We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Why the Market Dipped But Netflix (NFLX) Gained Today
Read MoreHide Full Article
In the latest close session, Netflix (NFLX - Free Report) was up +1.19% at $1,218.95. This move outpaced the S&P 500's daily loss of 0.43%. Elsewhere, the Dow lost 0.77%, while the tech-heavy Nasdaq lost 0.22%.
Prior to today's trading, shares of the internet video service had gained 2.05% outpaced the Consumer Discretionary sector's gain of 1.41% and lagged the S&P 500's gain of 2.65%.
The investment community will be closely monitoring the performance of Netflix in its forthcoming earnings report. It is anticipated that the company will report an EPS of $6.88, marking a 27.41% rise compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $11.52 billion, up 17.3% from the prior-year quarter.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $26.06 per share and a revenue of $45.03 billion, representing changes of +31.42% and +15.47%, respectively, from the prior year.
Investors should also take note of any recent adjustments to analyst estimates for Netflix. These revisions typically reflect the latest short-term business trends, which can change frequently. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
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, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Right now, Netflix possesses a Zacks Rank of #2 (Buy).
Valuation is also important, so investors should note that Netflix has a Forward P/E ratio of 46.23 right now. This expresses a premium compared to the average Forward P/E of 29.52 of its industry.
Investors should also note that NFLX has a PEG ratio of 2.03 right now. 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. The Broadcast Radio and Television was holding an average PEG ratio of 1.61 at yesterday's closing price.
The Broadcast Radio and Television industry is part of the Consumer Discretionary sector. With its current Zacks Industry Rank of 167, this industry ranks in the bottom 33% of all industries, numbering over 250.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Why the Market Dipped But Netflix (NFLX) Gained Today
In the latest close session, Netflix (NFLX - Free Report) was up +1.19% at $1,218.95. This move outpaced the S&P 500's daily loss of 0.43%. Elsewhere, the Dow lost 0.77%, while the tech-heavy Nasdaq lost 0.22%.
Prior to today's trading, shares of the internet video service had gained 2.05% outpaced the Consumer Discretionary sector's gain of 1.41% and lagged the S&P 500's gain of 2.65%.
The investment community will be closely monitoring the performance of Netflix in its forthcoming earnings report. It is anticipated that the company will report an EPS of $6.88, marking a 27.41% rise compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $11.52 billion, up 17.3% from the prior-year quarter.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $26.06 per share and a revenue of $45.03 billion, representing changes of +31.42% and +15.47%, respectively, from the prior year.
Investors should also take note of any recent adjustments to analyst estimates for Netflix. These revisions typically reflect the latest short-term business trends, which can change frequently. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
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, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Right now, Netflix possesses a Zacks Rank of #2 (Buy).
Valuation is also important, so investors should note that Netflix has a Forward P/E ratio of 46.23 right now. This expresses a premium compared to the average Forward P/E of 29.52 of its industry.
Investors should also note that NFLX has a PEG ratio of 2.03 right now. 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. The Broadcast Radio and Television was holding an average PEG ratio of 1.61 at yesterday's closing price.
The Broadcast Radio and Television industry is part of the Consumer Discretionary sector. With its current Zacks Industry Rank of 167, this industry ranks in the bottom 33% of all industries, numbering over 250.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.