The latest trading session saw United Airlines (UAL) ending at $78.65, denoting a -5.47% adjustment from its last day's close. This move lagged the S&P 500's daily loss of 0.27%.
Shares of the airline have appreciated by 0.73% over the course of the past month, underperforming the Transportation sector's gain of 6.65%, and the S&P 500's gain of 6.9%.
The upcoming earnings release of United Airlines will be of great interest to investors. The company is predicted to post an EPS of $3.82, indicating a 7.73% decline compared to the equivalent quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $15.32 billion, indicating a 2.21% upward movement from the same quarter last year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $10.17 per share and a revenue of $58.77 billion, signifying shifts of -4.15% and +2.99%, respectively, from the last year.
Investors should also take note of any recent adjustments to analyst estimates for United Airlines. 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.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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. Within the past 30 days, our consensus EPS projection has moved 1.15% lower. United Airlines presently features a Zacks Rank of #3 (Hold).
Investors should also note United Airlines's current valuation metrics, including its Forward P/E ratio of 8.18. This represents a discount compared to its industry average Forward P/E of 9.47.
One should further note that UAL currently holds a PEG ratio of 1.3. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. By the end of yesterday's trading, the Transportation - Airline industry had an average PEG ratio of 0.92.
The Transportation - Airline industry is part of the Transportation sector. This industry, currently bearing a Zacks Industry Rank of 46, finds itself in the top 19% echelons of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
United Airlines Holdings Inc (UAL): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
