Does investing in Vipshop Holdings Limited (NYSE: VIPS) make sense? Let’s see how it looks on a fundamental level by taking a closer look at its price-to-earnings ratio, which is currently above its average ratio.
Additionally, the 36-month beta value stands at 0.61, so we know that Vips isn’t too volatile either. The stock has enjoyed more popularity lately, with the stock gaining more than 1% in the past month alone and 5% during the past three months.
Wall Street Pummels Vipshop Holdings Limited (VIPS)
Vipshop Holdings Limited (VIPS) scored a price-to-earnings ratio above its average ratio, recording 7.32 x its present earnings ratio.
Opinions of the company are negatively charged due to Wall Street Pummels Vipshop Holdings Limited (VIPS)’s business performance and bearishness regarding its share price in previous trading sessions.
Many investors feel it is best to move away from holding onto their positions as it’s been a long period since shares were last seen trading with any real degree of volume activity. Investors should pay close attention to how well Vipshop Holdings Limited (VIPS) can perform against analyst expectations.
The consensus recommendation on VIPS is currently 2.50, which indicates that analysts have a bullish outlook on its future price movements over the next 12 months. Analysts often provide estimates for companies that they follow, which can help you spot opportunities when they become available.
On May 18th, 2017, Vipshop Holdings Limited (VIPS) scored a price-to-earnings ratio above its average ratio, recording 7.32 x its present earnings ratio. Opinions of the company are negatively charged due to Wall Street Pummels Vipshop Holdings Limited.
(VIPS)’s business performance and bearishness regarding its share price in previous trading sessions. Many investors feel it is best to move away from holding onto their positions as it’s been a long period since shares were last seen trading with any real degree of volume activity.
Vipshop New York Stock Exchange Stock
Shares of Vipshop New York Stock Exchange Stock has seen a move of -1.82% over last week and performed 6.01% over last month while performance over last quarter and past six months was at -11.62%.
The year-to-date change was recorded at -22.20%. While the price target of a stock is set at $11.54 analysts suggest an EPS of $0.44 for next year with its release date slated on 24 May 2016 The price-to-earnings ratio tells us how much investors are willing to pay for each dollar of earnings they expect a company to generate.
So it makes sense that we should be interested in finding out whether or not Vipshop New York Stock Exchange Stock offers good value for money when compared to other companies.
Industry Overview
Discount retail is one of the most competitive industries out there. Discount retailers are defined as stores that offer merchandise at prices lower than traditional retail outlets. There are two main types of discount retailers: dollar stores and deep-discount retailers, who typically sell items at price points that are significantly lower than traditional department stores.
Both types of retailers tend to operate primarily online or in strip malls and suburban strip shopping centers, due to their low pricing model and limited offerings. In recent years, many industry experts have pointed to China’s e-commerce market as a catalyst for growth.
According to a 2015 report from Alibaba Group Holding Ltd., China has 498 million Internet users, and 80 percent of those users access social media daily. Additionally, 77 percent of Chinese consumers prefer mobile devices over desktop computers when it comes to shopping online.
When compared with other companies within its industry, VIPS scores higher on quality indicators such as ROA and earnings per share. With all these positive signs about VIPS, we can expect further growth for VIPS. Therefore, you should invest now before it becomes too late!
Historical Price Trends
One of my favorite tools for analyzing historical price trends is Stock Trader Pro. I love it because you can download all kinds of data for free, create detailed charts, and search through lots of data using its filters.
Plus, you can learn a ton by reading others’ analyses. While price-to-earnings ratios are extremely important, they aren’t enough to predict whether a stock is undervalued or overvalued.
That’s why analysts also look at measures like revenue-to-earnings ratios and PEG ratios to determine how much investors should pay for each dollar in company earnings. These metrics can also be found on Stock Trader Pro’s site.
Earnings Estimates and Earnings Targets
Compared to other companies on earnings estimates, Analysts expected EPS for Vipshop Holdings Limited (NYSE: VIPS) to post $2.71 per share for a High Earnings estimate and predicted EPS of $2.71 based on Low Estimates from 2 analysts polled by Thomson Reuters.
For a more insightful look at VIPS’ price estimate and current ratings as reported by analysts please refer to our recent analysis as follows Price-to-Earnings Ratio: When it comes to P/E ratio, Vipshop Holdings Limited (NYSE: VIPS) has a value of 16.54 versus an industry average of 13.68.
Showing that its valuation is very good compared to its peers within the same industry sector. This part should talk about – The price-to-earnings (P/E) ratio is one of several ratios used to compare different stocks with each other. It measures what you are paying for each dollar (or peso, euro, or whatever currency you use) of company earnings.
The higher a stock’s P/E ratio, the more expensive it is relative to others if we were only interested in how much money you would be able to make right now with your investment but we are also concerned about how fast your money will grow into future years; so we use some additional information about projected growth rates and dividends when evaluating stocks.
