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Casey's General Stores (CASY) Dips More Than Broader Markets: What You Should Know

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Casey's General Stores (CASY - Free Report) closed at $200.09 in the latest trading session, marking a -0.91% move from the prior day. This change lagged the S&P 500's 0.82% loss on the day.

Coming into today, shares of the convenience store chain had gained 8.12% in the past month. In that same time, the Retail-Wholesale sector gained 6.59%, while the S&P 500 gained 6.74%.

CASY will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $2.78, down 7.33% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $3.15 billion, up 42.05% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $8.68 per share and revenue of $12.02 billion. These totals would mark changes of +3.58% and +38.05%, respectively, from last year.

It is also important to note the recent changes to analyst estimates for CASY. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

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. The Zacks Consensus EPS estimate remained stagnant within the past month. CASY currently has a Zacks Rank of #2 (Buy).

Looking at its valuation, CASY is holding a Forward P/E ratio of 23.27. This valuation marks a premium compared to its industry's average Forward P/E of 21.12.

The Retail - Convenience Stores industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 4, putting it in the top 2% 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.

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