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Here's Why Lightspeed Commerce Inc. (LSPD) Fell More Than Broader Market

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Lightspeed Commerce Inc. (LSPD - Free Report) closed the most recent trading day at $11.48, moving -2.21% from the previous trading session. This change lagged the S&P 500's 0.33% loss on the day. Meanwhile, the Dow experienced a drop of 0.63%, and the technology-dominated Nasdaq saw a decrease of 0.22%.

Heading into today, shares of the company had gained 2.09% over the past month, lagging the Computer and Technology sector's gain of 5.24% and the S&P 500's gain of 4.07%.

The investment community will be paying close attention to the earnings performance of Lightspeed Commerce Inc. in its upcoming release. The company is slated to reveal its earnings on July 31, 2025. On that day, Lightspeed Commerce Inc. is projected to report earnings of $0.11 per share, which would represent year-over-year growth of 10%. In the meantime, our current consensus estimate forecasts the revenue to be $286.85 million, indicating a 7.8% growth compared to the corresponding quarter of the prior year.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $0.51 per share and a revenue of $1.19 billion, representing changes of +13.33% and +10.44%, respectively, from the prior year.

Investors might also notice recent changes to analyst estimates for Lightspeed Commerce Inc. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Right now, Lightspeed Commerce Inc. possesses a Zacks Rank of #3 (Hold).

In terms of valuation, Lightspeed Commerce Inc. is presently being traded at a Forward P/E ratio of 22.94. This represents a discount compared to its industry average Forward P/E of 28.6.

It is also worth noting that LSPD currently has a PEG ratio of 1.4. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Internet - Software was holding an average PEG ratio of 2.21 at yesterday's closing price.

The Internet - Software industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 67, finds itself in the top 28% echelons of all 250+ industries.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.


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