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In the latest market close, Snap (SNAP) reached $10.46, with a -0.95% movement compared to the previous day. The stock trailed the S&P 500, which registered a daily gain of 0.61%. At the same time, the Dow added 0.3%, and the tech-heavy Nasdaq gained 1.28%.
Heading into today, shares of the company behind Snapchat had lost 5.55% over the past month, lagging the Computer and Technology sector's gain of 1.24% and the S&P 500's gain of 2.08% in that time.
Investors will be eagerly watching for the performance of Snap in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on February 4, 2025. In that report, analysts expect Snap to post earnings of $0.14 per share. This would mark year-over-year growth of 75%. Alongside, our most recent consensus estimate is anticipating revenue of $1.55 billion, indicating a 13.77% upward movement from the same quarter last year.
Investors should also take note of any recent adjustments to analyst estimates for Snap. These revisions typically reflect the latest short-term business trends, which can change frequently. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 3.52% downward. Snap presently features a Zacks Rank of #3 (Hold).
Looking at its valuation, Snap is holding a Forward P/E ratio of 24.79. This signifies a discount in comparison to the average Forward P/E of 29.01 for its industry.
The Internet - Software industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 41, finds itself in the top 17% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.