Biogen Inc. (BIIB) Gains As Market Dips: What You Should Know
Biogen Inc. (BIIB) closed at $288.28 in the latest trading session, marking a +1.64% move from the prior day. This move outpaced the S&P 500's daily loss of 0.61%. Elsewhere, the Dow lost 0.1%, while the tech-heavy Nasdaq lost 0.67%.
Prior to today's trading, shares of the company had gained 1.57% over the past month. This has outpaced the Medical sector's loss of 0.22% and lagged the S&P 500's gain of 8.32% in that time.
Wall Street will be looking for positivity from Biogen Inc. as it approaches its next earnings report date. This is expected to be February 15, 2023. On that day, Biogen Inc. is projected to report earnings of $3.48 per share, which would represent year-over-year growth of 2.65%. Our most recent consensus estimate is calling for quarterly revenue of $2.45 billion, down 10.56% from the year-ago period.
It is also important to note the recent changes to analyst estimates for Biogen Inc.These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.14% higher. Biogen Inc. is holding a Zacks Rank of #3 (Hold) right now.
Investors should also note Biogen Inc.'s current valuation metrics, including its Forward P/E ratio of 17.99. This represents a discount compared to its industry's average Forward P/E of 20.22.
Also, we should mention that BIIB has a PEG ratio of 1.8. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Medical - Biomedical and Genetics was holding an average PEG ratio of 1.66 at yesterday's closing price.
The Medical - Biomedical and Genetics industry is part of the Medical sector. This group has a Zacks Industry Rank of 92, putting it in the top 37% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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