In the latest trading session, Synnex (SNX - Free Report) closed at $80.84, marking a +1.18% move from the previous day. This move outpaced the S&P 500's daily gain of 0.66%. Meanwhile, the Dow gained 1%, and the Nasdaq, a tech-heavy index, added 0.38%.
Prior to today's trading, shares of the high-tech contractor had lost 20.78% over the past month. This has lagged the Computer and Technology sector's loss of 6.46% and the S&P 500's loss of 5.01% in that time.
Wall Street will be looking for positivity from SNX as it approaches its next earnings report date. In that report, analysts expect SNX to post earnings of $2.86 per share. This would mark year-over-year growth of 11.28%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $5.68 billion, up 15.72% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $12.10 per share and revenue of $22.57 billion. These totals would mark changes of +11.11% and +12.56%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for SNX. These revisions typically reflect the latest short-term business trends, which can change frequently. 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. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. SNX currently has a Zacks Rank of #3 (Hold).
Looking at its valuation, SNX is holding a Forward P/E ratio of 6.6. For comparison, its industry has an average Forward P/E of 28.96, which means SNX is trading at a discount to the group.
Also, we should mention that SNX has a PEG ratio of 0.55. 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 Business - Software Services was holding an average PEG ratio of 2.59 at yesterday's closing price.
The Business - Software Services industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 105, which puts it in the top 42% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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 SNX in the coming trading sessions, be sure to utilize Zacks.com.