In the latest trading session, Paypal (PYPL) closed at $92.39, marking a -1.21% move from the previous day. This change was narrower than the S&P 500's daily loss of 1.51%. At the same time, the Dow lost 1.69%, and the tech-heavy Nasdaq lost 1.53%.
Heading into today, shares of the technology platform and digital payments company had lost 16.63% over the past month, lagging the Computer and Technology sector's loss of 14.82% and outpacing the S&P 500's loss of 18.13% in that time.
Investors will be hoping for strength from PYPL as it approaches its next earnings release. The company is expected to report EPS of $0.78, unchanged from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.80 billion, up 16.28% from the year-ago period.
PYPL's full-year Zacks Consensus Estimates are calling for earnings of $3.43 per share and revenue of $20.63 billion. These results would represent year-over-year changes of +10.65% and +16.07%, respectively.
Any recent changes to analyst estimates for PYPL should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
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. Within the past 30 days, our consensus EPS projection has moved 0.29% lower. PYPL is holding a Zacks Rank of #3 (Hold) right now.
Looking at its valuation, PYPL is holding a Forward P/E ratio of 27.26. This represents a discount compared to its industry's average Forward P/E of 36.82.
Meanwhile, PYPL's PEG ratio is currently 1.48. 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. PYPL's industry had an average PEG ratio of 2.18 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 77, putting it in the top 31% 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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PayPal Holdings, Inc. (PYPL) : Free Stock Analysis Report
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