Samsara Inc. (IOT) closed at $26.41 in the latest trading session, marking a -5.85% move from the prior day. The stock's change was less than the S&P 500's daily gain of 0.54%. Meanwhile, the Dow gained 1.05%, and the Nasdaq, a tech-heavy index, added 0.56%.
Coming into today, shares of the company had lost 17.31% in the past month. In that same time, the Computer and Technology sector gained 0.44%, while the S&P 500 gained 0.74%.
The investment community will be closely monitoring the performance of Samsara Inc. in its forthcoming earnings report. The company's upcoming EPS is projected at $0.13, signifying a 18.18% increase compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $422.09 million, up 21.89% from the prior-year quarter.
For the full year, the Zacks Consensus Estimates are projecting earnings of $0.51 per share and revenue of $1.6 billion, which would represent changes of +96.15% and 0%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Samsara Inc. Such recent modifications usually signify the changing landscape of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. 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 last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Samsara Inc. is holding a Zacks Rank of #1 (Strong Buy) right now.
Valuation is also important, so investors should note that Samsara Inc. has a Forward P/E ratio of 55.15 right now. This represents a premium compared to its industry average Forward P/E of 22.53.
It's also important to note that IOT currently trades at a PEG ratio of 1.25. 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 1.29 at yesterday's closing price.
The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 83, which puts it in the top 34% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Samsara Inc. (IOT): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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