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Nice (NICE) closed the most recent trading day at $169.80, moving +0.11% from the previous trading session. This change lagged the S&P 500's 1.26% gain on the day. Elsewhere, the Dow gained 0.8%, while the tech-heavy Nasdaq added 1.77%.
Coming into today, shares of the software company had lost 11.03% in the past month. In that same time, the Computer and Technology sector gained 0.84%, while the S&P 500 lost 2.82%.
Market participants will be closely following the financial results of Nice in its upcoming release. It is anticipated that the company will report an EPS of $2.96, marking a 25.42% rise compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $713.01 million, showing a 14.41% escalation compared to the year-ago quarter.
Investors should also note any recent changes to analyst estimates for Nice. These revisions typically reflect the latest short-term business trends, which can change frequently. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical 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. Nice presently features a Zacks Rank of #3 (Hold).
From a valuation perspective, Nice is currently exchanging hands at a Forward P/E ratio of 13.8. This denotes a discount relative to the industry's average Forward P/E of 27.87.
It is also worth noting that NICE currently has a PEG ratio of 0.95. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. By the end of yesterday's trading, the Internet - Software industry had an average PEG ratio of 2.04.
The Internet - Software industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 25, finds itself in the top 10% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.