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Atlassian (TEAM) Gains But Lags Market: What You Should Know
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Atlassian (TEAM - Free Report) closed the most recent trading day at $209.40, moving +0.24% from the previous trading session. This move lagged the S&P 500's daily gain of 0.84%. At the same time, the Dow added 0.96%, and the tech-heavy Nasdaq gained 0.81%.
Heading into today, shares of the company had gained 11.72% over the past month, outpacing the Computer and Technology sector's gain of 2.69% and the S&P 500's gain of 0.19% in that time.
Atlassian will be looking to display strength as it nears its next earnings release. On that day, Atlassian is projected to report earnings of $0.53 per share, which would represent year-over-year growth of 47.22%. Meanwhile, our latest consensus estimate is calling for revenue of $959.01 million, up 18.78% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.13 per share and revenue of $4.11 billion. These totals would mark changes of +10.94% and +16.19%, respectively, from last year.
Any recent changes to analyst estimates for Atlassian should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. 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. 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.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.63% higher. Atlassian is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, Atlassian is currently trading at a Forward P/E ratio of 98.16. This valuation marks a premium compared to its industry's average Forward P/E of 37.91.
It is also worth noting that TEAM currently has a PEG ratio of 4.91. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. TEAM's industry had an average PEG ratio of 1.63 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 97, putting it in the top 39% 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.
To follow TEAM in the coming trading sessions, be sure to utilize Zacks.com.
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Atlassian (TEAM) Gains But Lags Market: What You Should Know
Atlassian (TEAM - Free Report) closed the most recent trading day at $209.40, moving +0.24% from the previous trading session. This move lagged the S&P 500's daily gain of 0.84%. At the same time, the Dow added 0.96%, and the tech-heavy Nasdaq gained 0.81%.
Heading into today, shares of the company had gained 11.72% over the past month, outpacing the Computer and Technology sector's gain of 2.69% and the S&P 500's gain of 0.19% in that time.
Atlassian will be looking to display strength as it nears its next earnings release. On that day, Atlassian is projected to report earnings of $0.53 per share, which would represent year-over-year growth of 47.22%. Meanwhile, our latest consensus estimate is calling for revenue of $959.01 million, up 18.78% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.13 per share and revenue of $4.11 billion. These totals would mark changes of +10.94% and +16.19%, respectively, from last year.
Any recent changes to analyst estimates for Atlassian should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. 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. 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.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.63% higher. Atlassian is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, Atlassian is currently trading at a Forward P/E ratio of 98.16. This valuation marks a premium compared to its industry's average Forward P/E of 37.91.
It is also worth noting that TEAM currently has a PEG ratio of 4.91. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. TEAM's industry had an average PEG ratio of 1.63 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 97, putting it in the top 39% 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.
To follow TEAM in the coming trading sessions, be sure to utilize Zacks.com.