Atlassian (TEAM) Stock Moves -0.72%: What You Should Know
Atlassian (TEAM) closed the most recent trading day at $369.93, moving -0.72% from the previous trading session. This change was narrower than the S&P 500's daily loss of 0.91%. At the same time, the Dow lost 0.89%, and the tech-heavy Nasdaq gained 0.4%.
Prior to today's trading, shares of the company had lost 16.29% over the past month. This has lagged the Computer and Technology sector's gain of 1.29% and the S&P 500's gain of 1.55% in that time.
Atlassian will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.38, up 2.7% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $638.58 million, up 27.37% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $1.57 per share and revenue of $2.59 billion. These totals would mark changes of +12.14% and +23.81%, respectively, from last year.
Any recent changes to analyst estimates for Atlassian should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
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. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Atlassian currently has a Zacks Rank of #5 (Strong Sell).
Valuation is also important, so investors should note that Atlassian has a Forward P/E ratio of 237.34 right now. This valuation marks a premium compared to its industry's average Forward P/E of 63.19.
It is also worth noting that TEAM currently has a PEG ratio of 10.55. 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. The Internet - Software industry currently had an average PEG ratio of 4 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 187, putting it in the bottom 27% 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.
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Atlassian Corporation PLC (TEAM) : Free Stock Analysis Report
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