In the latest close session, ConocoPhillips (COP) was up +2.12% at $90.89. The stock outpaced the S&P 500's daily gain of 0.8%. Meanwhile, the Dow experienced a rise of 0.94%, and the technology-dominated Nasdaq saw an increase of 0.97%.
Coming into today, shares of the energy company had gained 5.23% in the past month. In that same time, the Oils-Energy sector gained 3.8%, while the S&P 500 gained 5.12%.
The investment community will be paying close attention to the earnings performance of ConocoPhillips in its upcoming release. The company is expected to report EPS of $1.41, down 28.79% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $14.93 billion, up 5.63% from the prior-year quarter.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $6.21 per share and a revenue of $62.36 billion, indicating changes of -20.28% and +9.5%, respectively, from the former year.
It's also important for investors to be aware of any recent modifications to analyst estimates for ConocoPhillips. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. 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, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.38% upward. Right now, ConocoPhillips possesses a Zacks Rank of #3 (Hold).
Looking at valuation, ConocoPhillips is presently trading at a Forward P/E ratio of 14.33. Its industry sports an average Forward P/E of 16, so one might conclude that ConocoPhillips is trading at a discount comparatively.
We can also see that COP currently has a PEG ratio of 2.41. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. Oil and Gas - Integrated - United States stocks are, on average, holding a PEG ratio of 1.7 based on yesterday's closing prices.
The Oil and Gas - Integrated - United States industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 175, which puts it in the bottom 29% of all 250+ industries.
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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ConocoPhillips (COP): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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