Back to top

Image: Bigstock

Vipshop Holdings Limited (VIPS) Beats Stock Market Upswing: What Investors Need to Know

Read MoreHide Full Article

Vipshop Holdings Limited (VIPS - Free Report) closed at $15.79 in the latest trading session, marking a +1.22% move from the prior day. The stock outpaced the S&P 500's daily gain of 1.2%. At the same time, the Dow added 0.69%, and the tech-heavy Nasdaq gained 1.59%.

Coming into today, shares of the company had lost 6.02% in the past month. In that same time, the Computer and Technology sector lost 6.83%, while the S&P 500 lost 4.16%.

The investment community will be paying close attention to the earnings performance of Vipshop Holdings Limited in its upcoming release. The company is forecasted to report an EPS of $0.59, showcasing a 15.69% upward movement from the corresponding quarter of the prior year. Our most recent consensus estimate is calling for quarterly revenue of $3.85 billion, down 3.95% from the year-ago period.

Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $2.55 per share and revenue of $16.45 billion, indicating changes of +7.14% and +3.72%, respectively, compared to the previous year.

It's also important for investors to be aware of any recent modifications to analyst estimates for Vipshop Holdings Limited. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable 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. Within the past 30 days, our consensus EPS projection has moved 0.45% higher. Vipshop Holdings Limited currently has a Zacks Rank of #1 (Strong Buy).

From a valuation perspective, Vipshop Holdings Limited is currently exchanging hands at a Forward P/E ratio of 6.12. This represents a discount compared to its industry's average Forward P/E of 25.51.

The Internet - Delivery Services industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 7, which puts it in the top 3% of all 250+ industries.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Remember to apply to follow these and more stock-moving metrics during the upcoming trading sessions.

See More Zacks Research for These Tickers

Normally $25 each - click below to receive one report FREE:

Vipshop Holdings Limited (VIPS) - free report >>

Published in