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Squarespace (SQSP) Stock Drops Despite Market Gains: Important Facts to Note
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In the latest market close, Squarespace (SQSP - Free Report) reached $33.05, with a -0.24% movement compared to the previous day. The stock fell short of the S&P 500, which registered a gain of 0.53% for the day. At the same time, the Dow added 0.64%, and the tech-heavy Nasdaq gained 0.19%.
Heading into today, shares of the a software company had lost 0.51% over the past month, lagging the Computer and Technology sector's gain of 5.21% and the S&P 500's gain of 2.48% in that time.
Market participants will be closely following the financial results of Squarespace in its upcoming release. The company plans to announce its earnings on February 28, 2024. The company is forecasted to report an EPS of $0.17, showcasing a 342.86% upward movement from the corresponding quarter of the prior year. Simultaneously, our latest consensus estimate expects the revenue to be $263.79 million, showing a 15.29% escalation compared to the year-ago quarter.
Any recent changes to analyst estimates for Squarespace should also be noted by investors. Recent revisions tend to reflect the latest 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. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Right now, Squarespace possesses a Zacks Rank of #5 (Strong Sell).
Looking at valuation, Squarespace is presently trading at a Forward P/E ratio of 72.97. This denotes a premium relative to the industry's average Forward P/E of 23.46.
Meanwhile, SQSP's PEG ratio is currently 1.75. 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. The Internet - Software and Services was holding an average PEG ratio of 1.15 at yesterday's closing price.
The Internet - Software and Services industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 113, finds itself in the top 45% echelons of all 250+ industries.
The Zacks Industry Rank is ordered 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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Squarespace (SQSP) Stock Drops Despite Market Gains: Important Facts to Note
In the latest market close, Squarespace (SQSP - Free Report) reached $33.05, with a -0.24% movement compared to the previous day. The stock fell short of the S&P 500, which registered a gain of 0.53% for the day. At the same time, the Dow added 0.64%, and the tech-heavy Nasdaq gained 0.19%.
Heading into today, shares of the a software company had lost 0.51% over the past month, lagging the Computer and Technology sector's gain of 5.21% and the S&P 500's gain of 2.48% in that time.
Market participants will be closely following the financial results of Squarespace in its upcoming release. The company plans to announce its earnings on February 28, 2024. The company is forecasted to report an EPS of $0.17, showcasing a 342.86% upward movement from the corresponding quarter of the prior year. Simultaneously, our latest consensus estimate expects the revenue to be $263.79 million, showing a 15.29% escalation compared to the year-ago quarter.
Any recent changes to analyst estimates for Squarespace should also be noted by investors. Recent revisions tend to reflect the latest 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. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Right now, Squarespace possesses a Zacks Rank of #5 (Strong Sell).
Looking at valuation, Squarespace is presently trading at a Forward P/E ratio of 72.97. This denotes a premium relative to the industry's average Forward P/E of 23.46.
Meanwhile, SQSP's PEG ratio is currently 1.75. 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. The Internet - Software and Services was holding an average PEG ratio of 1.15 at yesterday's closing price.
The Internet - Software and Services industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 113, finds itself in the top 45% echelons of all 250+ industries.
The Zacks Industry Rank is ordered 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.