In the latest trading session, Nice (NICE) closed at $114.44, marking a +1.99% move from the previous day. The stock exceeded the S&P 500, which registered a gain of 0.03% for the day. Meanwhile, the Dow experienced a drop of 0.58%, and the technology-dominated Nasdaq saw an increase of 0.28%.
The stock of software company has fallen by 0.86% in the past month, lagging the Computer and Technology sector's gain of 0.43% and the S&P 500's gain of 0.6%.
The upcoming earnings release of Nice will be of great interest to investors. The company's earnings per share (EPS) are projected to be $3.23, reflecting a 6.95% increase from the same quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $778.66 million, indicating a 7.91% growth compared to the corresponding quarter of the prior year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $12.28 per share and a revenue of $2.94 billion, signifying shifts of +10.43% and 0%, respectively, from the last year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Nice. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.21% lower. Currently, Nice is carrying a Zacks Rank of #4 (Sell).
Looking at valuation, Nice is presently trading at a Forward P/E ratio of 9.66. This represents a discount compared to its industry average Forward P/E of 23.85.
Also, we should mention that NICE has a PEG ratio of 1.35. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. As the market closed yesterday, the Internet - Software industry was having an average PEG ratio of 1.4.
The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 69, which puts it in the top 29% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Nice (NICE): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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