Twitter closed at $38.01 in the latest trading session, marking a -1.73% move from the prior day. This move lagged the S&P 500's daily loss of 0.34%. At the same time, the Dow lost 0.09%, and the tech-heavy Nasdaq lost 0.43%.
Prior to today's trading, shares of the short messaging service had gained 6.15% over the past month. This has lagged the Computer and Technology sector's gain of 6.28% and outpaced the S&P 500's gain of 4.46% in that time.
Investors will be hoping for strength from TWTR as it approaches its next earnings release, which is expected to be July 26, 2019. The company is expected to report EPS of $0.18, up 5.88% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $828.49 million, up 16.6% from the year-ago period.
TWTR's full-year Zacks Consensus Estimates are calling for earnings of $1.05 per share and revenue of $3.53 billion. These results would represent year-over-year changes of +22.09% and +15.97%, respectively.
Investors might also notice recent changes to analyst estimates for TWTR. 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.
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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. TWTR is currently sporting a Zacks Rank of #3 (Hold).
Digging into valuation, TWTR currently has a Forward P/E ratio of 36.8. Its industry sports an average Forward P/E of 65.74, so we one might conclude that TWTR is trading at a discount comparatively.
Investors should also note that TWTR has a PEG ratio of 1.57 right now. 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. Internet - Software stocks are, on average, holding a PEG ratio of 3.5 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 59, which puts it in the top 24% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Twitter (TWTR) Dips More Than Broader Markets: What You Should Know
Twitter closed at $38.01 in the latest trading session, marking a -1.73% move from the prior day. This move lagged the S&P 500's daily loss of 0.34%. At the same time, the Dow lost 0.09%, and the tech-heavy Nasdaq lost 0.43%.
Prior to today's trading, shares of the short messaging service had gained 6.15% over the past month. This has lagged the Computer and Technology sector's gain of 6.28% and outpaced the S&P 500's gain of 4.46% in that time.
Investors will be hoping for strength from TWTR as it approaches its next earnings release, which is expected to be July 26, 2019. The company is expected to report EPS of $0.18, up 5.88% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $828.49 million, up 16.6% from the year-ago period.
TWTR's full-year Zacks Consensus Estimates are calling for earnings of $1.05 per share and revenue of $3.53 billion. These results would represent year-over-year changes of +22.09% and +15.97%, respectively.
Investors might also notice recent changes to analyst estimates for TWTR. 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.
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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. TWTR is currently sporting a Zacks Rank of #3 (Hold).
Digging into valuation, TWTR currently has a Forward P/E ratio of 36.8. Its industry sports an average Forward P/E of 65.74, so we one might conclude that TWTR is trading at a discount comparatively.
Investors should also note that TWTR has a PEG ratio of 1.57 right now. 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. Internet - Software stocks are, on average, holding a PEG ratio of 3.5 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 59, which puts it in the top 24% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.