Snap (SNAP) closed the most recent trading day at $6.08, moving -4.1% from the previous trading session. This move lagged the S&P 500's daily gain of 0.6%. Elsewhere, the Dow saw an upswing of 0.03%, while the tech-heavy Nasdaq appreciated by 1.18%.
Shares of the company behind Snapchat witnessed a gain of 21.46% over the previous month, beating the performance of the Computer and Technology sector with its loss of 6.18%, and the S&P 500's loss of 0.79%.
Analysts and investors alike will be keeping a close eye on the performance of Snap in its upcoming earnings disclosure. The company's earnings report is set to go public on November 4, 2026. In that report, analysts expect Snap to post earnings of $0.16 per share. This would mark year-over-year growth of 166.67%. Our most recent consensus estimate is calling for quarterly revenue of $1.72 billion, up 14.32% from the year-ago period.
SNAP's full-year Zacks Consensus Estimates are calling for earnings of $0.58 per share and revenue of $6.78 billion. These results would represent year-over-year changes of +75.76% and +14.37%, respectively.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Snap. These revisions help to show the ever-changing nature of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 21.21% lower. Snap is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, Snap is presently being traded at a Forward P/E ratio of 10.85. This represents a discount compared to its industry average Forward P/E of 21.46.
We can also see that SNAP currently has a PEG ratio of 0.24. 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 1.27 at yesterday's closing price.
The Internet - Software industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 90, this industry ranks in the top 37% of all industries, numbering over 250.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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This article originally published on Zacks Investment Research (zacks.com).