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Logitech (LOGI) Dips More Than Broader Markets: What You Should Know

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Logitech (LOGI - Free Report) closed the most recent trading day at $89.39, moving -0.45% from the previous trading session. This move lagged the S&P 500's daily loss of 0.44%. Meanwhile, the Dow lost 0.62%, and the Nasdaq, a tech-heavy index, added 0.5%.

Coming into today, shares of the maker of keyboards, webcams and other computer accessories had gained 9.7% in the past month. In that same time, the Computer and Technology sector gained 4.57%, while the S&P 500 gained 2.71%.

LOGI will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $1.08, up 28.57% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $1.23 billion, up 35.91% from the year-ago period.

LOGI's full-year Zacks Consensus Estimates are calling for earnings of $4.12 per share and revenue of $4.16 billion. These results would represent year-over-year changes of +91.63% and +39.65%, respectively.

It is also important to note the recent changes to analyst estimates for LOGI. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

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. The Zacks Consensus EPS estimate remained stagnant within the past month. LOGI is currently a Zacks Rank #1 (Strong Buy).

Digging into valuation, LOGI currently has a Forward P/E ratio of 21.79. Its industry sports an average Forward P/E of 32.69, so we one might conclude that LOGI is trading at a discount comparatively.

The Computer - Peripheral Equipment industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 54, putting it in the top 22% 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.

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