Meet Group (MEET) Dips More Than Broader Markets: What You Should Know
Meet Group (MEET) closed the most recent trading day at $5.05, moving -1.37% from the previous trading session. This change lagged the S&P 500's 0.23% loss on the day. At the same time, the Dow lost 0.01%, and the tech-heavy Nasdaq lost 0.05%.
Prior to today's trading, shares of the dating site company had lost 3.4% over the past month. This has lagged the Computer and Technology sector's gain of 4.13% and the S&P 500's gain of 3.16% in that time.
MEET will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.09, up 80% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $47.70 million, up 26.73% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $0.48 per share and revenue of $211.30 million, which would represent changes of +33.33% and +18.3%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for MEET. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. MEET is currently sporting a Zacks Rank of #1 (Strong Buy).
Investors should also note MEET's current valuation metrics, including its Forward P/E ratio of 10.67. This valuation marks a discount compared to its industry's average Forward P/E of 55.69.
Meanwhile, MEET's PEG ratio is currently 0.53. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Internet - Software was holding an average PEG ratio of 3.21 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 54, which puts it in the top 22% 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.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.