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Snap (SNAP) Stock Sinks As Market Gains: What You Should Know
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Snap (SNAP - Free Report) closed the most recent trading day at $9.64, moving -0.21% from the previous trading session. This move lagged the S&P 500's daily gain of 0.34%. Meanwhile, the Dow gained 0.64%, and the Nasdaq, a tech-heavy index, added 8.98%.
Coming into today, shares of the company behind Snapchat had gained 1.26% in the past month. In that same time, the Computer and Technology sector lost 0.17%, while the S&P 500 gained 1%.
Snap will be looking to display strength as it nears its next earnings release, which is expected to be January 31, 2023. On that day, Snap is projected to report earnings of $0.10 per share, which would represent a year-over-year decline of 54.55%. Our most recent consensus estimate is calling for quarterly revenue of $1.3 billion, up 0.47% from the year-ago period.
Any recent changes to analyst estimates for Snap should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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 has moved 8.44% lower. Snap is holding a Zacks Rank of #3 (Hold) right now.
Valuation is also important, so investors should note that Snap has a Forward P/E ratio of 33.44 right now. This valuation marks a discount compared to its industry's average Forward P/E of 41.39.
Also, we should mention that SNAP has a PEG ratio of 16.72. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Internet - Software stocks are, on average, holding a PEG ratio of 2.08 based on yesterday's closing prices.
The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 42, which puts it in the top 17% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Snap (SNAP) Stock Sinks As Market Gains: What You Should Know
Snap (SNAP - Free Report) closed the most recent trading day at $9.64, moving -0.21% from the previous trading session. This move lagged the S&P 500's daily gain of 0.34%. Meanwhile, the Dow gained 0.64%, and the Nasdaq, a tech-heavy index, added 8.98%.
Coming into today, shares of the company behind Snapchat had gained 1.26% in the past month. In that same time, the Computer and Technology sector lost 0.17%, while the S&P 500 gained 1%.
Snap will be looking to display strength as it nears its next earnings release, which is expected to be January 31, 2023. On that day, Snap is projected to report earnings of $0.10 per share, which would represent a year-over-year decline of 54.55%. Our most recent consensus estimate is calling for quarterly revenue of $1.3 billion, up 0.47% from the year-ago period.
Any recent changes to analyst estimates for Snap should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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 has moved 8.44% lower. Snap is holding a Zacks Rank of #3 (Hold) right now.
Valuation is also important, so investors should note that Snap has a Forward P/E ratio of 33.44 right now. This valuation marks a discount compared to its industry's average Forward P/E of 41.39.
Also, we should mention that SNAP has a PEG ratio of 16.72. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Internet - Software stocks are, on average, holding a PEG ratio of 2.08 based on yesterday's closing prices.
The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 42, which puts it in the top 17% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.