|Bid||152.00 x 1800|
|Ask||153.33 x 800|
|Day's Range||151.43 - 154.26|
|52 Week Range||117.72 - 178.95|
|Beta (3Y Monthly)||1.40|
|PE Ratio (TTM)||592.05|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||N/A|
Traders also look at the activity of short sellers for trading opportunities. Sometimes, stocks with a large amount of short selling activity could be potential candidates for short squeezes. Other times, ...
Unlike many data and cloud equities, Splunk (NASDAQ:SPLK) stock has struggled in recent weeks. The shares of the developer of Splunk Enterprise, a data analysis solution, have dropped amid worries about its acquisitions and concerns about its cash flow.Source: Michael Vi / Shutterstock.com However, by buying Splunk stock at these levels, traders may get something they do not expect from data and cloud stocks today: a discount.Many of the stocks in those sectors seem to do nothing but move higher. Given the performance of many of Splunk's peers, one might think that all of the stocks in the sector, including SPLK, keep making 52-week highs and have achieved outlandish price-earnings (P/E) ratios.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 7 CBD Stocks to Buy That Are Still Worth Your Investment Dollars However, many data and software-as-a-service (SaaS) firms such as Salesforce (NYSE:CRM) and SAP (NYSE:SAP), have fallen below their 52-week highs. But those companies have not fallen as far as Splunk stock. While CRM stock has dropped by about 9% and SAP has retreated around 15%, SPLK stock has tumbled more than 18% below its 52-week high. Why Splunk Stock fellOne reason for the decline of Splunk stock was concern that its acquisition of SignalFx would dilute the shares. That feeling likely worsened after SPLK announced earlier this month that it would also buy Omnitron. There is some uncertainty as to how these deals will affect the cash, debt, and shares outstanding of SPLK.Moreover, like Autodesk (NASDAQ:ADSK) in recent years, SPLK has begun to switch from a permanent license model to a subscription revenue model. Although the change should result in SPLK generating more revenue over the long-term, such a decision usually leads to a temporary reduction of cash flow.In the wake of fears about its acquisitions, Splunk stock has tumbled from its $143.70 per share high in mid-July to about $116 per share today.However, I see the moves made by SPLK as positive. Many commentators will often criticize firms for putting their short-term profits ahead of their longer-term needs and those of their shareholders. In this case, in an effort to improve its offerings, SPLK has bought other companies. It also switched to a subscription revenue model that should increase its cash flows over the long-term.Still, instead of rewarding the company, traders briefly took SPLK stock into bear-market territory. I believe that the unjustified decline of Splunk stock has created a good buying opportunity. The Case for SPLK StockThe forward P/E ratio of Splunk stock may look high, compared to the S&P 500's average forward P/E ratio. Still, given the high expected growth of Splunk's future earnings, the forward P/E ratio of Splunk stock, which currently stands at 49, looks reasonable. For fiscal 2019, analysts, on average, expect Splunk's earnings to jump 43.6%. In FY20, analysts, on average, predict that its profits will surge nearly 25%.Moreover, yesterday SPLK stock rose by more than 2% after JPMorgan's Mark Murphy upgraded the shares to an "overweight" rating. Thanks to the reduction in the stock price, he sees Splunk stock as attractive. Murphy has placed a $130 price target on SPLK.Like Murphy, I think there are reasons why Splunk's rapid growth should continue. For one, all things cloud are still growing almost exponentially. Moreover, as InvestorPlace columnist Luke Lango noted, "more and more customers are leaving bigger and bigger digital footprints." Consequently, SPLK remains well-positioned to expand its customer base at a rapid pace.Investors should also note that the price-sales ratio of SPLK is 8.6, well below the shares' average P/S multiple of the last five years, which is 11.4. The Bottom Line on Splunk StockThe JPMorgan upgrade highlights the buying opportunity created by the weakness of Splunk stock. Although buying companies and switching to subscription-based plans will hurt SPLK in the short-term, the moves should improve its performance over the longer term.The weakness of SPLK stock gives traders the chance to buy this growth name at a below-average multiple. Investors should take advantage of this opportunity and consider using any additional pullbacks of SPLK stock to buy the shares at an even larger discount,As of this writing, Will Healy did not hold a position in any of the aforementioned stocks. You can follow Will on Twitter at @HealyWriting. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 CBD Stocks to Buy That Are Still Worth Your Investment Dollars * 5 Stocks to Buy With Great Charts * 5 Goldman Sachs Stocks to Buy with Over 20% Upside Potential The post Investors Should Exploit the Weakness of Splunk Stock appeared first on InvestorPlace.
The salary totals are yet another example of the bruising battle Bay Area employers face for talented workers, especially in the tech industry.
Markets have been so volatile this summer on U.S.-China trade tensions that investors might not have noticed: Tech stocks are absolutely red-hot in 2019.Indeed, the technology sector of Standard & Poor's 500-stock index is leading the broader market by a mile this year, with a year-to-date gain of 29% through Aug. 21. By comparison, the S&P; 500 is up about 17%, while the tech-heavy Nasdaq Composite Index has risen 21%. (The second-best performing sector is real estate, up 25%.)Stellar gains are always welcome, but they do pose a challenge for investors. After such a big run-up, is there anything left worth buying at current levels?Analysts sure think so. Between momentum and the sector's outsize growth prospects, plenty of tech stocks have nowhere near topped out, they say.To see which picks analysts like best at this point, we screened the Nasdaq Composite for the top-rated small, midsize and large tech stocks. S&P; Global Market Intelligence surveys analysts' ratings on stocks and scores them on a five-point scale, where 1.0 equals Strong Buy and 5.0 means Strong Sell. Any score of 2.0 or lower means that analysts, on average, rate the stock a Buy. The closer the score gets to 1.0, the better.Here are the 12 tech stocks the analysts love right now. This group is broken down into the four best-rated stock picks in the small-, mid- and large-cap spaces. SEE ALSO: All 30 Dow Stocks Ranked: The Analysts Weigh In
Things are not looking good for the design software company Autodesk (ADSK). Shares have plummeted 5% in the three days following its August 27 announcement that the ongoing trade war with China could weigh down its earnings in the second half of 2019. The bad news didn’t end there. Merrill Lynch’s Kash Rangan told investors that there’s likely weakness in manufacturing and construction activity in key geographical regions, leading to his conclusion that growth isn’t in store for ADSK anytime soon. As a result, he downgraded the rating from a Hold to a Sell on August 28. That doesn’t mean investors should steer clear of software stocks all together. Monness’ Brian White has bet on Slack Technologies (WORK) based on its “exciting possibilities”, initiating coverage with a Buy on August 26. With this in mind, let’s take a closer look at each to see why the best performing analysts pick Slack instead of Autodesk. No Turnaround in Sight for AutodeskYou wouldn’t guess it from the recent beating shares have taken but ADSK actually posted a fiscal Q2 2020 earnings beat. EPS came in ahead of the $0.61 consensus estimate at $0.65. Sales gained 30% year-over-year reaching $797 million. This is all well and good, but investors were not impressed with the company’s full year fiscal 2020 guidance. Management cut its expectations for annualized recurring revenue, with its expectations for profits also falling below consensus estimates. Adding to the bad news, sales are expected to grow at a lower rate than what was seen in fiscal Q2. “Autodesk’s business outlook for the third quarter and full year fiscal 2020 takes into consideration the current economic environment and foreign exchange currency rate environment,” the company stated in its earnings report. Rangan tells investors that lowered expectations across the board signal weakening in manufacturing and construction in its key regions including the UK, Germany and China. Based on these headwinds, the analyst not only downgraded the stock but also cut the price target from $170 to $127, suggesting 11% downside. The five-star analyst noted that the valuation multiples would be reduced as well to reflect lowered hopes for growth going forward.All in all, the Street takes a more bullish stance on ADSK. It has a ‘Moderate Buy’ analyst consensus as well as a $168 average price target, implying 18% upside potential. Strong Growth Possibilities for Slack Despite its 26% decline since its June 20 IPO, Monness believes the cloud-based team collaboration software provider is heating up with it already being considered a staple in the workplace.“We believe Slack is one of the next-generation software platforms that leadership at organizations around the world will increasingly equip their employees with during this digital transformation journey,” White wrote in a note to clients. He explained, “As evidenced by the 82% revenue growth achieved in fiscal year 2019, Slack has clearly struck a chord as a collaboration tool for workers and we believe the evolution of this new software layer in the organization has exciting possibilities.” Adding to the good news, the company announced on August 14 that even more product improvements are on the way. Slack developed an Announcements channel as a way to send a message to the entire organization about administrative matters such as changes in HR policy or software updates. In addition, it allows admins to limit who can send messages as well as who can respond.It also stated on the same day that it’s adding new APIs for creating templated workspaces and automating the approval process for tools used inside Slack channels or workspaces. Based on all of these positive developments, White initiated his coverage with a Buy and set a $39 price target. The five-star analyst argues that share prices could gain as much as 36% over the next twelve months. With 9 Buy ratings vs 6 Holds received in the last three months, the consensus among analysts is that Slack is a ‘Moderate Buy’. Its $40 average price target implies 38% upside, demonstrating more than double the upside of ADSK. Find analysts’ favorite stocks with the Top Analysts’ Stocks tool
This most-searched list is a feature included in Benzinga Pro's Newsfeed tool. It highlights stocks frequently searched by Benzinga Pro users on the platform. DPW Holdings (AMEX: DPW) shares were down ...
U.S. stock futures are trading higher this morning. Daily turns in the trade war narrative continue to drive stock prices. Today's boost is coming after China's commerce ministry said they "firmly reject and escalation of the trade war."Source: Shutterstock Heading into the open, futures on the Dow Jones Industrial Average are up 0.88%, and S&P 500 futures are higher by 0.83%. Nasdaq-100 futures have added 1.08%.Yesterday's action in the options pits saw put volume almost catch up to calls, even as overall volume remained below average. Specifically, about 14.7 million calls and 14 million puts changed hands on the session.InvestorPlace - Stock Market News, Stock Advice & Trading TipsMeanwhile, over at the CBOE, the single-session equity put/call volume ratio matched Tuesday's reading at 0.64. The pair of lower readings reflect a market that is trying to return to normal. The 10-day moving average slipped to a two-week low at 0.70.Options trading was buzzing in Autodesk (NASDAQ:ADSK), Costco (NASDAQ:COST) and Bank of America (NYSE:BAC).Let's take a closer look: Autodesk (ADSK)Autodesk shares plunged Wednesday morning after lowering its earnings forecast, but buyers emerged to pare the losses by the closing bell. What began as a 12.5% down open mercifully morphed into a 6.7% loss by day's end. It was still a beating, but not nearly as ugly as it could have been.The concerns weren't centered around last quarter's earnings. Autodesk actually bested estimates, growing sales by 30% year-over-year. Instead, investors' ire was targeted toward the software company's downbeat forward guidance due to trade war concerns. * 7 Stocks to Buy Down 10% in the Past Week The technical picture for ADSK stock deteriorated mid-year, and it was already limping into the report. With yesterday's whack, the shares slipped below yet another support zone, and while the intraday rally was impressive, there is now a ton of resistance to work through. Until we work back above $150, sellers hold the upper hand.On the options trading front, traders favored puts throughout the session. Activity soared to 781% of the average daily volume, with 93,267 total contracts traded. Puts accounted for 58% of the tally. Costco (COST)Costco shares scored a beautiful breakout this week, coming within pennies of tagging $300 a share. Volume surged alongside the rally, confirming institutions were entering the fray. This legitimizes the resistance breach and makes it that much more likely that the stock stays aloft.COST stock has exhibited relative strength during the recent market turmoil. That fact that it is one of the first stocks popping to new highs shouldn't be surprising. Perhaps some of the buying is due to investors piling in ahead of the dividend. The stock trades ex-dividend today, pricing out its next quarterly payment of 65 cents.There's no doubt the dividend is what launched options trading to the moon. Activity rocketed to 567% of the average daily volume, with 106,955 total contracts traded; 78% of the trading came from call options alone.Implied volatility has been rising in anticipation of Costco's next earnings announcement. At 27%, the reading sits at the 60th percentile of its one-year range. Premiums are pricing in daily moves of $4.94 or 1.7%. Bank of America (BAC)Beaten down banks came to life Wednesday. Bank of America led the way rallying 1.4% at a critical juncture. Its price chart has been chipping away at multi-month support, but buyers swooped in to save it from breaking down. Upside follow-through is still needed to confirm the turnabout though. We've seen many failed rally attempts this month.That said, the risk-reward for bullish trades is attractive with potential support sitting at yesterday's low. * 10 Best Dividend Stocks to Buy for the Rest of 2019 and Beyond On the options trading front, calls outpaced puts by a wide margin. Total activity grew to 101% of the average daily volume, with 262,070 contracts traded; 65% of the trading came from call options alone.Implied volatility is hovering at 30% or the 37th percentile of its one-year range. That puts the expected daily move at 51 cents or 1.9%.As of this writing, Tyler Craig didn't hold a position in any of the aforementioned securities. Check out his recently released Bear Market Survival Guide to learn how to defend your portfolio against market volatility. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Stocks to Buy Down 10% in the Past Week * 15 Retail Survivors to Buy for the Long Run * 7 Stocks That Wall Street Thinks Could Rise 50% Or More The post Thursday's Vital Data: Autodesk, Costco and Bank of America appeared first on InvestorPlace.
Autodesk’s shares are slumping after the software company said the U.S.-China Trade War could have a negative impact on its financials. Still, it beat estimates on the top and bottom lines for its fiscal 2nd quarter. Yahoo Finance’s Akiko Fujita and Brian Cheung discuss.