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Silvergate Capital Corporation (SI) Stock Sinks As Market Gains: What You Should Know

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Silvergate Capital Corporation closed the most recent trading day at $16.89, moving -1.57% from the previous trading session. This move lagged the S&P 500's daily gain of 0.1%. At the same time, the Dow added 0.28%, and the tech-heavy Nasdaq lost 0.06%.

Heading into today, shares of the company had lost 29.3% over the past month, lagging the Finance sector's loss of 3.85% and the S&P 500's loss of 3.6% in that time.

Silvergate Capital Corporation will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.48, down 27.27% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $71.38 million, up 44.9% from the prior-year quarter.

SI's full-year Zacks Consensus Estimates are calling for earnings of $3.68 per share and revenue of $300.81 million. These results would represent year-over-year changes of +26.46% and +72.36%, respectively.

Investors should also note any recent changes to analyst estimates for Silvergate Capital Corporation. 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. 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. Over the past month, the Zacks Consensus EPS estimate has moved 11.45% lower. Silvergate Capital Corporation is holding a Zacks Rank of #5 (Strong Sell) right now.

Valuation is also important, so investors should note that Silvergate Capital Corporation has a Forward P/E ratio of 4.67 right now. This valuation marks a discount compared to its industry's average Forward P/E of 10.27.

Investors should also note that SI has a PEG ratio of 0.12 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. SI's industry had an average PEG ratio of 1.53 as of yesterday's close.

The Banks - Southwest industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 86, which puts it in the top 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 to follow all of these stock-moving metrics, and more, in the coming trading sessions.

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