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Dow Inc. (DOW) Dips More Than Broader Markets: What You Should Know
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In the latest trading session, Dow Inc. (DOW - Free Report) closed at $60.69, marking a -1.91% move from the previous day. This change lagged the S&P 500's daily loss of 0.13%.
Heading into today, shares of the materials science had lost 1.98% over the past month, lagging the Basic Materials sector's loss of 1.94% and the S&P 500's gain of 2.07% in that time.
DOW will be looking to display strength as it nears its next earnings release, which is expected to be October 21, 2021. On that day, DOW is projected to report earnings of $2.52 per share, which would represent year-over-year growth of 404%. Our most recent consensus estimate is calling for quarterly revenue of $14.17 billion, up 45.91% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $8.35 per share and revenue of $53.1 billion, which would represent changes of +403.01% and +37.77%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for DOW. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. DOW currently has a Zacks Rank of #2 (Buy).
In terms of valuation, DOW is currently trading at a Forward P/E ratio of 7.41. This valuation marks a discount compared to its industry's average Forward P/E of 12.4.
Investors should also note that DOW has a PEG ratio of 0.27 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Chemical - Diversified stocks are, on average, holding a PEG ratio of 1.01 based on yesterday's closing prices.
The Chemical - Diversified industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 191, which puts it in the bottom 25% of all 250+ industries.
The Zacks Industry Rank includes is listed in order 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.
To follow DOW in the coming trading sessions, be sure to utilize Zacks.com.
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Dow Inc. (DOW) Dips More Than Broader Markets: What You Should Know
In the latest trading session, Dow Inc. (DOW - Free Report) closed at $60.69, marking a -1.91% move from the previous day. This change lagged the S&P 500's daily loss of 0.13%.
Heading into today, shares of the materials science had lost 1.98% over the past month, lagging the Basic Materials sector's loss of 1.94% and the S&P 500's gain of 2.07% in that time.
DOW will be looking to display strength as it nears its next earnings release, which is expected to be October 21, 2021. On that day, DOW is projected to report earnings of $2.52 per share, which would represent year-over-year growth of 404%. Our most recent consensus estimate is calling for quarterly revenue of $14.17 billion, up 45.91% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $8.35 per share and revenue of $53.1 billion, which would represent changes of +403.01% and +37.77%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for DOW. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. DOW currently has a Zacks Rank of #2 (Buy).
In terms of valuation, DOW is currently trading at a Forward P/E ratio of 7.41. This valuation marks a discount compared to its industry's average Forward P/E of 12.4.
Investors should also note that DOW has a PEG ratio of 0.27 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Chemical - Diversified stocks are, on average, holding a PEG ratio of 1.01 based on yesterday's closing prices.
The Chemical - Diversified industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 191, which puts it in the bottom 25% of all 250+ industries.
The Zacks Industry Rank includes is listed in order 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.
To follow DOW in the coming trading sessions, be sure to utilize Zacks.com.