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Meta Platforms (META) Gains As Market Dips: What You Should Know
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Meta Platforms (META - Free Report) closed at $121.59 in the latest trading session, marking a +1.2% move from the prior day. This move outpaced the S&P 500's daily loss of 0.61%. At the same time, the Dow lost 0.42%, and the tech-heavy Nasdaq gained 0.17%.
Prior to today's trading, shares of the social media company had gained 2.62% over the past month. This has outpaced the Computer and Technology sector's gain of 0.89% and the S&P 500's gain of 0.89% in that time.
Meta Platforms will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $2.13, down 41.96% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $31.23 billion, down 7.24% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $8.96 per share and revenue of $115.71 billion. These totals would mark changes of -34.93% and -1.88%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Meta Platforms. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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 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. The Zacks Consensus EPS estimate has moved 0.02% higher within the past month. Meta Platforms currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Meta Platforms has a Forward P/E ratio of 13.4 right now. This represents a discount compared to its industry's average Forward P/E of 47.23.
Meanwhile, META's PEG ratio is currently 1.65. 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. Internet - Software stocks are, on average, holding a PEG ratio of 2.24 based on yesterday's closing prices.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 57, putting it in the top 23% 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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Meta Platforms (META) Gains As Market Dips: What You Should Know
Meta Platforms (META - Free Report) closed at $121.59 in the latest trading session, marking a +1.2% move from the prior day. This move outpaced the S&P 500's daily loss of 0.61%. At the same time, the Dow lost 0.42%, and the tech-heavy Nasdaq gained 0.17%.
Prior to today's trading, shares of the social media company had gained 2.62% over the past month. This has outpaced the Computer and Technology sector's gain of 0.89% and the S&P 500's gain of 0.89% in that time.
Meta Platforms will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $2.13, down 41.96% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $31.23 billion, down 7.24% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $8.96 per share and revenue of $115.71 billion. These totals would mark changes of -34.93% and -1.88%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Meta Platforms. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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 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. The Zacks Consensus EPS estimate has moved 0.02% higher within the past month. Meta Platforms currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Meta Platforms has a Forward P/E ratio of 13.4 right now. This represents a discount compared to its industry's average Forward P/E of 47.23.
Meanwhile, META's PEG ratio is currently 1.65. 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. Internet - Software stocks are, on average, holding a PEG ratio of 2.24 based on yesterday's closing prices.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 57, putting it in the top 23% 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.