In the last trading session, Splunk (SPLK) closed at USD 135.19, a move of + 1.7% from the previous day. That change outpaced the S&P 500’s 1.66% gain that day. At the same time, the Dow was up 1.39% and the tech-heavy Nasdaq was up 1.24%.
To date, shares in the software maker, which enables companies to collect and analyze internal data, had lost 8.37% in the past month. At the same time, the computer and technology sector lost 1.7% while the S&P 500 gained 1.91%.
SPLK will look to show strength as it nears its next earnings release. The company is expected to post earnings per share of $ 0.72, a decrease of 28.57% from the year-ago quarter. The Zacks Consensus estimate for sales predicts net sales of $ 492.89 million, up 13.55% over the same period last year.
Looking at the full year, our Zacks Consensus estimates expect analysts to expect earnings of $ 0.76 per share and revenue of $ 2.55 billion. These total numbers would mean changes of -38.18% or + 14.19% compared to the previous year.
Investors might also notice the recent changes in analysts’ guidance for SPLK. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive revisions to estimates reflect analysts’ optimism about the company’s business and profitability.
Our research shows that these changes in estimates correlate directly with short-term stock prices. Investors can take advantage of this using the Zacks range. This model takes these changes in estimates into account and provides a simple, actionable rating system.
The Zacks Rank system ranges from No. 1 (strong buy) to No. 5 (strong sell) and has a proven, externally verified track record of outperformance. Since 1988, the # 1 stock has achieved an average annual return of + 25%. The Zacks Consensus EPS estimate is down 21.25% last month. SPLK currently holds a Zacks rank of # 3 (Hold).
The internet software industry is part of the computer and technology sector. This group has a Zacks industry ranking of 181, which is below 30% of all over 250 industries.
The Zacks industry rank measures the strength of our industry groups based on the average Zacks rank of the individual stocks within the groups. Our research shows that the industries with the top 50% outperform the bottom half by a factor of 2 to 1.
Use Zacks.com to keep track of SPLK in the upcoming trading sessions.
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