Turtle Beach (HEAR) closed at $16.99 in the latest trading session, marking a -0.06% move from the prior day. This change lagged the S&P 500's 0.3% gain on the day. At the same time, the Dow added 0.46%, and the tech-heavy Nasdaq gained 0.08%.
Prior to today's trading, shares of the audio technology company had gained 6.45% over the past month. This has lagged the Computer and Technology sector's gain of 7.64% and outpaced the S&P 500's gain of 5.93% in that time.
HEAR will be looking to display strength as it nears its nex t earnings release. On that day, HEAR is projected to report earnings of $1.31 per share, which would represent year-over-year growth of 12.93%. Our most recent consensus estimate is calling for quarterly revenue of $110.33 million, up 38.44% from the year-ago period.
It is also important to note the recent changes to analyst estimates for HEAR. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
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.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.94% lower within the past month. HEAR is currently a Zacks Rank #3 (Hold).
Looking at its valuation, HEAR is holding a Forward P/E ratio of 9.68. Its industry sports an average Forward P/E of 21.06, so we one might conclude that HEAR is trading at a discount comparatively.
We can also see that HEAR currently has a PEG ratio of 1.08. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Communication - Components industry currently had an average PEG ratio of 1.68 as of yesterday's close.
The Communication - Components industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 50, putting it in the top 20% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. 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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