Instructure Holdings (INST) Outpaces Stock Market Gains: What You Should Know
Instructure Holdings (INST) closed at $25.59 in the latest trading session, marking a +1.39% move from the prior day. The stock outpaced the S&P 500's daily gain of 0.17%. Elsewhere, the Dow gained 0.6%, while the tech-heavy Nasdaq added 0.67%.
Heading into today, shares of the education technology company had lost 3.99% over the past month, lagging the Business Services sector's loss of 1.93% and the S&P 500's gain of 0.25% in that time.
Investors will be hoping for strength from Instructure Holdings as it approaches its next earnings release. On that day, Instructure Holdings is projected to report earnings of $0.18 per share, which would represent a year-over-year decline of 35.71%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $127.07 million, up 11.99% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $0.77 per share and revenue of $521.92 million, which would represent changes of 0% and +9.83%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Instructure Holdings. 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.
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 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. Instructure Holdings is holding a Zacks Rank of #4 (Sell) right now.
Digging into valuation, Instructure Holdings currently has a Forward P/E ratio of 32.78. Its industry sports an average Forward P/E of 20.98, so we one might conclude that Instructure Holdings is trading at a premium comparatively.
The Technology Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 97, which puts it in the top 39% 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.
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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