Facebook closed the most recent trading day at $142.16, moving +0.43% from the previous trading session. This move outpaced the S&P 500's daily loss of 0.15%. Meanwhile, the Dow lost 0.4%, and the Nasdaq, a tech-heavy index, 0%.
Prior to today's trading, shares of the social media company had lost 7.8% over the past month. This has lagged the Computer and Technology sector's loss of 5.26% and the S&P 500's loss of 1.27% in that time.
Wall Street will be looking for positivity from FB as it approaches its next earnings report date. This is expected to be January 30, 2019. In that report, analysts expect FB to post earnings of $2.19 per share. This would mark a year-over-year decline of 0.45%. Meanwhile, our latest consensus estimate is calling for revenue of $16.40 billion, up 26.4% from the prior-year quarter.
FB's full-year Zacks Consensus Estimates are calling for earnings of $7.35 per share and revenue of $55.33 billion. These results would represent year-over-year changes of +19.32% and +36.11%, respectively.
It is also important to note the recent changes to analyst estimates for FB. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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.
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. Within the past 30 days, our consensus EPS projection has moved 3.95% higher. FB currently has a Zacks Rank of #3 (Hold).
In terms of valuation, FB is currently trading at a Forward P/E ratio of 19.27. For comparison, its industry has an average Forward P/E of 28.95, which means FB is trading at a discount to the group.
We can also see that FB currently has a PEG ratio of 0.86. 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. FB's industry had an average PEG ratio of 2.25 as of yesterday's close.
The Internet - Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 86, putting it in the top 33% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow FB in the coming trading sessions, be sure to utilize Zacks.com.
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Facebook (FB) Gains As Market Dips: What You Should Know
Facebook closed the most recent trading day at $142.16, moving +0.43% from the previous trading session. This move outpaced the S&P 500's daily loss of 0.15%. Meanwhile, the Dow lost 0.4%, and the Nasdaq, a tech-heavy index, 0%.
Prior to today's trading, shares of the social media company had lost 7.8% over the past month. This has lagged the Computer and Technology sector's loss of 5.26% and the S&P 500's loss of 1.27% in that time.
Wall Street will be looking for positivity from FB as it approaches its next earnings report date. This is expected to be January 30, 2019. In that report, analysts expect FB to post earnings of $2.19 per share. This would mark a year-over-year decline of 0.45%. Meanwhile, our latest consensus estimate is calling for revenue of $16.40 billion, up 26.4% from the prior-year quarter.
FB's full-year Zacks Consensus Estimates are calling for earnings of $7.35 per share and revenue of $55.33 billion. These results would represent year-over-year changes of +19.32% and +36.11%, respectively.
It is also important to note the recent changes to analyst estimates for FB. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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.
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. Within the past 30 days, our consensus EPS projection has moved 3.95% higher. FB currently has a Zacks Rank of #3 (Hold).
In terms of valuation, FB is currently trading at a Forward P/E ratio of 19.27. For comparison, its industry has an average Forward P/E of 28.95, which means FB is trading at a discount to the group.
We can also see that FB currently has a PEG ratio of 0.86. 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. FB's industry had an average PEG ratio of 2.25 as of yesterday's close.
The Internet - Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 86, putting it in the top 33% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow FB in the coming trading sessions, be sure to utilize Zacks.com.