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Paypal (PYPL) Outpaces Stock Market Gains: What You Should Know
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In the latest trading session, Paypal (PYPL - Free Report) closed at $264.06, marking a +1.5% move from the previous day. This change outpaced the S&P 500's 0.41% gain on the day.
Coming into today, shares of the technology platform and digital payments company had lost 11.29% in the past month. In that same time, the Computer and Technology sector lost 7.83%, while the S&P 500 lost 4.08%.
PYPL will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $1.07, unchanged from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $6.22 billion, up 13.96% from the year-ago period.
PYPL's full-year Zacks Consensus Estimates are calling for earnings of $4.73 per share and revenue of $25.77 billion. These results would represent year-over-year changes of +21.91% and +20.1%, respectively.
Investors might also notice recent changes to analyst estimates for PYPL. These revisions typically reflect the latest short-term business trends, which can change frequently. 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. Within the past 30 days, our consensus EPS projection remained stagnant. PYPL is currently sporting a Zacks Rank of #3 (Hold).
Digging into valuation, PYPL currently has a Forward P/E ratio of 55.04. For comparison, its industry has an average Forward P/E of 57.1, which means PYPL is trading at a discount to the group.
Also, we should mention that PYPL has a PEG ratio of 2.54. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Internet - Software stocks are, on average, holding a PEG ratio of 4.09 based on yesterday's closing prices.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 167, putting it in the bottom 35% 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.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Paypal (PYPL) Outpaces Stock Market Gains: What You Should Know
In the latest trading session, Paypal (PYPL - Free Report) closed at $264.06, marking a +1.5% move from the previous day. This change outpaced the S&P 500's 0.41% gain on the day.
Coming into today, shares of the technology platform and digital payments company had lost 11.29% in the past month. In that same time, the Computer and Technology sector lost 7.83%, while the S&P 500 lost 4.08%.
PYPL will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $1.07, unchanged from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $6.22 billion, up 13.96% from the year-ago period.
PYPL's full-year Zacks Consensus Estimates are calling for earnings of $4.73 per share and revenue of $25.77 billion. These results would represent year-over-year changes of +21.91% and +20.1%, respectively.
Investors might also notice recent changes to analyst estimates for PYPL. These revisions typically reflect the latest short-term business trends, which can change frequently. 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. Within the past 30 days, our consensus EPS projection remained stagnant. PYPL is currently sporting a Zacks Rank of #3 (Hold).
Digging into valuation, PYPL currently has a Forward P/E ratio of 55.04. For comparison, its industry has an average Forward P/E of 57.1, which means PYPL is trading at a discount to the group.
Also, we should mention that PYPL has a PEG ratio of 2.54. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Internet - Software stocks are, on average, holding a PEG ratio of 4.09 based on yesterday's closing prices.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 167, putting it in the bottom 35% 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.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.