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Dow Inc. (DOW) Gains But Lags Market: What You Should Know
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Dow Inc. (DOW - Free Report) closed the most recent trading day at $50.65, moving +1.32% from the previous trading session. This change lagged the S&P 500's 1.75% gain on the day. Elsewhere, the Dow gained 1.05%, while the tech-heavy Nasdaq added 7.84%.
Heading into today, shares of the materials science had lost 1.92% over the past month, lagging the Basic Materials sector's loss of 0.18% and outpacing the S&P 500's loss of 4.4% in that time.
Investors will be hoping for strength from Dow Inc. as it approaches its next earnings release, which is expected to be January 26, 2023. In that report, analysts expect Dow Inc. to post earnings of $0.55 per share. This would mark a year-over-year decline of 74.42%. Our most recent consensus estimate is calling for quarterly revenue of $12.03 billion, down 16.22% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $6.36 per share and revenue of $57.09 billion. These totals would mark changes of -29.18% and +3.87%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for Dow Inc.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.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Dow Inc. is currently a Zacks Rank #4 (Sell).
Investors should also note Dow Inc.'s current valuation metrics, including its Forward P/E ratio of 7.86. For comparison, its industry has an average Forward P/E of 9.8, which means Dow Inc. is trading at a discount to the group.
Investors should also note that DOW has a PEG ratio of 1.57 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Chemical - Diversified stocks are, on average, holding a PEG ratio of 1.92 based on yesterday's closing prices.
The Chemical - Diversified industry is part of the Basic Materials sector. This group has a Zacks Industry Rank of 175, putting it in the bottom 31% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Dow Inc. (DOW) Gains But Lags Market: What You Should Know
Dow Inc. (DOW - Free Report) closed the most recent trading day at $50.65, moving +1.32% from the previous trading session. This change lagged the S&P 500's 1.75% gain on the day. Elsewhere, the Dow gained 1.05%, while the tech-heavy Nasdaq added 7.84%.
Heading into today, shares of the materials science had lost 1.92% over the past month, lagging the Basic Materials sector's loss of 0.18% and outpacing the S&P 500's loss of 4.4% in that time.
Investors will be hoping for strength from Dow Inc. as it approaches its next earnings release, which is expected to be January 26, 2023. In that report, analysts expect Dow Inc. to post earnings of $0.55 per share. This would mark a year-over-year decline of 74.42%. Our most recent consensus estimate is calling for quarterly revenue of $12.03 billion, down 16.22% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $6.36 per share and revenue of $57.09 billion. These totals would mark changes of -29.18% and +3.87%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for Dow Inc.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.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Dow Inc. is currently a Zacks Rank #4 (Sell).
Investors should also note Dow Inc.'s current valuation metrics, including its Forward P/E ratio of 7.86. For comparison, its industry has an average Forward P/E of 9.8, which means Dow Inc. is trading at a discount to the group.
Investors should also note that DOW has a PEG ratio of 1.57 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Chemical - Diversified stocks are, on average, holding a PEG ratio of 1.92 based on yesterday's closing prices.
The Chemical - Diversified industry is part of the Basic Materials sector. This group has a Zacks Industry Rank of 175, putting it in the bottom 31% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.