AudioEye (AEYE) closed at $11.63 in the latest trading session, marking a -4.59% move from the prior day. This change lagged the S&P 500's daily loss of 0.79%. Meanwhile, the Dow lost 0.94%, and the Nasdaq, a tech-heavy index, lost 0.92%.
Prior to today's trading, shares of the company had lost 3.79% lagged the Computer and Technology sector's gain of 7.88% and the S&P 500's gain of 5.22%.
The upcoming earnings release of AudioEye will be of great interest to investors. It is anticipated that the company will report an EPS of $0.16, marking a 33.33% rise compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $9.94 million, up 17.31% from the year-ago period.
AEYE's full-year Zacks Consensus Estimates are calling for earnings of $0.71 per share and revenue of $41.51 million. These results would represent year-over-year changes of +29.09% and +17.91%, respectively.
It is also important to note the recent changes to analyst estimates for AudioEye. These recent revisions tend to reflect the evolving nature of short-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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. As of now, AudioEye holds a Zacks Rank of #3 (Hold).
In terms of valuation, AudioEye is currently trading at a Forward P/E ratio of 17.29. This signifies a discount in comparison to the average Forward P/E of 29.69 for its industry.
We can also see that AEYE currently has a PEG ratio of 0.69. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Internet - Software was holding an average PEG ratio of 2.24 at yesterday's closing price.
The Internet - Software industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 44, this industry ranks in the top 18% of all industries, numbering over 250.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next 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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