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Option Care (OPCH) Outpaces Stock Market Gains: What You Should Know

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In the latest trading session, Option Care (OPCH - Free Report) closed at $18.97, marking a +0.58% move from the previous day. This move outpaced the S&P 500's daily gain of 0.13%. Elsewhere, the Dow gained 0.05%, while the tech-heavy Nasdaq lost 0.5%.

Heading into today, shares of the infusion and home care services company had lost 3.42% over the past month, lagging the Medical sector's loss of 2.5% and the S&P 500's gain of 1.1% in that time.

Wall Street will be looking for positivity from OPCH as it approaches its next earnings report date. This is expected to be March 11, 2021. Our most recent consensus estimate is calling for quarterly revenue of $794.36 million, up 10.21% from the year-ago period.

Any recent changes to analyst estimates for OPCH should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. 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. 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. Over the past month, the Zacks Consensus EPS estimate has moved 31.58% higher. OPCH is holding a Zacks Rank of #2 (Buy) right now.

Valuation is also important, so investors should note that OPCH has a Forward P/E ratio of 47.3 right now. This represents a premium compared to its industry's average Forward P/E of 32.64.

The Medical - Outpatient and Home Healthcare industry is part of the Medical sector. This group has a Zacks Industry Rank of 216, putting it in the bottom 16% 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.

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