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Paypal (PYPL) Gains As Market Dips: What You Should Know
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Paypal (PYPL - Free Report) closed the most recent trading day at $255.85, moving +0.31% from the previous trading session. The stock outpaced the S&P 500's daily loss of 0.24%.
Prior to today's trading, shares of the technology platform and digital payments company had lost 9.07% over the past month. This has lagged the Computer and Technology sector's loss of 5.49% and the S&P 500's loss of 2.12% in that time.
Investors will be hoping for strength from PYPL as it approaches its next earnings release. In that report, analysts expect PYPL to post earnings of $1.07 per share. This would mark no growth from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $6.22 billion, up 13.96% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $4.73 per share and revenue of $25.77 billion, which would represent changes of +21.91% and +20.1%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for PYPL. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. PYPL currently has a Zacks Rank of #3 (Hold).
In terms of valuation, PYPL is currently trading at a Forward P/E ratio of 53.97. This represents a discount compared to its industry's average Forward P/E of 58.08.
We can also see that PYPL currently has a PEG ratio of 2.49. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Internet - Software stocks are, on average, holding a PEG ratio of 4.01 based on yesterday's closing prices.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 173, putting it in the bottom 32% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Paypal (PYPL) Gains As Market Dips: What You Should Know
Paypal (PYPL - Free Report) closed the most recent trading day at $255.85, moving +0.31% from the previous trading session. The stock outpaced the S&P 500's daily loss of 0.24%.
Prior to today's trading, shares of the technology platform and digital payments company had lost 9.07% over the past month. This has lagged the Computer and Technology sector's loss of 5.49% and the S&P 500's loss of 2.12% in that time.
Investors will be hoping for strength from PYPL as it approaches its next earnings release. In that report, analysts expect PYPL to post earnings of $1.07 per share. This would mark no growth from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $6.22 billion, up 13.96% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $4.73 per share and revenue of $25.77 billion, which would represent changes of +21.91% and +20.1%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for PYPL. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. PYPL currently has a Zacks Rank of #3 (Hold).
In terms of valuation, PYPL is currently trading at a Forward P/E ratio of 53.97. This represents a discount compared to its industry's average Forward P/E of 58.08.
We can also see that PYPL currently has a PEG ratio of 2.49. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Internet - Software stocks are, on average, holding a PEG ratio of 4.01 based on yesterday's closing prices.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 173, putting it in the bottom 32% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.