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Juniper Networks (JNPR) Rises Yet Lags Behind Market: Some Facts Worth Knowing

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The latest trading session saw Juniper Networks (JNPR - Free Report) ending at $37.18, denoting a +0.13% adjustment from its last day's close. This change lagged the S&P 500's 0.15% gain on the day. Meanwhile, the Dow lost 0.02%, and the Nasdaq, a tech-heavy index, added 0.32%.

Shares of the computer network equipment maker have appreciated by 0.35% over the course of the past month, underperforming the Computer and Technology sector's gain of 1.32% and the S&P 500's gain of 1.65%.

The investment community will be closely monitoring the performance of Juniper Networks in its forthcoming earnings report. The company is scheduled to release its earnings on April 25, 2024. The company's upcoming EPS is projected at $0.39, signifying a 18.75% drop compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $1.23 billion, down 10.33% from the prior-year quarter.

For the full year, the Zacks Consensus Estimates project earnings of $2.22 per share and a revenue of $5.38 billion, demonstrating changes of -1.77% and -3.24%, respectively, from the preceding year.

Investors should also take note of any recent adjustments to analyst estimates for Juniper Networks. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable 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 last 30 days, the Zacks Consensus EPS estimate has moved 0.12% lower. Right now, Juniper Networks possesses a Zacks Rank of #4 (Sell).

From a valuation perspective, Juniper Networks is currently exchanging hands at a Forward P/E ratio of 16.73. This signifies a premium in comparison to the average Forward P/E of 14.53 for its industry.

It's also important to note that JNPR currently trades at a PEG ratio of 4.7. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As the market closed yesterday, the Wireless Equipment industry was having an average PEG ratio of 1.44.

The Wireless Equipment industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 210, which puts it in the bottom 17% of all 250+ industries.

The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained 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 use to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.

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