We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Internap is a Zacks Rank #2 (Buy) and has an “A” for both Growth and Momentum. The stock has been bouncing up against 52 week highs and looks to continue to do more of the same. It is the Bull of The Day today.
Description
Internap Corporation provides information technology infrastructure services. It operates through two business segments, Data Center Services and Internet Protocol (IP) Services. The Data Center Services segment provides colocation services comprising physical space within data centers and associated services, such as power, interconnection, environmental controls, monitoring, and security. Internap Corporation was founded in 1996 and is headquartered in Atlanta, Georgia.
Sticking With What Works
There is little doubt that we are in a long term bull market. One of the best ways to play this market is by buying the stocks that are seeing positive developments and are hitting new highs. INAP has both of these even and the market breaks a long streak of days without a 1% drawdown.
Earnings History
The earnings history isn’t exactly a stellar one. I see two beats and two misses in the last four outings. None of the last four reports saw the company outperform on the top line either. But something did catch my eye.
The most recent report was a beat of $0.03 which translated into a positive earnings surprise of 20%. This solid beat caused the stock to jump more than 31% in the session following the release. That has a way of making the chart look great!
Estimates
The Zacks Consensus Estimate for CY2017 saw a huge boost following the most recent earnings report. The number moved from a loss of $0.57 in January to a loss of $0.52 in February and is now at a loss of just $0.34. That is a big move in the right direction.
The CY18 number has also seen a dramatic move higher, going from a loss of $0.50 to a loss of $0.24 and settling at a loss of $0.16 over the same time period.
If the company continues to beat expectations, profitability could come by the end of the year.
Valuation
Without the benefit of positive earnings we don’t get to lean on the PE for our look at valuation. Instead we have to look at the conservative measure of price to book which has the stock trading at a discount to the market. INAP trades at about 4x book, but the industry average is trading closer to 6.5x. The more aggressive measure of price to sales show the stock trading at 0.7x compared to a 6.2x industry average. Both of these metrics show considerable room for growth.
Before looking into the stocks mentioned above, you may want to get a head start on potential tech IPOs that are popping up on Zacks' radar. Imagine being in the first wave of investors to jump on a company with almost unlimited growth potential? This Special Report gives you the current scoop on 5 that may go public at any time.
Image: Bigstock
Bull Of The Day: Internap (INAP)
Internap is a Zacks Rank #2 (Buy) and has an “A” for both Growth and Momentum. The stock has been bouncing up against 52 week highs and looks to continue to do more of the same. It is the Bull of The Day today.
Description
Internap Corporation provides information technology infrastructure services. It operates through two business segments, Data Center Services and Internet Protocol (IP) Services. The Data Center Services segment provides colocation services comprising physical space within data centers and associated services, such as power, interconnection, environmental controls, monitoring, and security. Internap Corporation was founded in 1996 and is headquartered in Atlanta, Georgia.
Sticking With What Works
There is little doubt that we are in a long term bull market. One of the best ways to play this market is by buying the stocks that are seeing positive developments and are hitting new highs. INAP has both of these even and the market breaks a long streak of days without a 1% drawdown.
Earnings History
The earnings history isn’t exactly a stellar one. I see two beats and two misses in the last four outings. None of the last four reports saw the company outperform on the top line either. But something did catch my eye.
The most recent report was a beat of $0.03 which translated into a positive earnings surprise of 20%. This solid beat caused the stock to jump more than 31% in the session following the release. That has a way of making the chart look great!
Estimates
The Zacks Consensus Estimate for CY2017 saw a huge boost following the most recent earnings report. The number moved from a loss of $0.57 in January to a loss of $0.52 in February and is now at a loss of just $0.34. That is a big move in the right direction.
The CY18 number has also seen a dramatic move higher, going from a loss of $0.50 to a loss of $0.24 and settling at a loss of $0.16 over the same time period.
If the company continues to beat expectations, profitability could come by the end of the year.
Valuation
Without the benefit of positive earnings we don’t get to lean on the PE for our look at valuation. Instead we have to look at the conservative measure of price to book which has the stock trading at a discount to the market. INAP trades at about 4x book, but the industry average is trading closer to 6.5x. The more aggressive measure of price to sales show the stock trading at 0.7x compared to a 6.2x industry average. Both of these metrics show considerable room for growth.
Internap Corporation Price and Consensus
Internap Corporation Price and Consensus | Internap Corporation Quote
Zacks' 2017 IPO Watch List
Before looking into the stocks mentioned above, you may want to get a head start on potential tech IPOs that are popping up on Zacks' radar. Imagine being in the first wave of investors to jump on a company with almost unlimited growth potential? This Special Report gives you the current scoop on 5 that may go public at any time.
One has driven from 0 to a $68 billion valuation in 8 years. Four others are a little less obvious but already show jaw-dropping growth. Download this IPO Watch List today for free >>