Facebook closed at $132.43 in the latest trading session, marking a +0.67% move from the prior day. This move outpaced the S&P 500's daily loss of 1.82%. Meanwhile, the Dow lost 2.21%, and the Nasdaq, a tech-heavy index, lost 1.7%.
Heading into today, shares of the social media company had lost 15.01% over the past month, lagging the Computer and Technology sector's loss of 5.96% and the S&P 500's loss of 2.57% in that time.
Investors will be hoping for strength from FB as it approaches its next earnings release, which is expected to be January 30, 2019. On that day, FB is projected to report earnings of $2.19 per share, which would represent a year-over-year decline of 0.45%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $16.40 billion, up 26.4% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $7.35 per share and revenue of $55.33 billion. These totals would mark changes of +19.32% and +36.11%, respectively, from last year.
Any recent changes to analyst estimates for FB should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable 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. Within the past 30 days, our consensus EPS projection has moved 3.96% higher. FB is currently a Zacks Rank #3 (Hold).
Looking at its valuation, FB is holding a Forward P/E ratio of 17.91. This represents a discount compared to its industry's average Forward P/E of 31.99.
Also, we should mention that FB has a PEG ratio of 0.8. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Internet - Services industry currently had an average PEG ratio of 2.36 as of yesterday's close.
The Internet - Services industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 97, which puts it in the top 38% 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 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 at $132.43 in the latest trading session, marking a +0.67% move from the prior day. This move outpaced the S&P 500's daily loss of 1.82%. Meanwhile, the Dow lost 2.21%, and the Nasdaq, a tech-heavy index, lost 1.7%.
Heading into today, shares of the social media company had lost 15.01% over the past month, lagging the Computer and Technology sector's loss of 5.96% and the S&P 500's loss of 2.57% in that time.
Investors will be hoping for strength from FB as it approaches its next earnings release, which is expected to be January 30, 2019. On that day, FB is projected to report earnings of $2.19 per share, which would represent a year-over-year decline of 0.45%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $16.40 billion, up 26.4% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $7.35 per share and revenue of $55.33 billion. These totals would mark changes of +19.32% and +36.11%, respectively, from last year.
Any recent changes to analyst estimates for FB should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable 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. Within the past 30 days, our consensus EPS projection has moved 3.96% higher. FB is currently a Zacks Rank #3 (Hold).
Looking at its valuation, FB is holding a Forward P/E ratio of 17.91. This represents a discount compared to its industry's average Forward P/E of 31.99.
Also, we should mention that FB has a PEG ratio of 0.8. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Internet - Services industry currently had an average PEG ratio of 2.36 as of yesterday's close.
The Internet - Services industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 97, which puts it in the top 38% 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 FB in the coming trading sessions, be sure to utilize Zacks.com.