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Square (SQ) Gains As Market Dips: What You Should Know
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Square (SQ - Free Report) closed the most recent trading day at $144.66, moving +0.82% from the previous trading session. The stock outpaced the S&P 500's daily loss of 0.1%. Elsewhere, the Dow lost 0.47%, while the tech-heavy Nasdaq lost 0.47%.
Coming into today, shares of the mobile payments services provider had lost 26.33% in the past month. In that same time, the Computer and Technology sector lost 1%, while the S&P 500 gained 3.67%.
Investors will be hoping for strength from Square as it approaches its next earnings release. In that report, analysts expect Square to post earnings of $0.20 per share. This would mark a year-over-year decline of 37.5%. Meanwhile, our latest consensus estimate is calling for revenue of $3.93 billion, up 24.3% from the prior-year quarter.
Investors should also note any recent changes to analyst estimates for Square. 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.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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, 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 15.93% lower within the past month. Square is holding a Zacks Rank of #4 (Sell) right now.
Looking at its valuation, Square is holding a Forward P/E ratio of 84.96. This represents a premium compared to its industry's average Forward P/E of 57.51.
Also, we should mention that SQ has a PEG ratio of 2.52. 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. The Internet - Software industry currently had an average PEG ratio of 3.12 as of yesterday's close.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 180, putting it in the bottom 30% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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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Square (SQ) Gains As Market Dips: What You Should Know
Square (SQ - Free Report) closed the most recent trading day at $144.66, moving +0.82% from the previous trading session. The stock outpaced the S&P 500's daily loss of 0.1%. Elsewhere, the Dow lost 0.47%, while the tech-heavy Nasdaq lost 0.47%.
Coming into today, shares of the mobile payments services provider had lost 26.33% in the past month. In that same time, the Computer and Technology sector lost 1%, while the S&P 500 gained 3.67%.
Investors will be hoping for strength from Square as it approaches its next earnings release. In that report, analysts expect Square to post earnings of $0.20 per share. This would mark a year-over-year decline of 37.5%. Meanwhile, our latest consensus estimate is calling for revenue of $3.93 billion, up 24.3% from the prior-year quarter.
Investors should also note any recent changes to analyst estimates for Square. 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.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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, 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 15.93% lower within the past month. Square is holding a Zacks Rank of #4 (Sell) right now.
Looking at its valuation, Square is holding a Forward P/E ratio of 84.96. This represents a premium compared to its industry's average Forward P/E of 57.51.
Also, we should mention that SQ has a PEG ratio of 2.52. 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. The Internet - Software industry currently had an average PEG ratio of 3.12 as of yesterday's close.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 180, putting it in the bottom 30% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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.