Cracking The Code: Understanding Analyst Reviews For Cirrus Logic

In the preceding three months, 5 analysts have released ratings for Cirrus Logic CRUS, presenting a wide array of perspectives from bullish to bearish.

The following table provides a quick overview of their recent ratings, highlighting the changing sentiments over the past 30 days and comparing them to the preceding months.

The 12-month price targets assessed by analysts reveal further insights, featuring an average target of $115.0, a high estimate of $120.00, and a low estimate of $110.00. This upward trend is apparent, with the current average reflecting a 16.16% increase from the previous average price target of $99.00.

Decoding Analyst Ratings: A Detailed Look

A comprehensive examination of how financial experts perceive Cirrus Logic is derived from recent analyst actions. The following is a detailed summary of key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Cirrus Logic. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Providing a comprehensive analysis, analysts offer qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of Cirrus Logic compared to the broader market.
• Price Targets: Delving into movements, analysts provide estimates for the future value of Cirrus Logic's stock. This analysis reveals shifts in analysts' expectations over time.

Considering these analyst evaluations in conjunction with other financial indicators can offer a comprehensive understanding of Cirrus Logic's market position. Stay informed and make well-informed decisions with our Ratings Table.

Stay up to date on Cirrus Logic analyst ratings.

About Cirrus Logic

Cirrus Logic Inc is a provider of integrated circuits for audio and voice signal processing applications. The firm's products are organized into two streams: portable audio products, and non-portable audio and other products. These products include analog and mixed-signal components targeting mobile devices, smart homes, and applications in the automotive, energy, and industrial markets. Roughly half of the firm's revenue is generated in China, with the rest coming from the United States, Europe, South Korea, and countries across the world.

Cirrus Logic: A Financial Overview

Market Capitalization Analysis: Below industry benchmarks, the company's market capitalization reflects a smaller scale relative to peers. This could be attributed to factors such as growth expectations or operational capacity.

Negative Revenue Trend: Examining Cirrus Logic's financials over 3 months reveals challenges. As of 31 March, 2024, the company experienced a decline of approximately -39.93% in revenue growth, reflecting a decrease in top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Information Technology sector.

Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 12.06%, the company showcases strong profitability and effective cost control.

Return on Equity (ROE): Cirrus Logic's ROE stands out, surpassing industry averages. With an impressive ROE of 2.48%, the company demonstrates effective use of equity capital and strong financial performance.

Return on Assets (ROA): Cirrus Logic's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 2.02% ROA, the company effectively utilizes its assets for optimal returns.

Debt Management: Cirrus Logic's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.09.

The Significance of Analyst Ratings Explained

Ratings come from analysts, or specialists within banking and financial systems that report for specific stocks or defined sectors (typically once per quarter for each stock). Analysts usually derive their information from company conference calls and meetings, financial statements, and conversations with important insiders to reach their decisions.

Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.

This article was generated by Benzinga's automated content engine and reviewed by an editor.