SS&C Technologies (SSNC) Outpaces Stock Market Gains: What You Should Know
In the latest trading session, SS&C Technologies (SSNC) closed at $64.21, marking a +0.38% move from the previous day. This move outpaced the S&P 500's daily gain of 0.16%. At the same time, the Dow added 0.42%, and the tech-heavy Nasdaq gained 0.03%.
Coming into today, shares of the financial services software maker had gained 2.96% in the past month. In that same time, the Computer and Technology sector gained 4.43%, while the S&P 500 gained 2.89%.
Investors will be hoping for strength from SSNC as it approaches its next earnings release, which is expected to be April 30, 2019. In that report, analysts expect SSNC to post earnings of $0.88 per share. This would mark year-over-year growth of 66.04%. Our most recent consensus estimate is calling for quarterly revenue of $1.15 billion, up 172.9% from the year-ago period.
SSNC's full-year Zacks Consensus Estimates are calling for earnings of $3.81 per share and revenue of $4.73 billion. These results would represent year-over-year changes of +30.48% and +37.07%, respectively.
Investors should also note any recent changes to analyst estimates for SSNC. 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. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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 has moved 0.25% higher within the past month. SSNC is currently sporting a Zacks Rank of #2 (Buy).
Investors should also note SSNC's current valuation metrics, including its Forward P/E ratio of 16.77. For comparison, its industry has an average Forward P/E of 30.95, which means SSNC is trading at a discount to the group.
Also, we should mention that SSNC has a PEG ratio of 1.4. 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. SSNC's industry had an average PEG ratio of 2.21 as of yesterday's close.
The Computer - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 11, which puts it in the top 5% 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.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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