Yahoo Finance Why Snap (SNAP) Dipped More Than Broader Market Today
Snap (SNAP) ended the recent trading session at $10.74, demonstrating a -1.29% swing from the preceding day's closing price. The stock's change was less than the S&P 500's daily loss of 0.17%. Elsewhere, the Dow lost 0.44%, while the tech-heavy Nasdaq lost 0.04%.
Heading into today, shares of the company behind Snapchat had gained 23.78% over the past month, outpacing the Computer and Technology sector's gain of 1.41% and the S&P 500's gain of 1.25% in that time.
The investment community will be closely monitoring the performance of Snap in its forthcoming earnings report. The company is expected to report EPS of $0.05, up 150% from the prior-year quarter. Alongside, our most recent consensus estimate is anticipating revenue of $1.35 billion, indicating a 13.98% upward movement from the same quarter last year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $0.21 per share and a revenue of $5.35 billion, signifying shifts of +133.33% and +16.08%, respectively, from the last year.
It is also important to note the recent changes to analyst estimates for Snap. Recent revisions tend to reflect the latest near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. 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, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 1.7% higher. Snap currently has a Zacks Rank of #3 (Hold).
Looking at its valuation, Snap is holding a Forward P/E ratio of 51.2. This represents a premium compared to its industry's average Forward P/E of 30.39.
The Internet - Software industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 69, finds itself in the top 28% echelons of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow SNAP in the coming trading sessions, be sure to utilize Zacks.com.
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Snap Inc. (SNAP) : Free Stock Analysis Report
