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Lightspeed Commerce Inc. (LSPD) Declines More Than Market: Some Information for Investors

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Lightspeed Commerce Inc. (LSPD - Free Report) closed at $15.85 in the latest trading session, marking a -1.55% move from the prior day. This change lagged the S&P 500's 0.96% loss on the day. On the other hand, the Dow registered a loss of 0.94%, and the technology-centric Nasdaq decreased by 1.18%.

Heading into today, shares of the company had gained 33.72% over the past month, outpacing the Business Services sector's gain of 4.01% and the S&P 500's gain of 4.3% in that time.

Investors will be eagerly watching for the performance of Lightspeed Commerce Inc. in its upcoming earnings disclosure. The company's upcoming EPS is projected at $0.10, signifying a 150% increase compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $274.03 million, up 19.01% from the year-ago period.

In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $0.36 per share and a revenue of $1.1 billion, indicating changes of +125% and +20.69%, respectively, from the former year.

It's also important for investors to be aware of any recent modifications to analyst estimates for Lightspeed Commerce Inc. 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.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. 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.

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, the Zacks Consensus EPS estimate remained stagnant. Lightspeed Commerce Inc. presently features a Zacks Rank of #3 (Hold).

From a valuation perspective, Lightspeed Commerce Inc. is currently exchanging hands at a Forward P/E ratio of 44.47. This valuation marks a premium compared to its industry's average Forward P/E of 24.62.

It's also important to note that LSPD currently trades at a PEG ratio of 1.33. 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. As of the close of trade yesterday, the Technology Services industry held an average PEG ratio of 1.61.

The Technology Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 65, which puts it in the top 26% of all 250+ industries.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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