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GoPro (GPRO – Free Report) closed at $10.68 in the latest trading session, marking a -0.09% move from the prior day. This change was narrower than the S&P 500’s 0.41% loss on the day. Elsewhere, the Dow lost 0.01%, while the tech-heavy Nasdaq added 0.13%.
Coming into today, shares of the action video camera maker had lost 0.65% in the past month. In that same time, the Consumer Discretionary sector lost 2.75%, while the S&P 500 gained 2.36%.
GoPro will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.35, down 10.26% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $383.15 million, up 7.09% from the year-ago period.
Investors might also notice recent changes to analyst estimates for GoPro. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company’s business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team 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, 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. The Zacks Consensus EPS estimate has moved 2.8% higher within the past month. GoPro is currently a Zacks Rank #3 (Hold).
Digging into valuation, GoPro currently has a Forward P/E ratio of 11.08. Its industry sports an average Forward P/E of 13.9, so we one might conclude that GoPro is trading at a discount comparatively.
The Audio Video Production industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 107, which puts it in the top 42% of all 250+ industries.
The Zacks Industry Rank includes is listed in order 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.
To follow GPRO in the coming trading sessions, be sure to utilize Zacks.com.