AvidXchange Holdings, Inc. (AVDX) Gains But Lags Market: What You Should Know
In the latest market close, AvidXchange Holdings, Inc. (AVDX) reached $11.35, with a +0.27% movement compared to the previous day. The stock's change was less than the S&P 500's daily gain of 0.57%. Elsewhere, the Dow saw an upswing of 0.46%, while the tech-heavy Nasdaq appreciated by 0.75%.
The company's stock has climbed by 2.07% in the past month, exceeding the Computer and Technology sector's gain of 1.51% and lagging the S&P 500's gain of 3.4%.
The investment community will be paying close attention to the earnings performance of AvidXchange Holdings, Inc. in its upcoming release. The company is slated to reveal its earnings on February 28, 2024. In that report, analysts expect AvidXchange Holdings, Inc. to post earnings of $0 per share. This would mark year-over-year growth of 100%. Meanwhile, our latest consensus estimate is calling for revenue of $98.64 million, up 14.45% from the prior-year quarter.
Any recent changes to analyst estimates for AvidXchange Holdings, Inc. should also be noted by investors. Such recent modifications usually signify the changing landscape of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. 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, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, there's been a 70.91% rise in the Zacks Consensus EPS estimate. Right now, AvidXchange Holdings, Inc. possesses a Zacks Rank of #1 (Strong Buy).
Investors should also note AvidXchange Holdings, Inc.'s current valuation metrics, including its Forward P/E ratio of 92.41. For comparison, its industry has an average Forward P/E of 34.02, which means AvidXchange Holdings, Inc. is trading at a premium to the group.
The Internet - Software industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 29, placing it within the top 12% of over 250 industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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AvidXchange Holdings, Inc. (AVDX) : Free Stock Analysis Report
