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Snap (SNAP) Gains As Market Dips: What You Should Know
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In the latest trading session, Snap (SNAP - Free Report) closed at $9.45, marking a +0.53% move from the previous day. The stock outpaced the S&P 500's daily loss of 0.74%. At the same time, the Dow lost 0.9%, and the tech-heavy Nasdaq lost 0.03%.
Prior to today's trading, shares of the company behind Snapchat had lost 12.4% over the past month. This has lagged the Computer and Technology sector's gain of 6.65% and the S&P 500's gain of 3.74% in that time.
Investors will be hoping for strength from Snap as it approaches its next earnings release. On that day, Snap is projected to report earnings of $0.10 per share, which would represent a year-over-year decline of 54.55%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.31 billion, up 0.94% from the year-ago period.
SNAP's full-year Zacks Consensus Estimates are calling for earnings of $0.16 per share and revenue of $4.61 billion. These results would represent year-over-year changes of -68% and +12.03%, respectively.
It is also important to note the recent changes to analyst estimates for Snap. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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. Within the past 30 days, our consensus EPS projection remained stagnant. Snap currently has a Zacks Rank of #3 (Hold).
In terms of valuation, Snap is currently trading at a Forward P/E ratio of 58.03. Its industry sports an average Forward P/E of 45.48, so we one might conclude that Snap is trading at a premium comparatively.
Investors should also note that SNAP has a PEG ratio of 29.01 right now. 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. SNAP's industry had an average PEG ratio of 2.17 as of yesterday's close.
The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 60, which puts it in the top 24% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
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Snap (SNAP) Gains As Market Dips: What You Should Know
In the latest trading session, Snap (SNAP - Free Report) closed at $9.45, marking a +0.53% move from the previous day. The stock outpaced the S&P 500's daily loss of 0.74%. At the same time, the Dow lost 0.9%, and the tech-heavy Nasdaq lost 0.03%.
Prior to today's trading, shares of the company behind Snapchat had lost 12.4% over the past month. This has lagged the Computer and Technology sector's gain of 6.65% and the S&P 500's gain of 3.74% in that time.
Investors will be hoping for strength from Snap as it approaches its next earnings release. On that day, Snap is projected to report earnings of $0.10 per share, which would represent a year-over-year decline of 54.55%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.31 billion, up 0.94% from the year-ago period.
SNAP's full-year Zacks Consensus Estimates are calling for earnings of $0.16 per share and revenue of $4.61 billion. These results would represent year-over-year changes of -68% and +12.03%, respectively.
It is also important to note the recent changes to analyst estimates for Snap. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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. Within the past 30 days, our consensus EPS projection remained stagnant. Snap currently has a Zacks Rank of #3 (Hold).
In terms of valuation, Snap is currently trading at a Forward P/E ratio of 58.03. Its industry sports an average Forward P/E of 45.48, so we one might conclude that Snap is trading at a premium comparatively.
Investors should also note that SNAP has a PEG ratio of 29.01 right now. 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. SNAP's industry had an average PEG ratio of 2.17 as of yesterday's close.
The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 60, which puts it in the top 24% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.