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One such stock that you may want to consider dropping is Advanced Energy Industries, Inc. (NASDAQ: AEIS), 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 #4 (Sell) further confirms weakness in AEIS.
A key reason for this move has been the negative trend in earnings estimate revisions. For the full year, we have seen 3 estimates moving down in the past 30 days, compared with no upward revisions. This trend has caused the consensus estimate to trend lower, going from $1.79 a share a month ago to its current level of $1.41.
Also, for the current quarter, Advanced Energy has seen 2 downward estimate revisions versus no revisions in the opposite direction, dragging the consensus estimate down to 30 cents a share from 47 cents over the past 30 days.
The stock also has seen some pretty dismal trading lately, as the share price has dropped 22.9% 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 Computer and Technology sector, you may instead consider some better-ranked stocks including Alliance Fiber Optic Products Inc. (NASDAQ: AFOP), Applied Micro Circuits Corporation (NASDAQ: AMCC) and Asure Software, Inc. (NASDAQ: ASUR). All these stocks hold a Zacks Rank #1 (Strong Buy) and may be better selections at this time.
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ADV ENERGY INDS (NASDAQ: AEIS): Free Stock Analysis Report
ALLIANCE FIBER (NASDAQ: AFOP): Free Stock Analysis Report
APPLD MICRO CIR (NASDAQ: AMCC): Free Stock Analysis Report
ASURE SOFTWARE (NASDAQ: ASUR): Get Free Report
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