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Snap (SNAP) Dips More Than Broader Markets: What You Should Know
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In the latest trading session, Snap (SNAP - Free Report) closed at $10.31, marking a -0.96% move from the previous day. This change lagged the S&P 500's daily loss of 0.65%. Meanwhile, the Dow gained 0.12%, and the Nasdaq, a tech-heavy index, added 0.03%.
Coming into today, shares of the company behind Snapchat had lost 17.71% in the past month. In that same time, the Computer and Technology sector lost 13.29%, while the S&P 500 lost 11.07%.
Investors will be hoping for strength from Snap as it approaches its next earnings release, which is expected to be October 20, 2022. On that day, Snap is projected to report earnings of -$0.01 per share, which would represent a year-over-year decline of 105.88%. Our most recent consensus estimate is calling for quarterly revenue of $1.13 billion, up 5.52% from the year-ago period.
SNAP's full-year Zacks Consensus Estimates are calling for earnings of $0.05 per share and revenue of $4.68 billion. These results would represent year-over-year changes of -90% and +13.78%, respectively.
It is also important to note the recent changes to analyst estimates for Snap. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
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. The Zacks Consensus EPS estimate has moved 3.61% higher within the past month. Snap is currently sporting a Zacks Rank of #2 (Buy).
In terms of valuation, Snap is currently trading at a Forward P/E ratio of 191.76. This represents a premium compared to its industry's average Forward P/E of 42.35.
It is also worth noting that SNAP currently has a PEG ratio of 12.18. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Internet - Software industry currently had an average PEG ratio of 2.04 as of yesterday's close.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 87, putting it in the top 35% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Snap (SNAP) Dips More Than Broader Markets: What You Should Know
In the latest trading session, Snap (SNAP - Free Report) closed at $10.31, marking a -0.96% move from the previous day. This change lagged the S&P 500's daily loss of 0.65%. Meanwhile, the Dow gained 0.12%, and the Nasdaq, a tech-heavy index, added 0.03%.
Coming into today, shares of the company behind Snapchat had lost 17.71% in the past month. In that same time, the Computer and Technology sector lost 13.29%, while the S&P 500 lost 11.07%.
Investors will be hoping for strength from Snap as it approaches its next earnings release, which is expected to be October 20, 2022. On that day, Snap is projected to report earnings of -$0.01 per share, which would represent a year-over-year decline of 105.88%. Our most recent consensus estimate is calling for quarterly revenue of $1.13 billion, up 5.52% from the year-ago period.
SNAP's full-year Zacks Consensus Estimates are calling for earnings of $0.05 per share and revenue of $4.68 billion. These results would represent year-over-year changes of -90% and +13.78%, respectively.
It is also important to note the recent changes to analyst estimates for Snap. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
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. The Zacks Consensus EPS estimate has moved 3.61% higher within the past month. Snap is currently sporting a Zacks Rank of #2 (Buy).
In terms of valuation, Snap is currently trading at a Forward P/E ratio of 191.76. This represents a premium compared to its industry's average Forward P/E of 42.35.
It is also worth noting that SNAP currently has a PEG ratio of 12.18. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Internet - Software industry currently had an average PEG ratio of 2.04 as of yesterday's close.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 87, putting it in the top 35% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.