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Alibaba (BABA) Stock Moves -1.02%: What You Should Know
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Alibaba (BABA - Free Report) closed at $119.14 in the latest trading session, marking a -1.02% move from the prior day. This move was narrower than the S&P 500's daily loss of 1.22%. At the same time, the Dow lost 0.19%, and the tech-heavy Nasdaq lost 0.54%.
Heading into today, shares of the online retailer had gained 3.24% over the past month, outpacing the Retail-Wholesale sector's loss of 9.72% and the S&P 500's loss of 6.58% in that time.
Investors will be hoping for strength from Alibaba as it approaches its next earnings release. The company is expected to report EPS of $2.52, down 25.44% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $38.54 billion, up 13.75% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $8.20 per share and revenue of $133.6 billion. These totals would mark changes of -17.51% and +24.76%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for Alibaba. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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 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. Over the past month, the Zacks Consensus EPS estimate has moved 1.37% lower. Alibaba is currently sporting a Zacks Rank of #5 (Strong Sell).
Investors should also note Alibaba's current valuation metrics, including its Forward P/E ratio of 14.68. For comparison, its industry has an average Forward P/E of 32.89, which means Alibaba is trading at a discount to the group.
Also, we should mention that BABA has a PEG ratio of 0.95. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. BABA's industry had an average PEG ratio of 1.34 as of yesterday's close.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 208, which puts it in the bottom 19% 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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Alibaba (BABA) Stock Moves -1.02%: What You Should Know
Alibaba (BABA - Free Report) closed at $119.14 in the latest trading session, marking a -1.02% move from the prior day. This move was narrower than the S&P 500's daily loss of 1.22%. At the same time, the Dow lost 0.19%, and the tech-heavy Nasdaq lost 0.54%.
Heading into today, shares of the online retailer had gained 3.24% over the past month, outpacing the Retail-Wholesale sector's loss of 9.72% and the S&P 500's loss of 6.58% in that time.
Investors will be hoping for strength from Alibaba as it approaches its next earnings release. The company is expected to report EPS of $2.52, down 25.44% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $38.54 billion, up 13.75% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $8.20 per share and revenue of $133.6 billion. These totals would mark changes of -17.51% and +24.76%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for Alibaba. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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 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. Over the past month, the Zacks Consensus EPS estimate has moved 1.37% lower. Alibaba is currently sporting a Zacks Rank of #5 (Strong Sell).
Investors should also note Alibaba's current valuation metrics, including its Forward P/E ratio of 14.68. For comparison, its industry has an average Forward P/E of 32.89, which means Alibaba is trading at a discount to the group.
Also, we should mention that BABA has a PEG ratio of 0.95. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. BABA's industry had an average PEG ratio of 1.34 as of yesterday's close.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 208, which puts it in the bottom 19% 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.