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GlaxoSmithKline (GSK) Outpaces Stock Market Gains: What You Should Know
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In the latest trading session, GlaxoSmithKline (GSK - Free Report) closed at $43.66, marking a +1.77% move from the previous day. This change outpaced the S&P 500's 1.64% gain on the day. At the same time, the Dow added 1.08%, and the tech-heavy Nasdaq gained 0.45%.
Heading into today, shares of the drug developer had gained 1.06% over the past month, outpacing the Medical sector's loss of 3.43% and the S&P 500's loss of 0.83% in that time.
Wall Street will be looking for positivity from GlaxoSmithKline as it approaches its next earnings report date. The company is expected to report EPS of $0.67, up 8.06% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $12.8 billion, up 10.89% from the year-ago period.
GSK's full-year Zacks Consensus Estimates are calling for earnings of $3.05 per share and revenue of $45.98 billion. These results would represent year-over-year changes of +2.35% and +4.95%, respectively.
Any recent changes to analyst estimates for GlaxoSmithKline should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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.
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. Within the past 30 days, our consensus EPS projection has moved 0.16% higher. GlaxoSmithKline currently has a Zacks Rank of #2 (Buy).
Valuation is also important, so investors should note that GlaxoSmithKline has a Forward P/E ratio of 14.09 right now. This represents a premium compared to its industry's average Forward P/E of 13.05.
Meanwhile, GSK's PEG ratio is currently 2.44. 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. The Large Cap Pharmaceuticals industry currently had an average PEG ratio of 1.95 as of yesterday's close.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 86, which puts it in the top 34% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within 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 follow all of these stock-moving metrics, and many more, on Zacks.com.
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GlaxoSmithKline (GSK) Outpaces Stock Market Gains: What You Should Know
In the latest trading session, GlaxoSmithKline (GSK - Free Report) closed at $43.66, marking a +1.77% move from the previous day. This change outpaced the S&P 500's 1.64% gain on the day. At the same time, the Dow added 1.08%, and the tech-heavy Nasdaq gained 0.45%.
Heading into today, shares of the drug developer had gained 1.06% over the past month, outpacing the Medical sector's loss of 3.43% and the S&P 500's loss of 0.83% in that time.
Wall Street will be looking for positivity from GlaxoSmithKline as it approaches its next earnings report date. The company is expected to report EPS of $0.67, up 8.06% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $12.8 billion, up 10.89% from the year-ago period.
GSK's full-year Zacks Consensus Estimates are calling for earnings of $3.05 per share and revenue of $45.98 billion. These results would represent year-over-year changes of +2.35% and +4.95%, respectively.
Any recent changes to analyst estimates for GlaxoSmithKline should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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.
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. Within the past 30 days, our consensus EPS projection has moved 0.16% higher. GlaxoSmithKline currently has a Zacks Rank of #2 (Buy).
Valuation is also important, so investors should note that GlaxoSmithKline has a Forward P/E ratio of 14.09 right now. This represents a premium compared to its industry's average Forward P/E of 13.05.
Meanwhile, GSK's PEG ratio is currently 2.44. 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. The Large Cap Pharmaceuticals industry currently had an average PEG ratio of 1.95 as of yesterday's close.
The Large Cap Pharmaceuticals industry is part of the Medical sector. This industry currently has a Zacks Industry Rank of 86, which puts it in the top 34% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within 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 follow all of these stock-moving metrics, and many more, on Zacks.com.