In the latest close session, Dow Inc. (DOW) was up +2.24% at $30.57. The stock exceeded the S&P 500, which registered a gain of 0.94% for the day. Meanwhile, the Dow gained 0.75%, and the Nasdaq, a tech-heavy index, added 1.52%.
Coming into today, shares of the materials science had lost 0.96% in the past month. In that same time, the Basic Materials sector gained 3.31%, while the S&P 500 gained 1.67%.
Market participants will be closely following the financial results of Dow Inc. in its upcoming release. The company plans to announce its earnings on July 24, 2025. On that day, Dow Inc. is projected to report earnings of -$0.01 per share, which would represent a year-over-year decline of 101.47%. In the meantime, our current consensus estimate forecasts the revenue to be $10.39 billion, indicating a 4.84% decline compared to the corresponding quarter of the prior year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $0.39 per share and a revenue of $41.71 billion, signifying shifts of -77.19% and -2.91%, respectively, from the last year.
Investors should also pay attention to any latest changes in analyst estimates for Dow Inc. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, there's been a 11.27% fall in the Zacks Consensus EPS estimate. Right now, Dow Inc. possesses a Zacks Rank of #4 (Sell).
In terms of valuation, Dow Inc. is currently trading at a Forward P/E ratio of 77.44. This represents a premium compared to its industry average Forward P/E of 14.89.
One should further note that DOW currently holds a PEG ratio of 8.86. 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 Chemical - Diversified industry was having an average PEG ratio of 1.9.
The Chemical - Diversified industry is part of the Basic Materials sector. With its current Zacks Industry Rank of 198, this industry ranks in the bottom 20% of all industries, numbering over 250.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in 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 use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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Dow Inc. (DOW): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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