Baozun Inc. (BZUN) closed at $39.52 in the latest trading session, marking a +1.44% move from the prior day. This change outpaced the S&P 500's 0.65% loss on the day. Elsewhere, the Dow lost 0.77%, while the tech-heavy Nasdaq lost 1.27%.
Heading into today, shares of the company had gained 1.27% over the past month, lagging the Computer and Technology sector's gain of 7.86% and the S&P 500's gain of 7.76% in that time.
Wall Street will be looking for positivity from BZUN as it approaches its next earnings report date.
For the full year, our Zacks Consensus Estimates are projecting earnings of $1.14 per share and revenue of $1.28 billion, which would represent changes of +32.56% and +21.98%, respectively, from the prior year.
Any recent changes to analyst estimates for BZUN 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.
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.
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. The Zacks Consensus EPS estimate has moved 7.55% higher within the past month. BZUN is currently sporting a Zacks Rank of #1 (Strong Buy).
Looking at its valuation, BZUN is holding a Forward P/E ratio of 34.17. For comparison, its industry has an average Forward P/E of 36.2, which means BZUN is trading at a discount to the group.
Meanwhile, BZUN's PEG ratio is currently 0.99. 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. Computers - IT Services stocks are, on average, holding a PEG ratio of 2.29 based on yesterday's closing prices.
The Computers - IT Services industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 176, which puts it in the bottom 31% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
To follow BZUN in the coming trading sessions, be sure to utilize Zacks.com.
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