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Autodesk (ADSK) Outpaces Stock Market Gains: What You Should Know

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Autodesk (ADSK - Free Report) closed at $329.04 in the latest trading session, marking a +1.39% move from the prior day. This change outpaced the S&P 500's 0.09% gain on the day.

Coming into today, shares of the design software company had gained 16.34% in the past month. In that same time, the Computer and Technology sector gained 9.47%, while the S&P 500 gained 8.19%.

Investors will be hoping for strength from ADSK as it approaches its next earnings release, which is expected to be November 23, 2021. In that report, analysts expect ADSK to post earnings of $1.25 per share. This would mark year-over-year growth of 20.19%. Meanwhile, our latest consensus estimate is calling for revenue of $1.12 billion, up 17.4% from the prior-year quarter.

For the full year, our Zacks Consensus Estimates are projecting earnings of $4.97 per share and revenue of $4.37 billion, which would represent changes of +22.72% and +15.22%, respectively, from the prior year.

Investors might also notice recent changes to analyst estimates for ADSK. These recent revisions tend to reflect the evolving nature of short-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, 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 1.21% lower within the past month. ADSK is currently sporting a Zacks Rank of #3 (Hold).

Digging into valuation, ADSK currently has a Forward P/E ratio of 65.28. This represents a premium compared to its industry's average Forward P/E of 39.6.

It is also worth noting that ADSK currently has a PEG ratio of 1.87. 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. The Computer - Software industry currently had an average PEG ratio of 2.92 as of yesterday's close.

The Computer - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 102, putting it in the top 41% 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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