Alphabet Inc. (GOOG) Stock Moves -0.28%: What You Should Know
Alphabet Inc. (GOOG) closed at $2,848.03 in the latest trading session, marking a -0.28% move from the prior day. This change was narrower than the S&P 500's 1.14% loss on the day. Elsewhere, the Dow lost 1.23%, while the tech-heavy Nasdaq lost 0.36%.
Coming into today, shares of the company had lost 4.77% in the past month. In that same time, the Computer and Technology sector lost 4.36%, while the S&P 500 lost 1.37%.
Alphabet Inc. will be looking to display strength as it nears its next earnings release. On that day, Alphabet Inc. is projected to report earnings of $26.71 per share, which would represent year-over-year growth of 19.78%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $59.3 billion, up 27.71% from the year-ago period.
GOOG's full-year Zacks Consensus Estimates are calling for earnings of $108.29 per share and revenue of $209.34 billion. These results would represent year-over-year changes of +84.76% and +39.8%, respectively.
It is also important to note the recent changes to analyst estimates for Alphabet Inc.These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.4% higher. Alphabet Inc. is currently a Zacks Rank #1 (Strong Buy).
Looking at its valuation, Alphabet Inc. is holding a Forward P/E ratio of 26.38. For comparison, its industry has an average Forward P/E of 25.92, which means Alphabet Inc. is trading at a premium to the group.
We can also see that GOOG currently has a PEG ratio of 1.02. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. GOOG's industry had an average PEG ratio of 3.58 as of yesterday's close.
The Internet - Services industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 169, which puts it in the bottom 34% 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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