-quotes" template="chart" color="#5679FF" assets="MSFT,AAPL,NFLX,GOOG,TSLA,NFLX,AMZN" animation="true" display_currency_symbol="true" api="yf" speed="50" direction="left" pause="true"]

Top Stories

NXP Semiconductor stock falls as outlook comes up short of expectations

NXP Semiconductors NV shares dropped in the extended session Monday after the chip maker’s quarterly forecast fell short of Wall Street expectations. NXP NXPI, -1.13% forecast earnings of $2.82 to $3.22 a share on revenue of $2.9 billion to $3.1 billion for the first quarter, while analysts surveyed by FactSet expected $3.14 a share on revenue

nxp-semiconductor-stock-falls-as-outlook-comes-up-short-of-expectations

NXP Semiconductors NV shares dropped in the extended session Monday after the chip maker’s quarterly forecast fell short of Wall Street expectations.

NXP NXPI, -1.13% forecast earnings of $2.82 to $3.22 a share on revenue of $2.9 billion to $3.1 billion for the first quarter, while analysts surveyed by FactSet expected $3.14 a share on revenue of $3.17 billion. Wall Street has grown nervous in recent months about the semiconductor sector as giants like Intel Corp. INTC, -0.75% have shown demand struggles and swelling inventories, but auto-focused chip makers like NXP have largely avoided those doubts.

“We have adopted a vigilant operational stance, aiming to improve service to those customers who continue to experience material shortages while managing the distribution-channel inventory levels well below our long-term targets,” NXP Chief Executive Kurt Sievers said in a statement.

Shares fell as much as 4% after hours, following a 1.1% decline in the regular session to close at $179.48.

Eindhoven, Netherlands-based NXP reported fourth-quarter net income of $602 million, or $2.24 a share, compared with $309 million, or $1.08 a share, in the year-ago period. NXP did not provide an adjusted earnings-per-share figure in its release.

Revenue rose to $3.31 billion from $3.04 billion in the year-ago quarter, as auto-chip sales rose 17% to $1.81 billion from a year ago.

Analysts surveyed by FactSet had forecast $3.64 a share on revenue of $3.3 billion, while forecasting auto-chip sales to $1.81 billion.

The company has a large footprint in supplying chips to the auto industry, accounting for more than 50% of revenue.

NXP also said its board hiked the quarterly dividend by 20%, to $1.014 per ordinary share.

Advertisement. Scroll to continue reading.

NXP shares are down 5.3% over the past 12 months, while the PHLX Semiconductor Index SOX, -2.67% is down 13.2%, the S&P 500 index SPX, -1.30% is down 9.3%, and the tech-heavy Nasdaq Composite Index COMP, -5.51% has sunk 17.3%.

You May Also Like

Stocks

SAN FRANCISCO (MarketWatch) — Among the companies whose shares are expected to see active trade in Thursday’s session are BlackBerry Ltd., Oracle Corp., and...

Mining

NAL spodumene concentrate production remains targeted for H1 2023 with revenue potential in Q3 2023. Credit: Piedmont Piedmont Lithium (Nasdaq: PLL; ASX: PLL) announced...

Tech

This holiday season, consider giving the gift of security with an ad blocker. That’s the takeaway message from an unlikely source — the FBI...

Top Stories

There have been major developments out of Japan this week. The Bank of Japan surprised the market by widening its yield curve target by...

Advertisement