Snap (SNAP) closed the most recent trading day at $63.17, moving +1.41% from the previous trading session. This move outpaced the S&P 500's daily loss of 1.31%.
Coming into today, shares of the company behind Snapchat had gained 9.15% in the past month. In that same time, the Computer and Technology sector gained 7.7%, while the S&P 500 gained 1.56%.
SNAP will be looking to display strength as it nears its next earnings release. On that day, SNAP is projected to report earnings of -$0.02 per share, which would represent year-over-year growth of 77.78%. Our most recent consensus estimate is calling for quarterly revenue of $838.21 million, up 84.56% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $0.23 per share and revenue of $3.9 billion. These totals would mark changes of +483.33% and +55.77%, respectively, from last year.
Any recent changes to analyst estimates for SNAP should also be noted by investors. Recent revisions tend to reflect the latest 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. 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. Over the past month, the Zacks Consensus EPS estimate remained stagnant. SNAP is currently sporting a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that SNAP has a Forward P/E ratio of 275.32 right now. Its industry sports an average Forward P/E of 75.68, so we one might conclude that SNAP is trading at a premium comparatively.
The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 211, which puts it in the bottom 17% 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.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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