VALE S.A. (VALE) closed at $8.90 in the latest trading session, marking a +0.45% move from the prior day. This move outpaced the S&P 500's daily loss of 3.46%. Elsewhere, the Dow lost 2.5%, while the tech-heavy Nasdaq lost 4.31%.
Shares of the company have depreciated by 4.42% over the course of the past month, outperforming the Basic Materials sector's loss of 8.08% and the S&P 500's loss of 5.27%.
The upcoming earnings release of VALE S.A. will be of great interest to investors. The company is expected to report EPS of $0.43, up 10.26% from the prior-year quarter. At the same time, our most recent consensus estimate is projecting a revenue of $8.81 billion, reflecting a 4.09% rise from the equivalent quarter last year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $1.88 per share and a revenue of $39.97 billion, signifying shifts of +3.3% and +5.02%, respectively, from the last year.
Investors should also take note of any recent adjustments to analyst estimates for VALE S.A. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.97% upward. As of now, VALE S.A. holds a Zacks Rank of #3 (Hold).
Digging into valuation, VALE S.A. currently has a Forward P/E ratio of 4.39. This denotes no noticeable deviation relative to the industry's average Forward P/E of 4.39.
Investors should also note that VALE has a PEG ratio of 0.25 right now. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As the market closed yesterday, the Mining - Iron industry was having an average PEG ratio of 0.25.
The Mining - Iron industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 88, which puts it in the top 36% 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.
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VALE S.A. (VALE): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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