We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Alphabet (GOOGL) Surpasses Market Returns: Some Facts Worth Knowing
Read MoreHide Full Article
Alphabet (GOOGL - Free Report) closed the most recent trading day at $305.56, moving +1.09% from the previous trading session. This change outpaced the S&P 500's 1.01% gain on the day. On the other hand, the Dow registered a gain of 0.83%, and the technology-centric Nasdaq increased by 1.22%.
The internet search leader's stock has dropped by 1.13% in the past month, exceeding the Computer and Technology sector's loss of 2.06% and the S&P 500's loss of 2.86%.
Investors will be eagerly watching for the performance of Alphabet in its upcoming earnings disclosure. The company's earnings per share (EPS) are projected to be $2.76, reflecting a 1.78% decrease from the same quarter last year. Meanwhile, our latest consensus estimate is calling for revenue of $91.69 billion, up 19.88% from the prior-year quarter.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $11.6 per share and a revenue of $407.2 billion, signifying shifts of +7.31% and +18.75%, respectively, from the last year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Alphabet. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.28% higher. Alphabet currently has a Zacks Rank of #3 (Hold).
With respect to valuation, Alphabet is currently being traded at a Forward P/E ratio of 26.05. Its industry sports an average Forward P/E of 15.56, so one might conclude that Alphabet is trading at a premium comparatively.
One should further note that GOOGL currently holds a PEG ratio of 1.77. 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 Internet - Services industry was having an average PEG ratio of 1.76.
The Internet - Services industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 177, this industry ranks in the bottom 28% 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.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
Zacks' 7 Best Strong Buy Stocks (New Research Report)
Valued at $99, click below to receive our just-released report
predicting the 7 stocks that will soar highest in the coming month.
View the Zacks #1 Rank List
Image: Bigstock
Alphabet (GOOGL) Surpasses Market Returns: Some Facts Worth Knowing
Alphabet (GOOGL - Free Report) closed the most recent trading day at $305.56, moving +1.09% from the previous trading session. This change outpaced the S&P 500's 1.01% gain on the day. On the other hand, the Dow registered a gain of 0.83%, and the technology-centric Nasdaq increased by 1.22%.
The internet search leader's stock has dropped by 1.13% in the past month, exceeding the Computer and Technology sector's loss of 2.06% and the S&P 500's loss of 2.86%.
Investors will be eagerly watching for the performance of Alphabet in its upcoming earnings disclosure. The company's earnings per share (EPS) are projected to be $2.76, reflecting a 1.78% decrease from the same quarter last year. Meanwhile, our latest consensus estimate is calling for revenue of $91.69 billion, up 19.88% from the prior-year quarter.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $11.6 per share and a revenue of $407.2 billion, signifying shifts of +7.31% and +18.75%, respectively, from the last year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Alphabet. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.28% higher. Alphabet currently has a Zacks Rank of #3 (Hold).
With respect to valuation, Alphabet is currently being traded at a Forward P/E ratio of 26.05. Its industry sports an average Forward P/E of 15.56, so one might conclude that Alphabet is trading at a premium comparatively.
One should further note that GOOGL currently holds a PEG ratio of 1.77. 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 Internet - Services industry was having an average PEG ratio of 1.76.
The Internet - Services industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 177, this industry ranks in the bottom 28% 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.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.