The most recent trading session ended with Sony (SONY) standing at $21.32, reflecting a +0.38% shift from the previouse trading day's closing. The stock's change was more than the S&P 500's daily loss of 1.57%. Elsewhere, the Dow lost 0.84%, while the tech-heavy Nasdaq lost 2.15%.
The electronics and media company's shares have seen a decrease of 7.05% over the last month, surpassing the Consumer Discretionary sector's loss of 13.72% and the S&P 500's loss of 12.16%.
The investment community will be paying close attention to the earnings performance of Sony in its upcoming release. The company's upcoming EPS is projected at $0.12, signifying a 42.86% drop compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $20.4 billion, indicating a 13.03% downward movement from the same quarter last year.
Investors should also take note of any recent adjustments to analyst estimates for Sony. 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.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. 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 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. Over the past month, there's been a 2.44% rise in the Zacks Consensus EPS estimate. Sony is currently a Zacks Rank #1 (Strong Buy).
Looking at valuation, Sony is presently trading at a Forward P/E ratio of 14.87. This indicates a discount in contrast to its industry's Forward P/E of 21.43.
Meanwhile, SONY's PEG ratio is currently 2.44. 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. The Audio Video Production industry currently had an average PEG ratio of 2.44 as of yesterday's close.
The Audio Video Production industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 3, which puts it in the top 2% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming 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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Sony Corporation (SONY): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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