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Alphabet (GOOG) Gains But Lags Market: What You Should Know
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In the latest trading session, Alphabet (GOOG - Free Report) closed at $1,174.61, marking a +0.52% move from the previous day. The stock lagged the S&P 500's daily gain of 0.67%. Elsewhere, the Dow gained 0.82%, while the tech-heavy Nasdaq added 0.78%.
Heading into today, shares of the internet search leader had gained 4.34% over the past month, outpacing the Computer and Technology sector's gain of 2.27% and the S&P 500's gain of 1.25% in that time.
Wall Street will be looking for positivity from GOOG as it approaches its next earnings report date. The company is expected to report EPS of $10.55, up 6.24% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $29.96 billion, up 20.51% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $47.38 per share and revenue of $131.76 billion. These totals would mark changes of +8.42% and +19.68%, respectively, from last year.
Any recent changes to analyst estimates for GOOG should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. GOOG is currently sporting a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that GOOG has a Forward P/E ratio of 24.66 right now. This valuation marks a discount compared to its industry's average Forward P/E of 24.7.
Investors should also note that GOOG has a PEG ratio of 1.41 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. The Internet - Services was holding an average PEG ratio of 3.06 at yesterday's closing price.
The Internet - Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 104, putting it in the top 41% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Alphabet (GOOG) Gains But Lags Market: What You Should Know
In the latest trading session, Alphabet (GOOG - Free Report) closed at $1,174.61, marking a +0.52% move from the previous day. The stock lagged the S&P 500's daily gain of 0.67%. Elsewhere, the Dow gained 0.82%, while the tech-heavy Nasdaq added 0.78%.
Heading into today, shares of the internet search leader had gained 4.34% over the past month, outpacing the Computer and Technology sector's gain of 2.27% and the S&P 500's gain of 1.25% in that time.
Wall Street will be looking for positivity from GOOG as it approaches its next earnings report date. The company is expected to report EPS of $10.55, up 6.24% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $29.96 billion, up 20.51% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $47.38 per share and revenue of $131.76 billion. These totals would mark changes of +8.42% and +19.68%, respectively, from last year.
Any recent changes to analyst estimates for GOOG should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. GOOG is currently sporting a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that GOOG has a Forward P/E ratio of 24.66 right now. This valuation marks a discount compared to its industry's average Forward P/E of 24.7.
Investors should also note that GOOG has a PEG ratio of 1.41 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. The Internet - Services was holding an average PEG ratio of 3.06 at yesterday's closing price.
The Internet - Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 104, putting it in the top 41% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.