ZACKSยท2025-04-23 01:05Industry Overview - The Zacks Internet-Software Industry ranks in the top 33% of nearly 240 Zacks industries, indicating strong performance and potential investment opportunities [1] Company Summaries Olo Inc (OLO) - Olo is trading at $6 per share with a forward earnings multiple of 19.1X [2] - The company anticipates high-double-digit EPS growth in fiscal years 2025 and 2026 [2] - Total sales are projected to increase by 17% this year and by another 18% in FY26, reaching $396.86 million [2] - Earnings estimates show a year-over-year growth of 20% for the current quarter and 40% for the next quarter [3] StoneCo (STNE) - StoneCo is trading at $13 per share, with a sales multiple of under 2X [4] - The stock has a forward earnings multiple of 9.5X and a PEG ratio of 0.36, indicating it is undervalued relative to its growth rate [5] - StoneCo has experienced a remarkable 65% increase year-to-date, outperforming broader market indexes [5] UiPath (PATH) - UiPath is currently trading around $10, significantly down from its IPO price of $65, presenting a potential buying opportunity [8] - The company generates over $1 billion in annual sales and offers a comprehensive automation platform [8] Investment Thesis - The positive trend of earnings estimate revisions for Olo, StoneCo, and UiPath supports the notion that these stocks are undervalued, contributing to favorable P/E valuations [10]