Dow Inc. (DOW) closed at $34.89 in the latest trading session, marking a +0.81% move from the prior day. The stock exceeded the S&P 500, which registered a gain of 0.67% for the day. On the other hand, the Dow registered a gain of 0.56%, and the technology-centric Nasdaq increased by 0.87%.
Shares of the materials science witnessed a loss of 2.84% over the previous month, trailing the performance of the Basic Materials sector with its gain of 0.34% and outperforming the S&P 500's loss of 5.28%.
The investment community will be paying close attention to the earnings performance of Dow Inc. in its upcoming release. The company is slated to reveal its earnings on April 24, 2025. The company is predicted to post an EPS of $0.08, indicating an 85.71% decline compared to the equivalent quarter last year. Meanwhile, our latest consensus estimate is calling for revenue of $10.28 billion, down 4.53% from the prior-year quarter.
For the full year, the Zacks Consensus Estimates project earnings of $1.87 per share and a revenue of $42.37 billion, demonstrating changes of +9.36% and -1.38%, respectively, from the preceding year.
Any recent changes to analyst estimates for Dow Inc. should also be noted by investors. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
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 7.38% lower. Dow Inc. is currently a Zacks Rank #5 (Strong Sell).
Looking at valuation, Dow Inc. is presently trading at a Forward P/E ratio of 18.49. This expresses a premium compared to the average Forward P/E of 13.77 of its industry.
One should further note that DOW currently holds a PEG ratio of 0.98. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Chemical - Diversified industry had an average PEG ratio of 1.07 as trading concluded yesterday.
The Chemical - Diversified industry is part of the Basic Materials sector. With its current Zacks Industry Rank of 210, this industry ranks in the bottom 16% of all industries, numbering over 250.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Dow Inc. (DOW): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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