Here's Why Symbotic Inc. (SYM) Fell More Than Broader Market

In the latest trading session, Symbotic Inc. (SYM) closed at $67.14, marking a -2.46% move from the previous day. The stock's change was less than the S&P 500's daily loss of 0.28%. Meanwhile, the Dow experienced a drop of 0.52%, and the technology-dominated Nasdaq saw a decrease of 0.08%. Heading into today, shares of the company had gained 40.78% over the past month, outpacing the Business Services sector's loss of 0.31% and the S&P 500's gain of 4.03%.Analysts and investors alike will be keeping a close eye on the performance of Symbotic Inc. in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $0.07, marking a 40% rise compared to the same quarter of the previous year. Meanwhile, the latest consensus estimate predicts the revenue to be $600.16 million, indicating a 4.05% increase compared to the same quarter of the previous year. For the full year, the Zacks Consensus Estimates are projecting earnings of $0.24 per share and revenue of $2.23 billion, which would represent changes of +400% and 0%, respectively, from the prior year. Any recent changes to analyst estimates for Symbotic Inc. should also be noted by investors. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook. Based on our research, we believe these estimate revisions are directly related to near-term stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system. 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. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. Right now, Symbotic Inc. possesses a Zacks Rank of #5 (Strong Sell). Looking at valuation, Symbotic Inc. is presently trading at a Forward P/E ratio of 173.16. This valuation marks a premium compared to its industry average Forward P/E of 22.4. We can also see that SYM currently has a PEG ratio of 5.77. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. By the end of yesterday's trading, the Technology Services industry had an average PEG ratio of 1.84. The Technology Services industry is part of the Business Services sector. This industry, currently bearing a Zacks Industry Rank of 91, finds itself in the top 37% echelons of all 250+ industries. The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1. Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions. Quantum Computing Stocks Set To SoarArtificial intelligence has already reshaped the investment landscape, and its convergence with quantum computing could lead to the most significant wealth-building opportunities of our time.Today, you have a chance to position your portfolio at the forefront of this technological revolution. In our urgent special report, Beyond AI: The Quantum Leap in Computing Power, you'll discover the little-known stocks we believe will win the quantum computing race and deliver massive gains to early investors.Access the Report Free Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Symbotic Inc. (SYM): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks