Why Upland Software (UPLD) Outpaced the Stock Market Today

Zacks
22 Mar

In the latest trading session, Upland Software (UPLD) closed at $3.40, marking a +1.8% move from the previous day. This change outpaced the S&P 500's 0.08% gain on the day. Elsewhere, the Dow gained 0.08%, while the tech-heavy Nasdaq added 0.52%.

The maker of cloud-based enterprise work-management software's shares have seen a decrease of 25.28% over the last month, not keeping up with the Computer and Technology sector's loss of 12.04% and the S&P 500's loss of 7.33%.

The investment community will be closely monitoring the performance of Upland Software in its forthcoming earnings report. In that report, analysts expect Upland Software to post earnings of $0.18 per share. This would mark a year-over-year decline of 5.26%. Our most recent consensus estimate is calling for quarterly revenue of $61.26 million, down 13.4% from the year-ago period.

For the full year, the Zacks Consensus Estimates project earnings of $0.89 per share and a revenue of $239.56 million, demonstrating changes of -27.05% and -12.82%, respectively, from the preceding year.

Investors should also take note of any recent adjustments to analyst estimates for Upland Software. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 14.5% lower. Upland Software currently has a Zacks Rank of #4 (Sell).

In terms of valuation, Upland Software is presently being traded at a Forward P/E ratio of 3.75. This indicates a discount in contrast to its industry's Forward P/E of 27.92.

The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 81, putting it in the top 33% of all 250+ industries.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.

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This article originally published on Zacks Investment Research (zacks.com).

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Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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