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Snap (SNAP) Increases Yet Falls Behind Market: What Investors Need to Know
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Snap (SNAP - Free Report) closed at $16.21 in the latest trading session, marking a +0.19% move from the prior day. The stock's change was less than the S&P 500's daily gain of 0.28%. On the other hand, the Dow registered a gain of 0.53%, and the technology-centric Nasdaq increased by 0.4%.
Shares of the company behind Snapchat have appreciated by 3.78% over the course of the past month, underperforming the Computer and Technology sector's gain of 4.22% and mirroring the S&P 500.
Market participants will be closely following the financial results of Snap in its upcoming release. The company plans to announce its earnings on August 1, 2024. It is anticipated that the company will report an EPS of $0.02, marking a 200% rise compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $1.25 billion, indicating a 16.94% growth compared to the corresponding quarter of the prior year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $0.24 per share and a revenue of $5.35 billion, signifying shifts of +166.67% and +16.25%, respectively, from the last year.
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. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 1.53% higher. Snap presently features a Zacks Rank of #2 (Buy).
Looking at valuation, Snap is presently trading at a Forward P/E ratio of 67.42. This valuation marks a premium compared to its industry's average Forward P/E of 29.77.
The Internet - Software industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 89, positioning it in the top 36% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. 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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Snap (SNAP) Increases Yet Falls Behind Market: What Investors Need to Know
Snap (SNAP - Free Report) closed at $16.21 in the latest trading session, marking a +0.19% move from the prior day. The stock's change was less than the S&P 500's daily gain of 0.28%. On the other hand, the Dow registered a gain of 0.53%, and the technology-centric Nasdaq increased by 0.4%.
Shares of the company behind Snapchat have appreciated by 3.78% over the course of the past month, underperforming the Computer and Technology sector's gain of 4.22% and mirroring the S&P 500.
Market participants will be closely following the financial results of Snap in its upcoming release. The company plans to announce its earnings on August 1, 2024. It is anticipated that the company will report an EPS of $0.02, marking a 200% rise compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $1.25 billion, indicating a 16.94% growth compared to the corresponding quarter of the prior year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $0.24 per share and a revenue of $5.35 billion, signifying shifts of +166.67% and +16.25%, respectively, from the last year.
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. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 1.53% higher. Snap presently features a Zacks Rank of #2 (Buy).
Looking at valuation, Snap is presently trading at a Forward P/E ratio of 67.42. This valuation marks a premium compared to its industry's average Forward P/E of 29.77.
The Internet - Software industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 89, positioning it in the top 36% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. 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.