Atlassian (TEAM) Gains As Market Dips: What You Should Know
In the latest trading session, Atlassian (TEAM) closed at $194.47, marking a +0.93% move from the previous day. The stock outpaced the S&P 500's daily loss of 0.45%. Meanwhile, the Dow lost 0.67%, and the Nasdaq, a tech-heavy index, lost 0.05%.
Prior to today's trading, shares of the company had gained 14.9% over the past month. This has outpaced the Computer and Technology sector's loss of 2.03% and the S&P 500's loss of 1.89% in that time.
Wall Street will be looking for positivity from Atlassian as it approaches its next earnings report date. This is expected to be August 4, 2022. In that report, analysts expect Atlassian to post earnings of $0.26 per share. This would mark year-over-year growth of 8.33%. Meanwhile, our latest consensus estimate is calling for revenue of $717.78 million, up 28.28% from the prior-year quarter.
Investors might also notice recent changes to analyst estimates for Atlassian. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
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. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Atlassian currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Atlassian has a Forward P/E ratio of 128.23 right now. This represents a premium compared to its industry's average Forward P/E of 43.84.
Investors should also note that TEAM has a PEG ratio of 6.41 right now. 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. TEAM's industry had an average PEG ratio of 2.35 as of yesterday's close.
The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 133, which puts it in the bottom 48% 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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Atlassian Corporation PLC (TEAM) : Free Stock Analysis Report
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