Meta Platforms (META) closed at $641.97 in the latest trading session, marking a -1.7% move from the prior day. The stock’s performance was behind the S&P 500’s daily gain of 0.16%. Meanwhile, the Dow gained 0.17%, and the Nasdaq, a tech-heavy index, added 0.26%.

The social media company’s stock has climbed by 1.37% in the past month, exceeding the Computer and Technology sector’s loss of 0.85% and lagging the S&P 500’s gain of 1.89%.

Investors will be eagerly watching for the performance of Meta Platforms in its upcoming earnings disclosure. The company’s upcoming EPS is projected at $8.16, signifying a 1.75% increase compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $58.4 billion, indicating a 20.69% upward movement from the same quarter last year.

For the full year, the Zacks Consensus Estimates project earnings of $23.04 per share and a revenue of $199.46 billion, demonstrating changes of -3.44% and 0%, respectively, from the preceding year.

It’s also important for investors to be aware of any recent modifications to analyst estimates for Meta Platforms. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. 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 shifted 1.6% upward. Currently, Meta Platforms is carrying a Zacks Rank of #3 (Hold).

In terms of valuation, Meta Platforms is presently being traded at a Forward P/E ratio of 21.65. This valuation marks a discount compared to its industry average Forward P/E of 24.48.

It is also worth noting that META currently has a PEG ratio of 1.31. 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. By the end of yesterday’s trading, the Internet – Software industry had an average PEG ratio of 1.49.

The Internet – Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 51, which puts it in the top 21% of all 250+ industries.