Facebook (FB) closed the most recent trading day at $236.73, moving -0.81% from the previous trading session. This change lagged the S&P 500's 0.53% loss on the day. Meanwhile, the Dow lost 1.04%, and the Nasdaq, a tech-heavy index, added 0.67%.
Wall Street will be looking for positivity from FB as it approaches its next earnings report date. In that report, analysts expect FB to post earnings of $1.42 per share. This would mark year-over-year growth of 56.04%. Meanwhile, our latest consensus estimate is calling for revenue of $16.94 billion, up 0.34% from the prior-year quarter.
FB's full-year Zacks Consensus Estimates are calling for earnings of $7.27 per share and revenue of $76.48 billion. These results would represent year-over-year changes of +13.06% and +8.18%, respectively.
Investors might also notice recent changes to analyst estimates for FB. 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.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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 0.16% higher within the past month. FB currently has a Zacks Rank of #3 (Hold).
In terms of valuation, FB is currently trading at a Forward P/E ratio of 32.85. This valuation marks a no noticeable deviation compared to its industry's average Forward P/E of 32.85.
Meanwhile, FB's PEG ratio is currently 1.73. 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. FB's industry had an average PEG ratio of 2.55 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 56, which puts it in the top 23% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Facebook, Inc. (FB) : Free Stock Analysis Report
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