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DuPont de Nemours (DD) Gains But Lags Market: What You Should Know

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DuPont de Nemours (DD - Free Report) closed at $78.34 in the latest trading session, marking a +0.9% move from the prior day. This change lagged the S&P 500's 1.64% gain on the day. Elsewhere, the Dow gained 1.08%, while the tech-heavy Nasdaq added 0.45%.

Coming into today, shares of the specialty chemicals maker had gained 0.06% in the past month. In that same time, the Basic Materials sector lost 4.33%, while the S&P 500 lost 0.83%.

Wall Street will be looking for positivity from DuPont de Nemours as it approaches its next earnings report date. On that day, DuPont de Nemours is projected to report earnings of $1.01 per share, which would represent year-over-year growth of 6.32%. Our most recent consensus estimate is calling for quarterly revenue of $4 billion, down 23.89% from the year-ago period.

DD's full-year Zacks Consensus Estimates are calling for earnings of $4.22 per share and revenue of $16.37 billion. These results would represent year-over-year changes of +25.6% and -19.75%, respectively.

Any recent changes to analyst estimates for DuPont de Nemours should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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. The Zacks Consensus EPS estimate remained stagnant within the past month. DuPont de Nemours is currently a Zacks Rank #3 (Hold).

Investors should also note DuPont de Nemours's current valuation metrics, including its Forward P/E ratio of 18.42. For comparison, its industry has an average Forward P/E of 12.94, which means DuPont de Nemours is trading at a premium to the group.

Meanwhile, DD's PEG ratio is currently 1.56. 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. The Chemical - Diversified was holding an average PEG ratio of 1.13 at yesterday's closing price.

The Chemical - Diversified industry is part of the Basic Materials 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 individual 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.

To follow DD in the coming trading sessions, be sure to utilize Zacks.com.


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