Wire bonding and advanced packaging may not be sexy to some, but for Kulicke & Soffa and the huge number of semiconductor companies it serves, and the industries they serve, those products spell success. On Tuesday, the Relative Strength (RS) Rating for Kulicke & Soffa stock rose to a higher percentile, climbing to 84 from 79.
Kulicke & Soffa Stock A High Performer
The raised 84 RS Rating means Kulicke & Soffa stock is outperforming 84% of all stocks in IBD's database. When looking for the best stocks to buy and watch, one factor to watch closely is relative price strength. market research reveals that the top-performing stocks typically have an 80 or better RS Rating as they launch their biggest climbs.
Singapore-based Kulicke & Soffa specializes in packaging and other products and services for semiconductor chips, light emitting diode (LED) makers and electronic device makers. The end markets that its products go into range from autos to consumer, communications, computing and industrial markets. The semiconductor market has been heating up lately, which could bode well for Kulicke & Soffa.
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Among its other key ratings, Kulicke & Soffa stock has an 84 Composite Rating, out of 99, a 72 EPS Rating and a strong B+ Accumulation/Distribution Rating on an A+ to E scale with A+ superb and E dismal.
Looking For Fresh Pattern To Spark A Run
Kulicke & Soffa stock slid to a 35.95 low in mid-October amid the 2022 bear market. On Tuesday it closed at 51.39, down for the day but up 43% from the low. Additionally, it's well above both its 50-day average and its 200-day line, although it hasn't formed a specific pattern yet. See if the stock goes on to form a fresh base like a three-weeks-tight pattern that could spark a run higher.
The stock watchlist candidate posted lower growth for both sales and earnings last quarter against tough comps a year ago. Kulicke & Soffa says on its website it will announce fiscal first quarter results on Feb. 2 before the market opens. On Nov. 16, management said they expect the company to report first quarter earnings of about 20 cents per share on about $175 million revenue.
Kulicke & Soffa stock earns the No. 13 rank among its peers in the Electronics-Semiconductor Equipment industry group. Aehr Test Systems and Advanced Energy Industries are also among the group's highest-rated stocks.
IBD's unique RS Rating measures market leadership by using a 1 (worst) to 99 (best) score that indicates how a stock's price action over the last 52 weeks matches up against that of all other stocks.
