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Spotify (SPOT) Stock Moves -1.26%: What You Should Know
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The most recent trading session ended with Spotify (SPOT - Free Report) standing at $294.74, reflecting a -1.26% shift from the previouse trading day's closing. The stock outperformed the S&P 500, which registered a daily loss of 1.39%. Meanwhile, the Dow experienced a rise of 0.6%, and the technology-dominated Nasdaq saw a decrease of 2.77%.
Shares of the music-streaming service operator have depreciated by 3.68% over the course of the past month, underperforming the Business Services sector's gain of 0.5% and the S&P 500's gain of 4.43%.
The investment community will be closely monitoring the performance of Spotify in its forthcoming earnings report. The company is scheduled to release its earnings on July 23, 2024. The company's earnings per share (EPS) are projected to be $1.12, reflecting a 166.27% increase from the same quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $4.11 billion, showing a 18.75% escalation compared to the year-ago quarter.
For the full year, the Zacks Consensus Estimates project earnings of $5.02 per share and a revenue of $16.96 billion, demonstrating changes of +270.17% and +18.36%, respectively, from the preceding year.
Investors might also notice recent changes to analyst estimates for Spotify. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. 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, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, there's been a 1.41% rise in the Zacks Consensus EPS estimate. Currently, Spotify is carrying a Zacks Rank of #1 (Strong Buy).
Looking at valuation, Spotify is presently trading at a Forward P/E ratio of 59.43. This signifies a premium in comparison to the average Forward P/E of 23.67 for its industry.
Investors should also note that SPOT has a PEG ratio of 0.78 right now. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As the market closed yesterday, the Technology Services industry was having an average PEG ratio of 1.48.
The Technology Services industry is part of the Business Services sector. Currently, this industry holds a Zacks Industry Rank of 99, positioning it in the top 40% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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Spotify (SPOT) Stock Moves -1.26%: What You Should Know
The most recent trading session ended with Spotify (SPOT - Free Report) standing at $294.74, reflecting a -1.26% shift from the previouse trading day's closing. The stock outperformed the S&P 500, which registered a daily loss of 1.39%. Meanwhile, the Dow experienced a rise of 0.6%, and the technology-dominated Nasdaq saw a decrease of 2.77%.
Shares of the music-streaming service operator have depreciated by 3.68% over the course of the past month, underperforming the Business Services sector's gain of 0.5% and the S&P 500's gain of 4.43%.
The investment community will be closely monitoring the performance of Spotify in its forthcoming earnings report. The company is scheduled to release its earnings on July 23, 2024. The company's earnings per share (EPS) are projected to be $1.12, reflecting a 166.27% increase from the same quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $4.11 billion, showing a 18.75% escalation compared to the year-ago quarter.
For the full year, the Zacks Consensus Estimates project earnings of $5.02 per share and a revenue of $16.96 billion, demonstrating changes of +270.17% and +18.36%, respectively, from the preceding year.
Investors might also notice recent changes to analyst estimates for Spotify. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. 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, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, there's been a 1.41% rise in the Zacks Consensus EPS estimate. Currently, Spotify is carrying a Zacks Rank of #1 (Strong Buy).
Looking at valuation, Spotify is presently trading at a Forward P/E ratio of 59.43. This signifies a premium in comparison to the average Forward P/E of 23.67 for its industry.
Investors should also note that SPOT has a PEG ratio of 0.78 right now. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As the market closed yesterday, the Technology Services industry was having an average PEG ratio of 1.48.
The Technology Services industry is part of the Business Services sector. Currently, this industry holds a Zacks Industry Rank of 99, positioning it in the top 40% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.