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Philip Morris (PM) Stock Sinks As Market Gains: What You Should Know
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In the latest trading session, Philip Morris (PM - Free Report) closed at $102.19, marking a -0.11% move from the previous day. This change lagged the S&P 500's 0.7% gain on the day. Elsewhere, the Dow gained 0.56%, while the tech-heavy Nasdaq added 7.5%.
Heading into today, shares of the seller of Marlboro and other cigarette brands had lost 0.29% over the past month, lagging the Consumer Staples sector's loss of 0.13% and outpacing the S&P 500's loss of 0.94% in that time.
Investors will be hoping for strength from Philip Morris as it approaches its next earnings release. The company is expected to report EPS of $1.30, down 3.7% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $7.45 billion, down 8.06% from the year-ago period.
Investors should also note any recent changes to analyst estimates for Philip Morris. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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 has moved 0.16% higher within the past month. Philip Morris currently has a Zacks Rank of #1 (Strong Buy).
Valuation is also important, so investors should note that Philip Morris has a Forward P/E ratio of 17.9 right now. For comparison, its industry has an average Forward P/E of 8.86, which means Philip Morris is trading at a premium to the group.
Also, we should mention that PM has a PEG ratio of 3.58. 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. The Tobacco was holding an average PEG ratio of 2.93 at yesterday's closing price.
The Tobacco industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 37, which puts it in the top 15% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Philip Morris (PM) Stock Sinks As Market Gains: What You Should Know
In the latest trading session, Philip Morris (PM - Free Report) closed at $102.19, marking a -0.11% move from the previous day. This change lagged the S&P 500's 0.7% gain on the day. Elsewhere, the Dow gained 0.56%, while the tech-heavy Nasdaq added 7.5%.
Heading into today, shares of the seller of Marlboro and other cigarette brands had lost 0.29% over the past month, lagging the Consumer Staples sector's loss of 0.13% and outpacing the S&P 500's loss of 0.94% in that time.
Investors will be hoping for strength from Philip Morris as it approaches its next earnings release. The company is expected to report EPS of $1.30, down 3.7% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $7.45 billion, down 8.06% from the year-ago period.
Investors should also note any recent changes to analyst estimates for Philip Morris. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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 has moved 0.16% higher within the past month. Philip Morris currently has a Zacks Rank of #1 (Strong Buy).
Valuation is also important, so investors should note that Philip Morris has a Forward P/E ratio of 17.9 right now. For comparison, its industry has an average Forward P/E of 8.86, which means Philip Morris is trading at a premium to the group.
Also, we should mention that PM has a PEG ratio of 3.58. 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. The Tobacco was holding an average PEG ratio of 2.93 at yesterday's closing price.
The Tobacco industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 37, which puts it in the top 15% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.