Autodesk, Inc.

NASDAQ Global Select
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Slightly Bullish +25

Autodesk (ADSK) Increases Despite Market Slip: Here's What You Need to Know

📈 Autodesk (ADSK) closed higher by +1.31% at $247.54, outperforming the S&P 500 which fell 0.41%.

📉 Despite the individual stock gain, the Computer and Technology sector rose 18.71%, causing ADSK to lag slightly with a monthly gain of only 2.63%.

💰 Analysts expect Autodesk to report earnings of $2.84 per share in the upcoming financial results release.

📊 This projected quarterly earnings figure represents a year-over-year growth rate of 24.02% compared to the same quarter last year.

💵 Consensus estimates predict revenue of $1.89 billion for the quarter, indicating a 16.02% increase from the previous year.

🎯 Full-year analyst expectations suggest earnings of $12.38 per share and revenue of $8.15 billion with respective growths of +18.7% and +13.04%.

⚖️ Autodesk is currently trading at a Forward P/E ratio of 19.74, which is slightly above the industry average of 19.38.

📈 The company has a PEG ratio of 1.22, whereas the Internet - Software industry average is 1.09.

🏆 The stock holds a Zacks Rank #3 (Hold), with its consensus EPS projection remaining stagnant over the past 30 days.

🌐 Autodesk belongs to the Internet - Software industry which has a Zacks Industry Rank of 70, placing it in the top 29% of all industries.

📉 Research indicates that top-ranked industries historically outperform bottom-ranked ones by a factor of 2 to 1.

📩 The article also highlights other stock recommendations and market movements unrelated to Autodesk's current performance metrics.

Bullish Signals
  • Autodesk stock increased by +1.31% to $247.54, outperforming the S&P 500 which declined by 0.41% during the same session.
  • Analysts project Autodesk earnings of $2.84 per share for the upcoming quarter, representing a strong year-over-year growth of 24.02%.
  • Revenue estimates for the quarter stand at $1.89 billion, indicating a significant 16.02% increase compared to the previous year.
  • Full-year consensus forecasts suggest earnings of $12.38 per share with an 18.7% increase and revenue growth of 13.04% over last year.
  • Autodesk is assigned a Zacks Rank #3 (Hold), supported by research indicating that positive estimate revisions correlate directly with strong impending stock price performance.
  • The company operates within the Internet - Software industry, which holds a Zacks Industry Rank of 70, placing it in the top 29% of over 250 industries.
  • Zacks' historical data shows that #1 ranked stocks yield an average annual return of +25%, highlighting the value of following earnings estimate revisions.
  • The article notes that V.F. Corp and PagSeguro Digital Ltd dipped more than the broader market, indirectly framing Autodesk's relative stability as a positive contrast.
Risk Factors
  • The article notes that Autodesk's stock rose only +1.31% despite the broader market slipping, underperforming significantly compared to its peers which gained substantially more.
  • Autodesk is currently trading at a Forward P/E ratio of 19.74, which is a premium valuation compared to its industry average of 19.38.
  • The company's PEG ratio stands at 1.22 versus an industry average of 1.09, suggesting the market may be pricing in expectations that are too aggressive relative to growth.
  • Despite the positive stock price movement, the consensus EPS projection estimate has remained stagnant over the past 30 days, offering no bullish catalyst from analyst revisions.
  • Autodesk currently holds a Zacks Rank of #3 (Hold), indicating a neutral stance rather than the strong buy signal required for significant outperformance.
Full Analysis
Autodesk shares rose 1.31% to close at $247.54, outperforming the broader market despite a dip in the S&P 500, Dow Jones Industrial Average, and Nasdaq Composite. While the stock has gained 2.63% over the past month, it has lagged behind its Computer and Technology sector peers and major indices during this period. Market attention is now focused on Autodesk's upcoming quarterly earnings report, with analysts expecting EPS of $2.84 representing a 24.02% year-over-year increase, alongside revenue estimated at $1.89 billion, a 16.02% jump from the prior year. For the full year, consensus estimates project earnings per share of $12.38 and total revenue of $8.15 billion, indicating growth rates of approximately 18.7% and 13.04%, respectively. Zacks Investment Research maintains a "Hold" rating (Zacks Rank #3) for the company, noting that their EPS estimates have remained stagnant over the last 30 days. Valuation metrics show Autodesk trading at a Forward P/E ratio of 19.74, slightly higher than the industry average of 19.38, and a PEG ratio of 1.22 compared to an industry average of 1.09. The article also references the company's inclusion in the Internet-Software industry, which holds a Zacks Industry Rank within the top 29%.