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Alphabet (GOOGL) Dips More Than Broader Markets: What You Should Know
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Alphabet (GOOGL - Free Report) closed at $1,116.70 in the latest trading session, marking a -0.77% move from the prior day. This change lagged the S&P 500's daily loss of 0.17%. Meanwhile, the Dow gained 0.03%, and the Nasdaq, a tech-heavy index, lost 0.32%.
Prior to today's trading, shares of the internet search leader had lost 1.74% over the past month. This has lagged the Computer and Technology sector's gain of 2.43% and the S&P 500's gain of 3.07% in that time.
GOOGL will be looking to display strength as it nears its next earnings release. On that day, GOOGL is projected to report earnings of $11.48 per share, which would represent a year-over-year decline of 2.3%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $30.90 billion, up 17.76% from the year-ago period.
GOOGL's full-year Zacks Consensus Estimates are calling for earnings of $45.59 per share and revenue of $130.10 billion. These results would represent year-over-year changes of +4.32% and +18.17%, respectively.
It is also important to note the recent changes to analyst estimates for GOOGL. 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.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an 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. GOOGL is holding a Zacks Rank of #3 (Hold) right now.
Valuation is also important, so investors should note that GOOGL has a Forward P/E ratio of 24.68 right now. For comparison, its industry has an average Forward P/E of 26.97, which means GOOGL is trading at a discount to the group.
Meanwhile, GOOGL's PEG ratio is currently 1.41. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. GOOGL's industry had an average PEG ratio of 2.63 as of yesterday's close.
The Internet - Services industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 73, which puts it in the top 29% 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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Alphabet (GOOGL) Dips More Than Broader Markets: What You Should Know
Alphabet (GOOGL - Free Report) closed at $1,116.70 in the latest trading session, marking a -0.77% move from the prior day. This change lagged the S&P 500's daily loss of 0.17%. Meanwhile, the Dow gained 0.03%, and the Nasdaq, a tech-heavy index, lost 0.32%.
Prior to today's trading, shares of the internet search leader had lost 1.74% over the past month. This has lagged the Computer and Technology sector's gain of 2.43% and the S&P 500's gain of 3.07% in that time.
GOOGL will be looking to display strength as it nears its next earnings release. On that day, GOOGL is projected to report earnings of $11.48 per share, which would represent a year-over-year decline of 2.3%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $30.90 billion, up 17.76% from the year-ago period.
GOOGL's full-year Zacks Consensus Estimates are calling for earnings of $45.59 per share and revenue of $130.10 billion. These results would represent year-over-year changes of +4.32% and +18.17%, respectively.
It is also important to note the recent changes to analyst estimates for GOOGL. 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.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an 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. GOOGL is holding a Zacks Rank of #3 (Hold) right now.
Valuation is also important, so investors should note that GOOGL has a Forward P/E ratio of 24.68 right now. For comparison, its industry has an average Forward P/E of 26.97, which means GOOGL is trading at a discount to the group.
Meanwhile, GOOGL's PEG ratio is currently 1.41. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. GOOGL's industry had an average PEG ratio of 2.63 as of yesterday's close.
The Internet - Services industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 73, which puts it in the top 29% 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.