Categories Analysis, Technology
Weakness in the automotive industry to reflect in Cypress Semiconductor Q2 earnings
Cypress Semiconductor (NASDAQ: CY) is slated to report second-quarter financial results after the closing bell on July 25, Thursday. The stock has been pretty rewarding for investors this year, gaining 75%, thanks to its acquisition by German rival Infineon Technologies.
The company is expected to report a 15% fall in revenues to $530.89 million in Q2, hurt by the weakness in the automotive industry. This, combined with the uncertainty relating to the US-China relations, could weigh on its Microcontroller and Connectivity Division (MCD) during the quarter.
On Tuesday, rival Texas Instruments (NASDAQ: TXN) also reported a 9% decline in revenue and 7% fall in earnings in the second quarter, hurt by the same reasons.
Meanwhile, the smaller segment, Memory Products Division (MPD) is likely to see continued momentum on the improving demand for its products, thanks to the robust developmental activity in the 5G space.
Earnings are expected to be $0.24 per share, compared to $0.33 per share it reported last year. It may be noted that the San Jose, California-based firm has surpassed earnings estimates in all four of the trailing quarters.
READ: Microsoft leads the enterprise SaaS industry, grows quickly
Last month, Cypress said it would be acquired by semiconductor solutions firm Infineon Technologies for an enterprise value of €9 billion. The deal, which represented a 46% premium to Cypress’s then trading price, was well received by the street.
The transaction would be closed sometime later this year or early next year, meaning this could be the penultimate or final quarterly results.
The stock is currently trading near its 12-month average price target. CY has an average HOLD rating, based on data from 11 analysts compiled by TipRanks.
Get access to timely and accurate verbatim transcripts that are published within hours of the event.
Most Popular
Darden Restaurants (DRI) Q3 2025 Earnings: Key financials and quarterly highlights
Darden Restaurants, Inc. (NYSE: DRI) reported its third quarter 2025 earnings results today. Total sales increased 6.2% to $3.2 billion compared to the same period last year. Blended same-restaurant sales
ACN Earnings: Key quarterly highlights from Accenture’s Q2 2025 financial results
Accenture plc (NYSE: ACN) reported its second quarter 2025 earnings results today. Revenues totaled $16.7 billion, up 5% in US dollars and 8.5% in local currency. Net income attributable to
GIS Q3 Call Highlights: Cereal Comeback, Snacking Slowdown & Protein Innovations!
General Mills Inc., a global food company known for producing and marketing popular brands like Cheerios, Pillsbury, Häagen-Dazs, and Betty Crocker, in its Q3 earnings call highlighted its strategy to
Comments
Comments are closed.