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Meta Platforms (META) Sees a More Significant Dip Than Broader Market: Some Facts to Know
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In the latest trading session, Meta Platforms (META - Free Report) closed at $563.85, marking a -2.32% move from the previous day. The stock fell short of the S&P 500, which registered a loss of 0.37% for the day. At the same time, the Dow added 0.29%, and the tech-heavy Nasdaq lost 1.33%.
Coming into today, shares of the social media company had lost 5.41% in the past month. In that same time, the Computer and Technology sector gained 4.52%, while the S&P 500 gained 2.02%.
The investment community will be paying close attention to the earnings performance of Meta Platforms in its upcoming release. The company is expected to report EPS of $7.1, down 0.56% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $60.13 billion, up 26.56% from the prior-year quarter.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $33.01 per share and a revenue of $253.28 billion, indicating changes of +40.53% and +26.03%, respectively, from the former year.
Investors should also note any recent changes to analyst estimates for Meta Platforms. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming 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.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Meta Platforms presently features a Zacks Rank of #3 (Hold).
In terms of valuation, Meta Platforms is currently trading at a Forward P/E ratio of 17.49. This valuation marks a discount compared to its industry average Forward P/E of 18.33.
Investors should also note that META has a PEG ratio of 0.91 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. By the end of yesterday's trading, the Internet - Software industry had an average PEG ratio of 0.99.
The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 84, which puts it in the top 35% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
To follow META in the coming trading sessions, be sure to utilize Zacks.com.
View the Zacks #1 Rank List
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Meta Platforms (META) Sees a More Significant Dip Than Broader Market: Some Facts to Know
In the latest trading session, Meta Platforms (META - Free Report) closed at $563.85, marking a -2.32% move from the previous day. The stock fell short of the S&P 500, which registered a loss of 0.37% for the day. At the same time, the Dow added 0.29%, and the tech-heavy Nasdaq lost 1.33%.
Coming into today, shares of the social media company had lost 5.41% in the past month. In that same time, the Computer and Technology sector gained 4.52%, while the S&P 500 gained 2.02%.
The investment community will be paying close attention to the earnings performance of Meta Platforms in its upcoming release. The company is expected to report EPS of $7.1, down 0.56% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $60.13 billion, up 26.56% from the prior-year quarter.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $33.01 per share and a revenue of $253.28 billion, indicating changes of +40.53% and +26.03%, respectively, from the former year.
Investors should also note any recent changes to analyst estimates for Meta Platforms. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming 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.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Meta Platforms presently features a Zacks Rank of #3 (Hold).
In terms of valuation, Meta Platforms is currently trading at a Forward P/E ratio of 17.49. This valuation marks a discount compared to its industry average Forward P/E of 18.33.
Investors should also note that META has a PEG ratio of 0.91 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. By the end of yesterday's trading, the Internet - Software industry had an average PEG ratio of 0.99.
The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 84, which puts it in the top 35% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
To follow META in the coming trading sessions, be sure to utilize Zacks.com.