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Shopify (SHOP) Gains As Market Dips: What You Should Know
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Shopify (SHOP - Free Report) closed at $471.90 in the latest trading session, marking a +0.91% move from the prior day. This change outpaced the S&P 500's 0.09% loss on the day. Elsewhere, the Dow gained 0.04%, while the tech-heavy Nasdaq added 0.06%.
Heading into today, shares of the cloud-based commerce company had gained 17.63% over the past month, outpacing the Computer and Technology sector's gain of 4.55% and the S&P 500's gain of 1.26% in that time.
SHOP will be looking to display strength as it nears its next earnings release, which is expected to be February 12, 2020. The company is expected to report EPS of $0.24, down 7.69% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $481.99 million, up 40.17% from the year-ago period.
Any recent changes to analyst estimates for SHOP should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. 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. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.62% higher within the past month. SHOP is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, SHOP is currently trading at a Forward P/E ratio of 521.55. This represents a premium compared to its industry's average Forward P/E of 26.98.
Meanwhile, SHOP's PEG ratio is currently 20.86. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Internet - Services stocks are, on average, holding a PEG ratio of 2.17 based on yesterday's closing prices.
The Internet - Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 171, putting it in the bottom 33% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
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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Shopify (SHOP) Gains As Market Dips: What You Should Know
Shopify (SHOP - Free Report) closed at $471.90 in the latest trading session, marking a +0.91% move from the prior day. This change outpaced the S&P 500's 0.09% loss on the day. Elsewhere, the Dow gained 0.04%, while the tech-heavy Nasdaq added 0.06%.
Heading into today, shares of the cloud-based commerce company had gained 17.63% over the past month, outpacing the Computer and Technology sector's gain of 4.55% and the S&P 500's gain of 1.26% in that time.
SHOP will be looking to display strength as it nears its next earnings release, which is expected to be February 12, 2020. The company is expected to report EPS of $0.24, down 7.69% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $481.99 million, up 40.17% from the year-ago period.
Any recent changes to analyst estimates for SHOP should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. 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. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.62% higher within the past month. SHOP is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, SHOP is currently trading at a Forward P/E ratio of 521.55. This represents a premium compared to its industry's average Forward P/E of 26.98.
Meanwhile, SHOP's PEG ratio is currently 20.86. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Internet - Services stocks are, on average, holding a PEG ratio of 2.17 based on yesterday's closing prices.
The Internet - Services industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 171, putting it in the bottom 33% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.