In the latest trading session, Samsara Inc. (IOT) closed at $39.91, marking a +1.68% move from the previous day. This change outpaced the S&P 500's 1.23% gain on the day. Elsewhere, the Dow gained 0.72%, while the tech-heavy Nasdaq added 1.86%.
Heading into today, shares of the company had gained 3.24% over the past month, lagging the Computer and Technology sector's gain of 3.49% and outpacing the S&P 500's gain of 2.45%.
The investment community will be paying close attention to the earnings performance of Samsara Inc. in its upcoming release. The company is expected to report EPS of $0.12, up 71.43% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $399.44 million, up 24.06% from the year-ago period.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $0.47 per share and a revenue of $1.57 billion, signifying shifts of +80.77% and +25.97%, respectively, from the last year.
Investors should also note any recent changes to analyst estimates for Samsara Inc. Recent revisions tend to reflect the latest near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. 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, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. At present, Samsara Inc. boasts a Zacks Rank of #2 (Buy).
From a valuation perspective, Samsara Inc. is currently exchanging hands at a Forward P/E ratio of 83.76. This represents a premium compared to its industry average Forward P/E of 30.18.
It's also important to note that IOT currently trades at a PEG ratio of 1.92. 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. As the market closed yesterday, the Internet - Software industry was having an average PEG ratio of 2.14.
The Internet - Software industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 79, positioning it in the top 32% of all 250+ industries.
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.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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Samsara Inc. (IOT): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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