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Shell Oil (RDS.A) Outpaces Stock Market Gains: What You Should Know

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Shell Oil closed the most recent trading day at $40.42, moving +0.77% from the previous trading session. This change outpaced the S&P 500's 0.2% gain on the day.

Prior to today's trading, shares of the oil and gas company had gained 2.66% over the past month. This has lagged the Oils-Energy sector's gain of 4.02% and outpaced the S&P 500's gain of 1.06% in that time.

Investors will be hoping for strength from RDS.A as it approaches its next earnings release. In that report, analysts expect RDS.A to post earnings of $0.99 per share. This would mark year-over-year growth of 518.75%.

RDS.A's full-year Zacks Consensus Estimates are calling for earnings of $4.28 per share and revenue of $309.95 billion. These results would represent year-over-year changes of +245.16% and +69.19%, respectively.

Investors might also notice recent changes to analyst estimates for RDS.A. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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. Over the past month, the Zacks Consensus EPS estimate has moved 2.03% higher. RDS.A is holding a Zacks Rank of #3 (Hold) right now.

In terms of valuation, RDS.A is currently trading at a Forward P/E ratio of 9.37. This represents a no noticeable deviation compared to its industry's average Forward P/E of 9.37.

Meanwhile, RDS.A's PEG ratio is currently 2.34. 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. Oil and Gas - Integrated - International stocks are, on average, holding a PEG ratio of 0.7 based on yesterday's closing prices.

The Oil and Gas - Integrated - International industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 98, putting it in the top 39% 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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