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Meta Platforms (META) Registers a Bigger Fall Than the Market: Important Facts to Note
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Meta Platforms (META - Free Report) closed at $656.73 in the latest trading session, marking a -1.86% move from the prior day. The stock fell short of the S&P 500, which registered a loss of 0.79% for the day. Elsewhere, the Dow saw a downswing of 0.26%, while the tech-heavy Nasdaq depreciated by 1.55%.
The social media company's stock has climbed by 18.03% in the past month, exceeding the Computer and Technology sector's gain of 3.44% and the S&P 500's gain of 4.28%.
The investment community will be paying close attention to the earnings performance of Meta Platforms in its upcoming release. It is anticipated that the company will report an EPS of $7.09, marking a 0.7% fall compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $60.2 billion, reflecting a 26.69% rise from the equivalent quarter last year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $33.05 per share and a revenue of $253.41 billion, signifying shifts of +40.7% and +26.09%, respectively, from the last year.
Any recent changes to analyst estimates for Meta Platforms should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical 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. Over the past month, the Zacks Consensus EPS estimate has moved 0.36% higher. Meta Platforms currently has a Zacks Rank of #3 (Hold).
From a valuation perspective, Meta Platforms is currently exchanging hands at a Forward P/E ratio of 20.25. This expresses a premium compared to the average Forward P/E of 19.66 of its industry.
Investors should also note that META has a PEG ratio of 1.05 right now. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. Internet - Software stocks are, on average, holding a PEG ratio of 1.07 based on yesterday's closing prices.
The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 104, which puts it in the top 43% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
View the Zacks #1 Rank List
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Meta Platforms (META) Registers a Bigger Fall Than the Market: Important Facts to Note
Meta Platforms (META - Free Report) closed at $656.73 in the latest trading session, marking a -1.86% move from the prior day. The stock fell short of the S&P 500, which registered a loss of 0.79% for the day. Elsewhere, the Dow saw a downswing of 0.26%, while the tech-heavy Nasdaq depreciated by 1.55%.
The social media company's stock has climbed by 18.03% in the past month, exceeding the Computer and Technology sector's gain of 3.44% and the S&P 500's gain of 4.28%.
The investment community will be paying close attention to the earnings performance of Meta Platforms in its upcoming release. It is anticipated that the company will report an EPS of $7.09, marking a 0.7% fall compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $60.2 billion, reflecting a 26.69% rise from the equivalent quarter last year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $33.05 per share and a revenue of $253.41 billion, signifying shifts of +40.7% and +26.09%, respectively, from the last year.
Any recent changes to analyst estimates for Meta Platforms should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical 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. Over the past month, the Zacks Consensus EPS estimate has moved 0.36% higher. Meta Platforms currently has a Zacks Rank of #3 (Hold).
From a valuation perspective, Meta Platforms is currently exchanging hands at a Forward P/E ratio of 20.25. This expresses a premium compared to the average Forward P/E of 19.66 of its industry.
Investors should also note that META has a PEG ratio of 1.05 right now. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. Internet - Software stocks are, on average, holding a PEG ratio of 1.07 based on yesterday's closing prices.
The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 104, which puts it in the top 43% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.