Fiverr International (FVRR) Gains But Lags Market: What You Should Know

Fiverr International (FVRR) closed at $241.04 in the latest trading session, marking a +0.1% move from the prior day. The stock lagged the S&P 500's daily gain of 0.24%.

Coming into today, shares of the online marketplace for freelance services had lost 1.08% in the past month. In that same time, the Retail-Wholesale sector gained 0.22%, while the S&P 500 gained 4.09%.

Wall Street will be looking for positivity from FVRR as it approaches its next earnings report date. This is expected to be August 5, 2021. In that report, analysts expect FVRR to post earnings of $0.13 per share. This would mark year-over-year growth of 30%. Our most recent consensus estimate is calling for quarterly revenue of $74.57 million, up 58.21% from the year-ago period.

FVRR's full-year Zacks Consensus Estimates are calling for earnings of $0.43 per share and revenue of $307.02 million. These results would represent year-over-year changes of +48.28% and +62%, respectively.

Investors might also notice recent changes to analyst estimates for FVRR. 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. 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 past month, the Zacks Consensus EPS estimate remained stagnant. FVRR is holding a Zacks Rank of #4 (Sell) right now.

Investors should also note FVRR's current valuation metrics, including its Forward P/E ratio of 555.69. For comparison, its industry has an average Forward P/E of 47.77, which means FVRR is trading at a premium to the group.

The Internet - Commerce industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 191, which puts it in the bottom 25% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow FVRR in the coming trading sessions, be sure to utilize Zacks.com.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.