The latest trading session saw Chevron (CVX) ending at $136.68, denoting a -0.45% adjustment from its last day's close. This move lagged the S&P 500's daily gain of 1.67%. Meanwhile, the Dow experienced a rise of 1.07%, and the technology-dominated Nasdaq saw an increase of 2.5%.
The the stock of oil company has fallen by 17.26% in the past month, lagging the Oils-Energy sector's loss of 10.69% and the S&P 500's loss of 6.57%.
The investment community will be paying close attention to the earnings performance of Chevron in its upcoming release. The company is slated to reveal its earnings on May 2, 2025. The company's upcoming EPS is projected at $2.36, signifying a 19.45% drop compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $47.38 billion, down 2.74% from the year-ago period.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $8.69 per share and a revenue of $197.27 billion, indicating changes of -13.53% and -2.72%, respectively, from the former year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Chevron. 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.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational 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 moved 18.46% lower. Chevron currently has a Zacks Rank of #3 (Hold).
In terms of valuation, Chevron is presently being traded at a Forward P/E ratio of 15.8. This signifies a premium in comparison to the average Forward P/E of 8.28 for its industry.
It is also worth noting that CVX currently has a PEG ratio of 1.91. 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. As the market closed yesterday, the Oil and Gas - Integrated - International industry was having an average PEG ratio of 1.4.
The Oil and Gas - Integrated - International industry is part of the Oils-Energy sector. At present, this industry carries a Zacks Industry Rank of 187, placing it within the bottom 25% of over 250 industries.
The Zacks Industry Rank gauges the strength of our 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.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Chevron Corporation (CVX): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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