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Alphabet (GOOGL) Stock Moves -0.47%: What You Should Know

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In the latest trading session, Alphabet (GOOGL - Free Report) closed at $2,279.01, marking a -0.47% move from the previous day. This change was narrower than the S&P 500's 0.68% loss on the day.

Prior to today's trading, shares of the internet search leader had gained 12.62% over the past month. This has outpaced the Computer and Technology sector's gain of 9.54% and the S&P 500's gain of 6.62% in that time.

Wall Street will be looking for positivity from GOOGL as it approaches its next earnings report date. This is expected to be April 27, 2021. The company is expected to report EPS of $15.52, up 57.24% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $42.23 billion, up 25.28% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $68.83 per share and revenue of $186.93 billion, which would represent changes of +17.44% and +24.83%, respectively, from the prior year.

Investors should also note any recent changes to analyst estimates for GOOGL. 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. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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. The Zacks Consensus EPS estimate has moved 0.31% lower within the past month. GOOGL is holding a Zacks Rank of #3 (Hold) right now.

Looking at its valuation, GOOGL is holding a Forward P/E ratio of 33.17. This valuation marks a premium compared to its industry's average Forward P/E of 31.94.

It is also worth noting that GOOGL currently has a PEG ratio of 1.87. 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 - Services stocks are, on average, holding a PEG ratio of 1.88 based on yesterday's closing prices.

The Internet - Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 180, putting it in the bottom 30% 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.

To follow GOOGL in the coming trading sessions, be sure to utilize Zacks.com.


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