AudioEye (AEYE) Sees a More Significant Dip Than Broader Market: Some Facts to Know

Core Viewpoint - AudioEye's stock performance has lagged behind major indices, with a significant monthly decline, while upcoming earnings are projected to show substantial growth in both EPS and revenue [1][2][3]. Company Performance - AudioEye's stock closed at $11.49, down 1.79% from the previous day, underperforming the S&P 500's loss of 0.22% [1]. - Over the last month, AudioEye's shares have decreased by 28.79%, compared to a 12% loss in the Computer and Technology sector and a 7.48% loss in the S&P 500 [1]. - The upcoming earnings per share (EPS) are projected at$ 0.15, reflecting an 87.5% increase year-over-year, with revenue expected to reach $9.7 million, a 20.05% increase [2]. Earnings Estimates - For the full year, earnings are projected at$ 0.70 per share and revenue at $41.64 million, indicating increases of 27.27% and 18.29% respectively from the previous year [3]. - Recent changes in analyst estimates suggest a positive outlook for AudioEye's business and profitability [3]. Valuation Metrics - AudioEye has a Forward P/E ratio of 16.71, which is below the industry average of 27.92, indicating it is trading at a discount [6]. - The company has a PEG ratio of 0.67, significantly lower than the industry average PEG ratio of 2.06, suggesting favorable growth expectations relative to its valuation [7]. Industry Context - The Internet - Software industry, part of the Computer and Technology sector, holds a Zacks Industry Rank of 84, placing it in the top 34% of over 250 industries [8].