This story originally appeared on Zacks
Arlo Technologies (ARLO) closed at $9.57 in the last trading session, posting a move of -1.75% from the previous day. This change delayed the S&P 500’s loss of 0.14% today. Meanwhile, the Dow Jones lost 0.45%, and the tech-heavy Nasdaq lost 0.01%.
Ahead of today’s trading, shares of the connected smart device maker are up 7.86% over the past month. This outpaced the computer and technology sector’s loss of 5.82% and the S&P 500’s loss of 0.13% in that time.
Investors are hoping to gain traction from Arlo Technologies as it nears its next earnings release. In this report, analysts expect Arlo Technologies to post earnings of – $0.03 per share. This represents an annual growth of 62.5%. Our latest consensus estimate calls for quarterly revenue of $135.74 million, an increase of 18.2% over the same period last year.
Investors may also note recent changes in analyst estimates for Arlo Technologies. Recent reviews tend to reflect the latest near-term business trends. With this in mind, we can take the positive rating reviews as a sign of optimism about the company’s business outlook.
Our research shows that these discretionary changes are directly correlated with near-term stock prices. We developed Zacks Rank to take advantage of this phenomenon. Our system takes these discretionary changes into account and provides a clear and actionable rating model.
The Zacks Rank system ranges from #1 (strong buy) to #5 (strong sell). The company has a successful track record, subject to external scrutiny, with the No. 1 stock having generated an average annual return of over 25% since 1988. Zacks Consensus EPS estimate has remained flat over the past month. Arlo Technologies has a Zacks rating of #2 (buy) at the moment.
Given its valuation, Arlo Technologies maintains a forward P/E ratio of 1948. This valuation represents a premium over the industry’s average forward P/E of 56.59.
Internet – The software industry is part of the computer and technology sector. The industry currently has a Zacks Industry Rating of 172, placing it in the lowest 33% of all 250+ industries.
Zacks Industry Ranks are listed in order from best to worst in terms of the average Zacks rating of individual companies in each of these sectors. Our research shows that industries ranked 50% 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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