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Synchronoss (SNCR) Stock Sinks As Market Gains: What You Should Know

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In the latest close session, Synchronoss (SNCR - Free Report) was down 2.79% at $6.96. This change lagged the S&P 500's 0.38% gain on the day. Elsewhere, the Dow gained 0.24%, while the tech-heavy Nasdaq added 0.24%.

The stock of mobile services company has fallen by 5.79% in the past month, lagging the Computer and Technology sector's gain of 11.61% and the S&P 500's gain of 6.6%.

Market participants will be closely following the financial results of Synchronoss in its upcoming release. On that day, Synchronoss is projected to report earnings of $0.25 per share, which would represent a year-over-year decline of 47.92%. In the meantime, our current consensus estimate forecasts the revenue to be $42.59 million, indicating a 2% decline compared to the corresponding quarter of the prior year.

For the full year, the Zacks Consensus Estimates are projecting earnings of $1.17 per share and revenue of $172.42 million, which would represent changes of -28.22% and -0.68%, respectively, from the prior year.

Any recent changes to analyst estimates for Synchronoss should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

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, there's been a 23.91% fall in the Zacks Consensus EPS estimate. Right now, Synchronoss possesses a Zacks Rank of #5 (Strong Sell).

Looking at its valuation, Synchronoss is holding a Forward P/E ratio of 6.12. This represents a discount compared to its industry average Forward P/E of 28.63.

The Internet - Software industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 48, this industry ranks in the top 20% of all industries, numbering over 250.

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.

Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.


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