Splunk closed at $125.75 in the latest trading session, marking a +1.22% move from the prior day. This change outpaced the S&P 500's 0.58% gain on the day. At the same time, the Dow added 0.28%, and the tech-heavy Nasdaq gained 0.48%.
Coming into today, shares of the maker of software that helps companies collect and analyze internal data had gained 5.64% in the past month. In that same time, the Computer and Technology sector gained 3.51%, while the S&P 500 gained 3.62%.
Investors will be hoping for strength from SPLK as it approaches its next earnings release. On that day, SPLK is projected to report earnings of $0.12 per share, which would represent year-over-year growth of 50%. Meanwhile, our latest consensus estimate is calling for revenue of $486.70 million, up 25.34% from the prior-year quarter.
SPLK's full-year Zacks Consensus Estimates are calling for earnings of $1.80 per share and revenue of $2.26 billion. These results would represent year-over-year changes of +35.34% and +25.21%, respectively.
It is also important to note the recent changes to analyst estimates for SPLK. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. SPLK is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, SPLK is currently trading at a Forward P/E ratio of 68.96. This represents a premium compared to its industry's average Forward P/E of 63.24.
Investors should also note that SPLK has a PEG ratio of 2.49 right now. 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. The Internet - Software was holding an average PEG ratio of 2.8 at yesterday's closing price.
The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 101, which puts it in the top 40% 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.
To follow SPLK in the coming trading sessions, be sure to utilize Zacks.com.
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Splunk (SPLK) Outpaces Stock Market Gains: What You Should Know
Splunk closed at $125.75 in the latest trading session, marking a +1.22% move from the prior day. This change outpaced the S&P 500's 0.58% gain on the day. At the same time, the Dow added 0.28%, and the tech-heavy Nasdaq gained 0.48%.
Coming into today, shares of the maker of software that helps companies collect and analyze internal data had gained 5.64% in the past month. In that same time, the Computer and Technology sector gained 3.51%, while the S&P 500 gained 3.62%.
Investors will be hoping for strength from SPLK as it approaches its next earnings release. On that day, SPLK is projected to report earnings of $0.12 per share, which would represent year-over-year growth of 50%. Meanwhile, our latest consensus estimate is calling for revenue of $486.70 million, up 25.34% from the prior-year quarter.
SPLK's full-year Zacks Consensus Estimates are calling for earnings of $1.80 per share and revenue of $2.26 billion. These results would represent year-over-year changes of +35.34% and +25.21%, respectively.
It is also important to note the recent changes to analyst estimates for SPLK. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. SPLK is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, SPLK is currently trading at a Forward P/E ratio of 68.96. This represents a premium compared to its industry's average Forward P/E of 63.24.
Investors should also note that SPLK has a PEG ratio of 2.49 right now. 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. The Internet - Software was holding an average PEG ratio of 2.8 at yesterday's closing price.
The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 101, which puts it in the top 40% 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.
To follow SPLK in the coming trading sessions, be sure to utilize Zacks.com.