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NCR (NCR) Rises But Trails Market: What Investors Should Know

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In the latest trading session, NCR closed at $26.28, marking a +1.12% move from the previous day. The stock fell short of the S&P 500, which registered a gain of 1.18% for the day. Elsewhere, the Dow saw an upswing of 0.87%, while the tech-heavy Nasdaq appreciated by 1.6%.

The the stock of maker of ATMs and other hardware and software to handle payments has fallen by 5.66% in the past month, lagging the Computer and Technology sector's loss of 5.27% and the S&P 500's loss of 5.17%.

The investment community will be closely monitoring the performance of NCR in its forthcoming earnings report. It is anticipated that the company will report an EPS of $0.95, marking a 18.75% rise compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.01 billion, up 1.95% from the year-ago period.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $3.45 per share and a revenue of $7.95 billion, representing changes of +31.68% and +1.4%, respectively, from the prior year.

It's also important for investors to be aware of any recent modifications to analyst estimates for NCR. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.

The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. NCR is holding a Zacks Rank of #3 (Hold) right now.

Digging into valuation, NCR currently has a Forward P/E ratio of 7.52. For comparison, its industry has an average Forward P/E of 15.85, which means NCR is trading at a discount to the group.

The Computer - Integrated Systems industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 171, which puts it in the bottom 33% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual 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.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.

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