Phillips 66 (PSX) ended the recent trading session at $166.44, demonstrating a +1.04% change from the preceding day's closing price. The stock exceeded the S&P 500, which registered a loss of 0.57% for the day. Elsewhere, the Dow saw a downswing of 1.61%, while the tech-heavy Nasdaq depreciated by 0.26%.
Prior to today's trading, shares of the oil refiner had gained 6.48% lagged the Oils-Energy sector's gain of 7.17% and outpaced the S&P 500's loss of 0.15%.
The investment community will be paying close attention to the earnings performance of Phillips 66 in its upcoming release. In that report, analysts expect Phillips 66 to post earnings of $1.9 per share. This would mark year-over-year growth of 311.11%. Our most recent consensus estimate is calling for quarterly revenue of $28.73 billion, down 9.44% from the year-ago period.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $11.4 per share and revenue of $123.45 billion. These totals would mark changes of +77.02% and -9.6%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Phillips 66. Recent revisions tend to reflect the latest near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. 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, there's been a 2.42% rise in the Zacks Consensus EPS estimate. As of now, Phillips 66 holds a Zacks Rank of #3 (Hold).
In terms of valuation, Phillips 66 is currently trading at a Forward P/E ratio of 14.45. This denotes a discount relative to the industry average Forward P/E of 15.13.
It is also worth noting that PSX currently has a PEG ratio of 0.58. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Oil and Gas - Refining and Marketing industry currently had an average PEG ratio of 1.36 as of yesterday's close.
The Oil and Gas - Refining and Marketing industry is part of the Oils-Energy sector. This industry, currently bearing a Zacks Industry Rank of 151, finds itself in the bottom 39% echelons 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Phillips 66 (PSX): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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