Logitech (LOGI) Dips More Than Broader Markets: What You Should Know

·2-min read

In the latest trading session, Logitech (LOGI) closed at $125.20, marking a -0.71% move from the previous day. This change lagged the S&P 500's 0.11% loss on the day.

Coming into today, shares of the maker of keyboards, webcams and other computer accessories had gained 8.64% in the past month. In that same time, the Computer and Technology sector gained 7.15%, while the S&P 500 gained 2.23%.

Investors will be hoping for strength from LOGI as it approaches its next earnings release. On that day, LOGI is projected to report earnings of $0.83 per share, which would represent year-over-year growth of 29.69%. Meanwhile, our latest consensus estimate is calling for revenue of $1.15 billion, up 45.2% from the prior-year quarter.

For the full year, our Zacks Consensus Estimates are projecting earnings of $4.52 per share and revenue of $5.33 billion, which would represent changes of -29.6% and +1.5%, respectively, from the prior year.

It is also important to note the recent changes to analyst estimates for LOGI. 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. Within the past 30 days, our consensus EPS projection remained stagnant. LOGI is holding a Zacks Rank of #2 (Buy) right now.

Valuation is also important, so investors should note that LOGI has a Forward P/E ratio of 27.92 right now. This valuation marks a premium compared to its industry's average Forward P/E of 12.26.

The Computer - Peripheral Equipment industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 245, putting it in the bottom 4% 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 LOGI in the coming trading sessions, be sure to utilize Zacks.com.


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