NXP Reviews Stronger-Than-Anticipated Earnings and Gross sales, But Shares Slip
Shares of NXP Semiconductors (NXPI) – Get Report fell Monday, even after the enterprise claimed stronger-than-anticipated earnings and profits for the fourth quarter.
Web cash flow totaled $320 million, or $1.08 per share, up from $123 million, or 40 cents a share in the yr-ago quarter. The FactSet analyst consensus called for EPS of 89 cents a share.
NXP registered income of $2.51 billion, soaring 9% from $2.30 billion last calendar year and topping the analyst consensus of $2.46 billion.
NXP shares recently traded at traded at $167.01, down 2.64% soon after hrs. They climbed 6.89% during the typical session Monday, and have jumped 46% above the very last 6 months.
“During the 1st 50 percent of the 12 months, NXP was confronted with the unprecedented shut down of our buyers in most conclude markets and geographies mainly because of the world wide pandemic,” Chief Govt Kurt Sievers stated in a statement.
“As we entered the 2nd half of 2020, and our customers commenced to re-open, NXP knowledgeable a incredibly strong rebound in need, which we anticipate continuing all through 2021. In the fourth quarter, … we experienced especially potent traits in the automotive and cell stop markets.”
Further, “Notwithstanding a tumultuous 2020, earnings linked with important strategic expansion locations accelerated throughout the 12 months,” Sievers said.
Morningstar analyst Brian Colello charges the company with a slender moat. “NXP Semiconductors is the biggest supplier of semiconductors for the automotive marketplace and a significant drive in the analog and micro-factors marketplaces usually,” he wrote very last calendar year.
“We consider the firm has a tough situation in the automotive, industrial, and communications infrastructure marketplaces due to a blend of switching prices and intangible property,” wrote Colello.
