Vita Coco Company, Inc. (COCO) closed the most recent trading day at $29.85, moving -0.27% from the previous trading session. This change was narrower than the S&P 500's daily loss of 1.97%. At the same time, the Dow lost 1.69%, and the tech-heavy Nasdaq lost 2.7%.
Prior to today's trading, shares of the company had lost 7.08% over the past month. This has lagged the Consumer Staples sector's gain of 1.27% and the S&P 500's loss of 2.79% in that time.
The investment community will be paying close attention to the earnings performance of Vita Coco Company, Inc. in its upcoming release. The company is expected to report EPS of $0.22, down 8.33% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $126.06 million, up 12.86% from the prior-year quarter.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $1.13 per share and a revenue of $570.13 million, representing changes of +5.61% and +10.49%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Vita Coco Company, Inc. These revisions typically reflect the latest short-term business trends, which can change frequently. Hence, positive alterations in estimates signify analyst optimism regarding 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.
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 past month, the Zacks Consensus EPS estimate has moved 3.82% lower. Vita Coco Company, Inc. presently features a Zacks Rank of #3 (Hold).
In terms of valuation, Vita Coco Company, Inc. is currently trading at a Forward P/E ratio of 26.45. This expresses a premium compared to the average Forward P/E of 19.04 of its industry.
Investors should also note that COCO has a PEG ratio of 1.65 right now. 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. By the end of yesterday's trading, the Beverages - Soft drinks industry had an average PEG ratio of 2.64.
The Beverages - Soft drinks industry is part of the Consumer Staples sector. With its current Zacks Industry Rank of 79, this industry ranks in the top 32% of all industries, numbering over 250.
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.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Vita Coco Company, Inc. (COCO): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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