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Turtle Beach (HEAR) Outpaces Stock Market Gains: What You Should Know

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Turtle Beach (HEAR) closed the most recent trading day at $11.09, moving +1.65% from the previous trading session. This change outpaced the S&P 500's 0.96% gain on the day. At the same time, the Dow added 0.75%, and the tech-heavy Nasdaq gained 1.58%.

Heading into today, shares of the audio technology company had lost 6.99% over the past month, lagging the Computer and Technology sector's gain of 2.37% and the S&P 500's gain of 1.85% in that time.

Investors will be hoping for strength from HEAR as it approaches its next earnings release, which is expected to be May 8, 2019. In that report, analysts expect HEAR to post earnings of $0.03 per share. This would mark a year-over-year decline of 81.25%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $41.70 million, up 1.98% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $0.85 per share and revenue of $244.43 million, which would represent changes of -72.13% and -14.96%, respectively, from the prior year.

Investors might also notice recent changes to analyst estimates for HEAR. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. 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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 1.6% higher within the past month. HEAR is holding a Zacks Rank of #5 (Strong Sell) right now.

Looking at its valuation, HEAR is holding a Forward P/E ratio of 12.89. This valuation marks a discount compared to its industry's average Forward P/E of 24.93.

It is also worth noting that HEAR currently has a PEG ratio of 1.43. 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 Communication - Components was holding an average PEG ratio of 1.9 at yesterday's closing price.

The Communication - Components industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 84, putting it in the top 33% 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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