Grab Holdings Limited (GRAB) closed the most recent trading day at $3.82, moving +2.41% from the previous trading session. The stock outperformed the S&P 500, which registered a daily gain of 1.18%. Elsewhere, the Dow gained 0.66%, while the tech-heavy Nasdaq added 1.96%.
Coming into today, shares of the company had lost 0.53% in the past month. In that same time, the Computer and Technology sector gained 5.37%, while the S&P 500 gained 3.93%.
Analysts and investors alike will be keeping a close eye on the performance of Grab Holdings Limited in its upcoming earnings disclosure. On that day, Grab Holdings Limited is projected to report earnings of $0.03 per share, which would represent year-over-year growth of 200%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $927.37 million, up 19.97% from the year-ago period.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $0.09 per share and revenue of $4.08 billion. These totals would mark changes of +50% and +20.99%, respectively, from last year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Grab Holdings Limited. These revisions typically reflect the latest short-term business trends, which can change frequently. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate has moved 5.56% lower. Grab Holdings Limited currently has a Zacks Rank of #4 (Sell).
Investors should also note Grab Holdings Limited's current valuation metrics, including its Forward P/E ratio of 43.88. Its industry sports an average Forward P/E of 18.17, so one might conclude that Grab Holdings Limited is trading at a premium comparatively.
We can additionally observe that GRAB currently boasts a PEG ratio of 0.89. 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. The Internet - Software was holding an average PEG ratio of 1.01 at yesterday's closing price.
The Internet - Software industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 95, positioning it in the top 39% 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.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
Research Chief Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.
Free: See Our Top Stock And 4 Runners UpWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Grab Holdings Limited (GRAB): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).