AudioEye (AEYE) closed at $11.59 in the latest trading session, marking a -1.11% move from the prior day. This change lagged the S&P 500's 0.14% gain on the day. On the other hand, the Dow registered a gain of 0.2%, and the technology-centric Nasdaq increased by 0.27%.
Heading into today, shares of the company had gained 3.26% over the past month, lagging the Computer and Technology sector's gain of 5.36% and the S&P 500's gain of 3.97%.
The investment community will be closely monitoring the performance of AudioEye in its forthcoming earnings report. On that day, AudioEye is projected to report earnings of $0.16 per share, which would represent year-over-year growth of 33.33%. Simultaneously, our latest consensus estimate expects the revenue to be $9.94 million, showing a 17.31% escalation compared to the year-ago quarter.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $0.71 per share and revenue of $41.51 million, indicating changes of +29.09% and +17.91%, respectively, compared to the previous year.
Investors should also note any recent changes to analyst estimates for AudioEye. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. 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, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. AudioEye is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, AudioEye currently has a Forward P/E ratio of 16.62. This indicates a discount in contrast to its industry's Forward P/E of 27.71.
Also, we should mention that AEYE has a PEG ratio of 0.66. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. By the end of yesterday's trading, the Internet - Software industry had an average PEG ratio of 2.15.
The Internet - Software industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 65, this industry ranks in the top 27% of all industries, numbering over 250.
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.
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Audioeye, Inc. (AEYE): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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