Meta Platforms (META) closed the latest trading day at $595.57, indicating a -0.27% change from the previous session’s end. The stock trailed the S&P 500, which registered a daily loss of 0.09%. At the same time, the Dow added 0.04%, and the tech-heavy Nasdaq lost 0.1%.

Shares of the social media company have appreciated by 5.6% over the course of the past month, outperforming the Computer and Technology sector’s gain of 3.04% and the S&P 500’s loss of 0.29%.

The investment community will be paying close attention to the earnings performance of Meta Platforms in its upcoming release. The company is predicted to post an EPS of $6.76, indicating a 26.83% growth compared to the equivalent quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $47 billion, indicating a 17.17% upward movement from the same quarter last year.

In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $22.68 per share and a revenue of $163.11 billion, indicating changes of +52.52% and +20.91%, respectively, from the former year.

Any recent changes to analyst estimates for Meta Platforms should also be noted by investors. 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.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To capitalize on this, we’ve crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.

The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.4% higher. At present, Meta Platforms boasts a Zacks Rank of #2 (Buy).

In terms of valuation, Meta Platforms is currently trading at a Forward P/E ratio of 26.33. This expresses a discount compared to the average Forward P/E of 32.61 of its industry.

Meanwhile, META’s PEG ratio is currently 1.31. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company’s anticipated earnings growth rate. The Internet – Software was holding an average PEG ratio of 2.29 at yesterday’s closing price.

The Internet – Software industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 31, finds itself in the top 13% echelons of all 250+ industries.