San Jose-based chip tech firm, Adeia Inc., announced a significant financial turnaround in its Q3 results on Monday. The company disclosed a net income of $24.2 million, indicating a recovery from a loss experienced in the same quarter last year. The net income represented 21 cents per share, which rose to 38 cents per share after adjusting for one-time gains and costs.
In addition to the net income, Adeia's Q3 revenue amounted to $101.4 million. The company also anticipates its full-year revenue to fall between $385 million and $395 million.
Despite these positive figures, the company's shares have experienced a 6% dip since the start of the year and a 20% tumble over the past year, closing at $8.93 in Monday's trading.
The financial data was disseminated by The Daily Journal and featured in the Daily Brief, produced by Automated Insights using data from Zacks Investment Research.
InvestingPro Insights
Adeia Inc.'s recent performance has been marked by several key metrics. The company's market cap stands at $951.17 million, suggesting a substantial presence in the industry. Furthermore, the P/E Ratio (Adjusted) as of Q2 2023 is 9.57, indicating the price investors are willing to pay per dollar of earnings.
InvestingPro data also highlights a 102.96% revenue growth for the last twelve months as of Q2 2023. This significant increase aligns with the InvestingPro Tip that Adeia's revenue growth has been accelerating.
However, InvestingPro Tips also reveal a declining trend in earnings per share and that 2 analysts have revised their earnings downwards for the upcoming period. This could potentially explain the recent dip in the company's shares.
InvestingPro's product offers a wealth of additional insights, with a total of 13 tips available specifically for Adeia. These tips provide a comprehensive overview of the company's financial health and future prospects.
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