Yahoo Finance Chevron (CVX) Gains But Lags Market: What You Should Know
Chevron (CVX) closed the most recent trading day at $144.77, moving +1.64% from the previous trading session. This move lagged the S&P 500's daily gain of 3.06%. Meanwhile, the Dow gained 2.68%, and the Nasdaq, a tech-heavy index, lost 0.08%.
Coming into today, shares of the oil company had lost 19.34% in the past month. In that same time, the Oils-Energy sector lost 12.66%, while the S&P 500 lost 4.31%.
Investors will be hoping for strength from Chevron as it approaches its next earnings release. The company is expected to report EPS of $4.69, up 174.27% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $54.33 billion, up 44.49% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $17.50 per share and revenue of $221.9 billion, which would represent changes of +115.25% and +36.58%, respectively, from the prior year.
Any recent changes to analyst estimates for Chevron should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 3.24% higher within the past month. Chevron is currently a Zacks Rank #3 (Hold).
Investors should also note Chevron's current valuation metrics, including its Forward P/E ratio of 8.14. Its industry sports an average Forward P/E of 4.86, so we one might conclude that Chevron is trading at a premium comparatively.
Meanwhile, CVX's PEG ratio is currently 0.62. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Oil and Gas - Integrated - International stocks are, on average, holding a PEG ratio of 0.53 based on yesterday's closing prices.
The Oil and Gas - Integrated - International industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 90, which puts it in the top 36% of all 250+ industries.
The Zacks Industry Rank includes is listed in order 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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