Back to top

Image: Bigstock

Fiverr International (FVRR) Dips More Than Broader Markets: What You Should Know

Read MoreHide Full Article

In the latest trading session, Fiverr International (FVRR - Free Report) closed at $196.33, marking a -1.99% move from the previous day. This move lagged the S&P 500's daily loss of 1.7%.

Heading into today, shares of the online marketplace for freelance services had gained 21.9% over the past month, outpacing the Retail-Wholesale sector's gain of 2.56% and the S&P 500's loss of 0.27% in that time.

FVRR will be looking to display strength as it nears its next earnings release. On that day, FVRR is projected to report earnings of $0.03 per share, which would represent a year-over-year decline of 75%. Meanwhile, our latest consensus estimate is calling for revenue of $70.9 million, up 35.44% from the prior-year quarter.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $0.02 per share and revenue of $285.92 million. These totals would mark changes of -93.1% and +50.87%, respectively, from last year.

Investors should also note any recent changes to analyst estimates for FVRR. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about 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 remained stagnant within the past month. FVRR is currently a Zacks Rank #4 (Sell).

In terms of valuation, FVRR is currently trading at a Forward P/E ratio of 13354. For comparison, its industry has an average Forward P/E of 53.46, which means FVRR is trading at a premium to the group.

The Internet - Commerce industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 206, which puts it in the bottom 19% 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.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Fiverr International (FVRR) - free report >>

Published in