In the latest trading session, Pilgrim's Pride (PPC) closed at $40.75, marking a -1.69% move from the previous day. The stock trailed the S&P 500, which registered a daily loss of 0.57%. Elsewhere, the Dow lost 1.61%, while the tech-heavy Nasdaq lost 0.26%.
The poultry producer's stock has dropped by 4.76% in the past month, falling short of the Consumer Staples sector's loss of 0.16% and the S&P 500's loss of 0.15%.
The investment community will be closely monitoring the performance of Pilgrim's Pride in its forthcoming earnings report. The company's upcoming EPS is projected at $0.76, signifying a 41.98% drop compared to the same quarter of the previous year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.5 billion, up 0.83% from the year-ago period.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $4.3 per share and revenue of $18.5 billion, indicating changes of -16.83% and +0.01%, respectively, compared to the previous year.
Investors might also notice recent changes to analyst estimates for Pilgrim's Pride. These revisions typically reflect the latest short-term business trends, which can change frequently. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 4.66% lower. Pilgrim's Pride is currently a Zacks Rank #5 (Strong Sell).
With respect to valuation, Pilgrim's Pride is currently being traded at a Forward P/E ratio of 9.64. This signifies a discount in comparison to the average Forward P/E of 13.18 for its industry.
The Food - Meat Products industry is part of the Consumer Staples sector. With its current Zacks Industry Rank of 171, this industry ranks in the bottom 31% 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Pilgrim's Pride Corporation (PPC): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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