Twitter closed at $39.67 in the latest trading session, marking a +0.2% move from the prior day. The stock outpaced the S&P 500's daily loss of 0.41%. At the same time, the Dow lost 0.01%, and the tech-heavy Nasdaq gained 0.13%.
Heading into today, shares of the short messaging service had lost 14.79% over the past month, lagging the Computer and Technology sector's loss of 1.8% and the S&P 500's gain of 2.36% in that time.
Investors will be hoping for strength from Twitter as it approaches its next earnings release. On that day, Twitter is projected to report earnings of $0.33 per share, which would represent a year-over-year decline of 13.16%. Meanwhile, our latest consensus estimate is calling for revenue of $1.57 billion, up 21.7% from the prior-year quarter.
It is also important to note the recent changes to analyst estimates for Twitter. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Twitter is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, Twitter is currently trading at a Forward P/E ratio of 44.3. This represents a discount compared to its industry's average Forward P/E of 57.43.
The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 173, which puts it in the bottom 33% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
Image: Bigstock
Twitter (TWTR) Gains As Market Dips: What You Should Know
Twitter closed at $39.67 in the latest trading session, marking a +0.2% move from the prior day. The stock outpaced the S&P 500's daily loss of 0.41%. At the same time, the Dow lost 0.01%, and the tech-heavy Nasdaq gained 0.13%.
Heading into today, shares of the short messaging service had lost 14.79% over the past month, lagging the Computer and Technology sector's loss of 1.8% and the S&P 500's gain of 2.36% in that time.
Investors will be hoping for strength from Twitter as it approaches its next earnings release. On that day, Twitter is projected to report earnings of $0.33 per share, which would represent a year-over-year decline of 13.16%. Meanwhile, our latest consensus estimate is calling for revenue of $1.57 billion, up 21.7% from the prior-year quarter.
It is also important to note the recent changes to analyst estimates for Twitter. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Twitter is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, Twitter is currently trading at a Forward P/E ratio of 44.3. This represents a discount compared to its industry's average Forward P/E of 57.43.
The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 173, which puts it in the bottom 33% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.