Weibo Corporation (WB) closed at $43.03 in the latest trading session, marking a +1.92% move from the prior day. The stock outpaced the S&P 500's daily gain of 0.95%. Elsewhere, the Dow gained 0.94%, while the tech-heavy Nasdaq added 0.8%.
Coming into today, shares of the company had lost 17.48% in the past month. In that same time, the Computer and Technology sector gained 0.95%, while the S&P 500 gained 2.47%.
Wall Street will be looking for positivity from WB as it approaches its next earnings report date. The company is expected to report EPS of $0.65, down 4.41% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $429.69 million, up 0.73% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.82 per share and revenue of $1.90 billion. These totals would mark changes of +3.3% and +10.52%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for WB. Recent revisions tend to reflect the latest near-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.
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 12.39% lower within the past month. WB is currently sporting a Zacks Rank of #4 (Sell).
Digging into valuation, WB currently has a Forward P/E ratio of 14.95. Its industry sports an average Forward P/E of 26.83, so we one might conclude that WB is trading at a discount comparatively.
It is also worth noting that WB currently has a PEG ratio of 0.71. 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 - Content industry currently had an average PEG ratio of 0.95 as of yesterday's close.
The Internet - Content industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 84, which puts it in the top 33% 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.
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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