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Alphabet (GOOGL) Stock Sinks As Market Gains: What You Should Know
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The latest trading session saw Alphabet (GOOGL - Free Report) ending at $189.66, denoting a -0.71% adjustment from its last day's close. This change lagged the S&P 500's daily gain of 0.12%. At the same time, the Dow added 0.52%, and the tech-heavy Nasdaq lost 0.23%.
Coming into today, shares of the internet search leader had lost 2.87% in the past month. In that same time, the Computer and Technology sector lost 3.73%, while the S&P 500 lost 3.45%.
Analysts and investors alike will be keeping a close eye on the performance of Alphabet in its upcoming earnings disclosure. On that day, Alphabet is projected to report earnings of $2.12 per share, which would represent year-over-year growth of 29.27%. In the meantime, our current consensus estimate forecasts the revenue to be $81.41 billion, indicating a 12.57% growth compared to the corresponding quarter of the prior year.
Investors should also note any recent changes to analyst estimates for Alphabet. Recent revisions tend to reflect the latest 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 demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an 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. Over the past month, the Zacks Consensus EPS estimate has shifted 0.11% upward. Alphabet presently features a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Alphabet has a Forward P/E ratio of 21.37 right now. Its industry sports an average Forward P/E of 21.51, so one might conclude that Alphabet is trading at a discount comparatively.
It is also worth noting that GOOGL currently has a PEG ratio of 1.21. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Internet - Services was holding an average PEG ratio of 1.5 at yesterday's closing price.
The Internet - Services industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 54, positioning it in the top 22% 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.
To follow GOOGL in the coming trading sessions, be sure to utilize Zacks.com.
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Alphabet (GOOGL) Stock Sinks As Market Gains: What You Should Know
The latest trading session saw Alphabet (GOOGL - Free Report) ending at $189.66, denoting a -0.71% adjustment from its last day's close. This change lagged the S&P 500's daily gain of 0.12%. At the same time, the Dow added 0.52%, and the tech-heavy Nasdaq lost 0.23%.
Coming into today, shares of the internet search leader had lost 2.87% in the past month. In that same time, the Computer and Technology sector lost 3.73%, while the S&P 500 lost 3.45%.
Analysts and investors alike will be keeping a close eye on the performance of Alphabet in its upcoming earnings disclosure. On that day, Alphabet is projected to report earnings of $2.12 per share, which would represent year-over-year growth of 29.27%. In the meantime, our current consensus estimate forecasts the revenue to be $81.41 billion, indicating a 12.57% growth compared to the corresponding quarter of the prior year.
Investors should also note any recent changes to analyst estimates for Alphabet. Recent revisions tend to reflect the latest 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 demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an 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. Over the past month, the Zacks Consensus EPS estimate has shifted 0.11% upward. Alphabet presently features a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Alphabet has a Forward P/E ratio of 21.37 right now. Its industry sports an average Forward P/E of 21.51, so one might conclude that Alphabet is trading at a discount comparatively.
It is also worth noting that GOOGL currently has a PEG ratio of 1.21. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Internet - Services was holding an average PEG ratio of 1.5 at yesterday's closing price.
The Internet - Services industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 54, positioning it in the top 22% 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.
To follow GOOGL in the coming trading sessions, be sure to utilize Zacks.com.