Autodesk (ADSK) Falls More Steeply Than Broader Market: What Investors Need to Know

In the latest trading session, Autodesk (ADSK) closed at $241.64, marking a -3.98% move from the previous day. The stock's change was less than the S&P 500's daily loss of 0.52%. Elsewhere, the Dow lost 0.51%, while the tech-heavy Nasdaq lost 0.32%.

Coming into today, shares of the design software company had gained 15.26% in the past month. In that same time, the Computer and Technology sector gained 1.99%, while the S&P 500 gained 3.3%.

Investors will be eagerly watching for the performance of Autodesk in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on August 27, 2026. The company is predicted to post an EPS of $3.12, indicating a 19.08% growth compared to the equivalent quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $2.01 billion, showing a 13.96% escalation compared to the year-ago quarter.

In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $12.63 per share and a revenue of $8.19 billion, indicating changes of +21.09% and +13.69%, respectively, from the former year.

Investors should also take note of any recent adjustments to analyst estimates for Autodesk. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. 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.

The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.63% increase. Autodesk is holding a Zacks Rank of #3 (Hold) right now.

Looking at valuation, Autodesk is presently trading at a Forward P/E ratio of 19.92. This represents a discount compared to its industry average Forward P/E of 21.52.

One should further note that ADSK currently holds a PEG ratio of 1.18. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. By the end of yesterday's trading, the Internet - Software industry had an average PEG ratio of 1.05.

The Internet - Software industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 86, placing it within the top 35% of over 250 industries.

The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.

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This article originally published on Zacks Investment Research (zacks.com).

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