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Logitech (LOGI) Outpaces Stock Market Gains: What You Should Know

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Logitech (LOGI - Free Report) closed at $75.84 in the latest trading session, marking a +1.42% move from the prior day. The stock outpaced the S&P 500's daily gain of 0.75%. At the same time, the Dow added 0.76%, and the tech-heavy Nasdaq gained 1.4%.

Heading into today, shares of the maker of keyboards, webcams and other computer accessories had gained 1.03% over the past month, outpacing the Computer and Technology sector's loss of 2.52% and lagging the S&P 500's gain of 7% in that time.

Investors will be hoping for strength from LOGI as it approaches its next earnings release. The company is expected to report EPS of $0.61, up 22% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $841.06 million, up 16.86% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.50 per share and revenue of $3.36 billion. These totals would mark changes of +16.28% and +12.92%, respectively, from last year.

Investors might also notice recent changes to analyst estimates for LOGI. These revisions help to show the ever-changing nature of near-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. 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. Within the past 30 days, our consensus EPS projection remained stagnant. LOGI currently has a Zacks Rank of #2 (Buy).

Valuation is also important, so investors should note that LOGI has a Forward P/E ratio of 29.97 right now. For comparison, its industry has an average Forward P/E of 36.53, which means LOGI is trading at a discount to the group.

The Computer - Peripheral Equipment industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 119, putting it in the top 47% 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.

You can find more information on all of these metrics, and much more, on Zacks.com.


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