Analysts Issue Research Notes On ASE Technology Holding Co. Ltd. (ASX)


ASE Technology Holding Co. Ltd. (NYSE:ASX) finished Thursday with an addition of $0.2 to close at $6.36, an upside of 3.25 percent. An average of 5,490,000 shares of common stock have been traded in the last five days. There was a fall of -$0.15 in the past week, and it reached a new high 5 times over the past 12 months. The last 20 days have seen an average of 7,101,120 shares traded, while the 50-day average volume stands at 8,154,752.

ASX stock has decreased by -0.16% in the last month. The company shares reached their 1-month lowest point of $6.16 on 12/28/22. With the stock rallying to its 52-week high on 01/05/22, shares of the company touched a low of $4.45 and a high of $8.15 in 52 weeks. It has reached a new high 3 times so far this year and lost -18.57% or -$1.45 in price. In spite of this, the price is down -21.96% from the 52-week high.

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Valuation Metrics

ASE Technology Holding Co. Ltd. (ASX) has a trailing price-to-earnings (P/E) ratio of 5.52. The stock’s beta is 1.21. Other valuation ratios to consider include the trailing price-to-sales (P/S) ratio at 0.64, the price-to-book (PB) ratio at 1.47, and the price-to-cash flow ratio at 4.56.

The company’s most recent quarterly dividend payment was $0.4794 a share, representing a up of 58.9% from $0.3017 last year. Its latest increase dividend $0.1777 reported on Tuesday June 7 2022.

Financial Health

The quick ratio of ASE Technology Holding Co. Ltd. for the three months ended September 29 was 0.80, and the current ratio was 1.20, indicating that the company is not able to meet its debt obligations. Further, the company has a long term debt to equity ratio of 0.46 and a total debt to equity ratio of 0.74 for the quarter ending September 29. ASE Technology Holding Co. Ltd.’s EBITDA margin for the year ending September 29 is 20.46%, while its operating margin for the same period stands at 14.60%. Its gross profit as reported stood at $3.98 billion compared to revenue of $20.55 billion.

For investors, determining the potential profitability of the investment also depends on the performance of the company’s management. In the past 12 months, ASE Technology Holding Co. Ltd.’s return on assets was 11.00%.

Earnings Surprise

For the three-month period that ended September 29, ASE Technology Holding Co. Ltd. had $19.55 million in cash and short-term investments compared to $125.97 million in total debt. In the quarter under review, the net income was up than the previous quarter. The company posted a net income of $2.17 billion in the quarter, while revenues were grew 55.7%. The analyst consensus anticipated ASE Technology Holding Co. Ltd.’s latest quarter earnings to come in at $0.24 per share, but it turned out to be $0.26, a 8.30% surprise. For the quarter, EBITDA amounted to $1.21 billion.

Technical Picture

From a technical analysis perspective, let’s take a brief look at ASE Technology Holding Co. Ltd. (ASX) price momentum. RSI 9-day as of the close on 29 December was 48.11%, suggesting the stock is Neutral, with historical volatility in this time frame at 30.79%.

As of today, ASX’s price is $6.30 -2.30% or -$0.15 from its 5-day moving average. ASX is currently trading -6.47% lower than its 20-day SMA and +4.95% higher than its 100-day SMA. However, the stock’s current price level is +32.22% above the SMA50 and -9.53% below the SMA200.

The stochastic %K and %D were 20.59% and 18.54%, respectively, and the average true range (ATR) was 0.18. With the 14-day stochastic at 31.25% and the average true range at 0.18, the RSI (14) stands at 50.63%. The stock has reached -0.07 on the 9-day MACD Oscillator while the 14-day reading was at -0.18.

Analyst Ratings

Goldman downgraded ASE Technology Holding Co. Ltd. (NYSE: ASX) to a a Neutral rating in its most recent analyst report. Previously, the stock was rated as a Buy. The consensus rating for ASE Technology Holding Co. Ltd. (ASX) among analysts is Overweight. According to current brokerage recommendations, 0 brokerage firms advise that investors sell ASX, while 7 suggest investors hold. There are 0 analysts who rate the stock as underweight. The stock is rated overweight by 3 analysts, while 10 others rate it as a “buy”.

What is ASX’s price target for the next 12 months?

Analysts predict a range of price targets between $7.63 and $12.11, with a median target of $8.81. Taking a look at these predictions, the average price target given by analysts for ASE Technology Holding Co. Ltd. (ASX) stock is $9.10.


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