Ecopetrol (EC) closed the most recent trading day at $9.17, moving -1.08% from the previous trading session. The stock's performance was behind the S&P 500's daily gain of 0.83%. Meanwhile, the Dow gained 0.77%, and the Nasdaq, a tech-heavy index, added 1.02%.
Prior to today's trading, shares of the oil and natural gas exploration company had gained 7.42% outpaced the Oils-Energy sector's gain of 5.14% and the S&P 500's gain of 4.99%.
Analysts and investors alike will be keeping a close eye on the performance of Ecopetrol in its upcoming earnings disclosure. The company is forecasted to report an EPS of $0.52, showcasing a 23.81% upward movement from the corresponding quarter of the prior year. Alongside, our most recent consensus estimate is anticipating revenue of $7.26 billion, indicating a 12.73% downward movement from the same quarter last year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $1.69 per share and revenue of $29.2 billion, which would represent changes of +1.81% and -10.82%, respectively, from the prior year.
Investors should also pay attention to any latest changes in analyst estimates for Ecopetrol. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable 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. The Zacks Consensus EPS estimate remained stagnant within the past month. Ecopetrol currently has a Zacks Rank of #3 (Hold).
Investors should also note Ecopetrol's current valuation metrics, including its Forward P/E ratio of 5.5. Its industry sports an average Forward P/E of 11.13, so one might conclude that Ecopetrol is trading at a discount comparatively.
The Oil and Gas - Integrated - International industry is part of the Oils-Energy sector. With its current Zacks Industry Rank of 160, this industry ranks in the bottom 36% of all industries, numbering over 250.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Ecopetrol S.A. (EC): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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