Analyst Ratings for Mellanox Technologies Ltd. (MLNX)

Updated: 2017-07-27

Mellanox Technologies Ltd. (NASDAQ:MLNX) was awarded an average rating of Overweight from investment analysts following the stock. Last month, MLNX received an average rating of Overweight.

Of the 14 analysts covering the stock, 5 gave it a buy rating, 1 gave an overweight rating, 7 issued a hold rating, 0 issued an underweight rating, and 1 gave a sell rating. Over the past 90 days, the number of analysts that are bullish on the stock has decreased by 3. Over the same time period, there has been an increase of 0 in the number of analysts with a negative outlook on the stock.

Investment analysts gave a few price targets for MLNX. The most optimistic analyst gave a price target of 60, which equates to a potential upside of 34.08 percent. The most pessimistic price target was 38, implying potential capital losses of -15.08 percent. It is crucial to not blindly accept any price targets or stock ratings, because many analysts have it in their best interest to give positive coverage of certain stocks.

In the last 30 days, analysts have changed their quarterly earnings estimates upwards by an average of 0 percent. This can be compared with the average change in earnings estimates over the past 3 months, which is -37.72 percent. On the other hand, earnings estimates for the fiscal year have been revised upwards by 0 percent, as compared to a month ago. If we look at the last 90 days instead, we find a net average change of -21.94 percent in FY estimates.

Investors like to see analysts making revisions in the same direction, as that raises confidence in the revisions. 0 analysts have revised their quarterly estimates upwards in the past 30 days, while 0 analysts revised their estimates downwards. During this time, 0 analysts made positive revisions in their estimates for this fiscal year's earnings, while 0 analysts made negative revisions to their fiscal year's estimates.

Analysts estimate earnings of MLNX to grow at a rate of 313.35 percent. It's possible to gain additional insight about growth valuation of a company by looking at the PEG ratio. A lower PEG ratio is favorable, because people typically see that as an indicator of higher growth relative to stock price. People often look for the PEG ratio to be under 1, though it could be better to see where the ratio stands relative to peers in the industry. The PEG ratio of MLNX is 0.55.

In the trailing 52-weeks, MLNX hit 52.80 at the highest peak, while it's lowest trading point was 38.75. Currently the stock is 15.48 percent higher than its low, and 15.25 percent below the high. MLNX has a P/E ratio of 172.12. Investors typically compare the P/E ratio to a company's peers in the industry. The MLNX value stock report compares MLNX to some of its peers using value stock charts. The stock has a market capitalization of $2.25 billion. MLNX's next earnings release will be on 0000-00-00, which is days away.