Nice (NICE) has been one of the most searched-for stocks on Zacks.com lately. So, you might want to look at some of the facts that could shape the stock's performance in the near term. Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision. Here at Zacks, we prioritize appraising the change in the projectio ...

Core Viewpoint - Nice is enhancing its position in the customer experience (CX) market through innovative AI-driven solutions and a strong portfolio, which is expected to drive revenue growth and improve competitive standing. Group 1: Financial Performance - In Q1 2024, Nice reported cloud revenues of $468.4 million, reflecting a 27% year-over-year increase [2] - For Q2 2024, Nice projects non-GAAP revenues between $657 million and $667 million, indicating a 14% growth at the midpoint from the previous year [6] - Non-GAAP earnings are estimated in the range of $2.53 to $2.63 per share, suggesting a 21% rise at the midpoint from the prior-year figures [14] Group 2: Product Development and Innovation - Nice launched CXone Mpower, the world's first and only CX-aware AI platform, designed to meet the growing demand for comprehensive CX AI solutions [8][9] - The introduction of 1CX, a Unified Communications as a Service solution integrated with the CXone platform, aims to enhance organizational communication and productivity [11] Group 3: Competitive Landscape - Nice's expanding portfolio is helping it fend off competition from industry players like Five9, Salesforce, and 8X8, who are also enhancing their CX offerings [3] - Five9 has announced a collaboration with Salesforce to integrate AI-powered solutions for improved customer experiences in contact centers [12] Group 4: Market Valuation - Nice is trading at a forward 12-month P/E of 15.46X, significantly lower than the Zacks Internet Software industry's 34.46X, indicating potential undervaluation [7] - Despite a year-to-date share decline of 12.3%, Nice's growth prospects remain strong due to its robust cloud solutions [5][13]

Let's take a look at what these Wall Street heavyweights have to say about Nice (NICE) before we discuss the reliability of brokerage recommendations and how to use them to your advantage. Of the 15 recommendations that derive the current ABR, 14 are Strong Buy and one is Buy. Strong Buy and Buy respectively account for 93.3% and 6.7% of all recommendations. When deciding whether to buy, sell, or hold a stock, investors often rely on analyst recommendations. Media reports about rating changes by these broke ...

Core Insights - NICE has been actively repurchasing shares, with significant amounts spent in recent years, indicating a strong commitment to enhancing shareholder value [1][9][10] - The company has a robust cash position, with $1.5 billion in cash and cash equivalents as of March 31, 2024, and generated $254.5 million in net cash from operations in the same quarter [2][11] - NICE's strong portfolio, particularly its cloud solutions like CXone, is driving growth, with a notable 200% year-over-year increase in AI deals in Q1 2024 [3][4][12] Financial Performance - For Q2 2024, NICE projects non-GAAP revenues between $657 million and $667 million, reflecting a 14% year-over-year growth at the midpoint, with earnings estimated between $2.53 and $2.63 per share, suggesting a 21% year-over-year rise [7] - For the full year 2024, NICE anticipates non-GAAP revenues between $2.715 billion and $2.735 billion, indicating a 15% year-over-year growth at the midpoint, with earnings projected between $10.53 and $10.73 per share, also suggesting a 21% year-over-year increase [8][19] - In the trailing 12 months ending March 31, NICE reported net cash from operations of $621 million and free cash flow of $537.5 million, showcasing strong liquidity [11] Market Position and Strategy - NICE is expanding its presence in the global public sector, with recent contracts including adoption by Italy's national police force and a major contract in the APAC region [5] - The company has launched new products, including IFM 11 for fraud management and enhanced workforce management capabilities, which are expected to strengthen its market position [6][15] - NICE's customer base includes over 25,000 clients, with more than 85% of Fortune 100 companies, indicating a strong market presence [14] Valuation and Investment Appeal - NICE is currently trading at a forward 12-month P/E of 15.48X, significantly lower than the Zacks Internet Software industry's average of 34.46X, suggesting it is undervalued and an attractive investment opportunity [18]

Core Insights - The article discusses the investment positions of Parkev Tatevosian, CFA, and mentions that The Motley Fool has positions in and recommends Nice [1] Company and Industry Summary - Parkev Tatevosian has no position in any of the stocks mentioned [1] - The Motley Fool has a disclosure policy regarding its investment positions [1] - Parkev Tatevosian is affiliated with The Motley Fool and may receive compensation for promoting its services [1]

Nice (NICE) has been on a downward spiral lately with significant selling pressure. After declining 27.1% over the past four weeks, the stock looks well positioned for a trend reversal as it is now in oversold territory and there is strong agreement among Wall Street analysts that the company will report better earnings than they predicted earlier. Guide to Identifying Oversold Stocks We use Relative Strength Index (RSI), one of the most commonly used technical indicators, for spotting whether a stock is ov ...

Core Viewpoint - Nice (NICE) has experienced a significant decline of -19.7% in share price over the past month, contrasting with the S&P 500's increase of +3.2% and the Zacks Internet - Software industry's slight loss of -0.4% [1] Earnings Estimates Revisions - For the current quarter, Nice is projected to report earnings of $2.57 per share, reflecting a year-over-year increase of +20.7% and a +3.3% change in the Zacks Consensus Estimate over the last 30 days [4] - The consensus earnings estimate for the current fiscal year stands at $10.64, indicating a +21.1% change from the previous year, with a +2.2% adjustment in the last month [4] - For the next fiscal year, the consensus estimate is $12.16, showing a +14.3% change from the prior year, with a +1.1% change over the past month [5] Revenue Growth Forecast - The consensus sales estimate for the current quarter is $662.98 million, representing a year-over-year increase of +14.1% [8] - For the current fiscal year, the sales estimate is $2.73 billion, indicating a +14.8% change, while the next fiscal year's estimate of $3.03 billion reflects an +11.1% change [8] Last Reported Results and Surprise History - In the last reported quarter, Nice achieved revenues of $659.31 million, a +15.3% year-over-year increase, and an EPS of $2.58 compared to $2.03 a year ago [9] - The reported revenues exceeded the Zacks Consensus Estimate of $654.81 million by +0.69%, and the EPS surpassed estimates by +5.31% [9] - Nice has consistently beaten consensus EPS and revenue estimates in the trailing four quarters [10] Valuation - Nice is graded C in the Zacks Value Style Score, indicating it is trading at par with its peers [14]

Nice (NICE) is expanding its footprint in the global public sector with the recent deployment of the NICE Inform solution within Italy's national police force, the Carabinieri. Headquartered in Rome and comprising 110,000 sworn officers, the Carabinieri will utilize the NICE Inform solution across 514 emergency communication centers, which handle more than seven million emergency calls annually. By implementing NICE Inform, a pivotal component of the NICE Evidencentral platform, which is already used by mor ...

Investors often turn to recommendations made by Wall Street analysts before making a Buy, Sell, or Hold decision about a stock. While media reports about rating changes by these brokerage-firm employed (or sell- side) analysts often affect a stock's price, do they really matter? Before we discuss the reliability of brokerage recommendations and how to use them to your advantage, let's see what these Wall Street heavyweights think about Nice (NICE) . Nice currently has an average brokerage recommendation (AB ...

Core Viewpoint - Nice (NICE) has experienced a significant decline of -16.3% in its stock price over the past month, contrasting with the S&P 500's +4% increase, raising questions about its near-term performance [1] Earnings Estimates Revisions - The consensus earnings estimate for the current quarter is $2.53 per share, reflecting an increase of +18.8% year-over-year, with a slight decrease of -0.3% in the estimate over the last 30 days [4] - For the current fiscal year, the consensus earnings estimate is $10.54, indicating a year-over-year change of +19.9%, with a minor increase of +0.2% in the estimate over the last month [4] - The next fiscal year's consensus earnings estimate is $12.09, showing a change of +14.7% from the previous year, with a +0.5% increase in the estimate over the past month [5] Revenue Growth Projections - The consensus sales estimate for the current quarter is $662.98 million, indicating a year-over-year change of +14.1% [9] - For the current fiscal year, the sales estimate is $2.73 billion, reflecting a +14.8% change, while the next fiscal year's estimate is $3.03 billion, indicating an +11.1% change [9] Recent Performance and Surprise History - In the last reported quarter, Nice generated revenues of $659.31 million, a +15.3% increase year-over-year, and an EPS of $2.58 compared to $2.03 a year ago [10] - The company exceeded the Zacks Consensus Estimate for revenues by +0.69% and for EPS by +5.31% [10] - Nice has consistently beaten consensus EPS and revenue estimates in the last four quarters [11] Valuation Metrics - Nice is graded C on the Zacks Value Style Score, indicating it is trading at par with its peers [15] - The assessment of valuation multiples such as P/E, P/S, and P/CF is essential to determine if the stock is fairly valued compared to its historical values and peers [13][14] Conclusion - The Zacks Rank 2 suggests that Nice may outperform the broader market in the near term, despite recent stock price declines [16]