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.
Internet Earnings Preview for Jul 27: FB, SFLY & Others
Read MoreHide Full Article
The Q2 earnings season is in full swing, with as many as 1000 companies, including 189 S&P 500 members, scheduled to post their financial numbers this week.
Technology, like many other sectors, is also likely to see earnings decline from the year-earlier level. Total earnings in the tech sector are expected to be down 3.0% on 2.7% higher revenues, compared to last quarter’s 4.5% earnings decline on 0.4% higher revenues. Excluding Apple, the tech sector’s earnings are anticipated to be up 3.5%. (Read more: Decisive Week for the Q2 Earnings Season)
However, given the surge in the adoption of smartphones, tablets and other mobile devices, Internet is still an attractive segment. Also, exponential growth in consumer spending online and continued advancement in technology are keeping investors’ interest in the sector alive.
Among all the companies slated to report earnings this week, let’s see what’s in store for these four Internet stocks on Jul 27.
Facebook, Inc. recorded a positive earnings surprise of 29.55% last quarter. In fact, Facebook outperformed the Zacks Consensus Estimate in three of the trailing four quarters, with an average positive surprise of 11.80%.
Notably, our proven model does not show that Facebook is likely to beat the Zacks Consensus Estimate in the upcoming second quarter. This is because a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) for this to happen. This does not hold true for Facebook as elaborated below:
The Earnings ESP for Facebook is 0.0% as the Most Accurate estimate and the Zacks Consensus Estimate are both pegged at 62 cents. It currently carries a Zacks Rank #3. So, we can’t say whether the company will beat estimates this time around. (Read more: Will Facebook Deliver Stellar Earnings Again in Q2?)
Shutterfly, Inc. recorded a positive earnings surprise of 12.37% last quarter. The company outperformed the Zacks Consensus Estimate twice in the last four quarters, with an average positive surprise of 10.73%.
For the second quarter, Shutterfly has an Earnings ESP of +0.00% as the Most Accurate estimate and the Zacks Consensus Estimate are both pegged at a loss of 66 cents. It currently carries a Zacks Rank #3. So, in this case, we can’t say whether the company will beat estimates this time around. (Read more: What's in Store for Shutterfly This Earnings Season?)
LivePerson Inc. (LPSN - Free Report) provides technology that facilitates real-time sales and customer service for companies doing business on the Internet. The company delivered a positive earnings surprise of 40.0% last quarter. Notably, LivePerson outperformed the Zacks Consensus Estimate in each of the trailing four quarters, with an average positive surprise of 103.75%.
For the second quarter, LivePerson has an Earnings ESP of 0.00% as the Most Accurate estimate and the Zacks Consensus Estimate are both pegged at a loss of 5 cents. The company has a Zacks Rank #2, which increases the predictive power of ESP. However, a 0.00% ESP makes surprise prediction difficult.
Aspen Group, Inc. (ASPU - Free Report) will report its fiscal fourth-quarter results on Jul27. Headquartered in Denver, CO, Aspen Group is an online post-secondary education company. It offers certificate programs and other degree programs in varied fields. These include business and organization management, education, nursing, information technology, and general studies.
For the to-be-reported quarter, Aspen Group has an Earnings ESP of +0.00% as the Most Accurate estimate and the Zacks Consensus Estimate are both pegged at a breakeven. It currently carries a Zacks Rank #3. So, we can’t say whether the company will beat estimates this time around.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>
Unique Zacks Analysis of Your Chosen Ticker
Pick one free report - opportunity may be withdrawn at any time
Image: Bigstock
Internet Earnings Preview for Jul 27: FB, SFLY & Others
The Q2 earnings season is in full swing, with as many as 1000 companies, including 189 S&P 500 members, scheduled to post their financial numbers this week.
Technology, like many other sectors, is also likely to see earnings decline from the year-earlier level. Total earnings in the tech sector are expected to be down 3.0% on 2.7% higher revenues, compared to last quarter’s 4.5% earnings decline on 0.4% higher revenues. Excluding Apple, the tech sector’s earnings are anticipated to be up 3.5%. (Read more: Decisive Week for the Q2 Earnings Season)
However, given the surge in the adoption of smartphones, tablets and other mobile devices, Internet is still an attractive segment. Also, exponential growth in consumer spending online and continued advancement in technology are keeping investors’ interest in the sector alive.
Among all the companies slated to report earnings this week, let’s see what’s in store for these four Internet stocks on Jul 27.
Facebook, Inc. recorded a positive earnings surprise of 29.55% last quarter. In fact, Facebook outperformed the Zacks Consensus Estimate in three of the trailing four quarters, with an average positive surprise of 11.80%.
Notably, our proven model does not show that Facebook is likely to beat the Zacks Consensus Estimate in the upcoming second quarter. This is because a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) for this to happen. This does not hold true for Facebook as elaborated below:
The Earnings ESP for Facebook is 0.0% as the Most Accurate estimate and the Zacks Consensus Estimate are both pegged at 62 cents. It currently carries a Zacks Rank #3. So, we can’t say whether the company will beat estimates this time around. (Read more: Will Facebook Deliver Stellar Earnings Again in Q2?)
FACEBOOK INC-A Price and EPS Surprise
FACEBOOK INC-A Price and EPS Surprise | FACEBOOK INC-A Quote
Shutterfly, Inc. recorded a positive earnings surprise of 12.37% last quarter. The company outperformed the Zacks Consensus Estimate twice in the last four quarters, with an average positive surprise of 10.73%.
For the second quarter, Shutterfly has an Earnings ESP of +0.00% as the Most Accurate estimate and the Zacks Consensus Estimate are both pegged at a loss of 66 cents. It currently carries a Zacks Rank #3. So, in this case, we can’t say whether the company will beat estimates this time around. (Read more: What's in Store for Shutterfly This Earnings Season?)
SHUTTERFLY INC Price and EPS Surprise
SHUTTERFLY INC Price and EPS Surprise | SHUTTERFLY INC Quote
LivePerson Inc. (LPSN - Free Report) provides technology that facilitates real-time sales and customer service for companies doing business on the Internet. The company delivered a positive earnings surprise of 40.0% last quarter. Notably, LivePerson outperformed the Zacks Consensus Estimate in each of the trailing four quarters, with an average positive surprise of 103.75%.
For the second quarter, LivePerson has an Earnings ESP of 0.00% as the Most Accurate estimate and the Zacks Consensus Estimate are both pegged at a loss of 5 cents. The company has a Zacks Rank #2, which increases the predictive power of ESP. However, a 0.00% ESP makes surprise prediction difficult.
LIVEPERSON INC Price and EPS Surprise
LIVEPERSON INC Price and EPS Surprise | LIVEPERSON INC Quote
Aspen Group, Inc. (ASPU - Free Report) will report its fiscal fourth-quarter results on Jul27. Headquartered in Denver, CO, Aspen Group is an online post-secondary education company. It offers certificate programs and other degree programs in varied fields. These include business and organization management, education, nursing, information technology, and general studies.
For the to-be-reported quarter, Aspen Group has an Earnings ESP of +0.00% as the Most Accurate estimate and the Zacks Consensus Estimate are both pegged at a breakeven. It currently carries a Zacks Rank #3. So, we can’t say whether the company will beat estimates this time around.
ASPEN GROUP INC Price and EPS Surprise
ASPEN GROUP INC Price and EPS Surprise | ASPEN GROUP INC Quote
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>