In the latest trading session, Lexinfintech Holdings (LX) closed at $10.50, marking a +0.67% move from the previous day. This change traded in line with S&P 500. Meanwhile, the Dow gained 0.82%, and the Nasdaq, a tech-heavy index, added 0.78%.
Heading into today, shares of the online consumer finance company had lost 10.47% over the past month, lagging the Finance sector's loss of 1.59% and the S&P 500's gain of 1.25% in that time.
LX will be looking to display strength as it nears its next earnings release. On that day, LX is projected to report earnings of $0.29 per share, which would represent year-over-year growth of 93.33%.
For the full year, our Zacks Consensus Estimates are projecting earnings of $1.64 per share and revenue of $938.51 million, which would represent changes of -2.38% and -12.38%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for LX. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 16.31% higher within the past month. LX is currently sporting a Zacks Rank of #1 (Strong Buy).
In terms of valuation, LX is currently trading at a Forward P/E ratio of 6.36. This represents a discount compared to its industry's average Forward P/E of 7.43.
The Financial - Consumer Loans industry is part of the Finance sector. This group has a Zacks Industry Rank of 65, putting it in the top 26% 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 LX in the coming trading sessions, be sure to utilize Zacks.com.
LexinFintech Holdings Ltd. Sponsored ADR (LX): Free Stock Analysis Report
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Zacks Investment Research