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Here's Why Fiverr International (FVRR) Fell More Than Broader Market

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Fiverr International (FVRR - Free Report) ended the recent trading session at $22.99, demonstrating a -1.79% swing from the preceding day's closing price. This change lagged the S&P 500's daily loss of 1.57%. Meanwhile, the Dow lost 0.84%, and the Nasdaq, a tech-heavy index, lost 2.15%.

The the stock of online marketplace for freelance services has fallen by 5.45% in the past month, leading the Retail-Wholesale sector's loss of 11.13% and the S&P 500's loss of 12.16%.

The investment community will be closely monitoring the performance of Fiverr International in its forthcoming earnings report. It is anticipated that the company will report an EPS of $0.67, marking a 28.85% rise compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $105.8 million, reflecting a 13.13% rise from the equivalent quarter last year.

Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $2.92 per share and revenue of $432.11 million, indicating changes of +22.69% and +10.38%, respectively, compared to the previous year.

Any recent changes to analyst estimates for Fiverr International should also be noted by investors. 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.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Fiverr International is currently sporting a Zacks Rank of #3 (Hold).

With respect to valuation, Fiverr International is currently being traded at a Forward P/E ratio of 8.02. This represents a discount compared to its industry's average Forward P/E of 20.25.

The Internet - Commerce industry is part of the Retail-Wholesale sector. With its current Zacks Industry Rank of 63, this industry ranks in the top 26% of all industries, numbering over 250.

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.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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