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DecisionPoint Systems Inc. (DPSI) Stock Sinks As Market Gains: What You Should Know

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In the latest trading session, DecisionPoint Systems Inc. closed at $7.05, marking a -0.7% move from the previous day. This change lagged the S&P 500's daily gain of 2.46%. At the same time, the Dow added 2.59%, and the tech-heavy Nasdaq lost 0.2%.

Prior to today's trading, shares of the company had lost 0.7% over the past month. This has was narrower than the Computer and Technology sector's loss of 1.56% and lagged the S&P 500's gain of 4.56% in that time.

DecisionPoint Systems Inc. will be looking to display strength as it nears its next earnings release. On that day, DecisionPoint Systems Inc. is projected to report earnings of $0.02 per share, which would represent a year-over-year decline of 75%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $20.95 million, up 14.98% from the year-ago period.

DPSI's full-year Zacks Consensus Estimates are calling for earnings of $0.24 per share and revenue of $88.48 million. These results would represent year-over-year changes of +300% and +34.17%, respectively.

Investors might also notice recent changes to analyst estimates for DecisionPoint Systems Inc.These revisions help to show the ever-changing nature of near-term business trends. 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. 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. DecisionPoint Systems Inc. is currently sporting a Zacks Rank of #2 (Buy).

Valuation is also important, so investors should note that DecisionPoint Systems Inc. has a Forward P/E ratio of 29.58 right now. Its industry sports an average Forward P/E of 23.59, so we one might conclude that DecisionPoint Systems Inc. is trading at a premium comparatively.

The Computer - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 91, which puts it in the top 37% 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.

You can find more information on all of these metrics, and much more, on Zacks.com.

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