SMART (SGH) Reports Earnings Tomorrow: What To Expect

Radek Strnad /
2024/07/08 3:00 am EDT

Semiconductor maker SMART Global Holdings (NASDAQ:SGH) will be reporting earnings tomorrow afternoon. Here's what to look for.

SMART met analysts' revenue expectations last quarter, reporting revenues of $284.8 million, down 26.7% year on year. It was a weak quarter for the company, with underwhelming revenue guidance for the next quarter.

Is SMART a buy or sell going into earnings? Read our full analysis here, it's free.

This quarter, analysts are expecting SMART's revenue to decline 21.3% year on year to $301.5 million, a further deceleration from the 17.1% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.31 per share.

SMART Total Revenue

The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. SMART has missed Wall Street's revenue estimates six times over the last two years.

Looking at SMART's peers in the semiconductors segment, only Micron Technology has reported results so far. It beat analysts' revenue estimates by 2%, delivering year-on-year sales growth of 81.5%. The stock was down 4.1% on the results.

Read our full analysis of Micron Technology's earnings results here.

There has been positive sentiment among investors in the semiconductors segment, with share prices up 4.8% on average over the last month. SMART is up 5.4% during the same time and is heading into earnings with an average analyst price target of $27.7 (compared to the current share price of $23.1).

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